Longyan Yao (Maggie) Su Chen Meechai Taychapipranai (Bo) 26 APR 2012

 Life Time Fitness operates multi-use sports and athletic, professional fitness, family recreation and spa centers in a resort-like environment in U.S. The fitness centers are located among the residential, business and shopping districts of the surrounding community.  GICS Code: Leisure Facilities Current Price44.9 Market Cap1.85B PEG1.01 P/E Year Implied growth in earning32% 7-10 years Implied growth5.20% Source: Google Finance

Obesity Overweight Source: Centers for Disease Control and Prevention, CDC

COST Government: 190 Billion Corporation: 45 Billion Source: Merriman Curhan Ford, Fitness and Wellness Report

Currently two bills are before Congress, each encourage exercise and promote healthier lifestyles pre-tax dollars is allowed to pay for physical fitness tax deduction for employers on fitness membership fees Personal Health Investment Today Act of 2011 Workforce Health Improvement Program Act of 2011 Source: Merriman Curhan Ford, Fitness and Wellness Report

65% of major U.S corporations provide employer-sponsored wellness program such as gym membership or discounts Increased Employee Morale Improved Employee Health Reduced Health Care Cost Reduced accidents on the job 56% 41% 27% 8% Reduce Absence Increase Productivity 66% of companies who provided wellness program also offered to spouses or dependents. Source: IHRSA Success by Association

 Health insurance company provide incentives to exercise, such as discount for gym membership, offer gym membership credit if policy holder exercise at certain level. Source: Merriman Curhan Ford, Fitness and Wellness Report

Households with higher incomes are able to spend more on gym or fitness club More people aware of the importance of exercise that will drive demand for fitness industry Source: IBIS World

1 hr 50 min Online 2 hr 40 min TV 1 hr 20 min Phone 5hr 50 min Media 4hr Sporting activities Day Week 1/3 American kids are overweight or obese No. 1 Health concern among American parents Source: kids health Organization

$# Source: IHRSA Success by Association

Variety Workout DVD Limit Equipment Less motivation Distraction Group fitness classes Multiple equipments Motivated Baby sitting program

Source: Google

Group Exercise Personal Training Kid Club24/7SPAPool Nutrition support Racquetball & Basketball COMM UNITY 24 hour fitnessYESYESNOYESNAYESYES NO Bally FitnessYESYESNANONAYESYES YES Town SportsYESYESBabysittingNOYESYESNAYES CurvesYESYESNANONA YESNoYES Anytime Fitness NAYES YES YES YES LA FitnessYESYESBabysittingSOMEWATERSPAYESYESYESNA Life time YESYESYESYESYESYESYESYESYES Source: each company website

Source: LTM Website

Source: LTM IR Page 6

Source: Lifetime Investor Presentation page 5

Growing membership base Solid same store sales metrics Solid attrition improvement High member utilization and customer satisfaction Strong revenue per membership metric

Source: LTM K

 Ability to access additional capital through credit facility  Failure to manage growth effectively  Delay in new center openings  Fail to pass the rising cost related to constructions to customers  New centers in existing location may negatively impact operating margins  Fail to maintain the reputation of our brand Source: LTM K

Source: Bloomberg UK – GOAL, Mexico – SPORTS, US – CLUB, Canada – ICE, Japan – Central Sports, Tosho, Megalos, Renaissance

Company P/EUSA Market P/ECanada Market P/E Canada Company’s equivalent P/E

Source: Bloomberg UK – GOAL, Mexico – SPORTS, US – CLUB, Canada – ICE, Japan – Central Sports, Tosho, Megalos, Renaissance Comparable company USA Company – CLUB Canada Company – ICE UK Company – GOAL Mexico Company – SPORTS Comparable company USA Company – CLUB Canada Company – ICE UK Company – GOAL Mexico Company – SPORTS EV/Revenue 1.15x EV/Revenue 1.15x EV/EBIT 15.11x EV/EBIT 15.11x P/E 19.7 P/E 19.7 Price per share 40.8

Watch List DCF Valuation $29.0 per share Multiple Valuation $40.8 per share Current Stock Price $44.9 per share