Blackstone Group, a prominent private equity firm, focusing on its co-founders, Stephen Schwarzman and Peter Peterson. The excerpt chronicles Blackstone's evolution, from its humble beginnings to its rise as a Wall Street powerhouse, including its successes and failures in leveraged buyouts (LBOs) and other investments. Significant events, such as Schwarzman's lavish birthday party and Blackstone's eventual initial public offering (IPO), are highlighted. The narrative also explores the broader context of the private equity industry, including its boom and bust cycles, its relationship with investment banks and the evolution of LBO financing. Finally, the excerpt examines criticisms of the private equity model and offers counterarguments.