We invest in infrastructure. KKR believes that the global infrastructure market provides an opportunity for value creation through our unique combination of operational improvement, capital investment, and public affairs expertise.

The scale of global infrastructure investment demand is enormous. There is a growing need to replace or expand infrastructure, including for roads, railways, ports, airports, power and energy assets, communications networks, and more. According to the Organization for Economic Co-operation and Development, an international organization helping governments engage the challenges of a globalized economy, the investment need is as high as $3 trillion annually. Traditional public funding sources have been unable to keep pace with this global investment need. Moreover, current economic conditions are likely to cause funding challenges to increase for the foreseeable future. We believe that the foregoing factors, taken together, create tremendous opportunity for private capital investment in infrastructure.

KKR has made a number of notable infrastructure investments historically, typically in first mover and highly complex situations. In May 2008, we announced plans to invest in infrastructure assets on a global basis. This investing effort, led by Marc Lipschultz, is a logical extension of our investing experience, and reflects our desire to pursue infrastructure opportunities more systematically. Joining Mr. Lipschultz in senior leadership roles are Reinhard Gorenflos, Jesús Olmos Clavijo, John Bookout, Simon Hipperson, and Raj Agrawal.

For more on our approach and strategy.