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GOTHAM CITY RESEARCH LLC

Initial Follow-up toEndurance International Group:

A Web of Deceit

Endurance International GroupInitial Response to the Gotham Report

Gowex (a near-complete fraud)Initial Response to the Gotham Report

The claims in this 'report' are baselessand not rooted in reality

Gothams reportmixed lies with facts.

"It is better to beapproximately right

than precisely wrong."

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Disclaimer:By reading this report, you agree that use of GOTHAM CITY RESEARCH LLCs research is at your own risk.In no event will you hold GOTHAM CITY RESEARCH LLC or any affiliated party liable for any direct orindirect trading losses caused by any information in this report. This report is not investment advice or arecommendation or solicitation to buy any securities. GOTHAM CITY RESEARCH LLC is not registered asan investment advisor in any jurisdiction. Gotham City Research LLC is not affiliated or associated withGotham Asset Management, LLC or any of its affiliates.You agree to do your own research and due diligence before making any investment decision withrespect to securities covered herein. You represent to GOTHAM CITY RESEARCH LLC that you havesufficient investment sophistication to critically assess the information, analysis and opinions in thisreport. You further agree that you will not communicate the contents of this report to any other personunless that person has agreed to be bound by these same terms of service.You should assume that as of the publication date of this report, GOTHAM CITY RESEARCH LLC stands toprofit in the event the issuers stock declines. We may buy, sell, cover or otherwise change the form orsubstance of its position in the issuer. GOTHAM CITY RESEARCH LLC disclaims any obligation to notifythe market of any such changes.Our research and report includes forward-looking statements, estimates, projections, and opinionsprepared with respect to, among other things, certain accounting, legal, and regulatory issues the issuerfaces and the potential impact of those issues on its future business, financial condition and results ofoperations, as well as more generally, the issuers anticipated operating performance, access to capitalmarkets, market conditions, assets and liabilities. Such statements, estimates, projections and opinionsmay prove to be substantially inaccurate and are inherently subject to significant risks and uncertaintiesbeyond GOTHAM CITY RESEARCH LLCs control.Our research and report expresses our opinions, which we have based upon generally availableinformation, field research, inferences and deductions through our due diligence and analyticalprocess. GOTHAM CITY RESEARCH LLC believes all information contained herein is accurate andreliable, and has been obtained from public sources we believe to be accurate and reliable.However, such information is presented as is, without warranty of any kind, whether express orimplied. GOTHAM CITY RESEARCH LLC, makes no representation, express or implied, as to the accuracy,timeliness, or completeness of any such information or with regard to the results to be obtained from itsuse. All expressions of opinion are subject to change without notice, and GOTHAM CITY RESEARCH LLCis not obligated to update or supplement any reports or any of the information, analysis and opinioncontained in them.You should assume that GOTHAM CITY RESEARCH LLC has and/or will submit the contents of this reportwith the Securities Exchange Commission, and other entities.

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Table of ContentsI. DisclaimerII. Follow-up to Endurance International Group: a Web of DeceitIII. Forensic Evaluation of Endurances ResponseIV. End Notes

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Follow-up to Endurance International Group: a Web of DeceitGotham City Research gets some things wrong, and some things right. We try our best. Thats all we cando, particularly when companies like Endurance International Group provide either:

Limited disclosures or Disclosures that seem transparent and reliable yet are precisely irrelevant.

We may get some things wrong about Endurance, but we remain confident that shares will approach$0.00 per share, given the totality of our findings, both in the report and to be released in the future.Here are Gotham City Researchs responses to specific statements made yesterday by EIGI:

Endurance Gotham "The claims in this 'report' are baseless

and not rooted in reality. Endurance did not specify what exactly is

baseless & not rooted in reality. The reality is, since going public,

Endurance has beat expectations everyquarter, showing consistent growththroughout the company.

Our report said exactly the same (see page13). This statement fails to support EIGIsassertion that our report was baselessand not rooted in reality.

Endurance senior executives still own asignificant stake in the company and aredeeply invested in its future success. Tosuggest otherwise, is ridiculous.

Gowex AND Quindells executives ownedsignificant stakes in their companies aswell. This fact did not prevent fraud.

Endurance is transparent in how itcalculates all of its metrics including itsaverage revenue per subscriber, subscribercounts, organic growth and monthlyrevenue retention. The company hasalways been clear in its financialdisclosures and reports on its financialhealth and growth.

Endurances reported metrics aretransparently irrelevant, confusing, andnot consistent with industry-widedefinitions. See our report yesterday forfurther details.

KPMG serves as Endurance's internalauditor including auditing Sarbanes-Oxleycontrols. BDO serves as the company'sexternal auditor.

Gowex, Quindell, and many other fraudshave said the same (nearly verbatim).

As previously disclosed, the company'sfree cash flow for operations in 2014 was$143 million.

This pro forma figure is one that EIGI nolonger reports in its audited financialfilings as a result of recent pressure fromthe SEC. Ironically, EIGI continues usingthis pro forma metric in its unauditedpress releases as it did here.

Endurance has never interacted withGotham City Research or the unnamedanalyst who authored this report.

Actually, Gotham contacted Endurance,and the company failed to answer itsquestions.

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Forensic Evaluation of Endurances ResponseMuddy Waters Research recently retained Qverity to analyze Noble Group managements statements toinvestors. Qverity provides evaluation of behavioral analysis, & is founded and staffed by former UnitedStates Central Intelligence Agency experts in detecting deception. Its principals authored the books Spythe Lie and Get the Truth. We provide a similar evaluation of Endurances statements made yesterday:italicized indicates EIGI statements whereas bolded indicates a forensic dissection:

"The claims in this 'report' are baseless and not rooted in reality.Comment: EIGI starts with a bold, vague statement intended to inspire confidence. However,EIGI never specifies which exact claims it is referring to, nor does EIGI explain what isbaseless or not rooted in reality. Therefore, the statement seems intended to deceive, andto falsely inspire confidence.The reality is, since going public, Endurance has beat expectations every quarter, showingconsistent growth throughout the company.Comment: The above statement is manipulative, and a form of reality distortion. EIGI iscontesting a claim that Gotham never made (i.e. Gotham never contested that Endurance beatadj. EBITDA expectations. In fact, it included a table showing the same).Endurance senior executives still own a significant stake in the company and are deeply investedin its future success. To suggest otherwise, is ridiculous.Comment: EIGI includes a credibility-enhancing, but irrelevant (to its prior assertions)statement. EIGIs statement is similar to a CEO claiming I donate to charity as a response toallegations of fraud."Endurance is transparent in how it calculates all of its metrics including its average revenue persubscriber, subscriber counts, organic growth and monthly revenue retention. The company hasalways been clear in its financial disclosures and reports on its financial health and growth.Comment: The use of the word transparent is intended to inspire trust via positive wordassociation. Additionally, EIGI implicitly contests a claim that Gotham never made (i.e.Gotham never asserted that Endurance was not transparent in how it calculates all of itsmetrics). This is the equivalent of a thief who states I am innocent of murder when he/shewas never accused about murder.

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KPMG serves as Endurance's internal auditor including auditing Sarbanes-Oxley controls. BDOserves as the company's external auditor.Comment: EIGI builds a wall of false integrity, suggesting it could not commit wrong-doingbecause of its affiliations with other parties. EIGI is hoping the audience will concludetherefore Gotham must be wrong."As previously disclosed, the company's free cash flow for operations in 2014 was $143 million.Comment: The first clause as previously disclosed is intended as a dismissive statement, todiscourage further inquiry.EIGI is guilty of a few errors of omission here: first, it fails to mention that free cash flow foroperations is a pro forma figure. Second, EIGI fails to mention that it no longer includes thesepro forma free cash flow measures in its audited annual financial filings, because the SECcriticized EIGIs definition of EIGIs free cash flow in correspondence letters between the SECand Endurance. The errors of omission suggest EIGI has something material to hide.Additionally, Warburg Pincus and Goldman Sachs own more than 40 percent of the company.Comment: Endurance convincingly attempts to manipulate the reader into drawing one of thefollowing false inferences:

Warburg Pincus and Goldman Sachs own more than 40 percent of the company,therefore Endurance can do no wrong.

Warburg Pincus and Goldman Sachs own more than 40 percent of the company,therefore the claims in Gothams report are baseless and not rooted in reality.