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FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
EXHIBIT
T
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Report - Structured
Credit
Date: 12/20/2011
Bundesbank No#: Review Date: 12/31/2012
Required approval level: PWM PWM SCE KWG13 KWG 15 Last AKM Date: n/a
MD
Re ional COO
Eb o « « o 7
New Request Group: The Trump Family Beneficial Owner: Donald J. Trump
Review Borrower: TBD (SPV acceptable to the Lender] Org ld:
increase Pledgor Rel. Manager: Vrablic/ Scalzi
("Donald" "DJT"
Other amendment Guarantor: Donald J. Trump or or "Trurnp") Broker CA#: NA
Addendum No: Location: New York, NY A/C Manager: Sullivan
Industry: Hotel/Resort Supporting Stafford/
Lenders: Schroeder
("DB" "Bank"
DB Unit: DBTCA, NY or or "Lenypr") Service Officer: TBD
Legal: Loeb & Loeb
Exchange Rate: EUR/USD - 1.35 Rating Development: CPD: FPD: dBBB
Currency: New Limit Usage Previous Years New Limit Usage Previous
US $ in million Limit Limit
Line/ Loan Up to $125 Up to $125 - <=1 Up to $125 Up to $125 -
SBLC >1 and <=5 Up to $125 Up to $125 -
SWAP >5 and <=7
Other >7 and <=10
Related Exposure . >10
Total Exposure Up to $125 Up to $125 - Other liabilities or comments: N/A
Collateral
A first mortgage lien and a first priority security interest in the Doral Golf Resort and Spa located in Miami, Florida (the "Resorf"), including the
Borrowers fee simple estate, all personal property, leases. rents, revenue. operating accounts, reserves and all other related assets.
DJT negotiated a purchase price of $150 million and plans to invest an additional $50 million to bring the Resort to a level of luxury that exceeds
its previous world-class standard. DJT intends to hold the property for the long-term to benefit from the strong cash flows and significant
development opportunities. Based on the $150 million cost our initial LTV wili be 83.3% however, borrowing under the Facility will be equal to the
to"
lesser of: i) $125 million and li) up to 85% of the appraised value "subject the satisfactory review of DB's Valuation Services Group. The
Collateral will maintain a minimum appraised value of $150 million, which may be confirmed by the Lender with an updated appraisal, at its cost
of the Lender, at any time after the second anniversary of the Closing Date of the Facility.
The Collateral property consists of a 622 acre golf resort and spa that includes 4 tournament class golf courses (Blue, Red, Gold and White) and
a 693 room resort. Other amenities of the resort include 86,139 SF of meeting space including a 24,000 SF ballroom. a 50,000 SF spa and
treatment center, 6 food and beverage venues, retail space, 670 parking spaces and a Members Clubhouse. The property is located within 8
miles or 15 minutes from Miami Intemational Airport,
The Facility will also be supported by a full and unconditional guarantee provided by DJT of (i) Principal and Interest due under the Facility, and
(ii) operating shortfalls of the Resort (it being understood that Borrower shall be permitted to utilize all revenues from the Resort to operate the
Resort to reduce the amount of such shortfall).
"For collateral monitoring purposes, the Facility is being underwritten as Other Secured.
Assets Under Management: Donald J. Trump - $20MM cash deposits; Donald J. Trump Jr - $100M cash deposits
Total Relationship Exposure Summary
# Obligor Org Id Collateral Risk Rating Facility O/S Maturity interest Comments
Amount Balance Rate
2 Subject Facility $125.00 $125.00 TBD L + 225
3
4
Aggregate $128.65 $128.65
See Regulatory Requirement - One Obilgor Principle for further details on related exposure.
KYC Verification: Borrower(s) Pledgor(s) Guarantor(s)
/ / SBLC: Applicant Beneficiary Counter-Party
Covenants: Does the subject facility have covenants: Yes No
Did the covenants change since last credit approval: O Yes O No Not Applicable
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FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001691
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report -
Structured /
Reason for Presentation: Request approval for up to a $125 million term commitment in the form of a senior secured credit facility (the
"Facility"). Proceeds from the Facility will be utilized to assist in financing the purchase of the Doral Golf Resort
and Spa in Miami (the "Resort') which has a targeted purchase price of S150 million. The client request is for
to"
the Lender to provide a Commitment Letter in early January 2012, "subject an appraisal and Property
Condition Report which shall be satisfactory to the Lender, with and expected Closing Date in late 10 or early
20 of 2012. The Cçmmitment Letter wlil have an expiration date of May 51, 2012.
On November 29 2011, the Trump Organization executed a Purchase and Sale Agreement for the Property
including a hard deposit of $12MM. As the resort is part of a bankruptcyhorse"estate, the court will now file a
Bidding Procedures Order designating the Trump Organization the "stalking bidder in a 363 auction. As
stipulated by this type of auction, other bidders will be required to exceed the stalking horse bid by approx
$8MM, after which the stalking horse bidder has the opportunity to increase their bid. Historically, stalking
horse bidders have been selected in approx. 80% of previous 363 auctions. Once acquired, the Trump
Organization plans to inject $50MM of its own capital to renovate, reposition and operate the resort under the
Trump National Doral name. The Organization intends to hold the property for the long-term to benefit from
strong future cash flows and development opportunities.
Facility Details:
Type: Œther Secured
Borrower: TBD [SPV acceptable to the Lender]
Guarantor: Donald J. Trump
to"
Commitment Amount: Up to $125,000,000 - "subject (i) an appraisal acceptable to the Lender, and (ii) Property Condition Report
if determined by the Lender.
Purpose: To assist in financing the purchase of the Resort -- targeted purchase price of $150 million.
A first mortgage lien and a first priority security interest in the Resort, including the Borrower's fee simple
Collateral:
estate, all personal property, leases, rents, revenue, operating accounts, reserves and all other related
assets.
Guarantee: The Guarantor will provide a full and unconditional guarantee of (i) Principal and Interest due under the Facility,
and (ii) operating shortfalls of the Resort (it being understood that Borrower shall be permitted to utilize all
revenues from the Resort to operate the Resort to reduce the amount of such shortfall).
Maturity: 5-years from Closing Date
is"
The period of time between the closing of the loan and such time that Borrower shall deliver an "as
appraisal, prepared by a provider acceptable to the Lender that confirms a minimum loan to value percentage
("LTV") of not greater than 60% shall be referred to herein as the "Renovation Period". Borrower shall have
is"
the right to deliver such "as appraisal at any time. The period of time following the delivery by Borrower of
is"
an "as appraisal confirming such LTV is not greater than 60% is referred to as the "Post-Renovation
Period."
Repayment: The committed term will consist of a 5-year interest only period.
The Borrowers may prepay any amount under the Facility in whole or in part at any time without penalty, with
the exception of any cost associated with breakage of a LIBOR contract. The unutilized portion of the
commitments under the Facility may be permanently reduced or terminated by the Borrowers at anytime
without penalty.
Interest Rate: > Renovation Period: Libor + 2.25% or the Prime Rate
> Post-Renovation Period: Libor + 2.00% or the Prime Rate minus .25%
LIBOR Tenors: Borrower may elect interest periods of 1. 3, 6, and 12 months
Commitment Fee: 0.25% of Facility Commitment - which shall be fully earned and payable on the execution date of the
Commitment Letter.
Facility Fee: 1.00% of Facility Commitment - payable on the closing date of the Facility
Account to Charge: TBD
Documentation: Loeb & Loeb, LLP
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FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001692
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report -
Structured /
| Repayment Sources! Key Risks/Mitigants
> Primary Source of Repayment: Refinancing of the Resort with long-term financing following completion of the Renovation Period or upon
expiration of the 5-year term.
> Repayment- Cash flow from
Secondary Source of Resort following the Renovation Period. Based on projections the Resort will be able to
satisfactorily service principal and interest based on a 25-year amortization schedule.
> Tertiary Source of Repayment: Full and unconditional guarantee of DJT which eliminates any shortfall associated with operating and
liquidating Collateral.
... ..... .........................
...
Recommendation:
The Facility is being recommended for approval based on:
" Financial Strength of the Guarantor - The financial profile of the Guarantor includes, on an adjusted basis, $135 million in
unencumbered liquidity. $2.4 billion in Net Worth and approximately $48 million in adjusted recurring net cash flow.
" Nature of the Guarantee - The nature of the guarantee which includes both principal and interest along with operating expenses of the
Resort.
" Operating Expenence - DJT extensive experience in operating private clubs. His current portfolio includes 10 such clubs with a
reported value of $13 billion and DB adjusted value of $675 million.
" Expected Enhanced Value Due to Capex -The Resort is a world class location that has been home to a PGA event every year since
the Resort opened in 1962. As DJT expects to invest approximately $50 million on capital improvements it is expected that the value
of our Collateral will increase significantly over the term of the Facility.
Reg O Questions: (Lender & CRM initials)
YES NO
" is this loan for a DB employee?
" "insider?"
Is this loan for a DBTCA r .
(Consult the most current list of "DBTCA Insiders for Regulation O
and NY State Banking Law Reporting Purposes," which is posted on
O," a
the shared drive R in the folder titled "Reg in
Word document litled "Reg O and Insider List")
" "insider," will
If the loan is for a DBTCA DBTCA, DBPWM or
any other subsidiary of DBTCA originate the loan?
(If Yes, the loan must be approved in advance by the DBTCA
Board of Directors and the DBTCA Office of the Secretary.
Please contact Compliance or Legal immediatelyd
Regulatory Requirement - One Obligor Principle
IMPORTANT: Transactions subject to banking secrecy in other locations should not be covered
- Does the borrower have other existing credit client relationships in the current booking location or with other Deutsche Bank entities (whether
under private individual name or other related entities)?
O Yes No
If Yes', please provide details:
- Please certify (tick the box) that this was confirmed with the borrower:
Yes' completed*
If answered to the above question, the Consolidation of Borrowers' Sheet has to be
crecuofficeror LenàngOffeertocomplete
aspertesponsibihhes
inplaceinthegivenlocation
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3 IPa g e
FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001693
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report - Structured /
Signatures
Emily Schroeder, Tom Sullivan, Marc I ithhell. Sean Harrigan, Nicholas Haigh,
BUS BUS BUS CRM CRM
Prepared by: Stafford/ Schroeder/Sumvan
Approved Rejected x Approved with conditions
1. Receiptof a current appraisalacceptableto the Lender
Obligor Structure/ Background
Borrower: TBD [SPV acceptableto the Lander)
Pledgor: TBD {SPV acceptableto the Lender]
Guarantor: DonaldJ. Trump
Financial Analysis
Guarantors - Financial Summary: Although Facility is being extendedto an SPV for the purposesof financing the purchase of the Resort, the
credit exposure is being recommendedprimarily based on the financial profile of the Guarantor.As part of this underwriting we have met with
several members of the family office to conduct due diligence on the client reported financial Information,as prepared by WeiserMazars, an
independent public accounting firm. Based on the results of this due diligence we have made certain assumptions that have resulted in
adjustments to reported values. Details on such adjustments are included in the analysis that follows. Additional details are included in the
Guarantorsfmancial statementswhich is attachedas ExhibitII.
Financial Summary (5 in millions) DJT DJT
6/30/2011 6/3D/2011
Source: Clientprovided financials (Cilent Reported) (DB Adjusted)
Cash & MarketableSecurities $258.9 5135.8
Escrow& ReserveDeposds $9.1
Real Estate - Net Equity S2,996.9 S1,737.9
Partnerships& Joint Ventures $720,0 $360.0
Real Estate Licensing S89.3 $44.6
Other Assets $199.2 $ §
Total Assets $4,273.4 $2,377.9
PersonalMortgage other Debt $8.4 $8.4
Other Liabilities $11 $11
Net Worth $4,261,3 $2,365.8
ContingentObligations $114.0 $114.0
Net Cash Flow " SB2.4 $48.8
Key Ratios - UnsecuredLending Guidelines
LeverageRatio (<= .30) .13 24
Cash Flow Ratio (>= .35) .57 .31
Liquidity Ratio (>= .25) 2.04 1.06
Asset CoverageRatio (>=6.0) 31 7 17.84
* Represents 11monthsof Revenuein excess of Disbursementsfor the penod ended 11/30/2011
" Liquidity - On 12/20/2011 a Structured Lending Team of Dave Wimams and Emily Schroder visited the offices of the Guarantor and
reviewed bank and brokerage statementsthat confirmed $178 million in cash balances and $51.8 million marketable securities, totaling
$229.9 million held In the name of the Guarantor. In addition, they also reviewed statements for operating companies that were wholly
owned by the Guarantor,which evidencedanother$29.0 millioncash and marketablesecurities.
The Guarantors personal fiquidity has been primarily generated through on-going distributions from his diversified portfolio of operating
companies which is highlighted in more detail in the Cash Flow section below. Such distributions include cash distributions from the
Guarantors portfolio of premier private clubs which generated these distributions through operating profit along with the collection of ,
DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT
Confidential
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FOlL CONFIDENTIAL TREATMENT REQ UESTED DB-NYAG-001694
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report - Structured
Signatures
Emily Schroeder, Marc Mitchell, L ean Harrigan, Nicholas‰aigly,
BUS BUS BUS CR CRM
Prepared by: Stafford/ Schroeder/ Sullivan
Approved ¡ Rejected Approved with conditions
1. Receipt of a current appraisal acceptable to the Lender
Obligor StructureI Background
Borrower: TBD [SPV acceptable to the Lender]
Piedgor: TBD [SPV acceptable to the Lender]
Guarantor: Donald J. Trump
Financial Analysis
Guarantors - Financial Summary: Although Facility is being extended to an SPV for the purposes of financing the purchase of the Resort the
credit exposure is being recommended primarily based on the financial profile of the Guarantor. As part of this underwriting we have met with
several members of the family office to conduct due diligence on the client reported financial information. as prepared by WeiserMazars, an
independent public accounting firm. Based on the results of this due diligence we have made certain assumptions that have resulted in
adjustments to reported values. Details on such adjustments are included in the analysis that follows. Additional details are included in the
Guarantors financial statements which is attached as Exhibit II
Financial Summary ($ in millions) DJT DJT
6/30/2011 6/30/2011
Source: Client provided financials (Client Reported) (DB Adjusted)
Cash & Marketable Securities $258.9 $135.8
Escrow & Reserve Deposits $9.1 --
Real Estate - Net Equity $2,996.9 $1.737.9
Partnerships & Joint Ventures $720.0 $360.0
Real Estate Licensing $89.3 $44.6
Other Assets $199.2 199Â
Total Assets $4,273.4 $2,377.9
Personal Mortgage other Debt $8.4 $8.4
Other Liabilities $1Z $1Z
Net Worth $4,261.3 $2,365.8
Contingent Obligations $114.0 $114.0
Net Cash Flow * $82.4 $48.8
Key Ratios - Unsecured Lending Guidelines
Leverage Ratio (<= .30) .13 .24
Cash Flow Ratio (>= .35) .57 .31
Liquidity Ratio (>= .25) 2.04 1.06
Asset Coverage Ratio (>=6.0) 31.7 17.84
* - Represents 11 months of Revenue in excess of Disbursements for the period ended w30/2011
" Liquidity - On 12/20/2011 a Structured Lending Team of Dave Williams and Emily Schroder visited the offices of the Guarantor and
reviewed bank and brokerage statements that confirmed $178 million in cash balances and $51.8 million marketable securities, totaling
$229.9 million held in the name of the Guarantor. In addition, they also reviewed statements for operating companies that were wholly
owned by the Guarantor, which evidenced another $29.0 million cash and marketable securities.
The Guarantors personal liquidity has been primarily generated through on-going distributions from his diversified portfolio of operating
companies which is highlighted in more detail in the Cash Flow section below. Such distributions include cash distributions from the
Guarantors portfolio of premier private clubs which generated these distributions through operating profit along with the collection of
DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT
Confidential
4 |Pa g e
FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001695
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report - Structured /
30-year
membership deposits. In accordance with industry standards premier golf clubs require new members post a non-interest bearing 30-
deposit as part of their membership requirement. Terms of the deposil agreement include that such deposit are non-refundable for
years without condition, after which the member may request the refund of such deposit often contingent on being replaced by at least one
new member. As of June 30, 2011 the total life-to-date balance of such deposits collected across the 10 clubs owned by the Guarantor
was $188 rnillion. Given the lack of any conditional rights by the member such deposits are not recorded on the operating books of the
club as a liability. The Guarantor has indicated that they have received tax opinions supporting the treatment of such deposits and are not
required to be included as pati of taxable income, however for purposes of calculating adjusted liquidity we have elected to include net
50% reserve (S94 million representing 50% of the S188 million life-to-date deposit balance) against the reported liquidity.
" Real Estate - Net Equity - the following table summarizes the Guarantors total real estate portfolio, as of 6/31/11 which reflects the
Guarantors 4 wholly owned trophy properties, the portfolio of 10 wholly owned club facilities, other major property interests and properties
currently under development. DB adjustments for each of these properties are discussed below.
DJT DB Property Level DJT DB Adjusted
Valuation Valuation Debt Net Equity Net Equity
Property Typ
- $490.0 $380.2 $27.8 $462,2 $352.4
Trump Tower 725 570
5 Ave
Niketown - East St $263.7 $197.0 $53.1 $210.6 $143.9
40 Wall Street $524.7 $438.0 $160.0 $364.7 $278.0
$311.6 $206.3 $22.7 $288.9 $183.6
Trump Park Ave
Subtotal- 4 Trophy Properties $1,590.0 $1,221.5 $263,$ $ 326.4 $957.9
Club Facilities $1,315.0 $657.5 $24.2 $1,290.8 $633.3
Other Property interest $121.2 $93.1 $7.0 $114.2 $86.1
Properties under Development $273.2 $68.3 $7.7 $265.5 $60.6
Total- Portfolio $3,299.4
.................. $2,040.4 $302A $2996.9 $L737.9
4 Tmphy Properties - The valuations for each of these properties were discussed with Andy Babience. DB Valuation Services Group
("DBVSG") who advised on adjustments for each.
o Trump Towers - The 68 story building contains residential and condominiums that are owned by residents along with 178,000
square feet in commercial space and 114,000 square feet of retail space. The property has an NOI of $17.1 million and the
Guarantor used a cap rate of 3.50% to derive reported value. For purposes of adjusting DBVSG used a 4.50% cap rate. The
$27.7 million in outstanding debt, which is non-recourse in nature, is due to mature in February 2013.
o Niketown - The Guarantor is the lessee with respect to 2 long-term ground leasehold estates related to the land and the
57* 5*
building located on street between Madison and Avenue. Since 1994 the building has been leased to Nike Retail
Services. The current lease is scheduled to expire in May 2017. The space includes 65,000 square feet of retail space. Based
on sq foot assumption DBVSG has indicated an adjusted value of $197 million. Financing on the space is in the form of long-
term bonds which are scheduled to fully amortize by June 1, 2017.
o 40 Wall Street - The 72 floor tower consist of 1.3 million in premier office space. The property has an NOl of $26.2 million
with the Guarantor using a 5.00% cap rate to derive the reported value. DBVSG has provided a 6.00% cap rate for purposes
of calculating the adjusted value. The existing debt in the amount of $160 million, of which the Guarantor currently guarantees
$20 million. is scheduled to mature in Novernber 2017.
59* Street and Park Avenue consists of 134 condominiurn units coupled with
o Trump Park Avenue - The property located on
30.000 square feet of retail space has a reported value based on unsold units and retail rates of $311 million. Based on
discussions with DBVSG we elected to take an approximate 35% haircut on the reported value.
o Club Facilities - The Guarantor wholly owns interest in 10 private club facilities which include The Mar-A-Laqq Club in Palm Snagh Fl:
Trump N9tional Golf Club in Briarcliff Manor N.Y.; Trump Intemational Golf Club in Palm Beaçh County, FI, Trump National Golf Club
in LA. Ca; Trymp National Golf Civb in Bedminsiter NJ; Trymp Natinnal Golf Clyn in Colts Neck. NA Trump National GnIf Club in
Wa_hington, pÇ; Trump International Golf Clyk in $cotland: Trump Ngtignal Golf Club in Hydngn Valley, NY; Trump National Golf Clyk
in Philadelphia PA. In accordance with membership requirements members of the clubs are required to make an up-front membership
deposit which is in the form of a non-interest bearing 30-year deposit. The deposits are non-refundable without condition prior to 30-
years. Based on the terms of the deposit they are not recorded as a liability on the financial statements of the specific clubs. The
Guarantor has obtained tax opinions supporting the accounting of such deposits for tax purposes. Life-to-date the clubs have collected
$188 million in such deposits. For purposes of our analysis the $1.3 billion in reported value has been reduced by 50% for deriving an
adjusted value.
Other Properf y interest - consists of wholly owned interests in The Trump World Tower at rnited Nations:100 Central Park Sqsth:
Trump Plaza NY: Trymp intemational Hotel and Tower. Trump Palace, Trump Parc and Trump Parc East Condominiums. These
properties consist of both commercial, retail and hotel space along with condominium units. For purposes of deriving an adjusted value
we applied a haircut of approximately 23%, which is consistent with the weighted average adjustment made on the Guarantors 4
Trophy Properties, based on discussion with the DB Valuation Services team.
Properties Under Development - consists primarily of property known as the Mansion at Seven Springs in Bedford New York, which
consists of over 200 acres of land a mansion and other buildings. This property is zoned for 9 Iuxury homes. Also, includes property in
Beverty Hills CA. For purposes of deriving an adjusted value we assurned a 75% haircut to reflect the uncertainty in valuing
undeveloped land.
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5 IPa y e
FOlL CONFIDENTIAL TREATMENT REQ UESTED DB-NYAG-001696
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022
NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023
Credit Report - Structured /
" Partnership and Joint Ventures - consist of primarily interest in the 76-acre Trump Place development located along the Hudson River
59* 72® Streets
between and in Manhattan. The Guarantors Hong Kong Partners recently sold the rental space and some of the
undeveloped land using the proceeds to reinvest into 2 commercial properties. The Guarantor is currently in dispute with his Hong Kong
partners and is pursuing remedies. Due to uncertainly we have taken a 50% haircut on reported value to derive an adjusted value.
" Real Estate Licensing - The Guarantor has numerous associations with several other parties for purposes of developing properties and
other projects. Terms of specific agreements vary and involve both defined compensation and contingent type fees tied to performance.
The Guarantor has pledged certain of these fees to secure a $20 million mortgage on The Trump Tower at United Nations Plaza.
Accordingly, the $20 million has been netted against the $110 million reported value. For purposes of deriving an adjusted value we
assumed a 50% haircut against the net reported value.
" Other Assets - includes a Boeing 757 Jet. a Sirkorsky helicopter, ownership rights to the Miss Universe Pageants. the Wollman Rink in
Central Park, 1,100 acre vineyard in Charlottesville Virginia, a management company that supervises the operation of condominium
properties and an international talent/model agency. For purposes deriving an adjusted value we assumed a 50% haircut on reported value.
it should be noted that the Guarantor has had a valuation performed by PREDITV. an independent valuation firm, based on the intangible
value of the Trump brand. The report, which is attached as Exhibit VI indicates a brand value in the range of $2.8 billion to $3.0 billion. For
purposes of our financial analysis we assumed no value for the Trump brand.
" Contingents - includes $47.5 million in personal recourse on two credit facilities extended by Fortress and DB related to the Trump
intemational Hotel in Chicago; $20 million on a limited guarantee for the $160 million commercial mortgage on 40 Wall Street extended by
Capital One; $11 million on Trump Golf at Ferry Point to the City of New York; $7.6 million related to 7 Springs Resort and $27.9 million in
certain project related completion guarantees.
" Net Cash Flow - the Guarantor demonstrates a diversified stream of cash flows which are generally recurring by nature. The following table
summarizes the sources and uses of cash during the first 11 mont
Preview
FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 EXHIBIT T FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Report - Structured Credit Date: 12/20/2011 Bundesbank No#: Review Date: 12/31/2012 Required approval level: PWM PWM SCE KWG13 KWG 15 Last AKM Date: n/a MD Re ional COO Eb o « « o 7 New Request Group: The Trump Family Beneficial Owner: Donald J. Trump Review Borrower: TBD (SPV acceptable to the Lender] Org ld: increase Pledgor Rel. Manager: Vrablic/ Scalzi ("Donald" "DJT" Other amendment Guarantor: Donald J. Trump or or "Trurnp") Broker CA#: NA Addendum No: Location: New York, NY A/C Manager: Sullivan Industry: Hotel/Resort Supporting Stafford/ Lenders: Schroeder ("DB" "Bank" DB Unit: DBTCA, NY or or "Lenypr") Service Officer: TBD Legal: Loeb & Loeb Exchange Rate: EUR/USD - 1.35 Rating Development: CPD: FPD: dBBB Currency: New Limit Usage Previous Years New Limit Usage Previous US $ in million Limit Limit Line/ Loan Up to $125 Up to $125 - <=1 Up to $125 Up to $125 - SBLC >1 and <=5 Up to $125 Up to $125 - SWAP >5 and <=7 Other >7 and <=10 Related Exposure . >10 Total Exposure Up to $125 Up to $125 - Other liabilities or comments: N/A Collateral A first mortgage lien and a first priority security interest in the Doral Golf Resort and Spa located in Miami, Florida (the "Resorf"), including the Borrowers fee simple estate, all personal property, leases. rents, revenue. operating accounts, reserves and all other related assets. DJT negotiated a purchase price of $150 million and plans to invest an additional $50 million to bring the Resort to a level of luxury that exceeds its previous world-class standard. DJT intends to hold the property for the long-term to benefit from the strong cash flows and significant development opportunities. Based on the $150 million cost our initial LTV wili be 83.3% however, borrowing under the Facility will be equal to the to" lesser of: i) $125 million and li) up to 85% of the appraised value "subject the satisfactory review of DB's Valuation Services Group. The Collateral will maintain a minimum appraised value of $150 million, which may be confirmed by the Lender with an updated appraisal, at its cost of the Lender, at any time after the second anniversary of the Closing Date of the Facility. The Collateral property consists of a 622 acre golf resort and spa that includes 4 tournament class golf courses (Blue, Red, Gold and White) and a 693 room resort. Other amenities of the resort include 86,139 SF of meeting space including a 24,000 SF ballroom. a 50,000 SF spa and treatment center, 6 food and beverage venues, retail space, 670 parking spaces and a Members Clubhouse. The property is located within 8 miles or 15 minutes from Miami Intemational Airport, The Facility will also be supported by a full and unconditional guarantee provided by DJT of (i) Principal and Interest due under the Facility, and (ii) operating shortfalls of the Resort (it being understood that Borrower shall be permitted to utilize all revenues from the Resort to operate the Resort to reduce the amount of such shortfall). "For collateral monitoring purposes, the Facility is being underwritten as Other Secured. Assets Under Management: Donald J. Trump - $20MM cash deposits; Donald J. Trump Jr - $100M cash deposits Total Relationship Exposure Summary # Obligor Org Id Collateral Risk Rating Facility O/S Maturity interest Comments Amount Balance Rate 2 Subject Facility $125.00 $125.00 TBD L + 225 3 4 Aggregate $128.65 $128.65 See Regulatory Requirement - One Obilgor Principle for further details on related exposure. KYC Verification: Borrower(s) Pledgor(s) Guarantor(s) / / SBLC: Applicant Beneficiary Counter-Party Covenants: Does the subject facility have covenants: Yes No Did the covenants change since last credit approval: O Yes O No Not Applicable DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 1I P a y e FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001691 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured / Reason for Presentation: Request approval for up to a $125 million term commitment in the form of a senior secured credit facility (the "Facility"). Proceeds from the Facility will be utilized to assist in financing the purchase of the Doral Golf Resort and Spa in Miami (the "Resort') which has a targeted purchase price of S150 million. The client request is for to" the Lender to provide a Commitment Letter in early January 2012, "subject an appraisal and Property Condition Report which shall be satisfactory to the Lender, with and expected Closing Date in late 10 or early 20 of 2012. The Cçmmitment Letter wlil have an expiration date of May 51, 2012. On November 29 2011, the Trump Organization executed a Purchase and Sale Agreement for the Property including a hard deposit of $12MM. As the resort is part of a bankruptcyhorse"estate, the court will now file a Bidding Procedures Order designating the Trump Organization the "stalking bidder in a 363 auction. As stipulated by this type of auction, other bidders will be required to exceed the stalking horse bid by approx $8MM, after which the stalking horse bidder has the opportunity to increase their bid. Historically, stalking horse bidders have been selected in approx. 80% of previous 363 auctions. Once acquired, the Trump Organization plans to inject $50MM of its own capital to renovate, reposition and operate the resort under the Trump National Doral name. The Organization intends to hold the property for the long-term to benefit from strong future cash flows and development opportunities. Facility Details: Type: Œther Secured Borrower: TBD [SPV acceptable to the Lender] Guarantor: Donald J. Trump to" Commitment Amount: Up to $125,000,000 - "subject (i) an appraisal acceptable to the Lender, and (ii) Property Condition Report if determined by the Lender. Purpose: To assist in financing the purchase of the Resort -- targeted purchase price of $150 million. A first mortgage lien and a first priority security interest in the Resort, including the Borrower's fee simple Collateral: estate, all personal property, leases, rents, revenue, operating accounts, reserves and all other related assets. Guarantee: The Guarantor will provide a full and unconditional guarantee of (i) Principal and Interest due under the Facility, and (ii) operating shortfalls of the Resort (it being understood that Borrower shall be permitted to utilize all revenues from the Resort to operate the Resort to reduce the amount of such shortfall). Maturity: 5-years from Closing Date is" The period of time between the closing of the loan and such time that Borrower shall deliver an "as appraisal, prepared by a provider acceptable to the Lender that confirms a minimum loan to value percentage ("LTV") of not greater than 60% shall be referred to herein as the "Renovation Period". Borrower shall have is" the right to deliver such "as appraisal at any time. The period of time following the delivery by Borrower of is" an "as appraisal confirming such LTV is not greater than 60% is referred to as the "Post-Renovation Period." Repayment: The committed term will consist of a 5-year interest only period. The Borrowers may prepay any amount under the Facility in whole or in part at any time without penalty, with the exception of any cost associated with breakage of a LIBOR contract. The unutilized portion of the commitments under the Facility may be permanently reduced or terminated by the Borrowers at anytime without penalty. Interest Rate: > Renovation Period: Libor + 2.25% or the Prime Rate > Post-Renovation Period: Libor + 2.00% or the Prime Rate minus .25% LIBOR Tenors: Borrower may elect interest periods of 1. 3, 6, and 12 months Commitment Fee: 0.25% of Facility Commitment - which shall be fully earned and payable on the execution date of the Commitment Letter. Facility Fee: 1.00% of Facility Commitment - payable on the closing date of the Facility Account to Charge: TBD Documentation: Loeb & Loeb, LLP DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 2 |P ay e FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001692 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured / | Repayment Sources! Key Risks/Mitigants > Primary Source of Repayment: Refinancing of the Resort with long-term financing following completion of the Renovation Period or upon expiration of the 5-year term. > Repayment- Cash flow from Secondary Source of Resort following the Renovation Period. Based on projections the Resort will be able to satisfactorily service principal and interest based on a 25-year amortization schedule. > Tertiary Source of Repayment: Full and unconditional guarantee of DJT which eliminates any shortfall associated with operating and liquidating Collateral. ... ..... ......................... ... Recommendation: The Facility is being recommended for approval based on: " Financial Strength of the Guarantor - The financial profile of the Guarantor includes, on an adjusted basis, $135 million in unencumbered liquidity. $2.4 billion in Net Worth and approximately $48 million in adjusted recurring net cash flow. " Nature of the Guarantee - The nature of the guarantee which includes both principal and interest along with operating expenses of the Resort. " Operating Expenence - DJT extensive experience in operating private clubs. His current portfolio includes 10 such clubs with a reported value of $13 billion and DB adjusted value of $675 million. " Expected Enhanced Value Due to Capex -The Resort is a world class location that has been home to a PGA event every year since the Resort opened in 1962. As DJT expects to invest approximately $50 million on capital improvements it is expected that the value of our Collateral will increase significantly over the term of the Facility. Reg O Questions: (Lender & CRM initials) YES NO " is this loan for a DB employee? " "insider?" Is this loan for a DBTCA r . (Consult the most current list of "DBTCA Insiders for Regulation O and NY State Banking Law Reporting Purposes," which is posted on O," a the shared drive R in the folder titled "Reg in Word document litled "Reg O and Insider List") " "insider," will If the loan is for a DBTCA DBTCA, DBPWM or any other subsidiary of DBTCA originate the loan? (If Yes, the loan must be approved in advance by the DBTCA Board of Directors and the DBTCA Office of the Secretary. Please contact Compliance or Legal immediatelyd Regulatory Requirement - One Obligor Principle IMPORTANT: Transactions subject to banking secrecy in other locations should not be covered - Does the borrower have other existing credit client relationships in the current booking location or with other Deutsche Bank entities (whether under private individual name or other related entities)? O Yes No If Yes', please provide details: - Please certify (tick the box) that this was confirmed with the borrower: Yes' completed* If answered to the above question, the Consolidation of Borrowers' Sheet has to be crecuofficeror LenàngOffeertocomplete aspertesponsibihhes inplaceinthegivenlocation DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 3 IPa g e FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001693 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured / Signatures Emily Schroeder, Tom Sullivan, Marc I ithhell. Sean Harrigan, Nicholas Haigh, BUS BUS BUS CRM CRM Prepared by: Stafford/ Schroeder/Sumvan Approved Rejected x Approved with conditions 1. Receiptof a current appraisalacceptableto the Lender Obligor Structure/ Background Borrower: TBD [SPV acceptableto the Lander) Pledgor: TBD {SPV acceptableto the Lender] Guarantor: DonaldJ. Trump Financial Analysis Guarantors - Financial Summary: Although Facility is being extendedto an SPV for the purposesof financing the purchase of the Resort, the credit exposure is being recommendedprimarily based on the financial profile of the Guarantor.As part of this underwriting we have met with several members of the family office to conduct due diligence on the client reported financial Information,as prepared by WeiserMazars, an independent public accounting firm. Based on the results of this due diligence we have made certain assumptions that have resulted in adjustments to reported values. Details on such adjustments are included in the analysis that follows. Additional details are included in the Guarantorsfmancial statementswhich is attachedas ExhibitII. Financial Summary (5 in millions) DJT DJT 6/30/2011 6/3D/2011 Source: Clientprovided financials (Cilent Reported) (DB Adjusted) Cash & MarketableSecurities $258.9 5135.8 Escrow& ReserveDeposds $9.1 Real Estate - Net Equity S2,996.9 S1,737.9 Partnerships& Joint Ventures $720,0 $360.0 Real Estate Licensing S89.3 $44.6 Other Assets $199.2 $ § Total Assets $4,273.4 $2,377.9 PersonalMortgage other Debt $8.4 $8.4 Other Liabilities $11 $11 Net Worth $4,261,3 $2,365.8 ContingentObligations $114.0 $114.0 Net Cash Flow " SB2.4 $48.8 Key Ratios - UnsecuredLending Guidelines LeverageRatio (<= .30) .13 24 Cash Flow Ratio (>= .35) .57 .31 Liquidity Ratio (>= .25) 2.04 1.06 Asset CoverageRatio (>=6.0) 31 7 17.84 * Represents 11monthsof Revenuein excess of Disbursementsfor the penod ended 11/30/2011 " Liquidity - On 12/20/2011 a Structured Lending Team of Dave Wimams and Emily Schroder visited the offices of the Guarantor and reviewed bank and brokerage statementsthat confirmed $178 million in cash balances and $51.8 million marketable securities, totaling $229.9 million held In the name of the Guarantor. In addition, they also reviewed statements for operating companies that were wholly owned by the Guarantor,which evidencedanother$29.0 millioncash and marketablesecurities. The Guarantors personal fiquidity has been primarily generated through on-going distributions from his diversified portfolio of operating companies which is highlighted in more detail in the Cash Flow section below. Such distributions include cash distributions from the Guarantors portfolio of premier private clubs which generated these distributions through operating profit along with the collection of , DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 4|Pag e FOlL CONFIDENTIAL TREATMENT REQ UESTED DB-NYAG-001694 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured Signatures Emily Schroeder, Marc Mitchell, L ean Harrigan, Nicholas‰aigly, BUS BUS BUS CR CRM Prepared by: Stafford/ Schroeder/ Sullivan Approved ¡ Rejected Approved with conditions 1. Receipt of a current appraisal acceptable to the Lender Obligor StructureI Background Borrower: TBD [SPV acceptable to the Lender] Piedgor: TBD [SPV acceptable to the Lender] Guarantor: Donald J. Trump Financial Analysis Guarantors - Financial Summary: Although Facility is being extended to an SPV for the purposes of financing the purchase of the Resort the credit exposure is being recommended primarily based on the financial profile of the Guarantor. As part of this underwriting we have met with several members of the family office to conduct due diligence on the client reported financial information. as prepared by WeiserMazars, an independent public accounting firm. Based on the results of this due diligence we have made certain assumptions that have resulted in adjustments to reported values. Details on such adjustments are included in the analysis that follows. Additional details are included in the Guarantors financial statements which is attached as Exhibit II Financial Summary ($ in millions) DJT DJT 6/30/2011 6/30/2011 Source: Client provided financials (Client Reported) (DB Adjusted) Cash & Marketable Securities $258.9 $135.8 Escrow & Reserve Deposits $9.1 -- Real Estate - Net Equity $2,996.9 $1.737.9 Partnerships & Joint Ventures $720.0 $360.0 Real Estate Licensing $89.3 $44.6 Other Assets $199.2 199Â Total Assets $4,273.4 $2,377.9 Personal Mortgage other Debt $8.4 $8.4 Other Liabilities $1Z $1Z Net Worth $4,261.3 $2,365.8 Contingent Obligations $114.0 $114.0 Net Cash Flow * $82.4 $48.8 Key Ratios - Unsecured Lending Guidelines Leverage Ratio (<= .30) .13 .24 Cash Flow Ratio (>= .35) .57 .31 Liquidity Ratio (>= .25) 2.04 1.06 Asset Coverage Ratio (>=6.0) 31.7 17.84 * - Represents 11 months of Revenue in excess of Disbursements for the period ended w30/2011 " Liquidity - On 12/20/2011 a Structured Lending Team of Dave Williams and Emily Schroder visited the offices of the Guarantor and reviewed bank and brokerage statements that confirmed $178 million in cash balances and $51.8 million marketable securities, totaling $229.9 million held in the name of the Guarantor. In addition, they also reviewed statements for operating companies that were wholly owned by the Guarantor, which evidenced another $29.0 million cash and marketable securities. The Guarantors personal liquidity has been primarily generated through on-going distributions from his diversified portfolio of operating companies which is highlighted in more detail in the Cash Flow section below. Such distributions include cash distributions from the Guarantors portfolio of premier private clubs which generated these distributions through operating profit along with the collection of DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 4 |Pa g e FOlL CONFIDENTIAL TREATMENT REQUESTED DB-NYAG-001695 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured / 30-year membership deposits. In accordance with industry standards premier golf clubs require new members post a non-interest bearing 30- deposit as part of their membership requirement. Terms of the deposil agreement include that such deposit are non-refundable for years without condition, after which the member may request the refund of such deposit often contingent on being replaced by at least one new member. As of June 30, 2011 the total life-to-date balance of such deposits collected across the 10 clubs owned by the Guarantor was $188 rnillion. Given the lack of any conditional rights by the member such deposits are not recorded on the operating books of the club as a liability. The Guarantor has indicated that they have received tax opinions supporting the treatment of such deposits and are not required to be included as pati of taxable income, however for purposes of calculating adjusted liquidity we have elected to include net 50% reserve (S94 million representing 50% of the S188 million life-to-date deposit balance) against the reported liquidity. " Real Estate - Net Equity - the following table summarizes the Guarantors total real estate portfolio, as of 6/31/11 which reflects the Guarantors 4 wholly owned trophy properties, the portfolio of 10 wholly owned club facilities, other major property interests and properties currently under development. DB adjustments for each of these properties are discussed below. DJT DB Property Level DJT DB Adjusted Valuation Valuation Debt Net Equity Net Equity Property Typ - $490.0 $380.2 $27.8 $462,2 $352.4 Trump Tower 725 570 5 Ave Niketown - East St $263.7 $197.0 $53.1 $210.6 $143.9 40 Wall Street $524.7 $438.0 $160.0 $364.7 $278.0 $311.6 $206.3 $22.7 $288.9 $183.6 Trump Park Ave Subtotal- 4 Trophy Properties $1,590.0 $1,221.5 $263,$ $ 326.4 $957.9 Club Facilities $1,315.0 $657.5 $24.2 $1,290.8 $633.3 Other Property interest $121.2 $93.1 $7.0 $114.2 $86.1 Properties under Development $273.2 $68.3 $7.7 $265.5 $60.6 Total- Portfolio $3,299.4 .................. $2,040.4 $302A $2996.9 $L737.9 4 Tmphy Properties - The valuations for each of these properties were discussed with Andy Babience. DB Valuation Services Group ("DBVSG") who advised on adjustments for each. o Trump Towers - The 68 story building contains residential and condominiums that are owned by residents along with 178,000 square feet in commercial space and 114,000 square feet of retail space. The property has an NOI of $17.1 million and the Guarantor used a cap rate of 3.50% to derive reported value. For purposes of adjusting DBVSG used a 4.50% cap rate. The $27.7 million in outstanding debt, which is non-recourse in nature, is due to mature in February 2013. o Niketown - The Guarantor is the lessee with respect to 2 long-term ground leasehold estates related to the land and the 57* 5* building located on street between Madison and Avenue. Since 1994 the building has been leased to Nike Retail Services. The current lease is scheduled to expire in May 2017. The space includes 65,000 square feet of retail space. Based on sq foot assumption DBVSG has indicated an adjusted value of $197 million. Financing on the space is in the form of long- term bonds which are scheduled to fully amortize by June 1, 2017. o 40 Wall Street - The 72 floor tower consist of 1.3 million in premier office space. The property has an NOl of $26.2 million with the Guarantor using a 5.00% cap rate to derive the reported value. DBVSG has provided a 6.00% cap rate for purposes of calculating the adjusted value. The existing debt in the amount of $160 million, of which the Guarantor currently guarantees $20 million. is scheduled to mature in Novernber 2017. 59* Street and Park Avenue consists of 134 condominiurn units coupled with o Trump Park Avenue - The property located on 30.000 square feet of retail space has a reported value based on unsold units and retail rates of $311 million. Based on discussions with DBVSG we elected to take an approximate 35% haircut on the reported value. o Club Facilities - The Guarantor wholly owns interest in 10 private club facilities which include The Mar-A-Laqq Club in Palm Snagh Fl: Trump N9tional Golf Club in Briarcliff Manor N.Y.; Trump Intemational Golf Club in Palm Beaçh County, FI, Trump National Golf Club in LA. Ca; Trymp National Golf Civb in Bedminsiter NJ; Trymp Natinnal Golf Clyn in Colts Neck. NA Trump National GnIf Club in Wa_hington, pÇ; Trump International Golf Clyk in $cotland: Trump Ngtignal Golf Club in Hydngn Valley, NY; Trump National Golf Clyk in Philadelphia PA. In accordance with membership requirements members of the clubs are required to make an up-front membership deposit which is in the form of a non-interest bearing 30-year deposit. The deposits are non-refundable without condition prior to 30- years. Based on the terms of the deposit they are not recorded as a liability on the financial statements of the specific clubs. The Guarantor has obtained tax opinions supporting the accounting of such deposits for tax purposes. Life-to-date the clubs have collected $188 million in such deposits. For purposes of our analysis the $1.3 billion in reported value has been reduced by 50% for deriving an adjusted value. Other Properf y interest - consists of wholly owned interests in The Trump World Tower at rnited Nations:100 Central Park Sqsth: Trump Plaza NY: Trymp intemational Hotel and Tower. Trump Palace, Trump Parc and Trump Parc East Condominiums. These properties consist of both commercial, retail and hotel space along with condominium units. For purposes of deriving an adjusted value we applied a haircut of approximately 23%, which is consistent with the weighted average adjustment made on the Guarantors 4 Trophy Properties, based on discussion with the DB Valuation Services team. Properties Under Development - consists primarily of property known as the Mansion at Seven Springs in Bedford New York, which consists of over 200 acres of land a mansion and other buildings. This property is zoned for 9 Iuxury homes. Also, includes property in Beverty Hills CA. For purposes of deriving an adjusted value we assurned a 75% haircut to reflect the uncertainty in valuing undeveloped land. DEUTSCHE BANK PRIVATE WEALTH MANAGEMENT - RISK MANAGEMENT Confidential 5 IPa y e FOlL CONFIDENTIAL TREATMENT REQ UESTED DB-NYAG-001696 FILED: NEW YORK COUNTY CLERK 08/30/2023 02:30 PM INDEX NO. 452564/2022 NYSCEF DOC. NO. 857 RECEIVED NYSCEF: 08/30/2023 Credit Report - Structured / " Partnership and Joint Ventures - consist of primarily interest in the 76-acre Trump Place development located along the Hudson River 59* 72® Streets between and in Manhattan. The Guarantors Hong Kong Partners recently sold the rental space and some of the undeveloped land using the proceeds to reinvest into 2 commercial properties. The Guarantor is currently in dispute with his Hong Kong partners and is pursuing remedies. Due to uncertainly we have taken a 50% haircut on reported value to derive an adjusted value. " Real Estate Licensing - The Guarantor has numerous associations with several other parties for purposes of developing properties and other projects. Terms of specific agreements vary and involve both defined compensation and contingent type fees tied to performance. The Guarantor has pledged certain of these fees to secure a $20 million mortgage on The Trump Tower at United Nations Plaza. Accordingly, the $20 million has been netted against the $110 million reported value. For purposes of deriving an adjusted value we assumed a 50% haircut against the net reported value. " Other Assets - includes a Boeing 757 Jet. a Sirkorsky helicopter, ownership rights to the Miss Universe Pageants. the Wollman Rink in Central Park, 1,100 acre vineyard in Charlottesville Virginia, a management company that supervises the operation of condominium properties and an international talent/model agency. For purposes deriving an adjusted value we assumed a 50% haircut on reported value. it should be noted that the Guarantor has had a valuation performed by PREDITV. an independent valuation firm, based on the intangible value of the Trump brand. The report, which is attached as Exhibit VI indicates a brand value in the range of $2.8 billion to $3.0 billion. For purposes of our financial analysis we assumed no value for the Trump brand. " Contingents - includes $47.5 million in personal recourse on two credit facilities extended by Fortress and DB related to the Trump intemational Hotel in Chicago; $20 million on a limited guarantee for the $160 million commercial mortgage on 40 Wall Street extended by Capital One; $11 million on Trump Golf at Ferry Point to the City of New York; $7.6 million related to 7 Springs Resort and $27.9 million in certain project related completion guarantees. " Net Cash Flow - the Guarantor demonstrates a diversified stream of cash flows which are generally recurring by nature. The following table summarizes the sources and uses of cash during the first 11 mont