UNITHOLDERS' CAPITAL

6 Months Ended

Jun. 30, 2017

Stockholders' Equity Note [Abstract]

UNITHOLDERS' CAPITAL

UNITHOLDERS’ CAPITAL

Unitholders’ capital reflects the economic interests attributable to Class A unitholders, non-controlling interests in consolidated subsidiaries and non-controlling interests in consolidated funds. Non-controlling interests in consolidated subsidiaries represent the portion of unitholders’ capital attributable to the OCGH non-controlling interest and third parties. The OCGH non-controlling interest is determined at the Oaktree Operating Group level based on the proportionate share of Oaktree Operating Group units held by the OCGH unitholders. Certain expenses, such as income tax and related administrative expenses of Oaktree Capital Group, LLC and its Intermediate Holding Companies, are solely attributable to the Class A unitholders. As of June 30, 2017 and December 31, 2016, respectively, OCGH units represented 92,043,490 of the total 156,228,900 Oaktree Operating Group units and 91,758,067 of the total 154,790,343 Oaktree Operating Group units. Based on total allocable Oaktree Operating Group capital of $1,965,265 and $1,754,882 as of June 30, 2017 and December 31, 2016, respectively, the OCGH non-controlling interest was $1,157,840 and $1,040,274. As of June 30, 2017 and December 31, 2016, non-controlling interests attributable to third parties was $8,948 and $10,045, respectively.

The following table sets forth a summary of net income attributable to the OCGH unitholders' non-controlling interest and to Class A unitholders:

	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016
Weighted average Oaktree Operating Group units outstanding (in thousands):
OCGH non-controlling interest	91,740			92,440			91,692			92,177
Class A unitholders	64,193			62,617			63,611			62,256
Total weighted average units outstanding	155,933			155,057			155,303			154,433
Oaktree Operating Group net income:
Net income attributable to OCGH non-controlling interest	$	173,638		$	83,256		$	270,236		$	142,082
Net income attributable to Class A unitholders	121,499			56,397			187,927			96,012
Oaktree Operating Group net income (1)	$	295,137		$	139,653		$	458,163		$	238,094
Net income attributable to Oaktree Capital Group, LLC:
Oaktree Operating Group net income attributable to Class A unitholders	$	121,499		$	56,397		$	187,927		$	96,012
Non-Operating Group expenses	(255		)	(201		)	(487		)	(465		)
Income tax expense of Intermediate Holding Companies	(3,920		)	(7,149		)	(15,201		)	(18,422		)
Net income attributable to Oaktree Capital Group, LLC	$	117,324		$	49,047		$	172,239		$	77,125

(1) Oaktree Operating Group net income does not include amounts attributable to other non-controlling interests, which amounted to $620 and $1,246 for the three and six months ended June 30, 2017, respectively, and $1,212 and $2,420 for the three and six months ended June 30, 2016, respectively.

The change in the Company’s ownership interest in the Oaktree Operating Group is set forth below:

	Three Months Ended June 30,					Six Months Ended June 30,
	2017			2016		2017		2016
Net income attributable to Oaktree Capital Group, LLC	$	117,324		$	49,047	$	172,239	$	77,125
Equity reallocation between controlling and non-controlling interests	(2,562		)	645		9,499		8,126
Change from net income attributable to Oaktree Capital Group, LLC and transfers from non-controlling interests	$	114,762		$	49,692	$	181,738	$	85,251

Please see notes 12, 13 and 14 for additional information regarding transactions that impacted unitholders’ capital.