Unassociated Document
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.  20549
 

FORM 10-Q

þ               QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended March 31, 2011

OR

o        TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File Number 333-163279

Golub Capital BDC, Inc.
(Exact name of registrant as specified in its charter)

Delaware
 
27-2326940
(State or other jurisdiction of incorporation or organization)
  
 (I.R.S. Employer Identification No.)

150 South Wacker Drive, Suite 800
Chicago, IL 60606
(Address of principal executive offices)

(312) 205-5050
(Registrant's telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes þ  No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   Yes o No  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer o
Accelerated filer þ
Non-accelerated filer o (Do not check if a smaller reporting company)
Smaller reporting company o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No þ

As of May 5, 2011, the Registrant had 21,709,233 shares of common stock, $0.001 par value, outstanding.
 
 
 
 
 
Part I. Financial Information
    
       
Item 1.
Financial Statements
  
 
       
 
Consolidated Statements of Financial Condition as of March 31, 2011 (unaudited) and September 30, 2010
  
3
       
 
Consolidated Statements of Operations for the three  and six months ended March 31, 2011 (unaudited) and 2010 (unaudited)
  
4
       
 
Consolidated Statements of Changes in Net Assets for the six months ended March 31, 2011 (unaudited) and 2010 (unaudited)
  
5
       
 
Consolidated Statements of Cash Flows for the six months ended March 31, 2011 (unaudited) and 2010 (unaudited)
  
6
       
 
Consolidated Schedules of Investments as of March 31, 2011 (unaudited) and September 30, 2010
  
7
       
 
Notes to Consolidated Financial Statements
  
16
       
Item 2.
Management's Discussion and Analysis of Financial Condition and Results of Operations
  
35
       
Item 3.
Quantitative And Qualitative Disclosures About Market Risk
  
51
       
Item 4.
Controls and Procedures
  
51
       
Part II.  Other Information
    
       
Item 1.
Legal Proceedings
  
51
       
Item 1A.
Risk Factors
  
51
       
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds
  
52
       
Item 3.
Defaults Upon Senior Securities
  
52
       
Item 4.
Removed and Reserved
  
52
       
Item 5.
Other Information
  
52
       
Item 6.
Exhibits
  
53
 
 
2
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Financial Condition (unaudited)
(In thousands, except share and per share data)

   
March 31, 
2011
    
September 30, 
2010
  
Assets
            
Investments, at fair value (cost of $390,629 and $345,536 respectively)
   $ 389,060     $ 344,869  
Cash and cash equivalents
     43,866       61,219  
Restricted cash and cash equivalents
     16,050       31,771  
Interest receivable
     2,181       1,956  
Receivable for investments sold
     4,389       -  
Deferred financing costs
     3,351       2,748  
Deferred offering costs
     593       -  
Other assets
     29       200  
Total Assets
   $ 459,519     $ 442,763  
                 
Liabilities
                
Debt
   $ 194,000     $ 174,000  
Payable for investments purchased
     -       5,328  
Interest payable
     935       1,167  
Management and incentive fees payable
     1,590       1,008  
Accounts payable and accrued expenses
     1,017       719  
Total Liabilities
     197,542       182,222  
                 
Net Assets
                
Preferred stock, par value $0.001 per share, 1,000,000 shares authorized, zero shares issued and outstanding as of March 31, 2011 and September 30, 2010
   $ -     $ -  
Common stock, par value $0.001 per share, 100,000,000 shares authorized, 17,755,976 and 17,712,444 shares issued and outstanding, respectively
     18       18  
Paid in capital in excess of par
     260,455       259,690  
Capital distributions in excess of net investment income
     (1,875 )     (1,122 )
Net unrealized appreciation on investments
     1,494       1,995  
Net realized gains (losses) on investments
     1,885       (40 )
Total Net Assets
     261,977       260,541  
Total Liabilities and Total Net Assets
   $ 459,519     $ 442,763  
                 
Number of common shares outstanding
     17,755,976       17,712,444  
Net asset value per common share
   $ 14.75     $ 14.71  

See Notes to Consolidated Financial Statements.

 
3
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Operations (unaudited)
(In thousands, except share and per share data)

   
Three months ended March 31,
    
Six months ended March 31,
  
   
2011
    
2010
    
2011
    
2010
  
Investment income
                        
Interest
   $ 9,111     $ 7,645     $ 18,248     $ 18,488  
                                 
Total investment income
     9,111       7,645       18,248       18,488  
                                 
Expenses
                                
Interest and other debt financing expenses
     1,467       862       3,044       1,552  
Base management fee
     1,341       605       2,625       1,334  
Incentive fee
     221       -       411       -  
Professional fees relating to registration statement
     -       601       -       601  
Professional fees
     491       338       1,058       371  
Administrative service fee
     214       156       387       298  
General and administrative expenses
     196       65       309       131  
                                 
Total expenses
     3,930       2,627       7,834       4,287  
                                 
Net investment income
     5,181       5,018       10,414       14,201  
                                 
Net gain on investments
                                
Net realized gains on investments
     1,049       -       1,925       -  
Net change in unrealized (depreciation) appreciation on investments
     (354 )     1,925       (501 )     1,085  
                                 
Net gain on investments
     695       1,925       1,424       1,085  
                                 
Net increase in net assets resulting from operations
   $ 5,876     $ 6,943     $ 11,838     $ 15,286  
                                 
Per Common Share Data
                                
Basic and diluted earnings per common share(1)
   $ 0.33       N/A     $ 0.67       N/A  
Dividends and distributions declared per common share(2)
   $ 0.32       N/A     $ 0.63       N/A  
Basic and diluted weighted average common shares outstanding(1)
     17,738,395       N/A       17,725,418       N/A  

(1)
For the three and six months ended March 31, 2010, the Company did not have common shares outstanding or an an equivalent and therefore earnings per share and weighted average shares outstanding information for this period are not provided.
(2)
For the three and six months ended March 31, 2010, the Company did not pay common stock dividends or distributions.

See Notes to Consolidated Financial Statements.

 
4
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Changes in Net Assets (unaudited)
(In thousands, except share data)

                           
Capital
          
Net
        
                           
Distributions
    
Net
    
Realized
        
                      Paid in     in Excess    
Unrealized
    
Gains
        
         
Common Stock
    
 Capital
    
of Net
    
Appreciation
    
(Losses)
    
Total
  
   
Members'
          
Par
    
in Excess
    
Investment
    
on
    
on
    
Net
  
   
Equity
    
Shares
    
Amount
    
of Par
    
 Income
    
Investments
    
Investments
    
Assets
  
Balance at September 30, 2009
   $ 92,752       -     $ -     $ -     $ -     $ -     $ -     $ 92,752  
Members' equity contributions
     47,208       -       -       -       -       -       -       47,208  
Members' equity distributions
     (13,530 )     -       -       -       -       -       -       (13,530 )
Increase in net assets resulting from operations
     15,286       -       -       -       -       -       -       15,286  
Balance at March 31, 2010
   $ 141,716       -     $ -     $ -     $ -     $ -     $ -     $ 141,716  
                                                                 
Balance at September 30, 2010
   $ -       17,712,444     $ 18     $ 259,690     $ (1,122 )   $ 1,995     $ (40 )   $ 260,541  
Net increase in net assets resulting from operations
     -       -       -       -       10,414       (501 )     1,925       11,838  
Distributions to stockholders:
                                                                
Stock issued in connection with dividend reinvestment plan
     -       43,532       -       765       -       -       -       765  
Dividends and distributions
     -       -       -       -       (11,167 )     -       -       (11,167 )
Balance at March 31, 2011
   $ -       17,755,976     $ 18     $ 260,455     $ (1,875 )   $ 1,494     $ 1,885     $ 261,977  

See Notes to Consolidated Financial Statements.

 
5
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Statements of Cash Flows (unaudited)
(In thousands)

 
  
Six Months Ended March 31,
  
   
2011
    
2010
  
Cash flows from operating activities
            
Net increase in net assets resulting from operations
   $ 11,838     $ 15,286  
Adjustments to reconcile net increase in net assets resulting from operations to net cash (used in) provided by operating activities
                
Amortization of deferred financing costs
     365       -  
Amortization of discount and premium
     (3,181 )     (4,847 )
Net realized (gain) on investments
     (1,925 )     -  
Net change in unrealized depreciation (appreciation) on investments
     501       (1,085 )
Proceeds from revolving loans, net
     1,092       6,071  
Fundings of portfolio investments
     (149,994 )     -  
Proceeds from principal payments and sales of portfolio investments
     109,316       82,929  
Changes in operating assets and liabilities:
                
Interest receivable
     (225 )     490  
Receivable for investments sold
     (4,389 )     -  
Other assets
     171       (12 )
Payable for investments purchased
     (5,328 )     -  
Interest payable
     (232 )     18  
Management and incentive fees payable
     582       (50 )
Accounts payable and accrued expenses
     298       251  
Net cash (used in) provided by operating activities
     (41,111 )     99,051  
                 
Cash flows from investing activities
                
Net change in restricted cash and cash equivalents
     15,721       (3,065 )
Net cash provided by (used in) investing activities
     15,721       (3,065 )
                 
Cash flows from financing activities
                
Borrowings on debt
     20,000       -  
Repayments of debt
     -       (104,862 )
Capitalized debt financing costs
     (968 )     -  
Proceeds from members' equity contributions
     -       47,208  
Deferred offering costs
     (593 )     -  
Payments of members' equity distributions
     -       (13,530 )
Dividends and distributions paid
     (10,402 )     -  
Net cash provided by (used in) financing activities
     8,037       (71,184 )
                 
Net change in cash and cash equivalents
     (17,353 )     24,802  
                 
Cash and cash equivalents, beginning of period
     61,219       -  
                 
Cash and cash equivalents, end of period
   $ 43,866     $ 24,802  
                 
Supplemental information:
                
Cash paid during the period for interest
   $ 2,913     $ 1,534  
Obligations of Company paid by members of Golub Capital BDC LLC
   $ -     $ 896  
Dividends and distributions declared during the period
   $ 11,167     $ -  

See Notes to Consolidated Financial Statements.
 
 
6
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited)
March 31, 2011
(In thousands)

                                      
Percentage
        
    
Investment
  
Spread Above
    
Interest
    
Maturity
    
Principal
          
of
    
Fair
  
    
Type
  
Index(1)
    
Rate(2)
    
Date
    
Amount
    
Cost
    
Net Assets
    
Value
  
Investments, at fair value
                                              
Canada
                                              
Debt investments
                                              
Leisure, Amusement, Motion Pictures, Entertainment
                                              
Extreme Fitness, Inc.*
  
Senior loan
  
L + 7.50%
     11.50 %   03/2012     $ 4,649     $ 4,649       1.8 %   $ 4,649  
                                                       
Total Canada (cost $4,649)
                         $ 4,649     $ 4,649       1.8 %   $ 4,649  
                                                       
Fair Value as percentage of Principal Amount
                                                   100.0 %
                                                       
United States
                                                      
Debt investments
                                                      
Aerospace and Defense
                                                      
Whitcraft LLC
  
Subordinated debt
   N/A     12.00 %   12/2018     $ 1,877     $ 1,840       0.7 %   $ 1,877  
Automobile
                                                      
CLP Auto Interior Corporation*
  
Senior loan
  
L + 4.75%
     5.00 %   06/2013       3,188       3,188       1.2       3,093  
Driven Brands, Inc.*
  
Senior loan
  
L + 5.00%
     6.52 %   10/2014       5,749       5,749       2.2       5,749  
                            8,937       8,937       3.4       8,842  
Banking
                                                      
Bonddesk Group LLC*
  
Senior loan
  
L + 3.00%
     3.27 %   08/2012       1,759       1,720       0.7       1,759  
Prommis Solutions Inc.*
  
Senior loan
  
L + 2.75%
     3.57 %   02/2013       1,237       1,237       0.3       1,052  
                            2,996       2,957       1.0       2,811  
Beverage, Food and Tobacco
                                                      
ABP Corporation*
  
Senior loan
  
L + 4.50%
     8.50 %   02/2013       2,299       2,268       0.9       2,299  
Atkins Nutrionals, Inc.
  
Second lien
  
L + 9.00%
     12.86 %   12/2015       5,028       4,934       1.9       5,028  
Bertucci's Corporation*
  
Second lien
  
L + 9.00%
     14.23 %   07/2012       1,953       1,918       0.7       1,953  
Lone Star Beef Processors, L.P.*
  
Senior loan
  
L + 4.00%
     4.46 %   05/2013       3,520       3,503       1.3       3,520  
Noodles & Company*
  
Senior loan
  
L + 4.50%
     5.75 %   02/2016       1,629       1,613       0.6       1,613  
Richelieu Foods, Inc.*
  
Senior loan
  
L + 5.00%
     6.75 %   11/2015       2,282       2,224       0.9       2,282  
Richelieu Foods, Inc.
  
Senior loan
  
L + 5.00%
     6.82 %   11/2015       90       75       -       90  
                            16,801       16,535       6.3       16,785  
Building and Real Estate
                                                      
American Fire Protection Group, Inc.(5)
  
Senior loan
  
L + 6.75%
     9.00 %   06/2011       4,422       4,373       1.0       2,653  
Architectural Testing, Inc.*
  
Senior loan
  
L + 6.50%
     9.50 %   05/2013       6,219       6,219       2.4       6,219  
ASP PDM Acquisition Co. LLC*
  
Senior loan
  
L + 2.75%
     3.12 %   12/2013       539       510       0.2       496  
Infiltrator Systems, Inc.*
  
Senior loan
  
L + 5.50%
     8.50 %   09/2012       7,779       7,558       3.0       7,779  
ITEL Laboratories, Inc.*
  
Senior loan
  
L + 6.75%
     9.75 %   03/2014       7,730       7,678       3.0       7,730  
KHKI Acquisition, Inc.
  
Senior loan
  
L + 6.00%
     8.50 %   03/2012       237       237       0.1       230  
KHKI Acquisition, Inc.
  
Senior loan
  
L + 6.00%
     8.50 %   03/2013       2,600       2,597       0.8       2,080  
Tecta America Corp.
  
Senior loan
  
L + 7.00%
     8.31 %   03/2014       1,100       1,100       0.2       460  
                            30,626       30,272       10.7       27,647  
Chemicals, Plastics and Rubber
                                                      
Styron S.A.R.L.*
  
Senior loan
  
L + 4.50%
     6.00 %   08/2017       1,497       1,496       0.6       1,508  
Syrgis Holdings, Inc.*
  
Senior loan
  
L + 5.50%
     7.75 %   08/2012       256       248       0.1       256  
Syrgis Holdings, Inc.*
  
Senior loan
  
L + 6.00%
     8.25 %   08/2013       864       829       0.3       864  
Syrgis Holdings, Inc.*
  
Senior loan
  
L + 8.50%
     10.75 %   02/2014       474       453       0.2       474  
                            3,091       3,026       1.2       3,102  

See Notes to Consolidated Financial Statements.

 
7
 

Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited) - (Continued)
March 31, 2011
(In thousands)

                                   
Percentage
        
   
Investment
  
Spread Above
  
Interest
    
Maturity
    
Principal
          
of Total
    
Fair
  
   
Type
  
Index(1)
  
Rate(2)
    
Date
    
Amount
    
Cost
    
Net Assets
    
Value
  
Containers, Packaging and Glass
                                            
Fort Dearborn Company*
  
Senior loan
  
L + 5.00%
   6.78 %   08/2015     $ 55     $ 54       - %   $ 55  
Fort Dearborn Company*
  
Senior loan
  
L + 5.50%
   7.29 %   08/2016       120       118       -       120  
Fort Dearborn Company*
  
Senior loan
  
L + 5.00%
   6.75 %   08/2015       1,513       1,487       0.6       1,513  
Fort Dearborn Company*
  
Senior loan
  
L + 5.50%
   7.26 %   08/2016       3,275       3,215       1.3       3,275  
Industrial Container Services, LLC*
  
Senior loan
  
L + 4.00%
   4.48 %   09/2011       352       349       0.1       352  
                          5,315       5,223       2.0       5,315  
Diversified Conglomerate Manufacturing
                                                    
Heat Transfer Parent, Inc.*
  
Senior loan
  
L + 3.00%
   3.26 %   06/2013       1,790       1,736       0.6       1,611  
Neptco Inc.
  
Senior loan
  
L + 5.25%
   7.25 %   03/2013       4,142       4,026       1.3       3,521  
OnCore Manufacturing LLC*
  
Senior loan
  
 L + 8.00%
   11.00 %   06/2016       3,633       3,564       1.4       3,633  
Pasternack Enterprises, Inc.*
  
Senior loan
  
 L + 4.50%
   6.00 %   02/2014       4,779       4,669       1.8       4,779  
Tecomet Inc.(3)
  
Senior loan
  
 L + 5.25%
   N/A (4)   12/2015       -       (7 )     -       -  
Tecomet Inc.*
  
Senior loan
  
 L + 5.25%
   7.00 %   12/2015       3,888       3,850       1.5       3,888  
Vintage Parts, Inc.*
  
Senior loan
  
 L + 5.50%
   5.80 %   12/2013       7,140       7,082       2.6       6,926  
Vintage Parts, Inc.
  
Senior loan
  
 L + 6.00%
   8.50 %   12/2013       99       99       -       99  
Vintage Parts, Inc.
  
Senior loan
  
 L + 8.00%
   9.75 %   12/2013       1,493       1,472       0.6       1,493  
                          26,964       26,491       9.8       25,950  
Diversified Conglomerate Service
                                                    
Benetech, Inc.*
  
Senior loan
  
 L + 5.00%
   5.25 %   12/2013       8,845       8,606       3.4       8,845  
CIBT Holdings(3)
  
Senior loan
  
 L + 5.00%
   N/A (4)   12/2015       -       (4 )     -       (4 )
CIBT Holdings
  
Senior loan
  
 L + 5.00%
   6.75 %   12/2015       1,082       1,062       0.4       1,082  
Compass Group Diversified Holdings, LLC*
  
Senior loan
  
 L + 4.00%
   4.27 %   12/2013       4,505       4,505       1.7       4,505  
Cortz, Inc.*
  
Senior loan
  
 L + 5.50%
   8.50 %   03/2014       6,312       6,273       2.4       6,312  
EAG, Inc.*
  
Senior loan
  
 L + 5.00%
   7.25 %   07/2015       1,304       1,286       0.5       1,304  
NS Holdings, Inc.*(3)
  
Senior loan
  
 L + 6.25%
   N/A (4)   06/2015       -       (7 )     -       -  
NS Holdings, Inc.*
  
Senior loan
  
 L + 4.63%
   8.28 %   06/2015       2,168       2,131       0.8       2,168  
Protection One, Inc.*
  
Senior loan
  
 L + 4.25%
   6.00 %   06/2016       2,941       2,938       1.1       2,942  
Royall & Company*
  
Senior loan
  
 L + 5.00%
   6.50 %   11/2015       790       775       0.3       774  
Savvis Communications Corporation*
  
Senior loan
  
 L + 5.00%
   6.75 %   08/2016       1,990       1,970       0.8       2,006  
The Service Companies, Inc.*
  
Senior loan
  
 L + 6.50%
   9.00 %   03/2014       5,682       5,682       2.2       5,682  
Sumtotal Systems, Inc.*
  
Senior loan
  
 L + 4.75%
   6.25 %   12/2015       546       538       0.2       538  
                          36,165       35,755       14       36,154  
Diversified Natural Resources, Precious Metals, and Minerals
                                                    
Metal Spinners, Inc.*
  
Senior loan
  
 L + 7.00%
   10.00 %   12/2014       1,829       1,771       0.7       1,829  
Metal Spinners, Inc.*(6)
  
Senior loan
  
 L + 11.00%
   14.00 %   12/2014       3,121       3,027       1.2       3,121  
                          4,950       4,798       1.9       4,950  
Electronics
                                                    
Cape Electrical Supply LLC*(6)
  
Senior loan
  
 L + 6.25%
   7.50 %   11/2013       2,203       2,100       0.8       2,202  
Entrust, Inc.*
  
Senior loan
  
 L + 5.00%
   6.50 %   3/2017       4,382       4,317       1.6       4,316  
Entrust, Inc.*
  
Senior loan
  
 L + 5.00%
   6.50 %   3/2017       10,226       10,074       3.8       10,073  
The Sloan Company, Inc.*(6)
  
Second lien
  
 L + 7.00%
   7.27 %   10/2012       2,461       2,452       0.9       2,461  
Syncsort Incorporated(3)
  
Senior loan
  
 L + 5.50%
   N/A (4)   03/2015       -       (7 )     -       -  
Syncsort Incorporated*
  
Senior loan
  
 L + 5.50%
   7.50 %   03/2015       9,625       9,552       3.7       9,625  
                          28,897       28,488       10.8       28,677  
Finance
                                                    
Nuveen Investments, Inc.*
  
Senior loan
  
 L + 3.00%
   3.31 %   11/2014       1,923       1,738       0.7       1,850  
Pillar Processing LLC*
  
Senior loan
  
 L + 5.50%
   5.80 %   11/2013       4,049       4,038       1.5       3,847  
Pillar Processing LLC*
  
Senior loan
  
N/A
   14.50 %   05/2014       3,125       3,125       1.1       2,969  
Wall Street Systems Holdings, Inc.*
  
Senior loan
  
 L + 5.00%
   7.00 %   05/2013       1,569       1,566       0.6       1,569  
Wall Street Systems Holdings, Inc.*
  
Senior loan
  
 L + 5.00%
   7.00 %   05/2013       3,717       3,670       1.4       3,717  
Wall Street Systems Holdings, Inc.*
  
Senior loan
  
 L + 5.00%
   8.00 %   05/2013       7,835       7,835       3.0       7,835  
                          22,218       21,972       8.3       21,787  

See Notes to Consolidated Financial Statements.
 
 
8
 
 
Golub Capital BDC, Inc. and Subsidiaries
Consolidated Schedule of Investments (unaudited) - (Continued)
March 31, 2011
(In thousands)

                                     
Percentage
        
   
Investment
  
Spread Above
    
Interest
    
Maturity
    
Principal
          
of Total
    
Fair
  
   
Type
  
Index(1)
    
Rate(2)
    
Date
    
Amount
    
Cost
    
Net Assets
    
Value
  
Healthcare, Education and Childcare
                                              
ADG, LLC(3)
  
Senior loan
  
 L + 4.75%
     N/A (4)   03/2014     $ -     $ (6 )     - %   $ -  
ADG, LLC
  
Senior loan
  
 L + 5.75%
     8.44 %   03/2014       243       236       0.1       243  
ADG, LLC*
  
Senior loan
  
 L + 4.75%
     6.25 %   03/2014       3,476       3,476       1.3       3,476  
Advanced Pain Management Holdings, Inc.(6)
  
Subordinated debt
   N/A     14.00 %   06/2016       7,710       7,527       2.9       7,710  
Campus Management Acquisition Corp.
  
Second lien
  
 L + 5.65%
     10.86 %   09/2015       5,562       5,461       2.1       5,562  
CHS/Community Health Systems *
  
Senior loan
  
 L + 2.25%
     2.56 %   07/2014       521       516       0.2       516  
Community Hospices of America, Inc.(3)
  
Senior loan
  
 L + 5.50%
     N/A (4)   12/2015       -       (7 )     -       -  
Community Hospices of America, Inc.*
  
Senior loan
  
 L + 5.50%
     7.25 %   12/2015       5,499       5,395       2.1       5,499  
Community Hospices of America, Inc.(6)
  
Subordinated debt
  
 L + 11.75%
     13.75 %   06/2016       1,797       1,755       0.7       1,797  
DDC Center Inc.*
  
Senior loan
  
 L + 6.50%
     9.50 %   10/2014       8,093       8,093       3.0       7,770  
DDC Center Inc.
  
Senior loan
  
 L + 6.50%
     9.50 %   10/2014       1,126       1,126       0.4       1,081  
Delta Educational Systems, Inc.*
  
Senior loan
  
 L + 4.00%
     6.00 %   06/2012       3,686       3,595       1.4       3,686  
Den-Mat Holdings, LLC(6)
  
Senior loan
  
 L + 7.50%
     8.50 %   06/2014       3,358       3,279       0.6       1,679  
Excelligence Learning Corporation*
  
Second lien
  
 L + 7.00%
     7.25 %   11/2013       1,600       1,548       0.6       1,600  
G & H Wire Company, Inc.(3)
  
Senior loan
  
 L + 5.50%
     N/A (4)   12/2015       -       (12 )     -       -  
G & H Wire Company, Inc.*
  
Senior loan
  
 L + 5.50%
     7.25 %   12/2015       5,925       5,821       2.3       5,925  
The Hygenic Corporation*
  
Senior loan
  
 L + 2.50%
     2.81 %   04/2013       2,471       2,424       0.9       2,422  
Integrated DNA Technologies, Inc.(6)
  
Subordinated debt
   N/A     14.00 %   04/2015       3,800       3,745       1.5       3,800  
Integrated DNA Technologies, Inc.(3)
  
Subordinated debt
   N/A     N/A (4)   04/2015       -       (13 )     -       -  
Maverick Healthcare Group, LLC *
  
Senior loan
  
 L + 5.50%
     7.25 %   12/2016       1,521       1,494       0.6       1,494  
NeuroTherm, Inc.
  
Senior loan
  
 L + 5.00%
     7.25 %   2/2016       119       111       -       111  
NeuroTherm, Inc.*
  
Senior loan
  
 L + 5.00%
     6.50 %   2/2016       1,749       1,711       0.7       1,710  
Sterilmed, Inc.*
  
Senior loan
  
 L + 6.25%
     7.75 %   07/2016       3,100       3,100       1.2       3,100  
Sterilmed, Inc.(3)
  
Senior loan
  
 L + 6.25%
     N/A (4)   07/2015       -       (8 )     -       -  
Surgical Information Systems, LLC
  
Second lien
  
 L + 5.75%
     7.29 %   12/2015       5,143       5,046       2.0       5,143  
TIDI Products, LLC*
  
Senior loan
  
 L + 5.00%
     6.50 %   05/2015       2,542       2,542       1.0       2,542  
TIDI Products, LLC(3)
  
Senior loan
  
 L + 5.00%
     N/A (4)   05/2015       -       (6 )     -       -  
United Surgical Partners International, Inc.*
  
Senior loan
  
 L + 2.00%
     2.25 %   04/2014       1,521       1,521       0.6       1,505  
Universal Health Services, Inc.*
  
Senior loan
  
 L + 3.00%
     4.00 %   11/2016       1,535       1,535       0.6       1,545  
Warner Chilcott Corporation*
  
Senior loan
  
 L + 3.25%
     4.25 %   03/2018       285       285       0.1       289  
Warner Chilcott Corporation*
  
Senior loan
  
 L + 3.25%
     4.25 %   03/2018       143       143       0.1       144  
Warner Chilcott Corporation*
  
Senior loan
  
 L + 2.25%
     3.25 %   03/2018       196       196       0.1       198  
                            72,721       71,629       27.1       70,547  
Home and Office Furnishings, Housewares, and Durable Consumer
                                                      
Amerifile, LLC*
  
Senior loan
  
 L + 5.00%
     6.50 %   03/2016       4,486       4,420       1.7       4,486  
Top Knobs USA, Inc.*
  
Senior loan
  
 L + 5.75%
     8.00 %   11/2016       1,226       1,203       0.5       1,226  
Zenith Products Corporation*
  
Senior loan
  
 L + 5.00%
     5.45 %   09/2013       4,349       4,282       1.6       4,306  
                            10,061       9,905       3.8       10,018  
Leisure, Amusement, Motion Pictures and Entertainment
                                                      
Competitor Group, Inc.
  
Senior loan
  
 L + 7.50%
     9.50 %   09/2015       722       619       0.3       722  
Competitor Group, Inc.(3)
  
Senior loans
  
 L + 7.50%
     N/A (4)   09/2015       -       (21 )     -       -  
Competitor Group, Inc.*
  
Senior loan
  
 L + 7.50%
     9.50 %   09/2015       8,185       8,004       3.1       8,185  
Melissa & Doug, LLC*
  
Senior loan
  
 L + 5.00%
     6.75 %   12/2016       1,299       1,286       0.5       1,299  
Octane Fitness, LLC*
  
Senior loan
  
 L + 4.60%
     4.90 %   03/2013       4,675       4,568       1.7       4,582  
Optronics Product Company, Inc.*
  
Senior loan
  
 L + 4.50%
     5.50 %   12/2012       91       88       -       91