T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n Latin American Seminar May 2 – 3, 2007 Presented by The Alta Group John C. Deane

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Experiences in Market Entry Vertical & Geographic The Global Marketplace

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Vertical Market Entry  Driven By Equipment or Industry Type  Relatively Easy  Should Be Aligned with Core Competencies  Brand New Space or Adjacent Space?

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Vertical Market Entry  De Novo  “Lift Out”  Purchase Going Concern

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Vertical Example  Large Captive Lessor  Global in Scope  Constrained Future Growth Rate  How to Choose Verticals?  Part Instinct  Importance of Alignment  First, Do No Harm

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Geographic Market Entry The Global Marketplace

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Geographic Market Entry  Much More Difficult  Name a Successful Geographic Market Entrant  Bank Lessor?  Independent Lessor?  Captive Lessor?  Push Through or Pull Through?

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Geographic Market Entry  In this context, equipment leasing & financing is NOT a global business  It IS somewhat regional, but mostly local  It MUST be viewed as a core business that requires core competencies

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Geographic Market Entry  Not De Novo  “Lift Out”  Partnership  Acquisition

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Geographic Market Entry NTY Example  Pull Through  Investment Grade Vendor or Manufacturer  Modest Initial Program Volume Expectations  What are the Alternatives for the Vendor?

T h e A l t a G r o u p – W h e r e E x p e r i e n c e P r o v i d e s D i r e c t i o n GLOBAL LEASING MARKET Thank You The US Marketplace