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partnership property, regardless of whether specific property was
contributed to the partnership by a given partner; (4) limited
partnership interests are fully paid and nonassessable, and
limited partners do not have the right to withdraw or reduce
their capital contributions to the partnership; (5) limited
partners could be asked to lend additional money to the
partnership or increase their capital contributions and may have
their partnership interests diluted if they do not increase their
contribution and other partners do make additional contributions;
(6) general partners are not liable personally for the return of
capital contributions to the partnership, and limited partners
have no recourse against general partners should their claims to
assets remaining after liquidation and discharge of debts and
obligations not be satisfied; (7) the general partner has sole
discretion to determine whether to make distributions of any
type; and (8) upon the dissolution of the partnership, the
general partner acts as liquidator and has a reasonable amount of
time to wind up the partnership assets, and therefore the limited
partner may not obtain the final proceeds from an investment for
6 months or longer.
After considering all of these factors and the results of
the restricted stock studies, ATI determined that a 38-percent
marketability discount is appropriate for an interest in KLLP.
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Last modified: May 25, 2011