UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

~~FORM~~Form 10-Q


(Mark One)
⌧	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended ~~June 30, 2021~~March 31, 2022
OR
◻	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: 001-33723

Main Street Capital Corporation

(Exact name of registrant as specified in its charter)


Maryland (State or other jurisdiction of incorporation or organization)	41-2230745 (I.R.S. Employer Identification No.)
1300 Post Oak Boulevard, 8^th Floor Houston, TX (Address of principal executive offices)	77056 (Zip Code)

(713) 350-6000

(Registrant’s telephone number including area code)

n/a

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class		Trading Symbol		Name of Each Exchange on Which Registered
Common Stock, par value $0.01 per share		MAIN		New York Stock Exchange

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 ⌧ No ◻

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted 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 such files). Yes ◻ No ◻

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer ⌧	Accelerated filer ◻	Non-accelerated filer ◻	Smaller reporting company ◻ Emerging growth company ◻

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ◻

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

The number of shares outstanding of the issuer’s common stock as of ~~August~~May 5, ~~2021~~2022 was ~~68,611,006.~~72,979,061.

Table of Contents

TABLE OF CONTENTS


	PART I
	FINANCIAL INFORMATION
Item 1.	Consolidated Financial Statements
	Consolidated Balance Sheets—~~June 30, 2021~~March 31, 2022 (unaudited) and December 31, ~~2020~~2021	1
	Consolidated Statements of Operations (unaudited)—Three ~~and six~~ months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~	2
	Consolidated Statements of Changes in Net Assets (unaudited)—~~Six~~Three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~	3
	Consolidated Statements of Cash Flows (unaudited)—~~Six~~Three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~	4
	Consolidated Schedule of Investments (unaudited)—~~June 30, 2021~~March 31, 2022	5
	Consolidated Schedule of Investments—December 31, ~~2020~~2021	2926
	Notes to Consolidated Financial Statements (unaudited)	5248
	Consolidated Schedules of Investments in and Advances to Affiliates (unaudited)—~~Six~~Three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~	8884
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	9993
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	~~119~~111
Item 4.	Controls and Procedures	~~119~~111
	PART II
	OTHER INFORMATION
Item 1.	Legal Proceedings	~~119~~111
Item 1A.	Risk Factors	~~119~~111
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	~~120~~112
Item 6.	Exhibits	~~121~~113
	Signatures	~~122~~114

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Balance Sheets

(~~dollars~~ in thousands, except shares and per share amounts)


	June 30,		December 31,		March 31,		December 31,
	2021		2020		2022		2021
	(Unaudited)				(Unaudited)
ASSETS
Investments at fair value:
Control investments (cost: $882,469 and $831,490 as of June 30, 2021 and December 31, 2020, respectively)	$	1,209,793	$	1,113,725
Affiliate investments (cost: $421,424 and $416,479 as of June 30, 2021 and December 31, 2020, respectively)		387,476		366,301
Non‑Control/Non‑Affiliate investments (cost: $1,421,592 and $1,268,740 as of June 30, 2021 and December 31, 2020, respectively)		1,375,001		1,204,840
Total investments (cost: $2,725,485 and $2,516,709 as of June 30, 2021 and December 31, 2020, respectively)		2,972,270		2,684,866
Control investments (cost: $1,099,019 and $1,107,597 as of March 31, 2022 and December 31, 2021, respectively)					$	1,486,663	$	1,489,257
Affiliate investments (cost: $583,428 and $578,539 as of March 31, 2022 and December 31, 2021, respectively)						559,439		549,214
Non‑Control/Non‑Affiliate investments (cost: $1,690,120 and $1,573,110 as of March 31, 2022 and December 31, 2021, respectively)						1,644,636		1,523,360
Total investments (cost: $3,372,567 and $3,259,246 as of March 31, 2022 and December 31, 2021, respectively)						3,690,738		3,561,831
Cash and cash equivalents		58,796		31,919		17,952		32,629
Interest receivable and other assets		54,386		49,761		68,320		56,488
Deferred financing costs (net of accumulated amortization of $8,975 and $8,477 as of June 30, 2021 and December 31, 2020, respectively)		4,703		2,818
Receivable for securities sold						—		35,125
Deferred financing costs (net of accumulated amortization of $9,705 and $9,462 as of March 31, 2022 and December 31, 2021, respectively)						3,973		4,217
Total assets	$	3,090,155	$	2,769,364	$	3,780,983	$	3,690,290
LIABILITIES
Credit facility	$	169,000	$	269,000	$	338,000	$	320,000
SBIC debentures (par: $322,000 and $309,800 as of June 30, 2021 and December 31, 2020, respectively)		314,828		303,972
5.20% Notes due 2024 (par: $450,000 as of both June 30, 2021 and December 31, 2020)		451,544		451,817
4.50% Notes due 2022 (par: $185,000 as of both June 30, 2021 and December 31, 2020)		184,140		183,836
3.00% Notes due 2026 (par: $300,000 as of June 30, 2021)		295,230		—
3.00% Notes due 2026 (par: $500,000 as of both March 31, 2022 and December 31, 2021)						497,741		497,609
5.20% Notes due 2024 (par: $450,000 as of both March 31, 2022 and December 31, 2021)						451,136		451,272
SBIC debentures (par: $350,000 as of both March 31, 2022 and December 31, 2021)						343,027		342,731
4.50% Notes due 2022 (par: $185,000 as of both March 31, 2022 and December 31, 2021)						184,595		184,444
Accounts payable and other liabilities		21,709		20,833		26,655		40,469
Payable for securities purchased		11,226		—		—		5,111
Interest payable		11,878		8,658		17,145		14,926
Dividend payable		14,049		13,889		15,519		15,159
Deferred tax liability, net		11,710		2,592		33,511		29,723
Total liabilities		1,485,314		1,254,597		1,907,329		1,901,444
Commitments and contingencies (Note K)
NET ASSETS
Common stock, $0.01 par value per share (150,000,000 shares authorized; 68,518,661 and 67,674,853 shares issued and outstanding as of June 30, 2021 and December 31, 2020, respectively)		685		677
Common stock, $0.01 par value per share (150,000,000 shares authorized; 72,252,180 and 70,700,885 shares issued and outstanding as of March 31, 2022 and December 31, 2021, respectively)						723		707
Additional paid‑in capital		1,637,583		1,615,940		1,807,739		1,736,346
Total undistributed (overdistributed) earnings		(33,427)		(101,850)
Total undistributed earnings						65,192		51,793
Total net assets		1,604,841		1,514,767		1,873,654		1,788,846
Total liabilities and net assets	$	3,090,155	$	2,769,364	$	3,780,983	$	3,690,290
NET ASSET VALUE PER SHARE	$	23.42	$	22.35	$	25.89	$	25.29

The accompanying notes are an integral part of these consolidated financial statements

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Operations

(~~dollars~~ in thousands, except shares and per share amounts)

(Unaudited)


	Three Months Ended				Six Months Ended					Three Months Ended
	June 30,				June 30,					March 31,
	2021		2020		2021			2020		2022		2021
INVESTMENT INCOME:
Interest, fee and dividend income:
Control investments	$	27,027	$	19,327	$	51,052		$	38,800	$	32,577	$	24,025
Affiliate investments		11,005		7,207		22,511			15,371		13,917		11,505
Non‑Control/Non‑Affiliate investments		29,262		25,473		56,539			53,985		32,901		27,277
Total investment income		67,294		52,007		130,102			108,156		79,395		62,807
EXPENSES:
Interest		(14,400)		(11,898)		(28,206)			(24,338)		(16,687)		(13,804)
Compensation		(6,895)		(4,802)		(13,216)			(7,300)		(7,269)		(6,318)
General and administrative		(3,417)		(3,000)		(6,392)			(6,473)		(3,226)		(2,975)
Share‑based compensation		(2,759)		(2,817)		(5,092)			(5,654)		(2,818)		(2,333)
Expenses allocated to the External Investment Manager		2,572		1,804		4,952			3,448		2,817		2,380
Total expenses		(24,899)		(20,713)		(47,954)			(40,317)		(27,183)		(23,050)
NET INVESTMENT INCOME		42,395		31,294		82,148			67,839		52,212		39,757
NET REALIZED GAIN (LOSS):
Control investments		(2,320)		1,606		(13,245)			(19,866)		-		(10,925)
Affiliate investments		13,913		—		9,110			(235)		692		(4,803)
Non‑Control/Non‑Affiliate investments		6,407		(10,190)		6,405			(10,348)		2,644		(2)
Realized loss on extinguishment of debt		—		—		—			(534)
Total net realized gain (loss)		18,000		(8,584)		2,270			(30,983)		3,336		(15,730)
NET UNREALIZED APPRECIATION (DEPRECIATION):
Control investments		30,824		(6,825)		45,084			(42,235)		8,279		14,261
Affiliate investments		9,816		(8,123)		16,232			(29,289)		3,041		6,417
Non‑Control/Non‑Affiliate investments		3,801		28,112		17,124			(109,620)		3,432		13,323
SBIC debentures		—		—		—			460
Total net unrealized appreciation (depreciation)		44,441		13,164		78,440			(180,684)		14,752		34,001
INCOME TAXES:
Federal and state income, excise and other taxes		(656)		(550)		(1,289)			(255)		(1,309)		(634)
Deferred taxes		(9,070)		8,045		(9,118)	��		16,015		(3,788)		(48)
Income tax benefit (provision)		(9,726)		7,495		(10,407)			15,760		(5,097)		(682)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	95,110	$	43,369	$	152,451		$	(128,068)	$	65,203	$	57,346
NET INVESTMENT INCOME PER SHARE—BASIC AND DILUTED	$	0.62	$	0.48	$	1.20		$	1.04	$	0.73	$	0.58
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS PER SHARE—BASIC AND DILUTED	$	1.39	$	0.66	$	2.23		$	(1.97)	$	0.91	$	0.84
WEIGHTED AVERAGE SHARES OUTSTANDING—BASIC AND DILUTED		68,514,683		65,303,580		68,321,701			64,920,025		71,708,326		68,126,576

The accompanying notes are an integral part of these consolidated financial statements

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Changes in Net Assets

(~~dollars~~ in thousands, except shares)

(Unaudited)


						Total									Total
	Common Stock			Additional		Undistributed				Common Stock			Additional		Undistributed
	Number of	Par		Paid‑In		(Overdistributed)		Total Net		Number of	Par		Paid‑In		(Overdistributed)		Total Net
	Shares	Value		Capital		Earnings		Asset Value
Balances at December 31, 2019	64,252,937	$	643	$	1,512,435	$	23,312	$	1,536,390
Public offering of common stock, net of offering costs	91,458		1		3,854		—		3,855
Share‑based compensation	—		—		2,837		—		2,837
Purchase of vested stock for employee payroll tax withholding	(851)		—		(29)		—		(29)
Dividend reinvestment	108,722		1		3,929		—		3,930
Amortization of directors’ deferred compensation	—		—		238		—		238
Issuance of restricted stock	10,383		—		—		—		—
Dividends to stockholders	—		—		93		(39,706)		(39,613)
Net decrease resulting from operations	—		—		—		(171,438)		(171,438)
Balances at March 31, 2020	64,462,649	$	645	$	1,523,357	$	(187,832)	$	1,336,170
Public offering of common stock, net of offering costs	824,968		9		26,007		—		26,016
Share‑based compensation	—		—		2,817		—		2,817
Purchase of vested stock for employee payroll tax withholding	(84,094)		(1)		(1,730)		—		(1,731)
Dividend reinvestment	146,229		1		4,158		—		4,159
Amortization of directors’ deferred compensation	—		—		224		—		224
Issuance of restricted stock, net of forfeited shares	414,053		4		(4)		—		—
Dividends to stockholders	—		—		99		(40,179)		(40,080)
Net increase resulting from operations	—		—		—		43,369		43,369
Balances at June 30, 2020	65,763,805	$	658	$	1,554,928	$	(184,642)	$	1,370,944
										Shares	Value		Capital		Earnings		Asset Value
Balances at December 31, 2020	67,762,032	$	677	$	1,615,940	$	(101,850)	$	1,514,767	67,762,032	$	677	$	1,615,940	$	(101,850)	$	1,514,767
Public offering of common stock, net of offering costs	117,388		2		3,626		—		3,628	117,388		2		3,626		—		3,628
Share‑based compensation	—		—		2,333		—		2,333	—		—		2,333		—		2,333
Purchase of vested stock for employee payroll tax withholding	(180)		—		(7)		—		(7)	(180)		—		(7)		—		(7)
Dividend reinvestment	106,651		1		3,698		—		3,699	106,651		1		3,698		—		3,699
Amortization of directors’ deferred compensation	—		—		195		—		195	—		—		195		—		195
Issuance of restricted stock	15,007		—		—		—		—	15,007		—		—		—		—
Dividends to stockholders	—		—		96		(41,893)		(41,797)	—		—		96		(41,893)		(41,797)
Net increase resulting from operations	—		—		-		57,346		57,346
Net increase (decrease) resulting from operations										—		—		—		57,346		57,346
Balances at March 31, 2021	68,000,898	$	680	$	1,625,881	$	(86,397)	$	1,540,164	68,000,898	$	680	$	1,625,881	$	(86,397)	$	1,540,164

Balances at December 31, 2021										70,737,021	$	707	$	1,736,346	$	51,793	$	1,788,846
Public offering of common stock, net of offering costs	231,795		2		9,396		—		9,398	1,502,430		15		63,507		—		63,522
Share‑based compensation	—		—		2,759		—		2,759	—		—		2,818		—		2,818
Purchase of vested stock for employee payroll tax withholding	(114,357)		(1)		(4,464)		—		(4,465)
Dividend reinvestment	91,632		1		3,755		—		3,756	114,043		1		4,812		—		4,813
Amortization of directors’ deferred compensation	—		—		163		—		163	—		—		147		—		147
Issuance of restricted stock, net of forfeited shares	321,821		3		(3)		—		—	16,913		—		—		—		—
Dividends to stockholders	—		—		96		(42,140)		(42,044)	—		—		109		(51,804)		(51,695)
Net increase resulting from operations	—		—		—		95,110		95,110
Balances at June 30, 2021	68,531,789	$	685	$	1,637,583	$	(33,427)	$	1,604,841
Net increase (decrease) resulting from operations										—		—		—		65,203		65,203
Balances at March 31, 2022										72,370,407	$	723	$	1,807,739	$	65,192	$	1,873,654

The accompanying notes are an integral part of these consolidated financial statements

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Statements of Cash Flows

(~~dollars~~ in thousands)

(Unaudited)


	Six Months Ended				Three Months Ended
	June 30,				March 31,
	2021		2020		2022		2021
CASH FLOWS FROM OPERATING ACTIVITIES
Net increase (decrease) in net assets resulting from operations	$	152,451	$	(128,068)	$	65,203	$	57,346
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Investments in portfolio companies		(520,706)		(264,289)		(315,369)		(208,186)
Proceeds from sales and repayments of debt investments in portfolio companies		279,303		220,339		218,781		121,027
Proceeds from sales and return of capital of equity investments in portfolio companies		55,915		15,341		19,963		13,920
Net unrealized (appreciation) depreciation		(78,440)		180,684		(14,752)		(34,001)
Net realized (gain) loss		(2,270)		30,983		(3,336)		15,730
Accretion of unearned income		(6,391)		(5,959)		(2,834)		(2,468)
Payment-in-kind interest		(4,672)		(1,883)		(937)		(2,389)
Cumulative dividends		(858)		(1,022)		(887)		(425)
Share-based compensation expense		5,092		5,654		2,818		2,333
Amortization of deferred financing costs		1,494		1,353		686		740
Deferred tax (benefit) provision		9,118		(16,015)		3,788		48
Changes in other assets and liabilities:
Interest receivable and other assets		(5,047)		7,626		(11,731)		4,096
Interest payable		3,220		202		2,219		6,610
Accounts payable and other liabilities		1,234		(7,032)		(13,667)		(504)
Deferred fees and other		2,363		1,791		378		1,172
Net cash provided by (used in) operating activities		(108,194)		39,705
Net cash used in operating activities						(49,677)		(24,951)

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from public offering of common stock, net of offering costs		13,026		29,871		63,522		3,628
Proceeds from public offering of 3.00% Notes due 2026		300,000		-		-		300,000
Dividends paid		(76,221)		(71,305)		(46,522)		(38,045)
Proceeds from issuance of SBIC debentures		52,200		25,000		-		20,200
Repayments of SBIC debentures		(40,000)		(22,000)		-		(40,000)
Proceeds from credit facility		446,000		184,000		185,000		125,000
Repayments on credit facility		(546,000)		(169,000)		(167,000)		(307,000)
Debt issuance costs, net		(9,462)		(1,218)
Debt issuance premiums (costs), net						-		(5,743)
Purchases of vested stock for employee payroll tax withholding		(4,472)		(1,760)		-		(7)
Net cash provided by (used in) financing activities		135,071		(26,412)
Net cash provided by financing activities						35,000		58,033

Net increase in cash and cash equivalents		26,877		13,293
Net increase (decrease) in cash and cash equivalents						(14,677)		33,082
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD		31,919		55,246		32,629		31,919
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$	58,796	$	68,539	$	17,952	$	65,001

Supplemental cash flow disclosures:
Interest paid	$	23,427	$	22,722	$	13,751	$	6,424
Taxes paid	$	1,609	$	1,783	$	2,874	$	(487)
Non-cash financing activities:
Shares issued pursuant to the DRIP	$	7,455	$	8,089
Value of shares issued pursuant to the DRIP					$	4,813	$	3,699

The accompanying notes are an integral part of these consolidated financial statements

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Control Investments (5)

Analytical Systems Keco Holdings, LLC		August 16, 2019	Manufacturer of Liquid and Gas Analyzers													Manufacturer of Liquid and Gas Analyzers
				Secured Debt	(9)		12.00% (L+10.00%, Floor 2.00%)	8/16/2024	$	5,085	$	4,838	$	4,838			Secured Debt	(9)	8/16/2019		12.00% (L+10.00%, Floor 2.00%)	8/16/2024	$	4,875	$	4,689	$	4,689
				Preferred Member Units		3,200						3,200		1,370			Preferred Member Units		8/16/2019	3,200						3,200		-
				Preferred Member Units		654						654.00		1,640			Preferred Member Units		5/20/2021	2,427						2,426		4,318
				Warrants	(27)	420		8/16/2029				316		-			Warrants	(27)	8/16/2019	420		8/16/2029				316		-
												9,008		7,848												10,631		9,007
ASC Interests, LLC		August 1, 2013	Recreational and Educational Shooting Facility													Recreational and Educational Shooting Facility
				Secured Debt			13.00%	7/31/2022		1,850		1,825		1,825			Secured Debt		12/31/2019		13.00%	7/31/2022		170		170		170
				Member Units		1,500						1,500		1,010			Secured Debt		8/1/2013		13.00%	7/31/2022		1,650		1,642		1,642
												3,325		2,835			Member Units		8/1/2013	1,500						1,500		800
																										3,312		2,612
ATS Workholding, LLC	(10)	March 10, 2014	Manufacturer of Machine Cutting Tools and Accessories												(10)	Manufacturer of Machine Cutting Tools and Accessories
				Secured Debt	(14)		5.00%	8/16/2023		4,902		4,743		2,962			Secured Debt	(14)	11/16/2017		5.00%	8/16/2023		4,794		4,635		3,005
				Preferred Member Units		3,725,862						3,726		-			Preferred Member Units		11/16/2017	3,725,862						3,726		-
												8,469		2,962												8,361		3,005
Barfly Ventures, LLC	(10)	August 31, 2015	Casual Restaurant Group												(10)	Casual Restaurant Group
				Secured Debt			7.00%	10/31/2024		711		711		711			Secured Debt		10/15/2020		7.00%	10/31/2024		711		711		711
				Member Units		37						1,584		1,698			Member Units		10/26/2020	37						1,584		2,050
												2,295		2,409												2,295		2,761
Batjer TopCo, LLC																HVAC Mechanical Contractor
																	Secured Debt		3/7/2022		11.00%	3/31/2027		11,025		10,917		10,917
																	Preferred Stock		3/7/2022	4,073						4,073		4,073
																										14,990		14,990
Bolder Panther Group, LLC		December 31, 2020	Consumer Goods and Fuel Retailer													Consumer Goods and Fuel Retailer
				Secured Debt	(9)		10.50% (L+9.00%, Floor 1.50%)	12/31/2025		27,500		27,250		27,250
				Class A Preferred Member Units	(8)		14.00%					10,194		10,194			Secured Debt	(9)	12/31/2020		10.50% (L+9.00%, Floor 1.50%)	12/31/2025		49,194		48,901		49,194
				Class B Preferred Member Units	(8)	140,000	8.00%					14,000		17,420			Class B Preferred Member Units	(8)	12/31/2020	140,000	8.00%					14,000		25,930
												51,444		54,864												62,901		75,124
Brewer Crane Holdings, LLC		January 9, 2018	Provider of Crane Rental and Operating Services													Provider of Crane Rental and Operating Services
				Secured Debt	(9)		11.00% (L+10.00%, Floor 1.00%)	1/9/2023		8,308		8,275		8,275			Secured Debt	(9)	1/9/2018		11.00% (L+10.00%, Floor 1.00%)	1/9/2023		7,936		7,919		7,919
				Preferred Member Units	(8)	2,950						4,280		5,140			Preferred Member Units	(8)	1/9/2018	2,950						4,279		7,780
												12,555		13,415												12,198		15,699
Bridge Capital Solutions Corporation		April 18, 2012	Financial Services and Cash Flow Solutions Provider													Financial Services and Cash Flow Solutions Provider
				Secured Debt			13.00%	12/11/2024		8,813		8,752		8,752			Secured Debt		7/25/2016		13.00%	12/11/2024		8,813		8,813		8,813
				Warrants	(27)	82		7/25/2026				200		1,574			Secured Debt	(30)	7/25/2016		13.00%	12/11/2024		1,000		1,000		1,000
								7/25/2026				1,932		2,156			Preferred Member Units	(8) (30)	7/25/2016	17,742						1,000		1,000
				Secured Debt	(30)		13.00%	12/11/2024		1,000		1,000		1,000			Warrants	(27)	7/25/2016	82		7/25/2026				2,132		4,260
				Preferred Member Units	(8) (30)	17,742						1,000		1,000												12,945		15,073
Café Brazil, LLC																Casual Restaurant Group
												12,884		14,482			Member Units	(8)	6/9/2006	1,233						1,742		2,630

California Splendor Holdings LLC																Processor of Frozen Fruits
																	Secured Debt	(9)	3/30/2018		11.00% (L+10.00%, Floor 1.00%)	3/30/2023		28,000		27,932		27,932
																	Preferred Member Units	(8) (19)	7/31/2019	6,725	15.00% PIK					9,867		9,867
																	Preferred Member Units	(8)	3/30/2018	6,157						10,775		17,265
																										48,574		55,064
CBT Nuggets, LLC																Produces and Sells IT Training Certification Videos

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)	Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Café Brazil, LLC	April 20, 2004	Casual Restaurant Group
			Member Units	(8)	1,233						1,742		2,490

California Splendor Holdings LLC	March 30, 2018	Processor of Frozen Fruits
			Secured Debt	(9)		11.00% (L+10.00%, Floor 1.00%)	3/30/2023		28,000		27,817		27,817
			Preferred Member Units	(8)	6,725						8,878		8,878
			Preferred Member Units	(8)	6,157						10,775		9,138
											47,470		45,833
CBT Nuggets, LLC	June 1, 2006	Produces and Sells IT Training Certification Videos
			Member Units	(8)	416						1,300		52,620			Member Units	(8)	6/1/2006	416						1,300		48,880

Centre Technologies Holdings, LLC	January 4, 2019	Provider of IT Hardware Services and Software Solutions													Provider of IT Hardware Services and Software Solutions
			Secured Debt	(9)		12.00% (L+10.00%, Floor 2.00%)	1/4/2024		9,722		9,665		9,665			Secured Debt	(9)	1/4/2019		12.00% (L+10.00%, Floor 2.00%)	1/4/2024		9,183		9,145		8,638
			Preferred Member Units		12,696						5,840		5,840			Preferred Member Units		1/4/2019	12,696						5,840		5,840
											15,505		15,505												14,985		14,478
Chamberlin Holding LLC	February 26, 2018	Roofing and Waterproofing Specialty Contractor													Roofing and Waterproofing Specialty Contractor
			Secured Debt	(9)		9.00% (L+8.00%, Floor 1.00%)	2/26/2023		13,817		13,762		13,817			Secured Debt	(9)	2/26/2018		9.00% (L+8.00%, Floor 1.00%)	2/26/2023		17,681		17,621		17,681
			Member Units	(8)	4,347						11,440		26,650			Member Units	(8)	2/26/2018	4,347						11,440		24,140
			Member Units	(8) (30)	1,047,146						1,322		1,380			Member Units	(8) (30)	11/2/2018	1,047,146						1,322		1,540
											26,524		41,847												30,383		43,361
Charps, LLC	February 3, 2017	Pipeline Maintenance and Construction													Pipeline Maintenance and Construction
			Unsecured Debt			10.00%	1/31/2024		5,770		4,639		5,091			Unsecured Debt		8/26/2020		10.00%	1/31/2026		5,694		4,617		5,694
			Preferred Member Units	(8)	1,600						400		11,580			Preferred Member Units	(8)	2/3/2017	1,829						1,963		14,090
											5,039		16,671												6,580		19,784
Clad-Rex Steel, LLC	December 20, 2016	Specialty Manufacturer of Vinyl-Clad Metal													Specialty Manufacturer of Vinyl-Clad Metal
			Secured Debt	(9)		10.50% (L+9.50%, Floor 1.00%)	1/15/2024		10,480		10,385		10,385			Secured Debt	(9)	12/20/2016		10.50% (L+9.50%, Floor 1.00%)	1/15/2024		10,480		10,411		10,411
			Member Units	(8)	717						7,280		9,420			Secured Debt		12/20/2016		10.00%	12/20/2036		1,073		1,063		1,063
			Secured Debt	(30)		10.00%	12/20/2036		1,096		1,086		1,086			Member Units	(8)	12/20/2016	717						7,280		10,250
			Member Units	(30)	800						210		530			Member Units	(30)	12/20/2016	800						210		610
											18,961		21,421												18,964		22,334
CMS Minerals Investments	January 30, 2015	Oil & Gas Exploration & Production													Oil & Gas Exploration & Production
			Member Units	(8) (30)	100						2,072		1,970			Member Units	(8) (30)	4/1/2016	100						1,729		2,057

Cody Pools, Inc.															Designer of Residential and Commercial Pools
																Secured Debt	(9)	3/6/2020		12.25% (L+10.50%, Floor 1.75%)	12/17/2026		42,494		42,139		42,482
																Preferred Member Units	(8) (30)	3/6/2020	587						8,317		47,640
																									50,456		90,122
Colonial Electric Company LLC															Provider of Electrical Contracting Services
																Secured Debt		3/31/2021		12.00%	3/31/2026		24,255		24,051		24,051
																Preferred Member Units	(8)	3/31/2021	17,280						7,680		9,130
																									31,731		33,181
CompareNetworks Topco, LLC															Internet Publishing and Web Search Portals
																Secured Debt	(9)	1/29/2019		10.00% (L+9.00%, Floor 1.00%)	1/29/2024		5,797		5,779		5,797
																Preferred Member Units	(8)	1/29/2019	1,975						1,975		13,610
																									7,754		19,407
Copper Trail Fund Investments														(12) (13)	Investment Partnership
																LP Interests (CTMH, LP)	(31)	7/17/2017	38.8%						710		710

Datacom, LLC															Technology and Telecommunications Provider
																Secured Debt		3/31/2021		7.50%	12/31/2025		8,825		8,271		7,643
																Preferred Member Units	(8)	3/31/2021	9,000						2,610		2,670
																									10,881		10,313

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Cody Pools, Inc.		March 6, 2020	Designer of Residential and Commercial Pools
				Secured Debt	(9)		12.25% (L+10.50%, Floor 1.75%)	3/6/2025		11,847		11,752		11,847
				Preferred Member Units		587						8,317		22,200
												20,069		34,047
Colonial Electric Company LLC		March 31, 2021	Provider of Electrical Contracting Services
				Secured Debt			12.00%	3/31/2026		25,200		24,958		24,958
				Preferred Member Units		17,280						7,680		7,680
												32,638		32,638
CompareNetworks Topco, LLC		January 29, 2019	Internet Publishing and Web Search Portals
				Secured Debt	(9)		10.00% (L+9.00%, Floor 1.00%)	1/29/2024		7,254		7,220		7,254
				Preferred Member Units	(8)	1,975						1,975		10,030
												9,195		17,284
Copper Trail Fund Investments	(12) (13)	July 17, 2017	Investment Partnership
				LP Interests (CTMH, LP)	(31)	38.8%						710		710

Datacom, LLC		May 30, 2014	Technology and Telecommunications Provider
				Secured Debt			5.00%	12/31/2025		8,946		8,121		8,121
				Preferred Member Units		9,000						2,610		2,610
												10,731		10,731
Digital Products Holdings LLC		April 1, 2018	Designer and Distributor of Consumer Electronics													Designer and Distributor of Consumer Electronics
				Secured Debt	(9)		11.00% (L+10.00%, Floor 1.00%)	4/1/2023		17,513		17,439		17,439			Secured Debt	(9)	4/1/2018		11.00% (L+10.00%, Floor 1.00%)	4/1/2023		16,523		16,483		16,483
				Preferred Member Units	(8)	3,857						9,501		9,835			Preferred Member Units	(8)	4/1/2018	3,857						9,501		9,835
												26,940		27,274												25,984		26,318
Direct Marketing Solutions, Inc.		February 13, 2018	Provider of Omni-Channel Direct Marketing Services													Provider of Omni-Channel Direct Marketing Services
				Secured Debt	(9)		12.00% (L+11.00%, Floor 1.00%)	2/13/2023		15,090		15,024		15,024			Secured Debt	(9)	2/13/2018		12.00% (L+11.00%, Floor 1.00%)	2/13/2024		23,756		23,619		23,737
				Preferred Stock		8,400						8,400		17,820			Preferred Stock	(8)	2/13/2018	8,400						8,400		22,450
												23,424		32,844												32,019		46,187
Gamber-Johnson Holdings, LLC		June 24, 2016	Manufacturer of Ruggedized Computer Mounting Systems													Manufacturer of Ruggedized Computer Mounting Systems
				Secured Debt	(9) (17)		9.00% (L+7.00%, Floor 2.00%)	6/24/2021		20,638		20,638		20,638			Secured Debt	(9)	6/24/2016		10.50% (L+8.50%, Floor 2.00%)	1/1/2025		21,598		21,540		21,598
				Member Units	(8)	9,042						17,692		56,250			Member Units	(8)	6/24/2016	9,042						17,692		45,120
												38,330		76,888												39,232		66,718
Garreco, LLC		July 15, 2013	Manufacturer and Supplier of Dental Products													Manufacturer and Supplier of Dental Products
				Secured Debt	(9)		9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%)	7/31/2022		4,519		4,519		4,519			Secured Debt	(9)	7/15/2013		9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%)	7/31/2022		4,196		4,196		4,196
				Member Units		1,200						1,200		1,760			Member Units	(8)	7/15/2013	1,200						1,200		2,340
												5,719		6,279												5,396		6,536
GRT Rubber Technologies LLC																Manufacturer of Engineered Rubber Products
																	Secured Debt		12/19/2014		8.23% (L+8.00%)	10/29/2026		38,885		38,683		38,885
																	Member Units	(8)	12/19/2014	5,879						13,065		46,190
																										51,748		85,075
Gulf Manufacturing, LLC																Manufacturer of Specialty Fabricated Industrial Piping Products
																	Member Units	(8)	8/31/2007	438						2,980		5,290

Gulf Publishing Holdings, LLC																Energy Industry Focused Media and Publishing
																	Secured Debt	(9) (17) (19)	9/29/2017		10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%)	9/30/2020		257		257		257
																	Secured Debt	(17) (19)	4/29/2016		12.50% (6.25% Cash, 6.25% PIK)	4/29/2021		13,565		13,565		8,000
																	Member Units		4/29/2016	3,681						3,680		-
																										17,502		8,257
Harris Preston Fund Investments															(12) (13)	Investment Partnership
																	LP Interests (2717 MH, L.P.)	(31)	10/1/2017	49.3%						2,860		4,317
																	LP Interests (2717 HPP-MS, L.P.)	(31)	3/11/2022	49.3%						244		244
																										3,104		4,561
Harrison Hydra-Gen, Ltd.																Manufacturer of Hydraulic Generators
																	Common Stock		6/4/2010	107,456						718		3,530

Jensen Jewelers of Idaho, LLC																Retail Jewelry Store
																	Secured Debt	(9)	11/14/2006		10.00% (Prime+6.75%, Floor 2.00%)	11/14/2023		2,450		2,439		2,450
																	Member Units	(8)	11/14/2006	627						811		15,120
																										3,250		17,570
Johnson Downie Opco, LLC																Executive Search Services
																	Secured Debt	(9)	12/10/2021		13.00% (L+11.50%, Floor 1.50%)	12/10/2026		11,475		11,350		11,350

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
GRT Rubber Technologies LLC		December 19, 2014	Manufacturer of Engineered Rubber Products
				Secured Debt			7.09% (L+7.00%)	12/31/2023		16,775		16,775		16,775			Preferred Equity	(8)	12/10/2021	3,150						3,150		3,150
				Member Units	(8)	5,879						13,065		44,900												14,500		14,500
												29,840		61,675
Gulf Manufacturing, LLC		August 31, 2007	Manufacturer of Specialty Fabricated Industrial Piping Products
				Member Units	(8)	438						2,980		5,300

Gulf Publishing Holdings, LLC		April 29, 2016	Energy Industry Focused Media and Publishing
				Secured Debt	(9) (17) (19)		10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%)	9/30/2020		257		257		257
				Secured Debt	(17) (19)		12.50% (6.25% Cash, 6.25% PIK)	4/29/2021		13,565		13,565		10,722
				Member Units		3,681						3,681		-
												17,503		10,979
Harris Preston Fund Investments	(12) (13)	October 1, 2017	Investment Partnership
				LP Interests (2717 MH, L.P.)	(31)	49.3%						2,646		2,749

Harrison Hydra-Gen, Ltd.		June 4, 2010	Manufacturer of Hydraulic Generators
				Common Stock		107,456						718		4,850

J&J Services, Inc.		October 31, 2019	Provider of Dumpster and Portable Toilet Rental Services
				Secured Debt			11.50%	10/31/2024		12,000		11,914		12,000
				Preferred Stock		2,814						7,085		13,050
												18,999		25,050
Jensen Jewelers of Idaho, LLC		November 14, 2006	Retail Jewelry Store
JorVet Holdings, LLC																Supplier and Distributor of Veterinary Equipment and Supplies
				Secured Debt	(9)		10.00% (Prime+6.75%, Floor 2.00%)	11/14/2023		3,000		2,980		3,000			Secured Debt		3/28/2022		12.00%	3/28/2027		25,650		25,394		25,394
				Member Units	(8)	627						811		9,610			Common Stock		3/28/2022	107,406						10,741		10,741
												3,791		12,610												36,135		36,135
KBK Industries, LLC		January 23, 2006	Manufacturer of Specialty Oilfield and Industrial Products													Manufacturer of Specialty Oilfield and Industrial Products
				Member Units	(8)	325						783		13,530			Member Units	(8)	1/23/2006	325						783		13,930

Kickhaefer Manufacturing Company, LLC		October 31, 2018	Precision Metal Parts Manufacturing													Precision Metal Parts Manufacturing
				Secured Debt			11.50%	10/31/2023		21,215		21,098		21,098			Secured Debt		10/31/2018		11.50%	10/31/2023		20,415		20,336		20,336
				Member Units		581						12,240		12,240			Secured Debt		10/31/2018		9.00%	10/31/2048		3,906		3,868		3,868
				Secured Debt			9.00%	10/31/2048		3,932		3,893		3,893			Member Units		10/31/2018	581						12,240		12,240
				Member Units	(8) (30)	800						992		1,210			Member Units	(8) (30)	10/31/2018	800						992		2,460
												38,223		38,441												37,436		38,904
Market Force Information, LLC																Provider of Customer Experience Management Services
																	Secured Debt	(9)	7/28/2017		12.00% (L+11.00%, Floor 1.00%)	7/28/2023		3,400		3,400		3,400
																	Secured Debt	(14) (19)	7/28/2017		12.00% PIK	7/28/2023		26,079		25,952		8,936
																	Member Units		7/28/2017	743,921						16,642		-
																										45,994		12,336
MH Corbin Holding LLC																Manufacturer and Distributor of Traffic Safety Products
																	Secured Debt		8/31/2015		13.00%	3/31/2022		8,170		8,170		4,368
																	Preferred Member Units		3/15/2019	66,000						4,400		-
																	Preferred Member Units		9/1/2015	4,000						6,000		-
																										18,570		4,368
MS Private Loan Fund I, LP															(12) (13)	Investment Partnership
																	LP Interests	(8) (31)	1/26/2021	12.1%						7,500		7,581

MSC Adviser I, LLC															(16)	Third Party Investment Advisory Services
																	Member Units	(8)	11/22/2013							29,500		132,920

Mystic Logistics Holdings, LLC																Logistics and Distribution Services Provider for Large Volume Mailers
																	Secured Debt		8/18/2014		10.00%	1/31/2024		6,098		6,098		6,098
																	Common Stock	(8)	8/18/2014	5,873						2,720		11,060
																										8,818		17,158
NAPCO Precast, LLC																Precast Concrete Manufacturing
																	Member Units	(8)	1/31/2008	2,955						2,975		13,370

Nebraska Vet AcquireCo, LLC																Mixed-Animal Veterinary and Animal Health Product Provider
																	Secured Debt		12/31/2020		12.00%	12/31/2025		10,500		10,418		10,418
																	Secured Debt		12/31/2020		12.00%	12/31/2025		6,284		6,237		6,237
																	Preferred Member Units		12/31/2020	6,987						6,987		7,700
																										23,642		24,355
NexRev LLC																Provider of Energy Efficiency Products & Services
																	Secured Debt		2/28/2018		11.00%	2/28/2025		15,999		15,966		13,837
																	Preferred Member Units	(8)	2/28/2018	86,400,000						6,880		2,690
																										22,846		16,527
NRP Jones, LLC																Manufacturer of Hoses, Fittings and Assemblies
																	Secured Debt		12/21/2017		12.00%	3/20/2023		2,080		2,080		2,080

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Market Force Information, LLC		July 28, 2017	Provider of Customer Experience Management Services
																Member Units	(8)	12/22/2011	65,962						3,717		6,290
																									5,797		8,370
NuStep, LLC															Designer, Manufacturer and Distributor of Fitness Equipment
				Secured Debt	(9)		12.00% (L+11.00%, Floor 1.00%)	7/28/2023		3,400		3,400		3,400		Secured Debt	(9)	1/31/2017		7.50% (L+6.50%, Floor 1.00%)	1/31/2025		2,920		2,920		2,920
				Secured Debt	(14) (19)		12.00% PIK	7/28/2023		26,079		25,952		13,268		Secured Debt		1/31/2017		12.00%	1/31/2025		17,240		17,237		17,240
				Member Units		743,921						16,642		-		Preferred Member Units		1/31/2017	406						10,200		13,500
												45,994		16,668											30,357		33,660
MH Corbin Holding LLC		August 31, 2015	Manufacturer and Distributor of Traffic Safety Products
OMi Topco, LLC															Manufacturer of Overhead Cranes
																Secured Debt		8/31/2021		12.00%	8/31/2026		17,500		17,345		17,500
																Preferred Member Units	(8)	4/1/2008	900						1,080		20,210
																									18,425		37,710
Orttech Holdings, LLC															Distributor of Industrial Clutches, Brakes and Other Components
																Secured Debt	(9)	7/30/2021		12.00% (L+11.00%, Floor 1.00%)	7/31/2026		24,375		24,163		24,163
																Preferred Stock	(8) (30)	7/30/2021	10,000						10,000		10,000
																									34,163		34,163
Pearl Meyer Topco LLC															Provider of Executive Compensation Consulting Services
																Secured Debt		4/27/2020		12.00%	4/27/2025		34,174		33,955		34,174
																Member Units	(8)	4/27/2020	13,800						13,000		35,050
																									46,955		69,224
PPL RVs, Inc.															Recreational Vehicle Dealer
				Secured Debt	(19)		13.00% (10.00% Cash, 3.00% PIK)	3/31/2022		8,410		8,384		7,615		Secured Debt	(9)	10/31/2019		7.50% (L+7.00%, Floor 0.50%)	11/15/2022		2,000		1,983		1,983
				Preferred Member Units		66,000						4,400		-		Secured Debt	(9)	11/15/2016		7.50% (L+7.00%, Floor 0.50%)	11/15/2022		11,655		11,655		11,655
				Preferred Member Units		4,000						6,000		-		Common Stock	(8)	6/10/2010	2,000						2,150		14,920
												18,784		7,615											15,788		28,558
MS Private Loan Fund I, LP	(12) (13)	January 26, 2021	Investment Partnership
Principle Environmental, LLC															Noise Abatement Service Provider
				Unsecured Debt			5.00%	6/30/2022		16,220		16,220		16,220		Secured Debt		2/1/2011		13.00%	11/15/2026		973		968		968
				LP Interests	(31)	12.1%						285		285		Secured Debt		7/1/2011		13.00%	11/15/2026		5,924		5,814		5,814
												16,505		16,505		Preferred Member Units	(8)	2/1/2011	21,806						5,709		11,160
MSC Adviser I, LLC	(16)	November 22, 2013	Third Party Investment Advisory Services
				Member Units	(8)							29,500		121,730		Common Stock		1/27/2021	1,037						1,200		710
																									13,691		18,652
MSC Income Fund Inc.	(12) (13)	January 28, 2021	Business Development Company
Quality Lease Service, LLC															Provider of Rigsite Accommodation Unit Rentals and Related Services
				Unsecured Debt			5.00%	1/28/2026		40,000		39,630		39,840		Member Units		6/8/2015	1,000						8,563		1,470

Mystic Logistics Holdings, LLC		August 18, 2014	Logistics and Distribution Services Provider for Large Volume Mailers
River Aggregates, LLC															Processor of Construction Aggregates
																Member Units	(8) (30)	12/20/2013	1,500						369		3,280

Robbins Bros. Jewelry, Inc.															Bridal Jewelry Retailer
				Secured Debt			12.00%	1/17/2022		6,709		6,703		6,703		Secured Debt	(9)	12/15/2021		12.00% (L+11.00%, Floor 1.00%)	12/15/2026		36,360		35,977		35,977
				Common Stock	(8)	5,873						2,720		5,920		Preferred Equity		12/15/2021	11,070						11,070		11,070
												9,423		12,623											47,047		47,047
NAPCO Precast, LLC		January 31, 2008	Precast Concrete Manufacturing
				Member Units	(8)	2,955						2,975		15,570

Nebraska Vet AcquireCo, LLC		December 31, 2020	Mixed-Animal Veterinary and Animal Health Product Provider
Tedder Industries, LLC															Manufacturer of Firearm Holsters and Accessories
				Secured Debt			12.00%	12/31/2025		10,500		10,404		10,404		Secured Debt		8/31/2018		12.00%	8/31/2022		16,800		16,763		16,763
				Preferred Member Units		6,500						6,500		6,500		Preferred Member Units		8/31/2018	505						8,579		8,579
												16,904		16,904											25,342		25,342
NexRev LLC		February 28, 2018	Provider of Energy Efficiency Products & Services
Televerde, LLC															Provider of Telemarketing and Data Services
				Secured Debt			11.00%	2/28/2023		16,661		16,597		16,488		Member Units		1/6/2011	460						1,290		5,472
				Preferred Member Units	(8)	86,400,000						6,880		3,280		Preferred Stock		1/26/2022	248						718		1,794
												23,477		19,768											2,008		7,266

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)	Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Trantech Radiator Topco, LLC	Transformer Cooling Products and Services
		Secured Debt		5/31/2019		12.00%	5/31/2024		8,320		8,271		8,313
		Common Stock	(8)	5/31/2019	615						4,655		8,660
											12,926		16,973
Vision Interests, Inc.	Manufacturer / Installer of Commercial Signage
		Series A Preferred Stock		12/23/2011	3,000,000						3,000		3,000

VVS Holdco LLC	Omnichannel Retailer of Animal Health Products
		Secured Debt	(9) (30)	12/1/2021		7.00% (L+6.00%, Floor 1.00%)	12/1/2026		800		770		770
		Secured Debt	(30)	12/1/2021		11.50%	12/1/2026		30,400		30,115		30,115
		Preferred Equity	(8) (30)	12/1/2021	11,840						11,840		11,840
											42,725		42,725
Ziegler’s NYPD, LLC	Casual Restaurant Group
		Secured Debt		6/1/2015		12.00%	10/1/2022		625		625		625
		Secured Debt		10/1/2008		6.50%	10/1/2022		1,000		1,000		1,000
		Secured Debt		10/1/2008		14.00%	10/1/2022		2,750		2,750		2,750
		Preferred Member Units		6/30/2015	10,072						2,834		2,130
		Warrants	(27)	7/1/2015	587		10/1/2025				600		-
											7,809		6,505
Subtotal Control Investments (79.3% of net assets at fair value)										$	1,099,019	$	1,486,663

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
NRI Clinical Research, LLC

September 8, 2011
Clinical Research Service Provider

Secured Debt

9.00%
6/8/2022

4,775

4,747

4,775

Member Units
(8)
1,454,167

500

7,170

265

864

Warrants
(27)
251,723

6/8/2027

252

2,030

5,764

14,839
NRP Jones, LLC

December 22, 2011
Manufacturer of Hoses, Fittings and Assemblies

Secured Debt

12.00%
3/20/2023

2,080

2,080

2,080

Member Units
(8)
65,962

114

114

3,603

3,125

5,797

5,319
NuStep, LLC

January 31, 2017
Designer, Manufacturer and Distributor of Fitness Equipment

Secured Debt

11.00%
1/31/2022

17,240

17,214

17,240

Preferred Member Units

406

10,200

12,350

27,414

29,590
OMi Holdings, Inc.

April 1, 2008
Manufacturer of Overhead Cranes

Common Stock
(8)
1,500

1,080

18,830

Pearl Meyer Topco LLC

April 27, 2020
Provider of Executive Compensation Consulting Services

Secured Debt

12.00%
4/27/2025

33,674

33,400

33,674

Member Units
(8)
13,800

13,000

18,490

46,400

52,164
Pegasus Research Group, LLC

January 6, 2011
Provider of Telemarketing and Data Services

Member Units

460

1,290

8,270

PPL RVs, Inc.

June 10, 2010
Recreational Vehicle Dealer

Secured Debt
(9)

7.50% (L+7.00%, Floor 0.50%)
11/15/2022

11,655

11,608

11,619

Common Stock
(8)
2,000

2,150

13,130

13,758

24,749
Principle Environmental, LLC

February 1, 2011
Noise Abatement Service Provider

Secured Debt

13.00%
4/30/2023

6,397

6,346

6,346

Preferred Member Units

19,631

4,600

10,140

Common Stock

1,036

1,200

760

12,146

17,246
Quality Lease Service, LLC

June 8, 2015
Provider of Rigsite Accommodation Unit Rentals and Related Services

Member Units

1,000

9,813

2,899

River Aggregates, LLC

March 30, 2011
Processor of Construction Aggregates

Member Units
(30)
1,500

369

3,290

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Tedder Industries, LLC

August 31, 2018
Manufacturer of Firearm Holsters and Accessories

Secured Debt

12.00%
8/31/2023

15,360

15,286

15,286

Preferred Member Units

479

8,136

8,136

23,422

23,422
Trantech Radiator Topco, LLC

May 31, 2019
Transformer Cooling Products and Services

Secured Debt

12.00%
5/31/2024

8,720

8,652

8,652

Common Stock
(8)
615

4,655

5,990

13,307

14,642
UnionRock Energy Fund II, LP
(12) (13)
June 15, 2020
Investment Partnership

LP Interests
(31)
49.6%

4,048

4,786

Vision Interests, Inc.

June 5, 2007
Manufacturer / Installer of Commercial Signage

Secured Debt

13.00%
9/30/2022

2,028

2,028

2,028

Series A Preferred Stock

3,000,000

3,000

3,000

5,028

5,028
Ziegler’s NYPD, LLC

October 1, 2008
Casual Restaurant Group

Secured Debt

12.00%
10/1/2022

625

625

625

Secured Debt

6.50%
10/1/2022

1,000

1,000

1,000

Secured Debt

14.00%
10/1/2022

2,750

2,750

2,750

Preferred Member Units

10,072

2,834

2,070

Warrants
(27)
587

10/1/2025

600

-

7,809

6,445
Subtotal Control Investments (75.4% of net assets at fair value)

$
882,469
$
1,209,793


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Affiliate Investments (6)

AAC Holdings, Inc.	(11)	Substance Abuse Treatment Service Provider
			Secured Debt	(19)	12/11/2020		18.00% (10.00% Cash, 8.00% PIK)	6/25/2025	$	10,408	$	10,231	$	10,044
			Common Stock		12/11/2020	593,928						3,148		2,079
			Warrants	(27)	12/11/2020	554,353		12/11/2025				-		1,940
												13,379		14,063
AFG Capital Group, LLC		Provider of Rent-to-Own Financing Solutions and Services
			Secured Debt		4/25/2019		10.00%	5/25/2022		58		58		58
			Preferred Member Units	(8)	11/7/2014	186						1,200		8,350
												1,258		8,408
ATX Networks Corp.	(11)	Provider of Radio Frequency Management Equipment
			Secured Debt	(9)	9/1/2021		8.50% (L+7.50%, Floor 1.00%)	9/1/2026		7,667		7,092		7,322
			Unsecured Debt	(19)	9/1/2021		10.00% PIK	9/1/2028		3,144		2,040		2,122
			Common Stock		9/1/2021	583						-		-
												9,132		9,444
BBB Tank Services, LLC		Maintenance, Repair and Construction Services to the Above-Ground Storage Tank Market
			Unsecured Debt	(9) (17)	4/8/2016		12.00% (L+11.00%, Floor 1.00%)	4/8/2021		4,800		4,800		2,298
			Preferred Stock (non-voting)	(8) (19)	12/17/2018		15.00% PIK					162		-
			Member Units		4/8/2016	800,000						800		-
												5,762		2,298
Boccella Precast Products LLC		Manufacturer of Precast Hollow Core Concrete
			Secured Debt		9/23/2021		10.00%	2/28/2027		320		320		320
			Member Units		6/30/2017	2,160,000						2,256		4,830
												2,576		5,150
Brightwood Capital Fund Investments	(12) (13)	Investment Partnership
			LP Interests (Brightwood Capital Fund V, LP)	(31)	7/12/2021	15.8%						1,500		1,639

Buca C, LLC		Casual Restaurant Group
			Secured Debt	(9) (17)	6/30/2015		12.25% (L+11.25%, Floor 1.00%)	6/30/2020		19,491		19,491		14,370
			Preferred Member Units	(19)	6/30/2015	6	6.00% PIK					4,770		-
												24,261		14,370
Career Team Holdings, LLC		Provider of Workforce Training and Career Development Services
			Secured Debt		12/17/2021		12.50%	12/17/2026		20,250		20,060		20,060
			Common Stock		12/17/2021	450,000						4,499		4,499
												24,559		24,559
Chandler Signs Holdings, LLC	(10)	Sign Manufacturer
			Class A Units		1/4/2016	1,500,000						1,500		620

Classic H&G Holdings, LLC		Provider of Engineered Packaging Solutions
			Secured Debt	(9)	3/12/2020		7.00% (L+6.00%, Floor 1.00%)	3/12/2025		7,600		7,600		7,600

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Affiliate Investments (6)

AAC Holdings, Inc.	(11)	June 30, 2017	Substance Abuse Treatment Service Provider
				Secured Debt	(19)		18.00% (10.00% Cash, 8.00% PIK)	6/25/2025	$	9,793	$	9,588	$	9,499
				Common Stock		593,928						3,148		2,079
				Warrants	(27)	554,353		12/11/2025				-		1,940
												12,736		13,518
AFG Capital Group, LLC		November 7, 2014	Provider of Rent-to-Own Financing Solutions and Services
				Secured Debt			10.00%	5/25/2022		318		318		318
				Preferred Member Units		186						1,200		6,960
												1,518		7,278
BBB Tank Services, LLC		April 8, 2016	Maintenance, Repair and Construction Services to the Above-Ground Storage Tank Market
				Unsecured Debt	(9) (17)		12.00% (L+11.00%, Floor 1.00%)	4/8/2021		4,800		4,800		4,749
				Preferred Stock (non-voting)	(8) (19)		15.00% PIK					162		-
				Member Units		800,000						800		-
												5,762		4,749
Boccella Precast Products LLC		June 30, 2017	Manufacturer of Precast Hollow Core Concrete
				Member Units	(8)	2,160,000						2,256		4,950

Buca C, LLC		June 30, 2015	Casual Restaurant Group
				Secured Debt	(9) (17)		10.25% (L+9.25%, Floor 1.00%)	6/30/2020		19,491		19,491		14,370
				Preferred Member Units	(19)	6	6.00% PIK					4,770		-
												24,261		14,370
CAI Software LLC		October 10, 2014	Provider of Specialized Enterprise Resource Planning Software
				Secured Debt			12.50%	12/7/2023		67,721		67,343		67,721
				Member Units	(8)	77,960						174		12,010
												67,517		79,731
Chandler Signs Holdings, LLC	(10)	January 4, 2016	Sign Manufacturer
				Class A Units		1,500,000						1,500		650

Classic H&G Holdings, LLC		March 12, 2020	Provider of Engineered Packaging Solutions
				Secured Debt			10.00%	3/12/2025		19,274		19,121		19,274			Secured Debt		3/12/2020		8.00%	3/12/2025		19,274		19,150		19,274
				Preferred Member Units	(8)	154						5,760		11,760			Preferred Member Units	(8)	3/12/2020	154						5,760		16,280
												24,881		31,034												32,510		43,154
Congruent Credit Opportunities Funds	(12) (13)	January 24, 2012	Investment Partnership												(12) (13)	Investment Partnership
				LP Interests (Congruent Credit Opportunities Fund III, LP)	(8) (31)	17.4%						11,741		11,362			LP Interests (Congruent Credit Opportunities Fund III, LP)	(8) (31)	2/4/2015	17.4%						9,150		8,853

DMA Industries, LLC																Distributor of aftermarket ride control products
																	Secured Debt		11/19/2021		12.00%	11/19/2026		21,200		21,004		21,004
																	Preferred Equity		11/19/2021	5,944						5,944		5,944
																										26,948		26,948
Dos Rios Partners															(12) (13)	Investment Partnership
																	LP Interests (Dos Rios Partners, LP)	(31)	4/25/2013	20.2%						6,605		10,419
																	LP Interests (Dos Rios Partners - A, LP)	(31)	4/25/2013	6.4%						2,097		3,308
																										8,702		13,727
Dos Rios Stone Products LLC															(10)	Limestone and Sandstone Dimension Cut Stone Mining Quarries
																	Class A Preferred Units	(30)	6/27/2016	2,000,000						2,000		350

EIG Fund Investments															(12) (13)	Investment Partnership
																	LP Interests (EIG Global Private Debt Fund-A, L.P.)	(8) (31)	11/6/2015	11.1%						546		499

Flame King Holdings, LLC																Propane Tank and Accessories Distributor
																	Secured Debt	(9)	10/29/2021		7.50% (L+6.50%, Floor 1.00%)	10/31/2026		7,600		7,528		7,528
																	Secured Debt	(9)	10/29/2021		12.00% (L+11.00%, Floor 1.00%)	10/31/2026		21,200		21,006		21,006
																	Preferred Equity	(8)	10/29/2021	9,360						10,400		10,400
																										38,934		38,934
Freeport Financial Funds															(12) (13)	Investment Partnership
																	LP Interests (Freeport Financial SBIC Fund LP)	(31)	3/23/2015	9.3%						4,481		4,585
																	LP Interests (Freeport First Lien Loan Fund III LP)	(8) (31)	7/31/2015	6.0%						7,629		7,231
																										12,110		11,816
GFG Group, LLC.																Grower and Distributor of a Variety of Plants and Products to Other Wholesalers, Retailers and Garden Centers
																	Secured Debt		3/31/2021		12.00%	3/31/2026		12,545		12,442		12,545
																	Preferred Member Units	(8)	3/31/2021	226						4,899		6,989
																										17,341		19,534
Harris Preston Fund Investments															(12) (13)	Investment Partnership
																	LP Interests (HPEP 3, L.P.)	(8) (31)	8/9/2017	8.2%						3,445		4,684

Hawk Ridge Systems, LLC																Value-Added Reseller of Engineering Design and Manufacturing Solutions

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Copper Trail Fund Investments	(12) (13)	July 17, 2017	Investment Partnership
				LP Interests (Copper Trail Energy Fund I, LP)	(8) (31)	12.4%						2,161		1,843

Dos Rios Partners	(12) (13)	April 25, 2013	Investment Partnership
				LP Interests (Dos Rios Partners, LP)	(31)	20.2%						6,605		7,024
				LP Interests (Dos Rios Partners - A, LP)	(31)	6.4%						2,097		2,230
												8,702		9,254
Dos Rios Stone Products LLC	(10)	June 27, 2016	Limestone and Sandstone Dimension Cut Stone Mining Quarries
				Class A Preferred Units	(30)	2,000,000						2,000		1,019

East Teak Fine Hardwoods, Inc.		April 13, 2006	Distributor of Hardwood Products
				Common Stock		6,250						480		430

EIG Fund Investments	(12) (13)	November 6, 2015	Investment Partnership
				LP Interests (EIG Global Private Debt Fund-A, L.P.)	(8) (31)	11.1%						606		485

Freeport Financial Funds	(12) (13)	June 13, 2013	Investment Partnership
				LP Interests (Freeport Financial SBIC Fund LP)	(31)	9.3%						5,974		5,650
				LP Interests (Freeport First Lien Loan Fund III LP)	(8) (31)	6.0%						8,468		8,004
												14,442		13,654
GFG Group, LLC.		March 31, 2021	Grower and Distributor of a Variety of Plants and Products to Other Wholesalers, Retailers and Garden Centers
				Secured Debt			12.00%	3/31/2026		12,545		12,426		12,426
				Preferred Member Units	(8)	226						4,900		4,900
												17,326		17,326
Harris Preston Fund Investments	(12) (13)	August 9, 2017	Investment Partnership
				LP Interests (HPEP 3, L.P.)	(31)	8.2%						3,445		4,163

Hawk Ridge Systems, LLC	(13)	December 2, 2016	Value-Added Reseller of Engineering Design and Manufacturing Solutions
				Secured Debt			9.50%	12/2/2023		18,400		18,382		18,400			Secured Debt	(9)	12/2/2016		7.00% (L+6.00%, Floor 1.00%)	1/15/2026		2,585		2,585		2,585
				Preferred Member Units	(8)	226						2,850		10,630			Secured Debt		12/2/2016		8.00%	1/15/2026		34,800		34,680		34,800
				Preferred Member Units	(30)	226						150		560			Preferred Member Units	(8)	12/2/2016	226						2,850		16,570
												21,382		29,590			Preferred Member Units	(30)	12/2/2016	226						150		870
																										40,265		54,825
Houston Plating and Coatings, LLC																Provider of Plating and Industrial Coating Services
																	Unsecured Convertible Debt		5/1/2017		8.00%	5/1/2022		3,000		3,000		2,870
																	Member Units	(8)	1/8/2003	322,297						2,352		2,969
																										5,352		5,839
I-45 SLF LLC															(12) (13)	Investment Partnership
																	Member Units (Fully diluted 20.0%; 24.40% profits interest)	(8)	10/20/2015							19,000		14,439

Iron-Main Investments, LLC																Consumer Reporting Agency Providing Employment Background Checks and Drug Testing
																	Secured Debt		8/2/2021		12.50%	11/15/2026		4,600		4,559		4,559
																	Secured Debt		9/1/2021		12.50%	11/15/2026		3,200		3,171		3,171
																	Secured Debt		11/15/2021		12.50%	11/15/2026		28,944		28,759		28,759
																	Common Stock		8/3/2021	179,778						1,798		1,798
																										38,287		38,287
L.F. Manufacturing Holdings, LLC															(10)	Manufacturer of Fiberglass Products
																	Preferred Member Units (non-voting)	(8) (19)	1/1/2019		14.00% PIK					111		111
																	Member Units	(8)	12/23/2013	2,179,001						2,019		2,560
																										2,130		2,671
OnAsset Intelligence, Inc.																Provider of Transportation Monitoring / Tracking Products and Services
																	Secured Debt	(19)	5/20/2014		12.00% PIK	12/31/2022		964		964		964
																	Secured Debt	(19)	3/21/2014		12.00% PIK	12/31/2022		983		983		983
																	Secured Debt	(19)	5/10/2013		12.00% PIK	12/31/2022		2,116		2,116		2,116
																	Secured Debt	(19)	4/18/2011		12.00% PIK	12/31/2022		4,415		4,415		4,415
																	Unsecured Debt	(19)	6/5/2017		10.00% PIK	12/31/2022		197		197		197
																	Preferred Stock	(19)	4/18/2011	912	7.00% PIK					1,981		-
																	Common Stock		4/15/2021	635						830		-
																	Warrants	(27)	4/18/2011	4,699		5/10/2023				1,089		-
																										12,575		8,675
Oneliance, LLC																Construction Cleaning Company
																	Secured Debt	(9)	8/6/2021		12.00% (L+11.00%, Floor 1.00%)	8/6/2026		5,600		5,550		5,550
																	Preferred Stock		8/6/2021	1,056						1,056		1,056
																										6,606		6,606
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)																Provider of Rigsite Accommodation Unit Rentals and Related Services
																	Secured Debt	(14) (17)	6/30/2015		12.00%	1/8/2018		30,369		29,865		-
																	Preferred Member Units		1/8/2013	250						2,500		-
																										32,365		-
SI East, LLC																Rigid Industrial Packaging Manufacturing
																	Secured Debt		8/31/2018		10.25%	8/31/2023		65,543		65,448		65,543
																	Preferred Member Units	(8)	8/31/2018	157						1,218		12,529
																										66,666		78,072
Slick Innovations, LLC																Text Message Marketing Platform
																	Secured Debt		9/13/2018		13.00%	9/13/2023		5,120		5,061		5,120
																	Common Stock		9/13/2018	70,000						700		1,510
																	Warrants	(27)	9/13/2018	18,084		9/13/2028				181		400
																										5,942		7,030

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Sonic Systems International, LLC	(10)	Nuclear Power Staffing Services
			Secured Debt	(9)	8/20/2021		8.50% (L+7.50%, Floor 1.00%)	8/20/2026		11,982		11,769		11,769
			Common Stock		8/20/2021	7,866						1,070		1,010
												12,839		12,779
Superior Rigging & Erecting Co.		Provider of Steel Erecting, Crane Rental & Rigging Services
			Secured Debt		8/31/2020		12.00%	8/31/2025		21,500		21,344		21,344
			Preferred Member Units		8/31/2020	1,571						4,500		4,500
												25,844		25,844
The Affiliati Network, LLC		Performance Marketing Solutions
			Secured Debt		8/9/2021		7.00%	8/9/2026		1,080		1,063		1,063
			Secured Debt		8/9/2021		11.83%	8/9/2026		12,961		12,841		12,841
			Preferred Stock	(8)	8/9/2021	1,280,000						6,400		6,990
												20,304		20,894
UnionRock Energy Fund II, LP	(12) (13)	Investment Partnership
			LP Interests	(8) (31)	6/15/2020	11.1%						1,243		1,653

UniTek Global Services, Inc.	(11)	Provider of Outsourced Infrastructure Services
			Secured Debt	(9) (19)	10/15/2018		8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%)	8/20/2024		399		398		373
			Secured Debt	(9) (19)	8/27/2018		8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%)	8/20/2024		1,996		1,985		1,864
			Secured Convertible Debt	(19)	1/1/2021		15.00% PIK	2/20/2025		1,290		1,290		2,388
			Preferred Stock	(8) (19)	8/29/2019	1,133,102	20.00% PIK					1,844		2,833
			Preferred Stock	(19)	8/21/2018	1,521,122	20.00% PIK					2,188		1,835
			Preferred Stock	(19)	6/30/2017	2,281,682	19.00% PIK					3,667		-
			Preferred Stock	(19)	1/15/2015	4,336,866	13.50% PIK					7,924		-
			Common Stock		4/1/2020	945,507						-		-
												19,296		9,293
Universal Wellhead Services Holdings, LLC	(10)	Provider of Wellhead Equipment, Designs, and Personnel to the Oil & Gas Industry
			Preferred Member Units	(19) (30)	12/7/2016	716,949	14.00% PIK					1,032		-
			Member Units	(30)	12/7/2016	4,000,000						4,000		-
												5,032		-
Volusion, LLC		Provider of Online Software-as-a-Service eCommerce Solutions
			Secured Debt	(17)	1/26/2015		11.50%	1/26/2020		17,084		17,084		17,084
			Unsecured Convertible Debt		5/16/2018		8.00%	11/16/2023		409		409		409
			Preferred Member Units		1/26/2015	4,876,670						14,000		5,989
			Warrants	(27)	1/26/2015	1,831,355		1/26/2025				2,576		-
												34,069		23,482
Subtotal Affiliate Investments (29.9% of net assets at fair value)											$	583,428	$	559,439

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Houston Plating and Coatings, LLC

January 8, 2003
Provider of Plating and Industrial Coating Services

Unsecured Convertible Debt

8.00%
5/1/2022

3,000

3,000

2,900

Member Units
(8)
322,297

2,352

3,520

5,352

6,420
I-45 SLF LLC
(12) (13)
October 20, 2015
Investment Partnership

Member Units (Fully diluted 20.0%; 24.40% profits
interest) (8)
(8) (31)
20.00% Fully Diluted, 24.40% Profits Interest

19,000

15,466

L.F. Manufacturing Holdings, LLC
(10)
December 23, 2013
Manufacturer of Fiberglass Products

Preferred Member Units (non-voting)
(8) (19)

14.00% PIK

100

100

Member Units

2,179,001

2,019

1,910

2,119

2,010
OnAsset Intelligence, Inc.

April 18, 2011
Provider of Transportation Monitoring / Tracking Products and Services

Secured Debt
(19)

12.00% PIK
12/31/2022

7,748

7,748

7,748

Unsecured Debt
(19)

10.00% PIK
12/31/2022

67

67

67

Preferred Stock

912

1,981

-

Common Stock

635

830

-

Warrants
(27)
4,699

5/10/2023

1,089

-

11,715

7,815
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

January 8, 2013
Provider of Rigsite Accommodation Unit Rentals and Related Services

Secured Debt
(14) (32)

12.00%
1/8/2018

30,369

29,865

-

Preferred Member Units

250

2,500

-

32,365

-
SI East, LLC

August 31, 2018
Rigid Industrial Packaging Manufacturing

Secured Debt

8.75%
8/31/2023

29,175

29,030

29,173

Preferred Member Units
(8)
157

6,000

15,030

35,030

44,203
Slick Innovations, LLC

September 13, 2018
Text Message Marketing Platform

Secured Debt

12.00%
9/13/2023

5,400

5,309

5,400

Common Stock

70,000

700

1,510

Warrants
(27)
18,084

9/13/2028

181

400

6,190

7,310
Superior Rigging & Erecting Co.

August 31, 2020
Provider of Steel Erecting, Crane Rental & Rigging Services

Secured Debt

12.00%
8/31/2025

21,500

21,315

21,315

Preferred Member Units

1,571

4,500

4,500

25,815

25,815

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
UniTek Global Services, Inc.
(11)
April 15, 2011
Provider of Outsourced Infrastructure Services

Secured Debt
(9) (19)

8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%)
8/20/2024

2,364

2,349

2,147

Secured Debt
(19)

15.00% PIK
2/20/2025

1,153

1,153

1,508

Preferred Stock
(8) (19)
1,133,102
20.00% PIK

1,590

2,743

Preferred Stock
(14) (19)
1,521,122
20.00% PIK

2,188

-

Preferred Stock
(14) (19)
2,281,682
19.00% PIK

3,667

-

Common Stock

945,507

-

-

Preferred Stock
(14) (19)
4,336,866
13.50% PIK

7,924

-

18,871

6,398
Universal Wellhead Services Holdings, LLC
(10)
October 30, 2014
Provider of Wellhead Equipment, Designs, and Personnel to the Oil & Gas Industry

Preferred Member Units
(19) (30)
716,949
14.00% PIK

1,032

-

Member Units
(30)
4,000,000

4,000

-

5,032

-
Volusion, LLC

January 26, 2015
Provider of Online Software-as-a-Service eCommerce Solutions

Secured Debt
(17)

11.50%
1/26/2020

20,234

20,234

20,234

Unsecured Convertible Debt

8.00%
11/16/2023

409

409

409

Preferred Member Units

4,876,670

14,000

5,990

Warrants
(27)
1,831,355

1/26/2025

2,576

-

37,219

26,633
Subtotal Affiliate Investments (24.1% of net assets at fair value)

$
421,424
$
387,476


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Non-Control/Non-Affiliate Investments (7)

Acousti Engineering Company of Florida	(10)	Interior Subcontractor Providing Acoustical Walls and Ceilings
			Secured Debt	(9)	11/2/2020		10.00% (L+8.50%, Floor 1.50%)	11/2/2025	$	11,115	$	11,018	$	11,115
			Secured Debt	(9)	5/26/2021		14.00% (L+12.50%, Floor 1.50%)	11/2/2025		839		831		839
												11,849		11,954
Adams Publishing Group, LLC	(10)	Local Newspaper Operator
			Secured Debt	(9)	3/11/2022		8.50% (L+7.50%, Floor 1.00%)	3/11/2027		25,618		25,550		25,550

ADS Tactical, Inc.	(11)	Value-Added Logistics and Supply Chain Provider to the Defense Industry
			Secured Debt	(9)	3/29/2021		6.75% (L+5.75%, Floor 1.00%)	3/19/2026		21,861		21,488		20,969

American Health Staffing Group, Inc.	(10)	Healthcare Temporary Staffing
			Secured Debt	(9)	11/19/2021		7.00% (L+6.00%, Floor 1.00%)	11/19/2026		6,667		6,593		6,593

American Nuts, LLC	(10)	Roaster, Mixer and Packager of Bulk Nuts and Seeds
			Secured Debt	(9) (39)	3/11/2022		7.75% (SOFR+6.75%, Floor 1.00%)	4/10/2026		19,756		19,411		19,411
			Secured Debt	(9) (39)	3/11/2022		9.75% (SOFR+8.75%, Floor 1.00%)	4/10/2026		19,756		19,411		19,411
												38,822		38,822
American Teleconferencing Services, Ltd.	(11)	Provider of Audio Conferencing and Video Collaboration Solutions
			Secured Debt	(9) (14)	9/17/2021		7.50% (L+6.50%, Floor 1.00%)	6/30/2022		2,980		2,980		164
			Secured Debt	(9) (14)	5/19/2016		7.50% (L+6.50%, Floor 1.00%)	6/28/2023		14,370		13,706		790
												16,686		954
ArborWorks, LLC	(10)	Vegetation Management Services
			Secured Debt	(9)	11/9/2021		8.00% (L+7.00%, Floor 1.00%)	11/9/2026		30,178		29,489		29,489
			Common Equity		11/9/2021	234						234		234
												29,723		29,723
Arrow International, Inc	(10)	Manufacturer and Distributor of Charitable Gaming Supplies
			Secured Debt	(9) (23)	12/21/2020		9.18% (L+7.93%, Floor 1.25%)	12/21/2025		22,500		22,313		22,500

ATS Operating, LLC	(10)	For-Profit Thrift Retailer
			Secured Debt	(9) (39)	1/18/2022		7.50%(SOFR+6.50%, Floor 1.00%)	1/18/2027		720		720		720
			Secured Debt	(9) (39)	1/18/2022		6.50%(SOFR+5.50%, Floor 1.00%)	1/18/2027		6,660		6,660		6,660
			Secured Debt	(9) (39)	1/18/2022		8.50%(SOFR+7.50%, Floor 1.00%)	1/18/2027		6,660		6,660		6,660
			Common Stock		1/18/2022	720,000						720		720
												14,760		14,760
AVEX Aviation Holdings, LLC	(10)	Specialty Aircraft Dealer
			Secured Debt	(9)	12/15/2021		8.00% (L+7.00%, Floor 1.00%)	12/15/2026		13,289		12,991		12,991
			Common Equity		12/15/2021	360						360		360
												13,351		13,351
BDS Solutions IntermediateCo, LLC	(10)	Outsourced Consumer Services Provider

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
																	Secured Debt	(9) (39)	2/7/2022		7.50% (SOFR+6.50%, Floor 1.00%)	2/7/2027		39,886		39,047		39,047
Non-Control/Non-Affiliate Investments (7)

Acousti Engineering Company of Florida	(10)	November 2, 2020	Interior Subcontractor Providing Acoustical Walls and Ceilings
Berry Aviation, Inc.															(10)	Charter Airline Services
				Secured Debt	(9)		10.00% (L+8.50%, Floor 1.50%)	11/2/2025	$	12,381	$	12,261	$	12,376			Secured Debt	(19)	7/6/2018		12.00% (10.50% Cash, 1.50% PIK)	1/6/2024		193		193		193
				Secured Debt	(9)		14.00% (L+12.50%, Floor 1.50%)	11/2/2025		860		851		851			Preferred Member Units	(8) (19) (30)	11/12/2019	122,416	16.00% PIK					175		325
												13,112		13,227			Preferred Member Units	(8) (19) (30)	7/6/2018	1,548,387	8.00% PIK					2,066		4,006
Adams Publishing Group, LLC	(10)	November 19, 2015	Local Newspaper Operator
				Secured Debt	(9)		8.75% (L+7.00%, Floor 1.75%)	7/3/2023		5,358		5,267		5,318												2,434		4,524

ADS Tactical, Inc.	(11)	March 7, 2017	Value-Added Logistics and Supply Chain Provider to the Defense Industry
				Secured Debt	(9)		6.75% (L+5.75%, Floor 1.00%)	3/19/2026		24,038		23,569		24,219

Affordable Care Holding Corp.	(10)	May 9, 2019	Dental Support Organization
				Secured Debt	(9)		5.75% (L+4.75%, Floor 1.00%)	10/22/2022		14,171		14,038		14,162

American Nuts, LLC	(10)	April 10, 2018	Roaster, Mixer and Packager of Bulk Nuts and Seeds
				Secured Debt	(9)		9.00% (L+8.00%, Floor 1.00%)	4/10/2023		12,074		11,932		12,074

American Teleconferencing Services, Ltd.	(11)	May 19, 2016	Provider of Audio Conferencing and Video Collaboration Solutions								��
				Secured Debt	(9) (14)		7.50% (L+6.50%, Floor 1.00%)	6/8/2023		17,350		16,687		7,612

Arcus Hunting LLC	(10)	January 6, 2015	Manufacturer of Bowhunting and Archery Products and Accessories
				Secured Debt	(9)		11.00% (L+10.00%, Floor 1.00%)	3/31/2022		12,591		12,493		12,591

Arrow International, Inc	(10)	December 21, 2020	Manufacturer and Distributor of Charitable Gaming Supplies
				Secured Debt	(9) (23)		9.23% (L+7.98%, Floor 1.25%)	12/21/2025		9,000		8,919		9,000

ASC Ortho Management Company, LLC	(10)	August 31, 2018	Provider of Orthopedic Services
Binswanger Enterprises, LLC															(10)	Glass Repair and Installation Service Provider
				Secured Debt	(9)		8.50% (L+7.50%, Floor 1.00%)	8/31/2023		5,140		5,092		5,133			Secured Debt	(9)	3/10/2017		9.50% (L+8.50%, Floor 1.00%)	3/10/2023		12,001		11,933		12,001
				Secured Debt	(19)		13.25% PIK	12/1/2023		2,260		2,239		2,260			Member Units		3/10/2017	1,050,000						1,050		730
												7,331		7,393												12,983		12,731
Bluestem Brands, Inc.															(11)	Multi-Channel Retailer of General Merchandise
																	Secured Debt	(9)	8/28/2020		10.00% (L+8.50%, Floor 1.50%)	8/28/2025		5,357		5,357		5,337
																	Common Stock	(8)	10/1/2020	723,184						1		2,775
																										5,358		8,112
Brainworks Software, LLC															(10)	Advertising Sales and Newspaper Circulation Software
																	Secured Debt	(9) (14) (17)	8/12/2014		12.50% (Prime+9.25%, Floor 3.25%)	7/22/2019		7,817		7,817		4,201

Brightwood Capital Fund Investments															(12) (13)	Investment Partnership
																	LP Interests (Brightwood Capital Fund III, LP)	(8) (31)	7/21/2014	1.6%						7,110		4,502
																	LP Interests (Brightwood Capital Fund IV, LP)	(8) (31)	10/26/2016	0.6%						4,350		4,394
																										11,460		8,896
Burning Glass Intermediate Holding Company, Inc.															(10)	Provider of Skills-Based Labor Market Analytics
																	Secured Debt	(9)	6/14/2021		6.00% (L+5.00%, Floor 1.00%)	6/10/2026		465		431		431
																	Secured Debt	(9)	6/14/2021		6.00% (L+5.00%, Floor 1.00%)	6/10/2028		20,084		19,767		20,084
																										20,198		20,515
Cadence Aerospace LLC															(10)	Aerostructure Manufacturing
																	Secured Debt	(9) (19) (34)	11/14/2017		9.28% Cash, 0.22% PIK	11/14/2023		28,553		28,432		28,553

CAI Software LLC																Provider of Specialized Enterprise Resource Planning Software
																	Preferred Equity		12/13/2021	1,788,527						1,789		1,789
																	Preferred Equity		12/13/2021	596,176						-		-
																										1,789		1,789
Camin Cargo Control, Inc.															(11)	Provider of Mission Critical Inspection, Testing and Fuel Treatment Services
																	Secured Debt	(9)	6/14/2021		7.50% (L+6.50%, Floor 1.00%)	6/4/2026		15,378		15,246		15,301

Cenveo Corporation															(11)	Provider of Digital Marketing Agency Services
																	Common Stock		9/7/2018	322,907						6,183		3,849

Clarius BIGS, LLC															(10)	Prints & Advertising Film Financing
																	Secured Debt	(14) (17) (19)	9/23/2014		15.00% PIK	1/5/2015		2,746		2,746		25

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
ATX Networks Corp.	(11) (13) (21)	June 30, 2015	Provider of Radio Frequency Management Equipment

Computer Data Source, LLC															(10)	Third Party Maintenance Provider to the Data Center Ecosystem
				Secured Debt	(9) (19)		8.75% (7.25% Cash, 1.50% PIK) (1.50% PIK + L+6.25%, Floor 1.00%)	12/31/2023		13,352		13,350		12,217			Secured Debt	(9)	8/6/2021		8.50% (L+7.50%, Floor 1.00%)	8/6/2026		23,294		22,874		23,165

Berry Aviation, Inc.	(10)	July 6, 2018	Charter Airline Services
Construction Supply Investments, LLC															(10)	Distribution Platform of Specialty Construction Materials to Professional Concrete and Masonry Contractors
																	Member Units		12/29/2016	861,618						3,335		15,605

Darr Equipment LP															(10)	Heavy Equipment Dealer
																	Secured Debt		12/26/2017		11.50%	6/22/2023		4,681		4,681		4,413
																	Warrants	(29)	4/15/2014	915,734		12/23/2023				474		160
																										5,155		4,573
DTE Enterprises, LLC															(10)	Industrial Powertrain Repair and Services
				Secured Debt	(19)		12.00% (10.50% Cash, 1.5% PIK)	1/6/2024		4,659		4,634		4,659			Secured Debt	(9)	4/13/2018		9.50% (L+8.00%, Floor 1.50%)	4/13/2023		9,324		9,272		8,897
				Preferred Member Units	(8) (19) (30)	122,416	16.00% PIK					156		156			Class AA Preferred Member Units (non-voting)	(8) (19)	4/13/2018		10.00% PIK					1,077		1,077
				Preferred Member Units	(19) (30)	1,548,387	8.00% PIK					1,671		1,777			Class A Preferred Member Units	(19)	4/13/2018	776,316	8.00% PIK					776		320
												6,461		6,592												11,125		10,294
BigName Commerce, LLC	(10)	May 11, 2017	Provider of Envelopes and Complimentary Stationery Products
Dynamic Communities, LLC															(10)	Developer of Business Events and Online Community Groups
				Secured Debt	(9)		8.25% (L+7.25%, Floor 1.00%)	5/11/2022		1,946		1,941		1,946			Secured Debt	(9)	7/17/2018		9.50% (L+8.50%, Floor 1.00%)	7/17/2023		5,681		5,645		5,327

Binswanger Enterprises, LLC	(10)	March 10, 2017	Glass Repair and Installation Service Provider
Eastern Wholesale Fence LLC															(10)	Manufacturer and Distributor of Residential and Commercial Fencing Solutions
																	Secured Debt	(9)	11/19/2020		8.00%, (L+7.00%, Floor 1.00%)	10/30/2025		33,484		32,953		33,484

Emerald Technologies Acquisition Co, Inc.															(11)	Design & Manufacturing
																	Secured Debt	(9) (39)	2/10/2022		7.25% (SOFR+6.25%, Floor 1.00%)	2/10/2028		9,375		9,190		9,234

EnCap Energy Fund Investments															(12) (13)	Investment Partnership
				Secured Debt	(9)		9.00% (L+8.00%, Floor 1.00%)	3/9/2022		12,580		12,488		12,580			LP Interests (EnCap Energy Capital Fund VIII, L.P.)	(8) (31)	1/22/2015	0.1%						3,745		1,988
				Member Units		1,050,000						1,050		730			LP Interests (EnCap Energy Capital Fund VIII Co- Investors, L.P.)	(31)	1/21/2015	0.4%						2,097		947
												13,538		13,310			LP Interests (EnCap Energy Capital Fund IX, L.P.)	(8) (31)	1/22/2015	0.1%						3,903		2,155
Bluestem Brands, Inc.	(11)	December 19, 2013	Multi-Channel Retailer of General Merchandise
				Secured Debt	(9)		10.00% (L+8.50%, Floor 1.50%)	8/28/2025		5,879		5,879		5,849			LP Interests (EnCap Energy Capital Fund X, L.P.)	(8) (31)	3/25/2015	0.1%						8,408		8,815
				Common Stock	(8)	723,184						1		940			LP Interests (EnCap Flatrock Midstream Fund II, L.P.)	(31)	3/30/2015	0.8%						5,358		1,515
												5,880		6,789			LP Interests (EnCap Flatrock Midstream Fund III, L.P.)	(8) (31)	3/27/2015	0.2%						6,070		5,037
Brainworks Software, LLC	(10)	August 12, 2014	Advertising Sales and Newspaper Circulation Software
				Secured Debt	(9) (14) (17)		12.50% (Prime+9.25%, Floor 3.25%)	7/22/2019		7,817		7,817		5,774												29,581		20,457

Brightwood Capital Fund Investments	(12) (13)	July 21, 2014	Investment Partnership
				LP Interests (Brightwood Capital Fund III, LP)	(8) (31)	1.6%						8,040		5,018
				LP Interests (Brightwood Capital Fund IV, LP)	(8) (31)	0.6%						4,350		4,350
												12,390		9,368
Burning Glass Intermediate Holding Company, Inc.	(10)	June 14, 2021	Provider of Skills-Based Labor Market Analytics
				Secured Debt	(9)		6.00% (L+5.00%, Floor 1.00%)	6/10/2028		16,892		16,517		16,517

Cadence Aerospace LLC	(10)	November 14, 2017	Aerostructure Manufacturing
				Secured Debt	(9) (19)		9.50% (4.25% Cash, 5.25% PIK) (5.25% PIK + L+3.25%, Floor 1.00%)	11/14/2023		28,409		28,225		26,605

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
California Pizza Kitchen, Inc.	(11)	August 29, 2016	Casual Restaurant Group
EPIC Y-Grade Services, LP															(11)	NGL Transportation & Storage
																	Secured Debt	(9)	6/22/2018		7.00% (L+6.00%, Floor 1.00%)	6/30/2027		6,875		6,806		5,815

Event Holdco, LLC															(10)	Event and Learning Management Software for Healthcare Organizations and Systems
																	Secured Debt	(9) (30)	12/22/2021		8.00% (L+7.00%, Floor 1.00%)	12/22/2026		46,154		45,700		45,700

Flip Electronics LLC															(10)	Distributor of Hard-to-Find and Obsolete Electronic Components
																	Secured Debt	(9) (39)	1/4/2021		8.50% (SOFR+7.50%, Floor 1.00%)	1/2/2026		6,185		6,061		6,061

Fortna Acquisition Co., Inc.															(10)	Process, Physical Distribution and Logistics Consulting Services
																	Secured Debt		7/23/2019		5.21% (L+5.00%)	4/8/2025		7,542		7,477		7,542

Fuse, LLC															(11)	Cable Networks Operator
																	Secured Debt		6/30/2019		12.00%	6/28/2024		1,810		1,810		1,672
																	Common Stock		6/30/2019	10,429						256		-
																										2,066		1,672
GeoStabilization International (GSI)															(11)	Geohazard Engineering Services & Maintenance
																	Secured Debt		1/2/2019		5.58% (L+5.25%)	12/19/2025		20,710		20,621		20,606

GoWireless Holdings, Inc.															(11)	Provider of Wireless Telecommunications Carrier Services
																	Secured Debt	(9)	1/10/2018		7.50% (L+6.50%, Floor 1.00%)	12/22/2024		18,249		18,164		18,249

Grupo Hima San Pablo, Inc.															(11)	Tertiary Care Hospitals
				Secured Debt	(9)		11.50% (L+10.00%, Floor 1.50%)	11/23/2024		7,700		7,338		7,713			Secured Debt	(9) (14) (17)	3/7/2013		9.25% (L+7.00%, Floor 1.50%)	4/30/2019		4,504		4,504		968
				Secured Debt	(9) (19)		13.50% (1.00% Cash, 12.50% PIK) (1.00% Cash, L+11.00% PIK, Floor 1.50%)	11/23/2024		2,858		2,800		2,901			Secured Debt	(14) (17)	3/7/2013		13.75%	10/15/2018		2,055		2,040		49
				Secured Debt	(9) (19)		15.00% (1.00% Cash, 14.00% PIK) (1.00% Cash, L+12.50% PIK, Floor 1.50%)	5/23/2025		2,455		2,455		2,486			Secured Debt	(14) (17)	3/7/2013		12.00%	12/24/2021		147		147		147
												12,593		13,100												6,691		1,164
Camin Cargo Control, Inc.	(11)	June 14, 2021	Provider of Mission Critical Inspection, Testing and Fuel Treatment Services
GS HVAM Intermediate, LLC															(10)	Specialized Food Distributor
				Secured Debt	(9)		7.50% (L+6.50%, Floor 1.00%)	6/4/2026		16,000		15,840		15,920			Secured Debt	(9)	10/18/2019		6.75% (L+5.75%, Floor 1.00%)	10/2/2024		13,187		13,118		13,187

Central Security Group, Inc.	(11)	December 4, 2017	Security Alarm Monitoring Service Provider
GS Operating, LLC (Gexpro)															(10)	Distributor of Industrial and Specialty Parts
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	10/16/2025		6,857		6,857		6,411			Secured Debt	(9) (39)	1/3/2022		6.75% (SOFR+6.00%, Floor 0.75%)	1/3/2028		30,182		29,359		30,182
				Common Stock		329,084						1,481		740
												8,338		7,151
Cenveo Corporation	(11)	September 4, 2015	Provider of Digital Marketing Agency Services
HDC/HW Intermediate Holdings															(10)	Managed Services and Hosting Provider
				Common Stock		322,907						6,183		2,301			Secured Debt	(9)	12/21/2018		8.50% (L+7.50%, Floor 1.00%)	12/21/2023		3,449		3,422		3,063

Chisholm Energy Holdings, LLC	(10)	May 15, 2019	Oil & Gas Exploration & Production
Heartland Dental, LLC															(10)	Dental Support Organization
				Secured Debt	(9)		7.75% (L+6.25%, Floor 1.50%)	5/15/2026		2,857		2,799		2,658			Secured Debt	(9)	9/9/2020		7.50% (L+6.50%, Floor 1.00%)	4/30/2025		14,775		14,465		14,775

Clarius BIGS, LLC	(10)	September 23, 2014	Prints & Advertising Film Financing
HOWLCO LLC															(11) (13) (21)	Provider of Accounting and Business Development Software to Real Estate End Markets
				Secured Debt	(14) (17) (19)		15.00% PIK	1/5/2015		2,803		2,803		1			Secured Debt	(9)	8/19/2021		7.00% (L+6.00%, Floor 1.00%)	10/23/2026		25,482		25,482		25,482

Clickbooth.com, LLC	(10)	December 5, 2017	Provider of Digital Advertising Performance Marketing Solutions
				Secured Debt	(9)		9.50% (L+8.50%, Floor 1.00%)	1/31/2025		7,750		7,674		7,750

Construction Supply Investments, LLC	(10)	December 29, 2016	Distribution Platform of Specialty Construction Materials to Professional Concrete and Masonry Contractors
				Member Units	(8)	861,618						3,335		7,525

Copper Trail Fund Investments	(12) (13)	July 17, 2017	Investment Partnership
				LP Interests (CTEF I, LP)		375						-		103

Corel Corporation	(11) (13) (21)	July 24, 2019	Publisher of Desktop and Cloud-based Software
				Secured Debt			5.14% (L+5.00%)	7/2/2026		23,041		22,253		23,085

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Darr Equipment LP	(10)	April 15, 2014	Heavy Equipment Dealer

Hybrid Promotions, LLC															(10)	Wholesaler of Licensed, Branded and Private Label Apparel
				Secured Debt	(19)		12.50% (11.50% Cash, 1.00% PIK)	6/22/2023		5,989		5,989		5,989			Secured Debt	(9)	6/30/2021		9.25% (L+8.25%, Floor 1.00%)	6/30/2026		7,088		6,964		6,930
				Warrants	(29)	915,734		12/23/2023				474		-
IG Parent Corporation															(11)	Software Engineering
												6,463		5,989			Secured Debt	(9)	7/30/2021		6.75% (L+5.75%, Floor 1.00%)	7/30/2026		10,067		9,905		10,040
DTE Enterprises, LLC	(10)	April 13, 2018	Industrial Powertrain Repair and Services

Implus Footcare, LLC															(10)	Provider of Footwear and Related Accessories
																	Secured Debt	(9)	6/1/2017		8.75% (L+7.75%, Floor 1.00%)	4/30/2024		18,656		18,449		17,623

Independent Pet Partners Intermediate Holdings, LLC															(10)	Omnichannel Retailer of Specialty Pet Products
				Secured Debt	(9)		10.00% (L+8.50%, Floor 1.50%)	4/13/2023		9,324		9,236		9,061			Secured Debt	(9) (19) (35)	8/20/2020		L+6.50% PIK	12/22/2022		6,442		6,442		6,442
				Class AA Preferred Member Units (non-voting)	(8) (19)		10.00% PIK					999		999			Secured Debt	(19)	12/10/2020		6.00% PIK	11/20/2023		18,154		17,258		17,258
				Class A Preferred Member Units		776,316						776		630			Preferred Stock (non-voting)	(19)	12/10/2020		6.00% PIK					3,235		4,405
												11,011		10,690			Preferred Stock (non-voting)		12/10/2020							-		-
Dynamic Communities, LLC	(10)	July 17, 2018	Developer of Business Events and Online Community Groups
				Secured Debt	(9) (19)		12.50% (6.25% Cash, 6.25% PIK) (L+11.50%, Floor 1.00%)	7/17/2023		5,639		5,584		5,505			Member Units		11/20/2018	1,558,333						1,558		-
																										28,493		28,105
Eastern Wholesale Fence LLC	(10)	November 19, 2020	Manufacturer and Distributor of Residential and Commercial Fencing Solutions
				Secured Debt	(9)		7.50%, (L+6.50%, Floor 1.00%)	10/30/2025		18,976		18,626		18,848

Echo US Holdings, LLC.	(10)	November 12, 2019	Developer and Manufacturer of PVC and Polypropylene Materials
				Secured Debt	(9)		7.88% (L+6.25%, Floor 1.63%)	10/25/2024		20,616		20,530		20,616

Electronic Transaction Consultants, LLC	(10)	July 24, 2020	Technology Service Provider for Toll Road and Infrastructure Operators
				Secured Debt	(9)		8.50% (L+7.50%, Floor 1.00%)	7/24/2025		10,000		9,845		9,993

EnCap Energy Fund Investments	(12) (13)	December 28, 2010	Investment Partnership
Industrial Services Acquisition, LLC															(10)	Industrial Cleaning Services
				LP Interests (EnCap Energy Capital Fund VIII, L.P.)	(8) (31)	0.1%						3,745		1,229			Secured Debt	(9)	8/13/2021		7.75% (L+6.75%, Floor 1.00%)	8/13/2026		19,848		19,465		19,808
				LP Interests (EnCap Energy Capital Fund VIII Co- Investors, L.P.)	(31)	0.4%						2,097		651			Preferred Member Units	(8) (19) (30)	1/31/2018	144	10.00% PIK					122		166
				LP Interests (EnCap Energy Capital Fund IX, L.P.)	(8) (31)	0.1%						4,336		1,928			Preferred Member Units	(8) (19) (30)	5/17/2019	80	20.00% PIK					84		101
				LP Interests (EnCap Energy Capital Fund X, L.P.)	(8) (31)	0.1%						8,878		7,357			Member Units	(30)	6/17/2016	900						900		729
																										20,571		20,804
Infolinks Media Buyco, LLC															(10)	Exclusive Placement Provider to the Advertising Ecosystem
																	Secured Debt	(9)	11/1/2021		7.00% (L+6.00%, Floor 1.00%)	11/1/2026		8,658		8,477		8,477

Interface Security Systems, L.L.C															(10)	Commercial Security & Alarm Services
																	Secured Debt	(9)	12/9/2021		11.75% (L+10.00%, Floor 1.75%)	8/7/2023		770		770		770
																	Secured Debt	(9) (14) (19)	8/7/2019		9.75% (8.75% Cash, 1.00% PIK) (1.00% PIK + L+7.00%, Floor 1.75%)	8/7/2023		7,313		7,237		3,831
																	Common Stock		12/7/2021	2,143						-		-
																										8,007		4,601
Intermedia Holdings, Inc.															(11)	Unified Communications as a Service
																	Secured Debt	(9)	8/3/2018		7.00% (L+6.00%, Floor 1.00%)	7/19/2025		20,627		20,563		20,487

Invincible Boat Company, LLC.															(10)	Manufacturer of Sport Fishing Boats
																	Secured Debt	(9)	8/28/2019		8.00% (L+6.50%, Floor 1.50%)	8/28/2025		16,889		16,749		16,889

INW Manufacturing, LLC															(11)	Manufacturer of Nutrition and Wellness Products
																	Secured Debt	(9)	5/19/2021		6.76% (L+5.75%, Floor 0.75%)	3/25/2027		7,313		7,123		7,166

Isagenix International, LLC															(11)	Direct Marketer of Health & Wellness Products
																	Secured Debt	(9)	6/21/2018		6.75% (L+5.75%, Floor 1.00%)	6/14/2025		5,054		5,033		3,263

Jackmont Hospitality, Inc.															(10)	Franchisee of Casual Dining Restaurants
																	Secured Debt	(9)	5/26/2015		8.50% (L+7.50%, Floor 1.00%)	11/4/2024		2,095		2,095		2,095
																	Preferred Equity	(8)	11/8/2021	2,826,667						320		320

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
				LP Interests (EnCap Flatrock Midstream Fund II, L.P.)	(8) (31)	0.8%						6,712		2,687												2,415		2,415
				LP Interests (EnCap Flatrock Midstream Fund III, L.P.)	(8) (31)	0.2%						6,953		6,093
												32,721		19,945
EPIC Y-Grade Services, LP	(11)	June 22, 2018	NGL Transportation & Storage
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	6/30/2027		6,927		6,845		6,027

Flip Electronics LLC	(10)	January 4, 2021	Distributor of Hard-to-Find and Obsolete Electronic Components
				Secured Debt	(9) (33)		9.17% (L+8.09%, Floor 1.00%)	1/2/2026		5,400		5,293		5,293

Fortna Acquisition Co., Inc.	(10)	July 23, 2019	Process, Physical Distribution and Logistics Consulting Services
				Secured Debt			5.10% (L+5.00%)	4/8/2025		7,654		7,560		7,577

Fuse, LLC	(11)	June 30, 2019	Cable Networks Operator
Joerns Healthcare, LLC															(11)	Manufacturer and Distributor of Health Care Equipment & Supplies
				Secured Debt			12.00%	6/28/2024		1,810		1,810		1,672			Secured Debt	(9)	8/21/2019		7.00% (L+6.00%, Floor 1.00%)	8/21/2024		4,034		3,993		3,329
				Common Stock		10,429						256		-			Secured Debt	(19)	11/15/2021		15.00% PIK	11/8/2022		1,705		1,705		1,705
												2,066		1,672			Common Stock		8/21/2019	472,579						4,429		-
GeoStabilization International (GSI)	(11)	December 31, 2018	Geohazard Engineering Services & Maintenance
				Secured Debt			5.35% (L+5.25%)	12/19/2025		11,167		11,087		11,167												10,127		5,034

GoWireless Holdings, Inc.	(11)	December 31, 2017	Provider of Wireless Telecommunications Carrier Services
				Secured Debt	(9)		7.50% (L+6.50%, Floor 1.00%)	12/22/2024		18,820		18,710		18,839

Grupo Hima San Pablo, Inc.	(11)	March 7, 2013	Tertiary Care Hospitals
JTI Electrical & Mechanical, LLC															(10)	Electrical, Mechanical and Automation Services
				Secured Debt	(9) (14) (17)		9.25% (L+7.00%, Floor 1.50%)	4/30/2019		4,504		4,504		2,197			Secured Debt	(9)	12/22/2021		7.00% (L+6.00%, Floor 1.00%)	12/22/2026		37,658		36,786		36,786
				Secured Debt	(14) (17)		13.75%	10/15/2018		2,055		2,040		49			Common Equity		12/22/2021	1,684,211						1,684		1,684
												6,544		2,246												38,470		38,470
GS HVAM Intermediate, LLC	(10)	October 18, 2019	Specialized Food Distributor
Klein Hersh, LLC															(10)	Executive and C-Suite Placement for the Life Sciences and Healthcare Industries
				Secured Debt	(9)		6.75% (L+5.75%, Floor 1.00%)	10/2/2024		11,224		11,136		11,224			Secured Debt	(9)	11/13/2020		7.75% (L+7.00%, Floor 0.75%)	11/13/2025		42,519		41,620		42,478

GS Operating, LLC	(10)	February 24, 2020	Distributor of Industrial and Specialty Parts
KMS, LLC															(10)	Wholesaler of Closeout and Value-priced Products
				Secured Debt	(9)		8.00% (L+6.50%, Floor 1.50%)	2/24/2025		25,666		25,293		25,666			Secured Debt	(9)	10/4/2021		8.25% (L+7.25%, Floor 1.00%)	10/4/2026		7,562		7,405		7,405

HDC/HW Intermediate Holdings	(10)	December 21, 2018	Managed Services and Hosting Provider
Kore Wireless Group Inc.															(11) (13)	Mission Critical Software Platform
				Secured Debt	(9)		8.50% (L+7.50%, Floor 1.00%)	12/21/2023		3,457		3,419		3,207			Secured Debt		12/31/2018		6.11% (L+5.50%)	12/20/2024		11,385		11,322		11,342

Heartland Dental, LLC	(10)	September 9, 2020	Dental Support Organization
Laredo Energy, LLC															(10)	Oil & Gas Exploration & Production
				Secured Debt	(9)		7.50% (L+6.50%, Floor 1.00%)	4/30/2025		14,888		14,507		15,036			Member Units		5/4/2020	1,155,952						11,561		10,099

Lightbox Holdings, L.P.															(11)	Provider of Commercial Real Estate Software
																	Secured Debt		5/23/2019		5.61% (L+5.00%)	5/9/2026		14,588		14,432		14,369

LKCM Headwater Investments I, L.P.															(12) (13)	Investment Partnership
																	LP Interests	(8) (31)	1/25/2013	2.3%						1,746		2,854

LL Management, Inc.															(10)	Medical Transportation Service Provider
																	Secured Debt	(9)	5/2/2019		8.25% (L+7.25%, Floor 1.00%)	9/25/2023		17,424		17,314		17,424

LLFlex, LLC															(10)	Provider of Metal-Based Laminates
																	Secured Debt	(9)	8/16/2021		10.00% (L+9.00%, Floor 1.00%)	8/16/2026		4,466		4,376		4,376

Logix Acquisition Company, LLC															(10)	Competitive Local Exchange Carrier
																	Secured Debt	(9)	1/8/2018		6.75% (L+5.75%, Floor 1.00%)	12/22/2024		25,780		24,642		24,298

Looking Glass Investments, LLC															(12) (13)	Specialty Consumer Finance
																	Member Units		7/1/2015	3						125		25

Mac Lean-Fogg Company															(10)	Manufacturer and Supplier for Auto and Power Markets
																	Secured Debt	(9)	4/22/2019		5.88% (L+5.25%, Floor 0.625%)	12/22/2025		16,993		16,914		16,993
																	Preferred Stock	(19)	10/1/2019		13.75% (4.50% Cash, 9.25% PIK)					1,940		1,940
																										18,854		18,933
Mako Steel, LP															(10)	Self-Storage Design & Construction
																	Secured Debt	(9) (38)	3/15/2021		8.18% (L+7.25%, Floor 0.75%)	3/13/2026		1,825		1,775		1,804

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Hunter Defense Technologies, Inc.	(10)	March 29, 2018	Provider of Military and Commercial Shelters and Systems
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	3/29/2023		34,739		34,407		34,739			Secured Debt	(9)	3/15/2021		8.38 % (L+7.25%, Floor 0.75%)	3/13/2026		15,542		15,290		15,362
																										17,065		17,166
HW Temps LLC		July 2, 2015	Temporary Staffing Solutions
				Secured Debt			8.00%	3/29/2023		7,964		7,901		7,698

Hybrid Promotions, LLC	(10)	June 30, 2021	Wholesaler of Licensed, Branded and Private Label Apparel
				Secured Debt	(9)		9.25% (L+8.25%, Floor 1.00%)	6/30/2026		7,088		6,946		6,946

Hyperion Materials & Technologies, Inc.	(11) (13) (21)	September 12, 2019	Manufacturer of Cutting and Machine Tools & Specialty Polishing Compounds
				Secured Debt	(9)		6.50% (L+5.50%, Floor 1.00%)	8/28/2026		22,163		21,810		22,169

Ian, Evan & Alexander Corporation	(10)	July 31, 2020	Cybersecurity, Software and Data Analytics provider to the Intelligence Community
				Secured Debt	(9)		9.50% (L+8.50%, Floor 1.00%)	7/31/2025		15,904		15,575		15,850

Implus Footcare, LLC	(10)	June 1, 2017	Provider of Footwear and Related Accessories
				Secured Debt	(9)		8.75% (L+7.75%, Floor 1.00%)	4/30/2024		18,796		18,519		17,567

Independent Pet Partners Intermediate Holdings, LLC	(10)	November 20, 2018	Omnichannel Retailer of Specialty Pet Products
MB2 Dental Solutions, LLC															(11)	Dental Partnership Organization
				Secured Debt	(19)		6.20% PIK (L+6.00% PIK)	12/22/2022		6,433		6,433		6,433			Secured Debt	(9)	1/28/2021		7.00% (L+6.00%, Floor 1.00%)	1/29/2027		7,956		7,846		7,956
				Secured Debt	(19)		6.00% PIK	11/20/2023		17,356		16,046		16,046			Secured Debt	(9) (36)	1/28/2021		7.10%	1/29/2027		4,610		4,567		4,610
				Preferred Stock (non-voting)								3,235		3,420												12,413		12,566
Mills Fleet Farm Group, LLC															(10)	Omnichannel Retailer of Work, Farm and Lifestyle Merchandise
				Preferred Stock (non-voting)								-		-			Secured Debt	(9)	10/24/2018		7.25% (L+6.25%, Floor 1.00%)	10/24/2024		17,781		17,582		17,781
				Member Units		1,558,333						1,558		-
												27,272		25,899
Industrial Services Acquisition, LLC	(10)	June 17, 2016	Industrial Cleaning Services
NBG Acquisition Inc															(11)	Wholesaler of Home Décor Products
				Unsecured Debt	(19)		12.00% (11.25% Cash, 0.75% PIK)	12/17/2022		5,824		5,790		5,824			Secured Debt	(9)	4/28/2017		6.99% (L+5.50%, Floor 1.00%)	4/26/2024		3,932		3,909		2,669
				Preferred Member Units	(8) (19) (30)	144	10.00% PIK					116		149
NinjaTrader, LLC															(10)	Operator of Futures Trading Platform
				Preferred Member Units	(8) (19) (30)	80	20.00% PIK					76		88			Secured Debt	(9)	12/18/2019		7.25% (L+6.25%, Floor 1.00%)	12/18/2024		31,425		30,886		31,373
				Member Units	(30)	900						900		690
												6,882		6,751
Inn of the Mountain Gods Resort and Casino	(11)	October 30, 2013	Hotel & Casino Owner & Operator
NNE Partners, LLC															(10)	Oil & Gas Exploration & Production
				Secured Debt			9.25%	11/30/2023		6,677		6,677		6,460			Secured Debt		3/2/2017		9.42% (L+9.25%)	12/31/2023		24,781		24,718		23,582

Interface Security Systems, L.L.C	(10)	August 7, 2019	Commercial Security & Alarm Services
Northstar Group Services, Inc															(11)	Commercial & Industrial Services
				Secured Debt	(9) (19)		9.75% (8.75% Cash, 1.00% PIK) (1.00% PIK + L+7.00%, Floor 1.75%)	8/7/2023		7,294		7,206		7,294			Secured Debt	(9)	11/1/2021		6.50% (L+5.50%, Floor 1.00%)	11/12/2026		9,935		9,890		9,898

NTM Acquisition Corp.															(11)	Provider of B2B Travel Information Content
																	Secured Debt	(9) (19)	7/12/2016		8.25% (7.25% Cash, 1.00% PIK) (1.00%PIK + L+6.25%, Floor 1.00%)	6/7/2024		4,538		4,538		4,380

NWN Corporation															(10)	Value Added Reseller and Provider of Managed Services to a Diverse Set of Industries
																	Secured Debt	(9)	5/7/2021		7.50% (L+6.50%, Floor 1.00%)	5/7/2026		42,972		42,158		41,730

Ospemifene Royalty Sub LLC															(10)	Estrogen-Deficiency Drug Manufacturer and Distributor
																	Secured Debt	(14)	7/8/2013		11.50%	11/15/2026		4,540		4,540		91

OVG Business Services, LLC															(10)	Venue Management Services
																	Secured Debt	(9)	11/29/2021		7.25% (L+6.25%, Floor 1.00%)	11/19/2028		14,000		13,866		13,580

Paragon Healthcare, Inc.															(10)	Infusion Therapy Treatment Provider
																	Secured Debt	(9) (39)	1/19/2022		6.75% (SOFR+5.75%, Floor 1.00%)	1/19/2027		18,388		17,632		17,632

Project Eagle Holdings, LLC															(10)	Provider of Secure Business Collaboration Software
																	Secured Debt	(9)	7/6/2020		7.76% (L+6.75%, Floor 1.00%)	7/6/2026		29,663		29,110		29,641

RA Outdoors LLC															(10)	Software Solutions Provider for Outdoor Activity Management
																	Secured Debt	(9)	4/8/2021		7.75% (L+6.75%, Floor 1.00%)	4/8/2026		18,991		18,829		17,812

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Intermedia Holdings, Inc.	(11)	August 3, 2018	Unified Communications as a Service
Research Now Group, Inc. and Survey Sampling International, LLC															(11)	Provider of Outsourced Online Surveying
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	7/19/2025		20,733		20,657		20,733			Secured Debt	(9)	12/29/2017		6.50% (L+5.50%, Floor 1.00%)	12/20/2024		20,124		19,817		19,820

Invincible Boat Company, LLC.	(10)	August 28, 2019	Manufacturer of Sport Fishing Boats
				Secured Debt	(9)		8.00% (L+6.50%, Floor 1.50%)	8/28/2025		18,598		18,424		18,598

INW Manufacturing, LLC	(11)	May 19, 2021	Manufacturer of Nutrition and Wellness Products
				Secured Debt	(9)		6.50% (L+5.75%, Floor 0.75%)	3/25/2027		7,454		7,232		7,304

Isagenix International, LLC	(11)	June 21, 2018	Direct Marketer of Health & Wellness Products
				Secured Debt	(9)		6.75% (L+5.75%, Floor 1.00%)	6/14/2025		5,365		5,338		4,404

Jackmont Hospitality, Inc.	(10)	May 26, 2015	Franchisee of Casual Dining Restaurants
				Secured Debt	(9)		7.75% (L+6.75%, Floor 1.00%)	7/30/2021		3,928		3,928		3,219

Joerns Healthcare, LLC	(11)	April 3, 2013	Manufacturer and Distributor of Health Care Equipment & Supplies
RM Bidder, LLC															(10)	Scripted and Unscripted TV and Digital Programming Provider
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	8/21/2024		4,016		3,963		3,744			Member Units		11/12/2015	2,779						46		24
				Common Stock		472,579						4,429		1,625			Warrants	(26)	11/12/2015	187,161		10/20/2025				425		-
												8,392		5,369												471		24
Kemp Technologies Inc.	(10)	June 27, 2019	Provider of Application Delivery Controllers
Roof Opco, LLC															(10)	Residential Re-Roofing/Repair
																	Secured Debt	(9)	8/27/2021		7.00% (L+6.00%, Floor 1.00%)	8/27/2026		4,729		4,618		4,618

RTIC Subsidiary Holdings, LLC															(10)	Direct-To-Consumer eCommerce Provider of Outdoor Products
																	Secured Debt	(9)	9/1/2020		9.00% (L+7.75%, Floor 1.25%)	9/1/2025		20,709		20,528		20,709

Rug Doctor, LLC.															(10)	Carpet Cleaning Products and Machinery
																	Secured Debt	(9)	7/16/2021		7.25% (L+6.25%, Floor 1.00%)	11/16/2024		9,105		8,888		8,941

Salient Partners L.P.															(11)	Provider of Asset Management Services
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	3/29/2024		16,306		16,062		16,306			Secured Debt	(9)	8/31/2018		7.00% (L+6.00%, Floor 1.00%)	10/30/2022		6,251		6,248		4,064
				Common Stock		903,225						1,395		1,905			Secured Debt	(9)	9/30/2021		7.00% (L+6.00%, Floor 1.00%)	10/30/2022		1,250		1,250		2,435
												17,457		18,211												7,498		6,499
Klein Hersh, LLC	(10)	November 13, 2020	Executive and C-Suite Placement for the Life Sciences and Healthcare Industries
Savers, Inc.															(11)	For-Profit Thrift Retailer
				Secured Debt	(9)		8.75% (L+8.00%, Floor 0.75%)	11/13/2025		32,094		31,341		32,045			Secured Debt	(9)	5/14/2021		6.25% (L+5.50%, Floor 0.75%)	4/26/2028		11,372		11,271		11,315

Kore Wireless Group Inc.	(11)	December 31, 2018	Mission Critical Software Platform
				Secured Debt			5.65% (L+5.50%)	12/20/2024		18,993		18,915		18,993

Larchmont Resources, LLC	(11)	August 13, 2013	Oil & Gas Exploration & Production
SIB Holdings, LLC															(10)	Provider of Cost Reduction Services
				Secured Debt	(9)		9.00% (L+8.00%, Floor 1.00%)	8/9/2021		2,231		2,231		1,004			Secured Debt	(9)	10/29/2021		7.00% (L+6.00%, Floor 1.00%)	10/29/2026		6,282		6,142		6,152
				Member Units	(30)	2,828						353		113			Common Equity		10/29/2021	95,238						200		200
												2,584		1,117												6,342		6,352
Laredo Energy VI, LP	(10)	January 15, 2019	Oil & Gas Exploration & Production
South Coast Terminals Holdings, LLC															(10)	Specialty Toll Chemical Manufacturer
				Member Units		1,155,952						11,560		9,771			Secured Debt	(9)	12/10/2021		7.25% (L+6.25%, Floor 1.00%)	12/13/2026		41,567		40,701		40,701
																	Common Equity		12/10/2021	863,636						864		864
Lightbox Holdings, L.P.	(11)	May 23, 2019	Provider of Commercial Real Estate Software
				Secured Debt			5.15% (L+5.00%)	5/9/2026		14,700		14,522		14,626												41,565		41,565
Staples Canada ULC															(10) (13) (21)	Office Supplies Retailer
																	Secured Debt	(9) (22)	9/14/2017		8.00% (L+7.00%, Floor 1.00%)	9/12/2024		15,522		15,457		15,275

Stellant Systems, Inc.															(11)	Manufacturer of Traveling Wave Tubes and Vacuum Electronic Devices
																	Secured Debt	(9)	1/0/1900		6.51% (L+5.50%, Floor 0.75%)	10/1/2028		7,681		7,609		7,566

Student Resource Center, LLC															(10)	Higher Education Services
																	Secured Debt	(9)	6/25/2021		9.00% (L+8.00%, Floor 1.00%)	6/25/2026		10,588		10,394		9,844

Tacala Investment Corp.															(33)	Quick Service Restaurant Group
																	Secured Debt	(9)	3/19/2021		4.25% (L+3.50%, Floor 0.75%)	2/5/2027		1,995		1,995		1,968

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

LKCM Headwater Investments I, L.P.	(12) (13)	January 25, 2013	Investment Partnership
Team Public Choices, LLC															(11)	Home-Based Care Employment Service Provider
				LP Interests	(31)	2.3%						1,746		3,302			Secured Debt	(9)	12/22/2020		6.00% (L+5.00%, Floor 1.00%)	12/18/2027		15,078		14,762		14,965

LL Management, Inc.	(10)	May 2, 2019	Medical Transportation Service Provider
Tectonic Financial, LLC																Financial Services Organization
				Secured Debt	(9)		8.25% (L+7.25%, Floor 1.00%)	9/25/2023		17,525		17,364		17,525			Common Stock	(8)	5/15/2017	200,000						2,000		5,630

Logix Acquisition Company, LLC	(10)	June 24, 2016	Competitive Local Exchange Carrier
Tex Tech Tennis, LLC															(10)	Sporting Goods & Textiles
				Secured Debt	(9)		6.75% (L+5.75%, Floor 1.00%)	12/22/2024		25,991		24,572		24,821			Common Stock	(30)	7/7/2021	1,000,000						1,000		1,130

Looking Glass Investments, LLC	(12) (13)	July 1, 2015	Specialty Consumer Finance
U.S. TelePacific Corp.															(11)	Provider of Communications and Managed Services
				Member Units		3						125		25			Secured Debt	(9) (19) (39)	5/17/2017		9.25% (2.00% Cash, 7.25% PIK) (SOFR+1.00%, Floor 1.00%, 7.25% PIK)	5/2/2026		17,088		17,004		12,115

Lulu's Fashion Lounge, LLC	(10)	August 31, 2017	Fast Fashion E-Commerce Retailer
USA DeBusk LLC															(10)	Provider of Industrial Cleaning Services
				Secured Debt	(9) (19)		10.50% (8.00% Cash, 2.50% PIK) (2.50% PIK + L+7.00%, Floor 1.00%)	8/28/2022		10,837		10,719		9,266			Secured Debt	(9)	10/22/2019		6.75% (L+5.75%, Floor 1.00%)	9/8/2026		37,188		36,460		37,188

Lynx FBO Operating LLC	(10)	September 30, 2019	Fixed Based Operator in the General Aviation Industry
Veregy Consolidated, Inc.															(11)	Energy Service Company
																	Secured Debt	(9)	11/9/2020		7.00% (L+6.00%, Floor 1.00%)	11/3/2027		17,820		16,720		16,718

Vida Capital, Inc															(11)	Alternative Asset Manager
																	Secured Debt		10/10/2019		6.33% (L+6.00%)	10/1/2026		16,835		16,663		15,502

Vistar Media, Inc.															(10)	Operator of Digital Out-of-Home Advertising Platform
																	Preferred Stock		4/3/2019	70,207						768		2,349

VORTEQ Coil Finishers, LLC															(10)	Specialty Coating of Aluminum and Light-Gauge Steel
				Secured Debt	(9)		7.25% (L+5.75%, Floor 1.50%)	9/30/2024		14,055		13,841		14,055			Secured Debt	(9)	11/30/2021		8.50% (L+7.50%, Floor 1.00%)	11/30/2026		25,962		25,476		25,476
				Member Units		4,872						687		780			Common Equity		11/30/2021	1,038,462						1,038		1,038
												14,528		14,835												26,514		26,514
Mac Lean-Fogg Company	(10)	April 22, 2019	Manufacturer and Supplier for Auto and Power Markets
Wahoo Fitness Acquisition L.L.C.															(11)	Fitness Training Equipment Provider
																	Secured Debt	(9)	8/17/2021		6.75% (L+5.75%, Floor 1.00%)	8/12/2028		14,906		14,494		14,608

Wall Street Prep, Inc.															(10)	Financial Training Services
				Secured Debt	(9)		5.38% (L+4.75%, Floor 0.625%)	12/22/2025		17,123		17,030		17,123			Secured Debt	(9)	7/19/2021		8.00% (L+7.00%, Floor 1.00%)	7/19/2026		4,345		4,262		4,262
				Preferred Stock	(19)		13.75% (4.50% Cash, 9.25% PIK)					1,881		1,881			Common Stock		7/19/2021	400,000						400		400
												18,911		19,004												4,662		4,662
Mako Steel, LP	(10)	March 15, 2021	Self-Storage Design & Construction
Watterson Brands, LLC															(10)	Facility Management Services
				Secured Debt	(9)		8.00% (L+7.25%, Floor 0.75%)	3/13/2026		17,522		17,170		17,170			Secured Debt	(9)	12/17/2021		7.00% (L+6.00%, Floor 1.00%)	12/17/2026		16,170		15,795		15,795

MB2 Dental Solutions, LLC	(11)	January 28, 2021	Dental Partnership Organization
West Star Aviation Acquisition, LLC															(10)	Aircraft, Aircraft Engine and Engine Parts
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	1/29/2027		8,673		8,520		8,520			Secured Debt	(9) (39)	3/1/2022		6.75% (SOFR+6.0%, Floor 0.75%)	3/1/2028		10,848		10,612		10,612
																	Common Stock		3/1/2022	1,522,200						1,541		1,541
Mills Fleet Farm Group, LLC	(10)	October 24, 2018	Omnichannel Retailer of Work, Farm and Lifestyle Merchandise
																										12,153		12,153
Winter Services LLC															(10)	Provider of Snow Removal and Ice Management Services
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	10/24/2024		15,088		14,850		15,082			Secured Debt	(9)	11/19/2021		8.00% (L+7.00%, Floor 1.00%)	11/19/2026		11,222		10,975		11,016

NBG Acquisition Inc	(11)	April 28, 2017	Wholesaler of Home Décor Products
Xenon Arc, Inc.															(10)	Tech-enabled Distribution Services to Chemicals and Food Ingredients Primary Producers
				Secured Debt	(9)		6.50% (L+5.50%, Floor 1.00%)	4/26/2024		4,042		4,011		3,681			Secured Debt	(9)	12/17/2021		6.75% (L+6.00%, Floor 0.75%)	12/17/2026		38,504	��	37,387		37,387

NinjaTrader, LLC	(10)	December 18, 2019	Operator of Futures Trading Platform
				Secured Debt	(9)		8.25% (L+6.75%, Floor 1.50%)	12/18/2024		16,875		16,576		16,849

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
NNE Partners, LLC
(10)
March 2, 2017
Oil & Gas Exploration & Production

Secured Debt
(19)

9.38% (4.88% Cash, 4.50% PIK) (4.50% PIK + L+4.75%)
12/31/2023

24,219

24,127

22,432

Novetta Solutions, LLC
(11)
June 21, 2017
Provider of Advanced Analytics Solutions for Defense Agencies

Secured Debt
(9)

6.00% (L+5.00%, Floor 1.00%)
10/17/2022

22,791

22,583

22,819

Secured Debt
(9)

9.50% (L+8.50%, Floor 1.00%)
10/16/2023

880

880

882

23,463

23,701
NTM Acquisition Corp.
(11)
July 12, 2016
Provider of B2B Travel Information Content

Secured Debt
(9) (19)

8.25% (7.25% Cash, 1.00% PIK) (1.00%PIK + L+6.25%, Floor 1.00%)
6/7/2024

4,682

4,682

4,565

NWN Corporation
(10)
May 7, 2021
Value Added Reseller and Provider of Managed Services to a Diverse Set of Industries

Secured Debt
(9)

7.50% (L+6.50%, Floor 1.00%)
5/7/2026

41,242

40,249

40,249

Ospemifene Royalty Sub LLC
(10)
July 8, 2013
Estrogen-Deficiency Drug Manufacturer and Distributor

Secured Debt
(14)

11.50%
11/15/2026

4,714

4,714

135

PaySimple, Inc.
(10)
September 9, 2019
Leading Technology Services Commerce Platform

Secured Debt

5.61% (L+5.50%)
8/23/2025

27,740

27,525

27,601

Project Eagle Holdings, LLC
(10)
July 6, 2020
Provider of Secure Business Collaboration Software

Secured Debt
(9)

9.25% (L+8.25%, Floor 1.00%)
7/6/2026

14,888

14,536

14,861

PT Network, LLC
(10)
November 1, 2013
Provider of Outpatient Physical Therapy and Sports Medicine Services

Secured Debt
(9) (19)

8.50% (6.50% Cash, 2.00% PIK) (2.00% PIK + L+5.50%, Floor 1.00%)
11/30/2023

8,645

8,645

8,645

RA Outdoors LLC
(10)
April 8, 2021
Software Solutions Provider for Outdoor Activity Management

Secured Debt
(9)

7.75% (L+6.75%, Floor 1.00%)
4/8/2026

19,422

19,224

19,224

Research Now Group, Inc. and Survey Sampling International, LLC
(11)
December 31, 2017
Provider of Outsourced Online Surveying

Secured Debt
(9)

6.50% (L+5.50%, Floor 1.00%)
12/20/2024

20,229

19,843

20,043

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~June 30, 2021~~

~~(dollars in thousands)~~

~~(Unaudited)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
RM Bidder, LLC
(10)
November 12, 2015
Scripted and Unscripted TV and Digital Programming Provider

Member Units

2,779

46

34

Warrants
(26)
187,161

10/20/2025

425

-

471

34
RTIC Subsidiary Holdings, LLC
(10)
September 1, 2020
Direct-To-Consumer eCommerce Provider of Outdoor Products

Secured Debt
(9)

9.00% (L+7.75%, Floor 1.25%)
9/1/2025

17,729

17,510

17,700

Rug Doctor, LLC.
(10)
June 30, 2021
Carpet Cleaning Products and Machinery

Secured Debt
(9)

6.25% (L+5.25%, Floor 1.00%)
5/16/2022

9,850

9,850

9,850

SAFETY Investment Holdings, LLC

April 29, 2016
Provider of Intelligent Driver Record Monitoring Software and Services

Member Units

2,000,000

2,000

3,000

Salient Partners L.P.
(11)
June 25, 2015
Provider of Asset Management Services

Secured Debt
(9) (14)

7.00% (L+6.00%, Floor 1.00%)
8/31/2021

6,251

6,246

2,607

Savers, Inc.
(11)
May 14, 2021
For-Profit Thrift Retailer

Secured Debt
(9)

6.50% (L+5.75%, Floor 0.75%)
4/26/2028

12,900

12,773

13,051

Staples Canada ULC
(10) (13) (21)
September 14, 2017
Office Supplies Retailer

Secured Debt
(9) (22)

8.00% (L+7.00%, Floor 1.00%)
9/12/2024

17,411

17,305

17,282

Student Resource Center, LLC
(10)
June 25, 2021
Higher Education Services

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
6/25/2026

11,250

11,011

11,011

Team Public Choices, LLC
(11)
October 28, 2019
Home-Based Care Employment Service Provider

Secured Debt
(9)

6.00% (L+5.00%, Floor 1.00%)
12/18/2027

13,466

13,107

13,399

Tectonic Financial, LLC

May 15, 2017
Financial Services Organization

Common Stock
(8)
200,000

2,000

3,430

The Pasha Group
(11)
February 2, 2018
Diversified Logistics and Transportation Provided

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
1/26/2023

10,169

9,761

10,093

Time Manufacturing Acquisition LLC
(11)
February 24, 2021
Manufacturer and Distributor of Utility Equipment

Secured Debt
(9)

6.00% (L+5.00%, Floor 1.00%)
2/3/2023

1,476

1,473

1,481

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~June 30, 2021~~

~~(dollars in thousands)~~

~~(Unaudited)~~


Portfolio Company (1) (20)		Investment Date (24)	Business Description	Type of Investment (2) (3) (15)		Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)			Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate (39)	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
U.S. TelePacific Corp.	(11)	May 17, 2017	Provider of Communications and Managed Services
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	5/2/2023		17,088		16,948		15,807

USA DeBusk LLC	(10)	October 22, 2019	Provider of Industrial Cleaning Services
				Secured Debt	(9)		6.75% (L+5.75%, Floor 1.00%)	10/22/2024		24,822		24,485		24,822

Veregy Consolidated, Inc.	(11)	November 9, 2020	Energy Service Company
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	11/3/2027		14,925		14,536		15,037

Vida Capital, Inc	(11)	October 10, 2019	Alternative Asset Manager
				Secured Debt			6.10% (L+6.00%)	10/1/2026		17,344		17,138		16,737

Vistar Media, Inc.	(10)	February 17, 2017	Operator of Digital Out-of-Home Advertising Platform
				Secured Debt	(9)		12.00% (L+10.00%, Floor 2.00%)	4/3/2023		4,622		4,523		4,622
				Preferred Stock		70,207						767		1,280
				Warrants	(25)	69,675		4/3/2029				-		1,290
												5,290		7,192
YS Garments, LLC	(11)	August 22, 2018	Designer and Provider of Branded Activewear												(11)	Designer and Provider of Branded Activewear
				Secured Debt	(9)		7.00% (L+6.00%, Floor 1.00%)	8/9/2024		13,128		13,049		12,586			Secured Debt	(9) (37)	8/22/2018		6.51%	8/9/2024		12,940		12,880		12,811

Zilliant Incorporated		June 15, 2012	Price Optimization and Margin Management Solutions
Zips Car Wash, LLC															(10)	Express Car Wash Operator
				Preferred Stock		186,777						154		260			Secured Debt	(9)	2/11/2022		8.25%(L+7.25%, Floor 1.00%)	3/1/2024		17,734		17,433		17,433
				Warrants	(28)	952,500		6/15/2022				1,071		1,190
												1,225		1,450
Short-term portfolio investments	(34) (35)
												57,244		57,285

Subtotal Non-Control/Non-Affiliate Investments (85.7% of net assets at fair value)											$	1,421,592	$	1,375,001
Total Portfolio Investments, June 30, 2021 (185.2% of net assets at fair value)											$	2,725,485	$	2,972,270
Subtotal Non-Control/Non-Affiliate Investments (87.8% of net assets at fair value)																									$	1,690,120	$	1,644,636
Total Portfolio Investments, March 31, 2022 (197.0% of net assets at fair value)																									$	3,372,567	$	3,690,738


(1)	All investments are Lower Middle Market portfolio investments, unless otherwise noted. See Note C for a description of Lower Middle Market portfolio investments. All of the Company’s investments, unless otherwise noted, are encumbered either as security for the Company’s Credit Facility or in support of the SBA-guaranteed debentures issued by the Funds.
(2)	Debt investments are income producing, unless otherwise noted. Equity and warrants are non-income producing, unless otherwise noted.
(3)	See Note C and Schedule 12-14 for a summary of geographic location of portfolio companies.
(4)	Principal is net of repayments. Cost is net of repayments and accumulated unearned income.
(5)	Control investments are defined by the 1940 Act, as investments in which more than 25% of the voting securities are owned or where the ability to nominate greater than 50% of the board representation is maintained.
(6)	Affiliate investments are defined by the 1940 Act as investments in which between 5% and 25% (inclusive) of the voting securities are owned and the investments are not classified as Control investments.
(7)	Non-Control/Non-Affiliate investments are defined by the 1940 Act as investments that are neither Control investments nor Affiliate investments.
(8)	Income producing through dividends or distributions.
(9)	Index based floating interest rate is subject to contractual minimum interest rate. A majority of the variable rate loans in the Company’s investment portfolio bear interest at a rate that may be determined by reference to either LIBOR, SOFR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically resets semi-annually, quarterly, or monthly at the borrower’s option. The borrower may also elect to have multiple interest reset periods for each loan. For each such loan, the Company has provided the weighted average annual stated interest rate in effect at March 31, 2022. As noted in this schedule, 68% of the loans (based on the par amount) contain LIBOR or SOFR floors which range between 0.50% and 2.00%, with a weighted-average floor of approximately 1.05%.
(10)	Private Loan portfolio investment. See Note C for a description of Private Loan portfolio investments.
(11)	Middle Market portfolio investment. See Note C for a description of Middle Market portfolio investments.
(12)	Other Portfolio investment. See Note C for a description of Other Portfolio investments.
(13)	Investment is not a qualifying asset as defined under Section 55(a) of the 1940 Act. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets.
(14)	Non-accrual and non-income producing investment.
(15)	All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities.”
(16)	External Investment Manager. Investment is not encumbered as security for the Company's Credit Facility or in support of the SBA-guaranteed debentures issued by the Funds.
(17)	Maturity date is under on-going negotiations with the portfolio company and other lenders, if applicable.
(18)	Investment fair value was determined using significant unobservable inputs, unless otherwise noted. See Note C for further discussion.
(19)	PIK interest income and cumulative dividend income represent income not paid currently in cash.

2624

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

~~June 30, 2021~~March 31, 2022

(dollars in thousands)

(Unaudited)

(20)	All portfolio company headquarters are based in the United States, unless otherwise noted.
(21)	Portfolio company headquarters are located outside of the United States.
(22)	In connection with the Company's debt investment in Staples Canada ULC and in an attempt to mitigate any potential adverse change in foreign exchange rates during the term of the Company's investment, the Company maintains a forward foreign currency contract with Cadence Bank to lend $21.4 million Canadian Dollars and receive $16.9 million U.S. Dollars with a settlement date of September 14, 2022. The unrealized depreciation on the forward foreign currency contract was not significant as of March 31, 2022.
(23)	The Company has entered into an intercreditor agreement that entitles the Company to the "last out" tranche of the first lien secured loans, whereby the "first out" tranche will receive priority as to the "last out" tranche with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company receives a higher interest rate than the contractual stated interest rate of LIBOR plus 7.25% (Floor 1.25%) per the credit agreement and the Consolidated Schedule of Investments above reflects such higher rate.
(24)	Investment date represents the date of initial investment in the security position.
(25)	Warrants are presented in equivalent shares with a strike price of $10.92 per share.
(26)	Warrants are presented in equivalent units with a strike price of $14.28 per unit.
(27)	Warrants are presented in equivalent shares/units with a strike price of $0.01 per share/unit.
(28)	Warrants are presented in equivalent shares with a strike price of $0.001 per share.
(29)	Warrants are presented in equivalent units with a strike price of $1.50 per unit.
(30)	Shares/Units represent ownership in an underlying Real Estate or HoldCo entity.
(31)	Investment is not unitized. Presentation is made in percent of fully diluted ownership unless otherwise indicated.
(32)	Portfolio company is in a bankruptcy process and, as such, the maturity date of our debt investment in this portfolio company will not be finally determined until such process is complete. As noted in footnote (14), our debt investment in this portfolio company is on non-accrual status.
(33)	Short-term portfolio investments. See Note C for a description of short-term portfolio investments.
(34)	The security has an effective contractual interest rate of 2.00% PIK + L+6.50%, Floor 1.00%, but the issuer may, in its discretion, elect to pay the PIK interest in cash. The rate presented represents the effective current yield based on actual payments received during the period.
(35)	Delayed draw term loan facility permits the borrower to make an interest rate election on each new tranche of borrowings under the facility. The rate presented represents a weighted-average rate for borrowings under the facility. As of March 31, 2022, borrowings under the loan facility bear interest at L+6.00% or Prime+5.00%.
(36)	Delayed draw term loan facility permits the borrower to make an interest rate election on each new tranche of borrowings under the facility. The rate presented represents a weighted-average rate for borrowings under the facility. As of March 31, 2022, borrowings under the loan facility bear interest at L+6.00% (Floor 1.00%) or Prime+5.00%.
(37)	Delayed draw term loan facility permits the borrower to make an interest rate election on each new tranche of borrowings under the facility. The rate presented represents a weighted-average rate for borrowings under the facility. As of March 31, 2022, borrowings under the loan facility bear interest at L+5.50% (Floor 1.00%) or Prime+4.00%.
(38)	RLOC facility permits the borrower to make an interest rate election on each new tranche of borrowings under the facility. The rate presented represents a weighted-average rate for borrowings under the facility. As of March 31, 2022, borrowings under the loan facility bear interest at L+7.25% (Floor 0.75%).
(39)	SOFR based contracts may include a credit spread adjustment (the "Adjustment") that is charged in addition to the stated spread. The Adjustment is applied when the SOFR rate, plus the Adjustment, exceeds the stated floor rate, as applicable. As of March 31, 2022, the portfolio had Adjustments ranging from 0.10% to 0.26%.

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)			Cost (4)			Fair Value (18)

Control Investments (5)

Analytical Systems Keco Holdings, LLC			Manufacturer of Liquid and Gas Analyzers
					Secured Debt	(9)		8/16/2019				12.00% (L+10.00%, Floor 2.00%)		8/16/2024		$	4,945		$	4,736		$	4,736
					Preferred Member Units			8/16/2019		3,200										3,200			-
					Preferred Member Units			5/20/2021		2,427										2,427			4,894
					Warrants	(27)		8/16/2019		420				8/16/2029						316			-
																				10,679			9,630
ASC Interests, LLC			Recreational and Educational Shooting Facility
					Secured Debt			12/31/2019				13.00%		7/31/2022			200			200			200
					Secured Debt			8/1/2013				13.00%		7/31/2022			1,650			1,636			1,636
					Member Units			8/1/2013		1,500										1,500			720
																				3,336			2,556
ATS Workholding, LLC	(10)		Manufacturer of Machine Cutting Tools and Accessories
					Secured Debt	(14)		11/16/2017				5.00%		8/16/2023			4,794			4,635			3,005
					Preferred Member Units			11/16/2017		3,725,862										3,726			-
																				8,361			3,005
Barfly Ventures, LLC	(10)		Casual Restaurant Group
					Secured Debt			10/15/2020				7.00%		10/31/2024			711			711			711
					Member Units			10/26/2020		37										1,584			1,930
																				2,295			2,641
Bolder Panther Group, LLC			Consumer Goods and Fuel Retailer
					Secured Debt	(9)		12/31/2020				10.50% (L+9.00%, Floor 1.50%)		12/31/2025			39,000			38,687			39,000
					Class A Preferred Member Units	(8)		12/31/2020				14.00%								10,194			10,194
					Class B Preferred Member Units	(8)		12/31/2020		140,000		8.00%								14,000			23,170
																				62,881			72,364
Brewer Crane Holdings, LLC			Provider of Crane Rental and Operating Services
					Secured Debt	(9)		1/9/2018				11.00% (L+10.00%, Floor 1.00%)		1/9/2023			8,060			8,037			8,037
					Preferred Member Units	(8)		1/9/2018		2,950										4,280			7,710
																				12,317			15,747
Bridge Capital Solutions Corporation			Financial Services and Cash Flow Solutions Provider
					Secured Debt			7/25/2016				13.00%		12/11/2024			8,813			8,813			8,813
					Warrants	(27)		7/25/2016		82				7/25/2026						2,132			4,060
					Secured Debt	(30)		7/25/2016				13.00%		12/11/2024			1,000			1,000			1,000
					Preferred Member Units	(8) (30)		7/25/2016		17,742										1,000			1,000
																				12,945			14,873
Café Brazil, LLC			Casual Restaurant Group
					Member Units	(8)		6/9/2006		1,233										1,742			2,570

California Splendor Holdings LLC			Processor of Frozen Fruits
					Secured Debt	(9)		3/30/2018				11.00% (L+10.00%, Floor 1.00%)		3/30/2023			28,000			27,915			27,915
					Preferred Member Units	(8) (19)		7/31/2019		6,725		15.00% PIK								9,510			9,510
					Preferred Member Units	(8)		3/30/2018		6,157										10,775			13,275
																				48,200			50,700
CBT Nuggets, LLC			Produces and Sells IT Training Certification Videos
					Member Units	(8)		6/1/2006		416										1,300			50,620

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)		Cost (4)		Fair Value (18)
Centre Technologies Holdings, LLC			Provider of IT Hardware Services and Software Solutions
					Secured Debt	(9)		1/4/2019				12.00% (L+10.00%, Floor 2.00%)		1/4/2024		9,416		9,370		8,864
					Preferred Member Units			1/4/2019		12,696								5,840		5,840
																		15,210		14,704
Chamberlin Holding LLC			Roofing and Waterproofing Specialty Contractor
					Secured Debt	(9)		2/26/2018				9.00% (L+8.00%, Floor 1.00%)		2/26/2023		17,817		17,738		17,817
					Member Units	(8)		2/26/2018		4,347								11,440		24,140
					Member Units	(8) (30)		11/2/2018		1,047,146								1,322		1,540
																		30,500		43,497
Charps, LLC			Pipeline Maintenance and Construction
					Unsecured Debt			8/26/2020				10.00%		1/31/2024		5,694		4,599		5,694
					Preferred Member Units	(8)		2/3/2017		1,829								1,963		13,990
																		6,562		19,684
Clad-Rex Steel, LLC			Specialty Manufacturer of Vinyl-Clad Metal
					Secured Debt	(9)		12/20/2016				10.50% (L+9.50%, Floor 1.00%)		1/15/2024		10,480		10,401		10,401
					Member Units	(8)		12/20/2016		717								7,280		10,250
					Secured Debt			12/20/2016				10.00%		12/20/2036		1,081		1,071		1,071
					Member Units	(30)		12/20/2016		800								210		530
																		18,962		22,252
CMS Minerals Investments			Oil & Gas Exploration & Production
					Member Units	(8) (30)		4/1/2016		100								1,838		1,974

Cody Pools, Inc.			Designer of Residential and Commercial Pools
					Secured Debt	(9)		3/6/2020				12.25% (L+10.50%, Floor 1.75%)		12/17/2026		42,497		42,117		42,484
					Preferred Member Units	(8) (30)		3/6/2020		587								8,317		47,640
																		50,434		90,124
Colonial Electric Company LLC			Provider of Electrical Contracting Services
					Secured Debt			3/31/2021				12.00%		3/31/2026		24,570		24,351		24,351
					Preferred Member Units	(8)		3/31/2021		17,280								7,680		9,130
																		32,031		33,481
CompareNetworks Topco, LLC			Internet Publishing and Web Search Portals
					Secured Debt	(9)		1/29/2019				10.00% (L+9.00%, Floor 1.00%)		1/29/2024		6,477		6,452		6,477
					Preferred Member Units	(8)		1/29/2019		1,975								1,975		12,000
																		8,427		18,477
Copper Trail Fund Investments	(12) (13)		Investment Partnership
					LP Interests (CTMH, LP)	(31)		7/17/2017		38.8%								710		710

Datacom, LLC			Technology and Telecommunications Provider
					Secured Debt			3/31/2021				5.00%		12/31/2025		8,892		8,296		7,668
					Preferred Member Units			3/31/2021		9,000								2,610		2,610
																		10,906		10,278
Digital Products Holdings LLC			Designer and Distributor of Consumer Electronics
					Secured Debt	(9)		4/1/2018				11.00% (L+10.00%, Floor 1.00%)		4/1/2023		16,853		16,801		16,801

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)		Cost (4)		Fair Value (18)
					Preferred Member Units	(8)		4/1/2018		3,857								9,501		9,835
																		26,302		26,636
Direct Marketing Solutions, Inc.			Provider of Omni-Channel Direct Marketing Services
					Secured Debt	(9)		2/13/2018				12.00% (L+11.00%, Floor 1.00%)		2/13/2024		24,070		23,911		24,048
					Preferred Stock	(8)		2/13/2018		8,400								8,400		18,350
																		32,311		42,398
Gamber-Johnson Holdings, LLC			Manufacturer of Ruggedized Computer Mounting Systems
					Secured Debt	(9)		6/24/2016				9.50% (L+7.50%, Floor 2.00%)		1/1/2025		21,598		21,535		21,598
					Member Units	(8)		6/24/2016		9,042								17,692		49,700
																		39,227		71,298
Garreco, LLC			Manufacturer and Supplier of Dental Products
					Secured Debt	(9)		7/15/2013				9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%)		7/31/2022		4,196		4,196		4,196
					Member Units	(8)		7/15/2013		1,200								1,200		2,270
																		5,396		6,466
GRT Rubber Technologies LLC			Manufacturer of Engineered Rubber Products
					Secured Debt			12/19/2014				8.10% (L+8.00%)		10/29/2026		38,885		38,672		38,885
					Member Units	(8)		12/19/2014		5,879								13,065		46,190
																		51,737		85,075
Gulf Manufacturing, LLC			Manufacturer of Specialty Fabricated Industrial Piping Products
					Member Units	(8)		8/31/2007		438								2,980		5,640

Gulf Publishing Holdings, LLC			Energy Industry Focused Media and Publishing
					Secured Debt	(9) (17) (19)		9/29/2017				10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%)		9/30/2020		257		257		257
					Secured Debt	(17) (19)		4/29/2016				12.50% (6.25% Cash, 6.25% PIK)		4/29/2021		13,565		13,565		9,717
					Member Units			4/29/2016		3,681								3,681		-
																		17,503		9,974
Harris Preston Fund Investments	(12) (13)		Investment Partnership
					LP Interests (2717 MH, L.P.)	(31)		10/1/2017		49.3%								2,703		3,971

Harrison Hydra-Gen, Ltd.			Manufacturer of Hydraulic Generators
					Common Stock			6/4/2010		107,456								718		3,530

Jensen Jewelers of Idaho, LLC			Retail Jewelry Store
					Secured Debt	(9)		11/14/2006				10.00% (Prime+6.75%, Floor 2.00%)		11/14/2023		2,550		2,536		2,550
					Member Units	(8)		11/14/2006		627								811		12,420
																		3,347		14,970
Johnson Downie Opco, LLC			Executive Search Services
					Secured Debt	(9)		12/10/2021				13.00% (L+11.50%, Floor 1.50%)		12/10/2026		11,475		11,344		11,344
					Preferred Equity			12/10/2021		3,150								3,150		3,150
																		14,494		14,494
KBK Industries, LLC			Manufacturer of Specialty Oilfield and Industrial Products
					Member Units	(8)		1/23/2006		325								783		13,620

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)		Cost (4)		Fair Value (18)
Kickhaefer Manufacturing Company, LLC			Precision Metal Parts Manufacturing
					Secured Debt			10/31/2018				11.50%		10/31/2023		20,415		20,324		20,324
					Member Units			10/31/2018		581								12,240		12,310
					Secured Debt			10/31/2018				9.00%		10/31/2048		3,915		3,876		3,876
					Member Units	(8) (30)		10/31/2018		800								992		2,460
																		37,432		38,970
Market Force Information, LLC			Provider of Customer Experience Management Services
					Secured Debt	(9)		7/28/2017				12.00% (L+11.00%, Floor 1.00%)		7/28/2023		3,400		3,400		3,400
					Secured Debt	(14) (19)		7/28/2017				12.00% PIK		7/28/2023		26,079		25,952		8,936
					Member Units			7/28/2017		743,921								16,642		-
																		45,994		12,336
MH Corbin Holding LLC			Manufacturer and Distributor of Traffic Safety Products
					Secured Debt			8/31/2015				13.00%		3/31/2022		8,250		8,241		5,934
					Preferred Member Units			3/15/2019		66,000								4,400		-
					Preferred Member Units			9/1/2015		4,000								6,000		-
																		18,641		5,934
MS Private Loan Fund I, LP	(12) (13)		Investment Partnership
					Unsecured Debt			2/11/2021				5.00%		2/28/2022		63,151		63,151		63,151
					LP Interests	(31)		1/26/2021		12.1%								2,500		2,581
																		65,651		65,732
MSC Adviser I, LLC	(16)		Third Party Investment Advisory Services
					Member Units	(8)		11/22/2013										29,500		140,400

Mystic Logistics Holdings, LLC			Logistics and Distribution Services Provider for Large Volume Mailers
					Secured Debt			8/18/2014				12.00%		1/17/2022		6,378		6,377		6,378
					Common Stock	(8)		8/18/2014		5,873								2,720		8,840
																		9,097		15,218
NAPCO Precast, LLC			Precast Concrete Manufacturing
					Member Units	(8)		1/31/2008		2,955								2,975		13,560

Nebraska Vet AcquireCo, LLC			Mixed-Animal Veterinary and Animal Health Product Provider
					Secured Debt			12/31/2020				12.00%		12/31/2025		10,500		10,412		10,412
					Secured Debt			12/31/2020				12.00%		12/31/2025		4,868		4,829		4,829
					Preferred Member Units			12/31/2020		6,987								6,987		7,700
																		22,228		22,941
NexRev LLC			Provider of Energy Efficiency Products & Services
					Secured Debt			2/28/2018				11.00%		2/28/2023		16,217		16,173		14,045
					Preferred Member Units	(8)		2/28/2018		86,400,000								6,880		2,690
																		23,053		16,735
NRP Jones, LLC			Manufacturer of Hoses, Fittings and Assemblies
					Secured Debt			12/21/2017				12.00%		3/20/2023		2,080		2,080		2,080
					Member Units	(8)		12/22/2011		65,962								3,717		6,440
																		5,797		8,520
NuStep, LLC			Designer, Manufacturer and Distributor of Fitness Equipment
					Secured Debt	(9)		1/31/2017				7.50% (L+6.50%, Floor 1.00%)		1/31/2025		1,720		1,720		1,720
					Secured Debt			1/31/2017				11.00%		1/31/2025		17,240		17,236		17,240
					Preferred Member Units			1/31/2017		406								10,200		13,500
																		29,156		32,460
OMi Topco, LLC			Manufacturer of Overhead Cranes
					Secured Debt			8/31/2021				12.00%		8/31/2026		18,000		17,831		18,000

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)		Cost (4)		Fair Value (18)
					Preferred Member Units	(8)		4/1/2008		900								1,080		20,210
																		18,911		38,210
Orttech Holdings, LLC			Distributor of Industrial Clutches, Brakes and Other Components
					Secured Debt	(9)		7/30/2021				12.00% (L+11.00%, Floor 1.00%)		7/31/2026		24,375		24,151		24,151
					Preferred Stock	(8) (30)		7/30/2021		10,000								10,000		10,000
																		34,151		34,151
Pearl Meyer Topco LLC			Provider of Executive Compensation Consulting Services
					Secured Debt			4/27/2020				12.00%		4/27/2025		32,674		32,438		32,674
					Member Units	(8)		4/27/2020		13,800								13,000		26,970
																		45,438		59,644
PPL RVs, Inc.			Recreational Vehicle Dealer
					Secured Debt	(9)		10/31/2019				7.50% (L+7.00%, Floor 0.50%)		11/15/2022		750		726		726
					Secured Debt	(9)		11/15/2016				7.50% (L+7.00%, Floor 0.50%)		11/15/2022		11,655		11,655		11,655
					Common Stock	(8)		6/10/2010		2,000								2,150		14,360
																		14,531		26,741
Principle Environmental, LLC			Noise Abatement Service Provider
					Secured Debt			2/1/2011				13.00%		11/15/2026		1,473		1,465		1,465
					Secured Debt			7/1/2011				13.00%		11/15/2026		5,924		5,808		5,808
					Preferred Member Units			2/1/2011		21,806								5,709		11,160
					Common Stock			1/27/2021		1,037								1,200		710
																		14,182		19,143
Quality Lease Service, LLC			Provider of Rigsite Accommodation Unit Rentals and Related Services
					Member Units			6/8/2015		1,000								9,213		2,149

River Aggregates, LLC			Processor of Construction Aggregates
					Member Units	(8) (30)		12/20/2013		1,500								369		3,280

Robbins Bros. Jewelry, Inc.			Bridal Jewelry Retailer
					Secured Debt	(9)		12/15/2021				12.00% (L+11.00%, Floor 1.00%)		12/15/2026		36,360		35,956		35,956
					Preferred Equity			12/15/2021		11,070								11,070		11,070
																		47,026		47,026
Tedder Industries, LLC			Manufacturer of Firearm Holsters and Accessories
					Secured Debt			8/31/2018				12.00%		8/31/2022		16,240		16,181		16,181
					Preferred Member Units			8/31/2018		505								8,579		8,579
																		24,760		24,760
Televerde, LLC			Provider of Telemarketing and Data Services
					Member Units			1/6/2011		460								1,290		7,280

Trantech Radiator Topco, LLC			Transformer Cooling Products and Services
					Secured Debt			5/31/2019				12.00%		5/31/2024		8,720		8,663		8,712
					Common Stock	(8)		5/31/2019		615								4,655		8,660
																		13,318		17,372
UnionRock Energy Fund II, LP	(12) (13)		Investment Partnership
					LP Interests	(8) (31)		6/15/2020		49.6%								3,828		6,122

Vision Interests, Inc.			Manufacturer / Installer of Commercial Signage
					Series A Preferred Stock			12/23/2011		3,000,000								3,000		3,000

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)	Business Description		Type of Investment (2) (3) (15)			Investment Date (24)		Shares/Units		Rate		Maturity Date		Principal (4)		Cost (4)			Fair Value (18)
VVS Holdco LLC		Omnichannel Retailer of Animal Health Products
				Secured Debt	(9)(30)		12/1/2021				7.00% (L+6.00%, Floor 1.00%)		12/1/2026		1,200			1,170			1,169
				Secured Debt	(30)		12/1/2021				11.50%		12/1/2026		30,400			30,100			30,100
				Preferred Equity	(30)		12/1/2021		11,840									11,840			11,840
																		43,110			43,109
Ziegler’s NYPD, LLC		Casual Restaurant Group
				Secured Debt			6/1/2015				12.00%		10/1/2022		625			625			625
				Secured Debt			10/1/2008				6.50%		10/1/2022		1,000			1,000			1,000
				Secured Debt			10/1/2008				14.00%		10/1/2022		2,750			2,750			2,750
				Preferred Member Units			6/30/2015		10,072									2,834			2,130
				Warrants	(27)		7/1/2015		587				10/1/2025					600			-
																		7,809			6,505
Subtotal Control Investments (83.3% of net assets at fair value)																	$	1,107,597		$	1,489,257

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Affiliate Investments (6)

AAC Holdings, Inc.	(11)	Substance Abuse Treatment Service Provider
			Secured Debt	(19)	12/11/2020		18.00% (10.00% Cash, 8.00% PIK)	6/25/2025	$	10,202	$	10,011	$	9,794
			Common Stock		12/11/2020	593,928						3,148		2,079
			Warrants	(27)	12/11/2020	554,353		12/11/2025				-		1,940
												13,159		13,813
AFG Capital Group, LLC		Provider of Rent-to-Own Financing Solutions and Services
			Secured Debt		4/25/2019		10.00%	5/25/2022		144		144		144
			Preferred Member Units	(8)	11/7/2014	186						1,200		7,740
												1,344		7,884
ATX Networks Corp.	(11)	Provider of Radio Frequency Management Equipment
			Secured Debt	(9)	9/1/2021		8.50% (L+7.50%, Floor 1.00%)	9/1/2026		7,667		7,092		7,092
			Unsecured Debt	(19)	9/1/2021		10.00% PIK	9/1/2028		3,067		1,963		1,963
			Common Stock		9/1/2021	583						-		-
												9,055		9,055
BBB Tank Services, LLC		Maintenance, Repair and Construction Services to the Above-Ground Storage Tank Market
			Unsecured Debt	(9) (17)	4/8/2016		12.00% (L+11.00%, Floor 1.00%)	4/8/2021		4,800		4,800		2,508
			Preferred Stock (non-voting)	(8) (19)	12/17/2018		15.00% PIK					162		-
			Member Units		4/8/2016	800,000						800		-
												5,762		2,508
Boccella Precast Products LLC		Manufacturer of Precast Hollow Core Concrete
			Secured Debt		9/23/2021		10.00%	2/28/2027		320		320		320
			Member Units	(8)	6/30/2017	2,160,000						2,256		4,830
												2,576		5,150
Brightwood Capital Fund Investments	(12) (13)	Investment Partnership
			LP Interests (Brightwood Capital Fund V, LP)	(31)	7/12/2021	15.8%						1,000		1,000

Buca C, LLC		Casual Restaurant Group
			Secured Debt	(9) (17)	6/30/2015		10.25% (L+9.25%, Floor 1.00%)	6/30/2020		19,491		19,491		14,370
			Preferred Member Units	(19)	6/30/2015	6	6.00% PIK					4,770		-
												24,261		14,370
Career Team Holdings, LLC		Provider of Workforce Training and Career Development Services
			Secured Debt		12/17/2021		12.50%	12/17/2026		20,250		20,050		20,050
			Class A Common Units		12/17/2021	450,000						4,500		4,500
												24,550		24,550
Chandler Signs Holdings, LLC	(10)	Sign Manufacturer
			Class A Units		1/4/2016	1,500,000						1,500		460

Classic H&G Holdings, LLC		Provider of Engineered Packaging Solutions
			Secured Debt	(9)	3/12/2020		7.00% (L+6.00%,	3/12/2025		4,000		4,000		4,000

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
							Floor 1.00%)
			Secured Debt		3/12/2020		8.00%	3/12/2025		19,274		19,139		19,274
			Preferred Member Units	(8)	3/12/2020	154						5,760		15,260
												28,899		38,534
Congruent Credit Opportunities Funds	(12) (13)	Investment Partnership
			LP Interests (Congruent Credit Opportunities Fund III, LP)	(8) (31)	2/4/2015	17.4%						10,256		9,959

DMA Industries, LLC		Distributor of aftermarket ride control products
			Secured Debt		11/19/2021		12.00%	11/19/2026		21,200		20,993		20,993
			Preferred Equity		11/19/2021	5,944						5,944		5,944
												26,937		26,937
Dos Rios Partners	(12) (13)	Investment Partnership
			LP Interests (Dos Rios Partners, LP)	(31)	4/25/2013	20.2%						6,605		10,329
			LP Interests (Dos Rios Partners - A, LP)	(31)	4/25/2013	6.4%						2,097		3,280
												8,702		13,609
Dos Rios Stone Products LLC	(10)	Limestone and Sandstone Dimension Cut Stone Mining Quarries
			Class A Preferred Units	(30)	6/27/2016	2,000,000						2,000		640

EIG Fund Investments	(12) (13)	Investment Partnership
			LP Interests (EIG Global Private Debt Fund-A, L.P.)	(8) (31)	11/6/2015	5,000,000						594		547

Flame King Holdings, LLC		Propane Tank and Accessories Distributor
			Secured Debt	(9)	10/29/2021		7.50% (L+6.50%, Floor 1.00%)	10/31/2026		6,400		6,324		6,324
			Secured Debt	(9)	10/29/2021		12.00% (L+11.00%, Floor 1.00%)	10/31/2026		21,200		20,996		20,996
			Preferred Equity		10/29/2021	9,360						10,400		10,400
												37,720		37,720
Freeport Financial Funds	(12) (13)	Investment Partnership
			LP Interests (Freeport Financial SBIC Fund LP)	(31)	3/23/2015	9.3%						5,974		6,078
			LP Interests (Freeport First Lien Loan Fund III LP)	(8) (31)	7/31/2015	6.0%						7,629		7,231
												13,603		13,309
GFG Group, LLC.		Grower and Distributor of a Variety of Plants and Products to Other Wholesalers, Retailers and Garden Centers
			Secured Debt		3/31/2021		12.00%	3/31/2026		12,545		12,435		12,545
			Preferred Member Units	(8)	3/31/2021	226						4,900		6,990
												17,335		19,535
Harris Preston Fund Investments	(12) (13)	Investment Partnership
			LP Interests (HPEP 3, L.P.)	(31)	8/9/2017	8.2%						3,193		4,712

Hawk Ridge Systems, LLC	(13)	Value-Added Reseller of

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
		Engineering Design and Manufacturing Solutions
			Secured Debt	(9)	12/2/2016		7.00% (L+6.00%, Floor 1.00%)	1/15/2026		2,585		2,585		2,585
			Secured Debt		12/2/2016		8.00%	1/15/2026		34,800		34,672		34,800
			Preferred Member Units	(8)	12/2/2016	226						2,850		14,680
			Preferred Member Units	(30)	12/2/2016	226						150		770
												40,257		52,835
Houston Plating and Coatings, LLC		Provider of Plating and Industrial Coating Services
			Unsecured Convertible Debt		5/1/2017		8.00%	5/1/2022		3,000		3,000		2,960
			Member Units	(8)	1/8/2003	322,297						2,352		3,210
												5,352		6,170
I-45 SLF LLC	(12) (13)	Investment Partnership
			Member Units (Fully diluted 20.0%; 24.40% profits interest) (8)	(8)	10/20/2015							19,000		14,387

Iron-Main Investments, LLC		Consumer Reporting Agency Providing Employment Background Checks and Drug Testing
			Secured Debt		8/3/2021		13.00%	8/1/2026		4,600		4,557		4,557
			Secured Debt		9/1/2021		12.50%	9/1/2026		3,200		3,170		3,170
			Secured Debt		8/3/2021		12.50%	11/30/2026		20,000		19,805		19,805
			Secured Debt	(19)	8/3/2021		12.50% PIK	3/31/2022		8,944		8,944		8,944
			Common Stock		8/3/2021	179,778						1,798		1,798
												38,274		38,274
L.F. Manufacturing Holdings, LLC	(10)	Manufacturer of Fiberglass Products
			Preferred Member Units (non-voting)	(8) (19)	1/1/2019		14.00% PIK					107		107
			Member Units		12/23/2013	2,179,001						2,019		2,557
												2,126		2,664
OnAsset Intelligence, Inc.		Provider of Transportation Monitoring / Tracking Products and Services
			Secured Debt	(19)	5/20/2014		12.00% PIK	12/31/2022		935		935		935
			Secured Debt	(19)	3/21/2014		12.00% PIK	12/31/2022		954		954		954
			Secured Debt	(19)	5/10/2013		12.00% PIK	12/31/2022		2,055		2,055		2,055
			Secured Debt	(19)	4/18/2011		12.00% PIK	12/31/2022		4,286		4,286		4,286
			Unsecured Debt	(19)	6/5/2017		10.00% PIK	12/31/2022		192		192		192
			Preferred Stock	(19)	4/18/2011	912	7.00% PIK					1,981		-
			Common Stock		4/15/2021	635						830		-
			Warrants	(27)	4/18/2011	4,699		5/10/2023				1,089		-
												12,322		8,422
Oneliance, LLC		Construction Cleaning Company
			Secured Debt	(9)	8/6/2021		12.00% (L+11.00%, Floor 1.00%)	8/6/2026		5,600		5,547		5,547
			Preferred Stock		8/6/2021	1,056						1,056		1,056
												6,603		6,603
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)		Provider of Rigsite Accommodation Unit Rentals and Related Services
			Secured Debt	(14) (17)	6/30/2015		12.00%	1/8/2018		30,369		29,865		-
			Preferred Member Units		1/8/2013	250						2,500		-
												32,365		-
SI East, LLC		Rigid Industrial Packaging Manufacturing
			Secured Debt		8/31/2018		10.25%	8/31/2023		65,850		65,738		65,850
			Preferred Member Units	(8)	8/31/2018	157						1,218		11,570
												66,956		77,420

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Slick Innovations, LLC		Text Message Marketing Platform
			Secured Debt		9/13/2018		13.00%	9/13/2023		5,320		5,248		5,320
			Common Stock		9/13/2018	70,000						700		1,510
			Warrants	(27)	9/13/2018	18,084		9/13/2028				181		400
												6,129		7,230
Sonic Systems International, LLC	(10)	Nuclear Power Staffing Services
			Secured Debt	(9)	8/20/2021		8.50% (L+7.50%, Floor 1.00%)	8/20/2026		11,982		11,757		11,757
			Common Stock		8/20/2021	7,866						1,070		1,070
												12,827		12,827
Superior Rigging & Erecting Co.		Provider of Steel Erecting, Crane Rental & Rigging Services
			Secured Debt		8/31/2020		12.00%	8/31/2025		21,500		21,332		21,332
			Preferred Member Units		8/31/2020	1,571						4,500		4,500
												25,832		25,832
The Affiliati Network, LLC		Performance Marketing Solutions
			Secured Debt		8/9/2021		7.00%	8/9/2026		280		262		262
			Secured Debt		8/9/2021		11.83%	8/9/2026		12,961		12,834		12,834
			Preferred Stock	(8)	8/9/2021	1,280,000						6,400		6,400
												19,496		19,496
UniTek Global Services, Inc.	(11)	Provider of Outsourced Infrastructure Services
			Secured Debt	(9) (19)	10/15/2018		8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%)	8/20/2024		397		396		371
			Secured Debt	(9) (19)	8/27/2018		8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%)	8/20/2024		1,986		1,974		1,852
			Secured Convertible Debt	(19)	1/1/2021		15.00% PIK	2/20/2025		1,197		1,197		2,375
			Preferred Stock	(8) (19)	8/29/2019	1,133,102	20.00% PIK					1,757		2,833
			Preferred Stock	(19)	8/21/2018	1,521,122	20.00% PIK					2,188		1,498
			Preferred Stock	(19)	1/15/2015	4,336,866	13.50% PIK					7,924		-
			Preferred Stock	(19)	6/30/2017	2,281,682	19.00% PIK					3,667		-
			Common Stock		4/1/2020	945,507						-		-
												19,103		8,929
Universal Wellhead Services Holdings, LLC	(10)	Provider of Wellhead Equipment, Designs, and Personnel to the Oil & Gas Industry
			Preferred Member Units	(19) (30)	12/7/2016	716,949	14.00% PIK					1,032		-
			Member Units	(30)	12/7/2016	4,000,000						4,000		-
												5,032		-
Volusion, LLC		Provider of Online Software-as-a-Service eCommerce Solutions
			Secured Debt	(17)	1/26/2015		11.50%	1/26/2020		17,434		17,434		17,434
			Unsecured Convertible Debt		5/16/2018		8.00%	11/16/2023		409		409		409
			Preferred Member Units		1/26/2015	4,876,670						14,000		5,990
			Warrants	(27)	1/26/2015	1,831,355		1/26/2025				2,576		-
												34,419		23,833
Subtotal Affiliate Investments (30.7% of net assets at fair value)											$	578,539	$	549,214

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)

Non-Control/Non-Affiliate Investments (7)

Acousti Engineering Company of Florida	(10)	Interior Subcontractor Providing Acoustical Walls and Ceilings
			Secured Debt	(9)	11/2/2020		10.00% (L+8.50%, Floor 1.50%)	11/2/2025	$	12,111	$	12,005	$	12,111
			Secured Debt	(9)	5/26/2021		14.00% (L+12.50%, Floor 1.50%)	11/2/2025		850		841		850
												12,846		12,961
ADS Tactical, Inc.	(11)	Value-Added Logistics and Supply Chain Provider to the Defense Industry
			Secured Debt	(9)	3/29/2021		6.75% (L+5.75%, Floor 1.00%)	3/19/2026		22,136		21,734		22,012

American Health Staffing Group, Inc.	(10)	Healthcare Temporary Staffing
			Secured Debt	(9)	11/19/2021		7.00% (L+6.00%, Floor 1.00%)	11/19/2026		7,067		6,988		6,988

American Nuts, LLC	(10)	Roaster, Mixer and Packager of Bulk Nuts and Seeds
			Secured Debt	(9)	12/21/2018		9.00% (L+8.00%, Floor 1.00%)	4/10/2025		12,017		11,854		12,017

American Teleconferencing Services, Ltd.	(11)	Provider of Audio Conferencing and Video Collaboration Solutions
			Secured Debt	(9) (14) (17)	9/17/2021		7.50% (L+6.50%, Floor 1.00%)	9/9/2021		2,980		2,980		89
			Secured Debt	(9) (14)	5/19/2016		7.50% (L+6.50%, Floor 1.00%)	6/28/2023		14,370		13,706		431
												16,686		520
ArborWorks, LLC	(10)	Vegetation Management Services
			Secured Debt	(9)	11/9/2021		8.00% (L+7.00%, Floor 1.00%)	11/9/2026		32,605		31,873		31,873
			Common Equity		11/9/2021	234						234		234
												32,107		32,107
Arrow International, Inc	(10)	Manufacturer and Distributor of Charitable Gaming Supplies
			Secured Debt	(9) (23)	12/21/2020		9.18% (L+7.93%, Floor 1.25%)	12/21/2025		22,500		22,300		22,500

AVEX Aviation Holdings, LLC	(10)	Specialty Aircraft Dealer
			Secured Debt	(9)	12/15/2021		7.50% (L+6.50%, Floor 1.00%)	12/15/2026		13,320		13,005		13,005
			Common Equity		12/15/2021	360						360		360
												13,365		13,365
Berry Aviation, Inc.	(10)	Charter Airline Services
			Secured Debt	(19)	7/6/2018		12.00% (10.50% Cash, 1.50% PIK)	1/6/2024		4,694		4,674		4,694
			Preferred Member Units	(8) (19) (30)	11/12/2019	122,416	16.00% PIK					168		208
			Preferred Member Units	(19) (30)	7/6/2018	1,548,387	8.00% PIK					1,671		2,487
												6,513		7,389
Binswanger Enterprises, LLC	(10)	Glass Repair and Installation Service Provider

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	3/10/2017		9.50% (L+8.50%, Floor 1.00%)	3/10/2023		12,194		12,107		12,194
			Member Units		3/10/2017	1,050,000						1,050		730
												13,157		12,924
Bluestem Brands, Inc.	(11)	Multi-Channel Retailer of General Merchandise
			Secured Debt	(9)	8/28/2020		10.00% (L+8.50%, Floor 1.50%)	8/28/2025		5,357		5,357		5,337
			Common Stock	(8)	10/1/2020	723,184						1		1,515
												5,358		6,852
Brainworks Software, LLC	(10)	Advertising Sales and Newspaper Circulation Software
			Secured Debt	(9) (14) (17)	8/12/2014		12.50% (Prime+9.25%, Floor 3.25%)	7/22/2019		7,817		7,817		4,201

Brightwood Capital Fund Investments	(12) (13)	Investment Partnership
			LP Interests (Brightwood Capital Fund III, LP)	(8) (31)	7/21/2014	1.6%						7,200		4,269
			LP Interests (Brightwood Capital Fund IV, LP)	(8) (31)	10/26/2016	0.6%						4,350		4,394
												11,550		8,663
Burning Glass Intermediate Holding Company, Inc.	(10)	Provider of Skills-Based Labor Market Analytics
			Secured Debt	(9)	6/14/2021		6.00% (L+5.00%, Floor 1.00%)	6/10/2026		465		429		429
			Secured Debt	(9)	6/14/2021		6.00% (L+5.00%, Floor 1.00%)	6/10/2028		20,134		19,803		19,985
												20,232		20,414
Cadence Aerospace LLC	(10)	Aerostructure Manufacturing
			Secured Debt	(19) (35)	11/14/2017		9.28% Cash, 0.22% PIK	11/14/2023		28,540		28,399		26,767

CAI Software LLC		Provider of Specialized Enterprise Resource Planning Software
			Preferred Equity		12/13/2021	1,788,527						1,789		1,789
			Preferred Equity		12/13/2021	596,176						-		-
												1,789		1,789
Camin Cargo Control, Inc.	(11)	Provider of Mission Critical Inspection, Testing and Fuel Treatment Services
			Secured Debt	(9)	6/14/2021		7.50% (L+6.50%, Floor 1.00%)	6/4/2026		15,920		15,775		15,840

Cenveo Corporation	(11)	Provider of Digital Marketing Agency Services
			Common Stock		9/7/2018	322,907						6,183		2,852

Chisholm Energy Holdings, LLC	(10)	Oil & Gas Exploration & Production
			Secured Debt	(9)	5/15/2019		7.75% (L+6.25%, Floor 1.50%)	5/15/2026		2,857		2,804		2,663

Clarius BIGS, LLC	(10)	Prints & Advertising Film Financing
			Secured Debt	(14) (17) (19)	9/23/2014		15.00% PIK	1/5/2015		2,756		2,756		33

Computer Data Source, LLC	(10)	Third Party Maintenance Provider to the Data Center Ecosystem

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	8/6/2021		8.50% (L+7.50%, Floor 1.00%)	8/6/2026		21,681		21,234		21,234

Construction Supply Investments, LLC	(10)	Distribution Platform of Specialty Construction Materials to Professional Concrete and Masonry Contractors
			Member Units	(8)	12/29/2016	861,618						3,335		14,640

Darr Equipment LP	(10)	Heavy Equipment Dealer
			Secured Debt	(19)	12/26/2017		12.50% (11.50% Cash, 1.00% PIK)	6/22/2023		4,685		4,685		4,227
			Warrants	(29)	4/15/2014	915,734		12/23/2023				474		160
												5,159		4,387
DTE Enterprises, LLC	(10)	Industrial Powertrain Repair and Services
			Secured Debt	(9)	4/13/2018		9.50% (L+8.00%, Floor 1.50%)	4/13/2023		9,324		9,259		8,884
			Class AA Preferred Member Units (non-voting)	(8) (19)	4/13/2018		10.00% PIK					1,051		1,051
			Class A Preferred Member Units	(19)	4/13/2018	776,316	8.00% PIK					776		320
												11,086		10,255
Dynamic Communities, LLC	(10)	Developer of Business Events and Online Community Groups
			Secured Debt	(9)	7/17/2018		9.50% (L+8.50%, Floor 1.00%)	7/17/2023		5,681		5,638		5,569

Eastern Wholesale Fence LLC	(10)	Manufacturer and Distributor of Residential and Commercial Fencing Solutions
			Secured Debt	(9)	11/19/2020		8.00%, (L+7.00%, Floor 1.00%)	10/30/2025		31,810		31,238		31,810

EnCap Energy Fund Investments	(12) (13)	Investment Partnership
			LP Interests (EnCap Energy Capital Fund VIII, L.P.)	(8) (31)	1/22/2015	0.1%						3,745		1,599
			LP Interests (EnCap Energy Capital Fund VIII Co- Investors, L.P.)	(31)	1/21/2015	0.4%						2,097		777
			LP Interests (EnCap Energy Capital Fund IX, L.P.)	(8) (31)	1/22/2015	0.1%						4,047		2,284
			LP Interests (EnCap Energy Capital Fund X, L.P.)	(8) (31)	3/25/2015	0.1%						8,443		8,276
			LP Interests (EnCap Flatrock Midstream Fund II, L.P.)	(31)	3/30/2015	0.8%						6,582		2,796
			LP Interests (EnCap Flatrock Midstream Fund III, L.P.)	(8) (31)	3/27/2015	0.2%						6,082		5,064
												30,996		20,796
EPIC Y-Grade Services, LP	(11)	NGL Transportation & Storage

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	6/22/2018		7.00% (L+6.00%, Floor 1.00%)	6/30/2027		6,892		6,819		5,862

Event Holdco, LLC	(10)	Event and Learning Management Software for Healthcare Organizations and Systems
			Secured Debt	(9)(30)	12/22/2021		8.00% (L+7.00%, Floor 1.00%)	12/22/2026		51,692		51,135		51,135

Flip Electronics LLC	(10)	Distributor of Hard-to-Find and Obsolete Electronic Components
			Secured Debt	(9) (33)	1/4/2021		9.09% (L+8.09%, Floor 1.00%)	1/2/2026		5,400		5,304		5,287

Fortna Acquisition Co., Inc.	(10)	Process, Physical Distribution and Logistics Consulting Services
			Secured Debt		7/23/2019		5.09% (L+5.00%)	4/8/2025		7,595		7,525		7,595

Fuse, LLC	(11)	Cable Networks Operator
			Secured Debt		6/30/2019		12.00%	6/28/2024		1,810		1,810		1,672
			Common Stock		6/30/2019	10,429						256		-
												2,066		1,672
GeoStabilization International (GSI)	(11)	Geohazard Engineering Services & Maintenance
			Secured Debt		1/2/2019		5.35% (L+5.25%)	12/19/2025		20,710		20,615		20,606

GoWireless Holdings, Inc.	(11)	Provider of Wireless Telecommunications Carrier Services
			Secured Debt	(9)	1/10/2018		7.50% (L+6.50%, Floor 1.00%)	12/22/2024		18,534		18,440		18,576

Grupo Hima San Pablo, Inc.	(11)	Tertiary Care Hospitals
			Secured Debt	(9) (14) (17)	3/7/2013		9.25% (L+7.00%, Floor 1.50%)	4/30/2019		4,504		4,504		1,269
			Secured Debt	(14) (17)	3/7/2013		13.75%	10/15/2018		2,055		2,040		49
			Secured Debt	(17)	3/7/2013		12.00%	12/24/2021		147		147		147
												6,691		1,465
GS HVAM Intermediate, LLC	(10)	Specialized Food Distributor
			Secured Debt	(9)	10/18/2019		6.75% (L+5.75%, Floor 1.00%)	10/2/2024		13,243		13,167		13,243

GS Operating, LLC	(10)	Distributor of Industrial and Specialty Parts
			Secured Debt	(9)	2/24/2020		8.00% (L+6.50%, Floor 1.50%)	2/24/2025		28,451		28,068		28,451

HDC/HW Intermediate Holdings	(10)	Managed Services and Hosting Provider
			Secured Debt	(9)	12/21/2018		8.50% (L+7.50%, Floor 1.00%)	12/21/2023		3,449		3,419		3,059

Heartland Dental, LLC	(10)	Dental Support Organization
			Secured Debt	(9)	9/9/2020		7.50% (L+6.50%, Floor 1.00%)	4/30/2025		14,813		14,477		14,887

HOWLCO LLC	(11) (13) (21)	Provider of Accounting and Business Development

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
		Software to Real Estate End Markets
			Secured Debt	(9)	8/19/2021		7.00% (L+6.00%, Floor 1.00%)	10/23/2026		25,546		25,546		25,546

Hybrid Promotions, LLC	(10)	Wholesaler of Licensed, Branded and Private Label Apparel
			Secured Debt	(9)	6/30/2021		9.25% (L+8.25%, Floor 1.00%)	6/30/2026		7,088		6,957		7,028

IG Parent Corporation	(11)	Software Engineering
			Secured Debt	(9)	7/30/2021		6.75% (L+5.75%, Floor 1.00%)	7/30/2026		9,591		9,419		9,419

Implus Footcare, LLC	(10)	Provider of Footwear and Related Accessories
			Secured Debt	(9)	6/1/2017		8.75% (L+7.75%, Floor 1.00%)	4/30/2024		18,702		18,471		17,743

Independent Pet Partners Intermediate Holdings, LLC	(10)	Omnichannel Retailer of Specialty Pet Products
			Secured Debt	(36)	8/20/2020		7.20%	12/22/2022		6,563		6,563		6,563
			Secured Debt	(19)	12/10/2020		6.00% PIK	11/20/2023		17,891		16,861		16,861
			Preferred Stock (non-voting)	(19)	12/10/2020		6.00% PIK					3,235		4,329
			Preferred Stock (non-voting)		12/10/2020							-		-
			Member Units		11/20/2018	1,558,333						1,558		-
												28,217		27,753
Industrial Services Acquisition, LLC	(10)	Industrial Cleaning Services
			Secured Debt	(9)	8/13/2021		7.75% (L+6.75%, Floor 1.00%)	8/13/2026		19,897		19,490		19,490
			Preferred Member Units	(8) (19) (30)	1/31/2018	144	10.00% PIK					120		164
			Preferred Member Units	(8) (19) (30)	5/17/2019	80	20.00% PIK					81		99
			Member Units	(30)	6/17/2016	900						900		730
												20,591		20,483
Infolinks Media Buyco, LLC	(10)	Exclusive Placement Provider to the Advertising Ecosystem
			Secured Debt	(9)	11/1/2021		7.00% (L+6.00%, Floor 1.00%)	11/1/2026		8,680		8,487		8,487

Interface Security Systems, L.L.C	(10)	Commercial Security & Alarm Services
			Secured Debt	(9)	12/9/2021		11.75% (L+10.00%, Floor 1.75%)	8/7/2023		525		525		525
			Secured Debt	(9) (14) (19)	8/7/2019		9.75% (8.75% Cash, 1.00% PIK) (1.00% PIK + L+7.00%, Floor 1.75%)	8/7/2023		7,313		7,237		5,233
												7,762		5,758
Intermedia Holdings, Inc.	(11)	Unified Communications as a Service
			Secured Debt	(9)	8/3/2018		7.00% (L+6.00%, Floor 1.00%)	7/19/2025		20,627		20,559		20,527

Invincible Boat Company, LLC.	(10)	Manufacturer of Sport Fishing Boats
			Secured Debt	(9)	8/28/2019		8.00% (L+6.50%, Floor 1.50%)	8/28/2025		17,510		17,354		17,510

INW Manufacturing, LLC	(11)	Manufacturer of Nutrition and Wellness Products

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	5/19/2021		6.50% (L+5.75%, Floor 0.75%)	3/25/2027		7,406		7,205		7,258

Isagenix International, LLC	(11)	Direct Marketer of Health & Wellness Products
			Secured Debt	(9)	6/21/2018		6.75% (L+5.75%, Floor 1.00%)	6/14/2025		5,158		5,135		3,865

Jackmont Hospitality, Inc.	(10)	Franchisee of Casual Dining Restaurants
			Secured Debt	(9)	5/26/2015		8.00% (L+7.00%, Floor 1.00%)	11/4/2024		2,100		2,100		2,100
			Preferred Equity		11/8/2021	2,826,667						314		314
												2,414		2,414
Joerns Healthcare, LLC	(11)	Manufacturer and Distributor of Health Care Equipment & Supplies
			Secured Debt	(9)	8/21/2019		7.00% (L+6.00%, Floor 1.00%)	8/21/2024		4,034		3,989		3,658
			Secured Debt	(19)	11/15/2021		15.00% PIK	11/8/2022		1,000		1,004		1,004
			Common Stock		8/21/2019	472,579						4,429		-
												9,422		4,662
JTI Electrical & Mechanical, LLC	(10)	Electrical, Mechanical and Automation Services
			Secured Debt	(9)	12/22/2021		7.00% (L+6.00%, Floor 1.00%)	12/22/2026		37,895		36,972		36,972
			Common Equity		12/22/2021	1,684,211						1,684		1,684
												38,656		38,656
Klein Hersh, LLC	(10)	Executive and C-Suite Placement for the Life Sciences and Healthcare Industries
			Secured Debt	(9)	11/13/2020		7.75% (L+7.00%, Floor 0.75%)	11/13/2025		43,321		42,342		43,278

KMS, LLC	(10)	Wholesaler of Closeout and Value-priced Products
			Secured Debt	(9)	10/4/2021		8.25% (L+7.25%, Floor 1.00%)	10/4/2026		7,581		7,415		7,415

Kore Wireless Group Inc.	(11) (13)	Mission Critical Software Platform
			Secured Debt		12/31/2018		5.72% (L+5.50%)	12/20/2024		11,415		11,345		11,400

Laredo Energy, LLC	(10)	Oil & Gas Exploration & Production
			Member Units		5/4/2020	1,155,952						11,560		9,659

LaserAway Intermediate Holdings II, LLC	(11)	Aesthetic Dermatology Service Provider
			Secured Debt	(9)	10/18/2021		6.50% (L+5.75%, Floor 0.75%)	10/14/2027		4,130		4,050		4,115

Lightbox Holdings, L.P.	(11)	Provider of Commercial Real Estate Software
			Secured Debt		5/23/2019		5.22% (L+5.00%)	5/9/2026		14,625		14,460		14,442

LKCM Headwater Investments I, L.P.	(12) (13)	Investment Partnership
			LP Interests	(8) (31)	1/25/2013	2.3%						1,746		2,541

LL Management, Inc.	(10)	Medical Transportation Service Provider

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	5/2/2019		8.25% (L+7.25%, Floor 1.00%)	9/25/2023		17,438		17,309		17,438

LLFlex, LLC	(10)	Provider of Metal-Based Laminates
			Secured Debt	(9)	8/16/2021		10.00% (L+9.00%, Floor 1.00%)	8/16/2026		4,478		4,382		4,382

Logix Acquisition Company, LLC	(10)	Competitive Local Exchange Carrier
			Secured Debt	(9)	1/8/2018		6.75% (L+5.75%, Floor 1.00%)	12/22/2024		25,850		24,605		24,428

Looking Glass Investments, LLC	(12) (13)	Specialty Consumer Finance
			Member Units		7/1/2015	3						125		25

Mac Lean-Fogg Company	(10)	Manufacturer and Supplier for Auto and Power Markets
			Secured Debt	(9)	4/22/2019		5.88% (L+5.25%, Floor 0.625%)	12/22/2025		17,080		16,995		17,080
			Preferred Stock	(19)	10/1/2019		13.75% (4.50% Cash, 9.25% PIK)					1,920		1,920
												18,915		19,000
Mako Steel, LP	(10)	Self-Storage Design & Construction
			Secured Debt	(9)	3/15/2021		8.00% (L+7.25%, Floor 0.75%)	3/13/2026		17,589		17,267		17,589

MB2 Dental Solutions, LLC	(11)	Dental Partnership Organization
			Secured Debt	(9)	1/28/2021		7.00% (L+6.00%, Floor 1.00%)	1/29/2027		11,682		11,531		11,682

Mills Fleet Farm Group, LLC	(10)	Omnichannel Retailer of Work, Farm and Lifestyle Merchandise
			Secured Debt	(9)	10/24/2018		7.25% (L+6.25%, Floor 1.00%)	10/24/2024		17,781		17,563		17,781

NBG Acquisition Inc	(11)	Wholesaler of Home Décor Products
			Secured Debt	(9)	4/28/2017		6.50% (L+5.50%, Floor 1.00%)	4/26/2024		3,987		3,961		2,758

NinjaTrader, LLC	(10)	Operator of Futures Trading Platform
			Secured Debt	(9)	12/18/2019		7.25% (L+6.25%, Floor 1.00%)	12/18/2024		31,425		30,837		31,368

NNE Partners, LLC	(10)	Oil & Gas Exploration & Production
			Secured Debt	(19)	3/2/2017		9.37% (4.87% Cash, 4.50% PIK) (4.50% PIK + L+4.75%)	12/31/2023		24,781		24,709		23,154

Northstar Group Services, Inc	(11)	Commercial & Industrial Services
			Secured Debt	(9)	11/1/2021		6.50% (L+5.50%, Floor 1.00%)	11/12/2026		10,000		9,952		10,034

NTM Acquisition Corp.	(11)	Provider of B2B Travel Information Content
			Secured Debt	(9) (19)	7/12/2016		8.25% (7.25% Cash, 1.00% PIK) (1.00%PIK +	6/7/2024		4,598		4,598		4,552

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
							L+6.25%, Floor 1.00%)

NWN Corporation	(10)	Value Added Reseller and Provider of Managed Services to a Diverse Set of Industries
			Secured Debt	(9)	5/7/2021		7.50% (L+6.50%, Floor 1.00%)	5/7/2026		42,972		42,108		42,323

Ospemifene Royalty Sub LLC	(10)	Estrogen-Deficiency Drug Manufacturer and Distributor
			Secured Debt	(14)	7/8/2013		11.50%	11/15/2026		4,562		4,562		112

OVG Business Services, LLC	(10)	Venue Management Services
			Secured Debt	(9)	11/29/2021		7.25% (L+6.25%, Floor 1.00%)	11/19/2028		14,000		13,861		13,861

Project Eagle Holdings, LLC	(10)	Provider of Secure Business Collaboration Software
			Secured Debt	(9)	7/6/2020		7.75% (L+6.75%, Floor 1.00%)	7/6/2026		29,738		29,151		29,714

PT Network, LLC	(10)	Provider of Outpatient Physical Therapy and Sports Medicine Services
			Secured Debt	(9) (19)	10/12/2017		8.50% (6.50% Cash, 2.00% PIK) (2.00% PIK + L+5.50%, Floor 1.00%)	11/30/2023		8,889		8,889		8,889
			Common Stock		1/1/2020	2						-		80
												8,889		8,969
RA Outdoors LLC	(10)	Software Solutions Provider for Outdoor Activity Management
			Secured Debt	(9)	4/8/2021		7.75% (L+6.75%, Floor 1.00%)	4/8/2026		19,374		19,193		18,352

Research Now Group, Inc. and Survey Sampling International, LLC	(11)	Provider of Outsourced Online Surveying
			Secured Debt	(9)	12/29/2017		6.50% (L+5.50%, Floor 1.00%)	12/20/2024		20,124		19,789		19,899

RM Bidder, LLC	(10)	Scripted and Unscripted TV and Digital Programming Provider
			Member Units		11/12/2015	2,779						46		26
			Warrants	(26)	11/12/2015	187,161		10/20/2025				425		-
												471		26
Roof Opco, LLC	(10)	Residential Re-Roofing/Repair
			Secured Debt	(9)	8/27/2021		7.00% (L+6.00%, Floor 1.00%)	8/27/2026		2,800		2,704		2,704

RTIC Subsidiary Holdings, LLC	(10)	Direct-To-Consumer eCommerce Provider of Outdoor Products
			Secured Debt	(9)	9/1/2020		9.00% (L+7.75%, Floor 1.25%)	9/1/2025		18,191		17,997		18,191

Rug Doctor, LLC.	(10)	Carpet Cleaning Products and Machinery
			Secured Debt	(9)	7/16/2021		7.25% (L+6.25%, Floor 1.00%)	11/16/2024		11,145		10,902		10,902

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
Salient Partners L.P.	(11)	Provider of Asset Management Services
			Secured Debt	(9)	8/31/2018		7.00% (L+6.00%, Floor 1.00%)	10/30/2022		6,251		6,247		4,063
			Secured Debt	(9)	9/30/2021		6.00% (L+5.00%, Floor 1.00%)	10/30/2022		1,250		1,250		2,435
												7,497		6,498
Savers, Inc.	(11)	For-Profit Thrift Retailer
			Secured Debt	(9)	5/14/2021		6.25% (L+5.50%, Floor 0.75%)	4/26/2028		11,400		11,295		11,386

SIB Holdings, LLC	(10)	Provider of Cost Reduction Services
			Secured Debt	(9)	10/29/2021		7.00% (L+6.00%, Floor 1.00%)	10/29/2026		6,282		6,134		6,145
			Common Equity		10/29/2021	95,238						200		200
												6,334		6,345
South Coast Terminals Holdings, LLC	(10)	Specialty Toll Chemical Manufacturer
			Secured Debt	(9)	12/10/2021		7.25% (L+6.25%, Floor 1.00%)	12/13/2026		50,704		49,589		49,589
			Common Equity		12/10/2021	863,636						864		864
												50,453		50,453
Staples Canada ULC	(10) (13) (21)	Office Supplies Retailer
			Secured Debt	(9) (22)	9/14/2017		8.00% (L+7.00%, Floor 1.00%)	9/12/2024		16,116		16,039		15,620

Stellant Systems, Inc.	(11)	Manufacturer of Traveling Wave Tubes and Vacuum Electronic Devices
			Secured Debt	(9)	1/0/1900		6.25% (L+5.50%, Floor 0.75%)	10/1/2028		7,700		7,625		7,700

Student Resource Center, LLC	(10)	Higher Education Services
			Secured Debt	(9)	6/25/2021		9.00% (L+8.00%, Floor 1.00%)	6/25/2026		10,969		10,753		10,826

Tacala Investment Corp.	(34)	Quick Service Restaurant Group
			Secured Debt	(9)	3/19/2021		4.25% (L+3.50%, Floor 0.75%)	2/5/2027		1,995		1,995		1,994

Team Public Choices, LLC	(11)	Home-Based Care Employment Service Provider
			Secured Debt	(9)	12/22/2020		6.00% (L+5.00%, Floor 1.00%)	12/18/2027		15,109		14,778		15,071

Tectonic Financial, LLC		Financial Services Organization
			Common Stock	(8)	5/15/2017	200,000						2,000		4,650

Tex Tech Tennis, LLC	(10)	Sporting Goods & Textiles
			Common Stock	(30)	7/7/2021	1,000,000						1,000		1,000

U.S. TelePacific Corp.	(11)	Provider of Communications and Managed Services
			Secured Debt	(9)	5/17/2017		7.00% (L+6.00%, Floor 1.00%)	5/2/2023		17,088		16,985		12,917

USA DeBusk LLC	(10)	Provider of Industrial Cleaning Services

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)


Portfolio Company (1) (20)		Business Description	Type of Investment (2) (3) (15)		Investment Date (24)	Shares/Units	Rate	Maturity Date	Principal (4)		Cost (4)		Fair Value (18)
			Secured Debt	(9)	10/22/2019		6.75% (L+5.75%, Floor 1.00%)	9/8/2026		37,281		36,510		37,281

Veregy Consolidated, Inc.	(11)	Energy Service Company
			Secured Debt	(9)	11/9/2020		6.25% (L+5.25, Floor 1.00%)	11/3/2025		5,875		5,111		5,111
			Secured Debt	(9)	11/9/2020		7.00% (L+6.00%, Floor 1.00%)	11/3/2027		14,888		14,524		14,925
												19,635		20,036
Vida Capital, Inc	(11)	Alternative Asset Manager
			Secured Debt		10/10/2019		6.10% (L+6.00%)	10/1/2026		17,089		16,905		15,850

Vistar Media, Inc.	(10)	Operator of Digital Out-of-Home Advertising Platform
			Preferred Stock		4/3/2019	70,207						767		1,726

VORTEQ Coil Finishers, LLC	(10)	Specialty Coating of Aluminum and Light-Gauge Steel
			Secured Debt	(9)	11/30/2021		8.50% (L+7.50%, Floor 1.00%)	11/30/2026		25,962		25,450		25,450
			Common Equity		11/30/2021	1,038,462						1,038		1,038
												26,488		26,488
Wahoo Fitness Acquisition L.L.C.	(11)	Fitness Training Equipment Provider
			Secured Debt	(9)	8/17/2021		6.75% (L+5.75%, Floor 1.00%)	8/12/2028		15,000		14,569		14,916

Wall Street Prep, Inc.	(10)	Financial Training Services
			Secured Debt	(9)	7/19/2021		8.00% (L+7.00%, Floor 1.00%)	7/19/2026		4,373		4,288		4,285
			Common Stock		7/19/2021	400,000						400		400
												4,688		4,685
Watterson Brands, LLC	(10)	Facility Management Services
			Secured Debt	(9)	12/17/2021		7.25% (L+6.25%, Floor 1.00%)	12/17/2026		25,876		25,267		25,267

Winter Services LLC	(10)	Provider of Snow Removal and Ice Management Services
			Secured Debt	(9)	11/19/2021		8.00% (L+7.00%, Floor 1.00%)	11/19/2026		10,278		10,018		10,061

Xenon Arc, Inc.	(10)	Tech-enabled Distribution Services to Chemicals and Food Ingredients Primary Producers
			Secured Debt	(9)	12/17/2021		6.75% (L+6.00%, Floor 0.75%)	12/17/2026		38,600		37,423		37,423

YS Garments, LLC	(11)	Designer and Provider of Branded Activewear
			Secured Debt	(9)	8/22/2018		6.50% (L+5.50%, Floor 1.00%)	8/9/2024		13,034		12,967		12,578
Subtotal Non-Control/Non-Affiliate Investments (85.2% of net assets at fair value)											$	1,573,110	$	1,523,360
Total Portfolio Investments, December 31, 2021 (199.2% of net assets at fair value)											$	3,259,246	$	3,561,831


(1)	All investments are Lower Middle Market portfolio investments, unless otherwise noted. See Note C for a description of Lower Middle Market portfolio investments. All of the Company’s investments, unless otherwise

Table of Contents

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)

	noted, are encumbered either as security for the Company’s Credit Facility or in support of the SBA-guaranteed debentures issued by the Funds.
(2)	Debt investments are income producing, unless otherwise noted. Equity and warrants are non-income producing, unless otherwise noted.
(3)	See Note C and Schedule 12-14 for a summary of geographic location of portfolio companies.
(4)	Principal is net of repayments. Cost is net of repayments and accumulated unearned income.
(5)	Control investments are defined by the 1940 Act, as investments in which more than 25% of the voting securities are owned or where the ability to nominate greater than 50% of the board representation is maintained.
(6)	Affiliate investments are defined by the 1940 Act as investments in which between 5% and 25% (inclusive) of the voting securities are owned and the investments are not classified as Control investments.
(7)	Non-Control/Non-Affiliate investments are defined by the 1940 Act as investments that are neither Control investments nor Affiliate investments.
(8)	Income producing through dividends or distributions.
(9)	Index based floating interest rate is subject to contractual minimum interest rate. A majority of the variable rate loans in the Company’s investment portfolio bear interest at a rate that may be determined by reference to either LIBOR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically resets semi-annually, quarterly, or monthly at the borrower’s option. The borrower may also elect to have multiple interest reset periods for each loan. For each such loan, the Company has provided the weighted average annual stated interest rate in effect at ~~June 30,~~December 31, 2021. As noted in this schedule, ~~70%~~67% of the loans (based on the par amount) contain LIBOR floors which range between 0.50% and 2.00%, with a weighted-average LIBOR floor of approximately ~~1.09%~~1.06%.
(10)	Private Loan portfolio investment. See Note C for a description of Private Loan portfolio investments.
(11)	Middle Market portfolio investment. See Note C for a description of Middle Market portfolio investments.
(12)	Other Portfolio investment. See Note C for a description of Other Portfolio investments.
(13)	Investment is not a qualifying asset as defined under Section 55(a) of the 1940 Act. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets.
(14)	Non-accrual and non-income producing investment.
(15)	All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities.”
(16)	External Investment Manager. Investment is not encumbered as security for the Company's Credit Facility or in support of the SBA-guaranteed debentures issued by the Funds.
(17)	Maturity date is under on-going negotiations with the portfolio company and other lenders, if applicable.
(18)	Investment fair value was determined using significant unobservable inputs, unless otherwise noted. See Note C for further discussion.
(19)	PIK interest income and cumulative dividend income represent income not paid currently in cash.
(20)	All portfolio company headquarters are based in the United States, unless otherwise noted.
(21)	Portfolio company headquarters are located outside of the United States.
(22)	In connection with the Company's debt investment in Staples Canada ULC and in an attempt to mitigate any potential adverse change in foreign exchange rates during the term of the Company's investment, the Company maintains a forward foreign currency contract with Cadence Bank to lend $21.4 million Canadian Dollars and receive ~~$16.4~~$16.9 million U.S. Dollars with a settlement date of September 14, ~~2021.~~2022. The unrealized depreciation on the forward foreign currency contract ~~is $1.0 million~~was not significant as of ~~June 30,~~December 31, 2021.
(23)	The Company has entered into an intercreditor agreement that entitles the Company to the "last out" tranche of the first lien secured loans, whereby the "first out" tranche will receive priority as to the "last out" tranche with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company receives a higher interest rate than the contractual stated interest rate of LIBOR plus 7.25% (Floor 1.25%) per the credit agreement and the Consolidated Schedule of Investments above reflects such higher rate.
(24)	Investment date represents the date of initial investment in the ~~portfolio company.~~security position.
(25)	Warrants are presented in equivalent shares with a strike price of $10.92 per share.
(26)	Warrants are presented in equivalent units with a strike price of $14.28 per unit.
(27)	Warrants are presented in equivalent shares/units with a strike price of $0.01 per share/unit.
(28)	Warrants are presented in equivalent shares with a strike price of $0.001 per share.

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MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments (Continued)

December 31, 2021

(dollars in thousands)

(29)	Warrants are presented in equivalent units with a strike price of $1.50 per unit.
(30)	Shares/Units represent ownership in an underlying Real Estate or HoldCo entity.
(31)	Investment is not unitized. Presentation is made in percent of fully diluted ownership unless otherwise indicated.
(32)	Portfolio company is in a bankruptcy process and, as such, the maturity date of our debt investment in this portfolio company will not be finally determined until such process is complete. As noted in footnote (14), our debt investment in this portfolio company is on non-accrual status.

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~June 30, 2021~~

~~(dollars in thousands)~~

~~(Unaudited)~~

(33)	The Company has entered into an intercreditor agreement that entitles the Company to the "last out" tranche of the first lien secured loans, whereby the "first out" tranche will receive priority as to the "last out" tranche with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company receives a higher interest rate than the contractual stated interest rate of LIBOR plus ~~7.50%~~7.96% (Floor 1.00%) per the credit agreement and the Consolidated Schedule of Investments above reflects such higher rate.
(34)	Short-term portfolio investments. See Note C for a description of short-term portfolio investments.
(35)	~~Short-term portfolio investments~~The security has an effective contractual interest rate of 2.00% PIK + L+6.50%, Floor 1.00%, but the issuer may, in its discretion, elect to pay the PIK interest in cash. The rate presented represents the effective current yield based on actual payments received during the period.
(36)	Delayed draw term loan facility permits the borrower to make an interest rate election on each new tranche of borrowings under the facility. The rate presented represents a weighted-average rate for borrowings under the facility. As of December 31, 2021, borrowings under the loan facility bear interest at index based floating interest rates which range from LIBOR plus 2.75% to LIBOR plus 4.75%, with LIBOR floors which range from 0% to 0.75% (with a weighted average LIBOR floor of approximately 0.14%), and with resulting interest rates which range from of 2.83% to 4.83% as of June 30, 2021.

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)

Control Investments (5)

ASC Interests, LLC

August 1, 2013
Recreational and Educational Shooting Facility

Secured Debt

13.00%
7/31/2022
$
1,750
$
1,715
$
1,715

Member Units

1,500

1,500

1,120

3,215

2,835

Analytical Systems Keco, LLC

August 16, 2019
Manufacturer of Liquid and Gas Analyzers

Secured Debt
(9)

12.00% (L+10.00%, Floor 2.00%)
8/16/2024

5,155

4,874

4,874

Preferred Member Units

3,200

3,200

3,200

Warrants
(27)
420

8/16/2029

316
��
10

8,390

8,084

ATS Workholding, LLC
(10)
March 10, 2014
Manufacturer of Machine Cutting Tools and Accessories

Secured Debt
(14)

5.00%
11/16/2021

4,982

4,824

3,347

Preferred Member Units

3,725,862

3,726

-

8,550

3,347

Project BarFly, LLC
(10)
August 31, 2015
Casual Restaurant Group

Secured Debt

7.00%
10/31/2024

343

343

343

Member Units

37

1,584

1,584

1,927

1,927

Bolder Panther Group, LLC

December 31, 2020
Consumer Goods and Fuel Retailer

Secured Debt
(9)

10.50% (L+9.00%, Floor 1.50%)
12/31/2025

27,500

27,225

27,225

Class A Preferred Member Units
(30)

14.00%

10,194

10,194

Class B Preferred Member Units
(30)
140,000
8.00%

14,000

14,000

51,419

51,419

Bond-Coat, Inc.

December 28, 2012
Casing and Tubing Coating Services

Common Stock

57,508

6,350

2,040

Brewer Crane Holdings, LLC

January 9, 2018
Provider of Crane Rental and Operating Services

Secured Debt
(9)

11.00% (L+10.00%, Floor 1.00%)
1/9/2023

8,556

8,513

8,513

Preferred Member Units
(8)
2,950

4,280

5,850

12,793

14,363

Bridge Capital Solutions Corporation

April 18, 2012
Financial Services and Cash Flow Solutions Provider

Secured Debt

13.00%
12/11/2024

8,813

8,403

8,403

Warrants
(27)
82

7/25/2026

2,132

3,220

Secured Debt
(30)

13.00%
12/11/2024

1,000

998

998

Preferred Member Units
(8) (30)
17,742

1,000

1,000

12,533

13,621

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Café Brazil, LLC

April 20, 2004
Casual Restaurant Group

Member Units
(8)
1,233

1,742

2,030

California Splendor Holdings LLC

March 30, 2018
Processor of Frozen Fruits

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
3/30/2023

8,100

8,014

8,043

Secured Debt
(9)

11.00% (L+10.00%, Floor 1.00%)
3/30/2023

28,000

27,854

27,789

Preferred Member Units
(8)
6,725

8,255

8,255

Preferred Member Units
(8)
6,157

10,775

6,241

54,898

50,328

CBT Nuggets, LLC

June 1, 2006
Produces and Sells IT Training Certification Videos

Member Units
(8)
416

1,300

46,080

Centre Technologies Holdings, LLC

January 4, 2019
Provider of IT Hardware Services and Software Solutions

Secured Debt
(9)

12.00% (L+10.00%, Floor 2.00%)
1/4/2024

11,628

11,549

11,549

Preferred Member Units

12,696

5,840

6,160

17,389

17,709

Chamberlin Holding LLC

February 26, 2018
Roofing and Waterproofing Specialty Contractor

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
2/26/2023

15,212

15,136

15,212

Member Units
(8)
4,347

11,440

28,070

Member Units
(8) (30)
1,047,146

1,322

1,270

27,898

44,552

Charps, LLC

February 3, 2017
Pipeline Maintenance and Construction

Unsecured Debt
(19)

10.00% (8.67% Cash, 1.33% PIK)
1/31/2024

9,388

7,641

8,475

Secured Debt

15.00%
6/5/2022

669

669

669

Preferred Member Units
(8)
1,600

400

10,520

8,710

19,664

Clad-Rex Steel, LLC

December 20, 2016
Specialty Manufacturer of Vinyl-Clad Metal

Secured Debt
(9)

10.50% (L+9.50%, Floor 1.00%)
12/20/2021

10,880

10,853

10,853

Member Units
(8)
717

7,280

8,610

Secured Debt
(30)

10.00%
12/20/2036

1,111

1,100

1,100

Member Units
(30)
800

210

530

19,443

21,093

CMS Minerals Investments

January 30, 2015
Oil & Gas Exploration & Production

Member Units
(30)
100

2,179

1,624

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Cody Pools, Inc.

March 6, 2020
Designer of Residential and Commercial Pools

Secured Debt
(9)

12.25% (L+10.50%, Floor 1.75%)
3/6/2025

14,216

14,092

14,216

Preferred Member Units

587

8,317

14,940

22,409

29,156

CompareNetworks Topco, LLC

January 29, 2019
Internet Publishing and Web Search Portals

Secured Debt
(9)

12.00% (L+11.00%, Floor 1.00%)
1/29/2024

7,954

7,910

7,953

Preferred Member Units
(8)
1,975

1,975

6,780

9,885

14,733

Copper Trail Fund Investments
(12) (13)
July 17, 2017
Investment Partnership

LP Interests (CTMH, LP)
(31)
38.8%

747

747

Datacom, LLC

May 30, 2014
Technology and Telecommunications Provider

Secured Debt
(14)

8.00%
5/31/2021

1,800

1,800

1,615

Secured Debt
(14) (19)

10.50% PIK
5/31/2021

12,507

12,475

10,531

Class A Preferred Member Units

-

1,294

-

Class B Preferred Member Units

6,453

6,030

-

21,599

12,146

Digital Products Holdings LLC

April 1, 2018
Designer and Distributor of Consumer Electronics

Secured Debt
(9)

11.00% (L+10.00%, Floor 1.00%)
4/1/2023

18,173

18,077

18,077

Preferred Member Units
(8)
3,857

9,501

9,835

27,578

27,912

Direct Marketing Solutions, Inc.

February 13, 2018
Provider of Omni-Channel Direct Marketing Services

Secured Debt
(9)

12.00% (L+11.00%, Floor 1.00%)
2/13/2023

15,090

15,007

15,007

Preferred Stock

8,400

8,400

19,380

23,407

34,387

Gamber-Johnson Holdings, LLC ("GJH")

June 24, 2016
Manufacturer of Ruggedized Computer Mounting Systems

Secured Debt
(9)

9.00% (L+7.00%, Floor 2.00%)
6/24/2021

19,838

19,807

19,838

Member Units
(8)
8,619

14,844

52,490

34,651

72,328

Garreco, LLC

July 15, 2013
Manufacturer and Supplier of Dental Products

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%)
1/31/2021

4,519

4,519

4,519

Member Units

1,200

1,200

1,410

5,719

5,929

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)

GRT Rubber Technologies LLC ("GRT")

December 19, 2014
Manufacturer of Engineered Rubber Products

Secured Debt

7.15% (L+7.00%)
12/31/2023

16,775

16,775

16,775

Member Units
(8)
5,879

13,065

44,900

29,840

61,675

Gulf Manufacturing, LLC

August 31, 2007
Manufacturer of Specialty Fabricated Industrial Piping Products

Member Units
(8)
438

2,980

4,510

Gulf Publishing Holdings, LLC

April 29, 2016
Energy Industry Focused Media and Publishing

Secured Debt
(9) (17) (19)

10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%)
9/30/2020

250

250

250

Secured Debt
(19)

12.50% (6.25% Cash, 6.25% PIK)
4/29/2021

13,147

13,135

12,044

Member Units

3,681

��

3,681

-

17,066

12,294

Harris Preston Fund Investments
(12) (13)
October 1, 2017
Investment Partnership

LP Interests (2717 MH, L.P.)
(31)
49.3%

2,599

2,702

LP Interests (2717 HPP-MS, L.P.)
(31)
49.3%

250

250

2,849

2,952

Harrison Hydra-Gen, Ltd.

June 4, 2010
Manufacturer of Hydraulic Generators

Common Stock
(8)
107,456

718

5,450

Jensen Jewelers of Idaho, LLC

November 14, 2006
Retail Jewelry Store

Secured Debt
(9)

10.00% (Prime+6.75%, Floor 2.00%)
11/14/2023

3,400

3,374

3,400

Member Units
(8)
627

811

7,620

4,185

11,020

J&J Services, Inc.

October 31, 2019
Provider of Dumpster and Portable Toilet Rental Services

Secured Debt

11.50%
10/31/2024

12,800

12,697

12,800

Preferred Stock

2,814

7,085

12,680

19,782

25,480

KBK Industries, LLC

January 23, 2006
Manufacturer of Specialty Oilfield and Industrial Products

Member Units
(8)
325

783

13,200

Kickhaefer Manufacturing Company, LLC

October 31, 2018
Precision Metal Parts Manufacturing

Secured Debt

11.50%
10/31/2023

22,415

22,269

22,269

Member Units

581

12,240

12,240

Secured Debt

9.00%
10/31/2048

3,948

3,909

3,909

Member Units
(8) (30)
800

992

1,160

39,410

39,578

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Market Force Information, LLC

July 28, 2017
Provider of Customer Experience Management Services

Secured Debt
(9)

12.00% (L+11.00%, Floor 1.00%)
7/28/2023

1,600

1,600

1,600

Secured Debt
(14) (19)

12.00% PIK
7/28/2023

26,079

25,952

13,562

Member Units

743,921

16,642

-

44,194

15,162

MH Corbin Holding LLC

August 31, 2015
Manufacturer and Distributor of Traffic Safety Products

Secured Debt
(19)

13.00% (10.00% Cash, 3.00% PIK)
3/31/2022

8,570

8,527

8,280

Preferred Member Units

66,000

4,400

2,370

Preferred Member Units

4,000

6,000

-

18,927

10,650

MSC Adviser I, LLC
(16)
November 22, 2013
Third Party Investment
Advisory Services

Member Units
(8) (31)

29,500

116,760

Mystic Logistics Holdings, LLC

August 18, 2014
Logistics and Distribution Services Provider for Large Volume Mailers

Secured Debt

12.00%
1/17/2022

6,733

6,723

6,723

Common Stock
(8)
5,873

2,720

8,990

9,443

15,713

NAPCO Precast, LLC

January 31, 2008
Precast Concrete Manufacturing

Member Units
(8)
2,955

2,975

16,100

Nebraska Vet AcquireCo, LLC (NVS)

December 31, 2020
Mixed-Animal Veterinary and Animal Health Product Provider

Secured Debt

12.00%
12/31/2025

10,500

10,395

10,395

Preferred Member Units

6,500

6,500

6,500

16,895

16,895

NexRev LLC

February 28, 2018
Provider of Energy Efficiency Products & Services

Secured Debt

11.00%
2/28/2023

17,097

17,016

16,726

Preferred Member Units
(8)
86,400,000

6,880

1,470

23,896

18,196

NRI Clinical Research, LLC

September 8, 2011
Clinical Research Service Provider

Secured Debt

9.00%
6/8/2022

5,620

5,572

5,620

Warrants
(27)
251,723

6/8/2027

252

1,490

Member Units
(8)
1,454,167

765

5,600

6,589

12,710

NRP Jones, LLC

December 22, 2011
Manufacturer of Hoses, Fittings and Assemblies

Secured Debt

12.00%
3/20/2023

2,080

2,080

2,080

Member Units
(8)
65,962

3,717

2,821

5,797

4,901

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
NuStep, LLC

January 31, 2017
Designer, Manufacturer and Distributor of Fitness Equipment

Secured Debt

12.00%
1/31/2022

17,240

17,193

17,193

Preferred Member Units

406

10,200

10,780

27,393

27,973

OMi Holdings, Inc.

April 1, 2008
Manufacturer of Overhead Cranes

Common Stock
(8)
1,500

1,080

20,380

Pearl Meyer Topco LLC

April 27, 2020
Provider of Executive Compensation Consulting Services

Secured Debt

12.00%
4/27/2025

37,513

37,202

37,202

Member Units
(8)
13,800

13,000

15,940

50,202

53,142

Pegasus Research Group, LLC

January 6, 2011
Provider of Telemarketing and Data Services

Member Units
(8)
460

1,290

8,830

PPL RVs, Inc.

June 10, 2010
Recreational Vehicle Dealer

Secured Debt
(9)

7.50% (L+7.00%, Floor 0.50%)
11/15/2022

11,855

11,781

11,806

Common Stock
(8)
2,000

2,150

11,500

13,931

23,306

Principle Environmental, LLC (d/b/a TruHorizon Environmental Solutions)

February 1, 2011
Noise Abatement Service Provider

Secured Debt

13.00%
4/30/2023

6,397

6,335

6,397

Preferred Member Units
(8)
19,631

4,600

10,500

Warrants
(27)
1,018

1/31/2021

1,200

870

12,135

17,767

Quality Lease Service, LLC

June 8, 2015
Provider of Rigsite Accommodation Unit Rentals and Related Services

Member Units

1,000

11,063

4,460

River Aggregates, LLC

March 30, 2011
Processor of Construction Aggregates

Member Units
(30)
1,500

369

3,240

Tedder Industries, LLC

August 31, 2018
Manufacturer of Firearm Holsters and Accessories

Secured Debt

12.00%
8/31/2023

16,400

16,301

16,301

Preferred Member Units

479

8,136

8,136

24,437

24,437

Trantech Radiator Topco, LLC

May 31, 2019
Transformer Cooling Products and Services

Secured Debt

12.00%
5/31/2024

8,720

8,644

8,644

Common Stock
(8)
615

4,655

6,030

13,299

14,674

UnionRock Energy Fund II, LP
(12) (13)
June 15, 2020
Oil & Gas Exploration & Production

LP Interests
(31)
49.6%

2,894

2,894

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Vision Interests, Inc.

June 5, 2007
Manufacturer / Installer of Commercial Signage

Secured Debt
(17)

13.00%
9/30/2019

2,028

2,028

2,028

Series A Preferred Stock

3,000,000

3,000

3,160

5,028

5,188

Ziegler's NYPD, LLC

October 1, 2008
Casual Restaurant Group

Secured Debt

6.50%
10/1/2022

1,000

1,000

979

Secured Debt

12.00%
10/1/2022

625

625

625

Secured Debt

14.00%
10/1/2022

2,750

2,750

2,750

Warrants
(27)
587

10/1/2025

600

-

Preferred Member Units

10,072

2,834

1,780

7,809

6,134

Subtotal Control Investments (73.5% of net assets at fair value)

$
831,490
$
1,113,725

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)

Affiliate Investments (6)

AAC Holdings, Inc.
(11)
June 30, 2017
Substance Abuse Treatment Service Provider

Secured Debt
(19)

18.00% (10.00% Cash, 8.00% PIK)
6/25/2025

9,406

9,187

9,187

Common Stock

593,928

3,148

3,148

Warrants
(27)
554,353

12/11/2025

-

2,938

12,335

15,273

AFG Capital Group, LLC

November 7, 2014
Provider of Rent-to-Own Financing Solutions and Services

Secured Debt

10.00%
5/25/2022

491

491

491

Preferred Member Units

186

1,200

5,810

1,691

6,301

American Trailer Rental Group LLC

June 7, 2017
Provider of Short-term Trailer and Container Rental

Member Units
(30)
73,493

8,596

16,010

BBB Tank Services, LLC

April 8, 2016
Maintenance, Repair and Construction Services to the Above-Ground Storage Tank Market

Unsecured Debt
(9)

12.00% (L+11.00%, Floor 1.00%)
4/8/2021

4,800

4,773

4,722

Preferred Stock (non-voting)
(8) (19)

15.00% PIK

151

151

Member Units

800,000

800

280

5,724

5,153

Boccella Precast Products LLC

June 30, 2017
Manufacturer of Precast Hollow Core Concrete

Member Units
(8)
2,160,000

2,256

6,040

Buca C, LLC

June 30, 2015
Casual Restaurant Group

Secured Debt
(9) (17)

10.25% (L+9.25%, Floor 1.00%)
6/30/2020

19,004

19,004

14,256

Preferred Member Units
(8) (19)
6
6.00% PIK

4,770

-

23,774

14,256

CAI Software LLC

October 10, 2014
Provider of Specialized Enterprise Resource Planning Software

��

Secured Debt

12.50%
12/7/2023

47,474

47,133

47,474

Member Units
(8)
77,960

2,095

7,190

49,228

54,664

Chandler Signs Holdings, LLC
(10)
January 4, 2016
Sign Manufacturer

Class A Units

1,500,000

1,500

1,460

Charlotte Russe, Inc
(11)
May 28, 2013
Fast-Fashion Retailer to Young Women

Common Stock

19,041

3,141

-

Classic H&G Holdings, LLC

March 12, 2020
Provider of Engineered Packaging Solutions

Secured Debt

12.00%
3/12/2025

24,800

24,583

24,800

Preferred Member Units
(8)
154

5,760

9,510

30,343

34,310

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Congruent Credit Opportunities Funds
(12) (13)
January 24, 2012
Investment Partnership

LP Interests (Congruent Credit Opportunities Fund
II, LP)
(31)
19.8%

4,449

94

LP Interests (Congruent Credit Opportunities Fund
III, LP)
(8) (31)
17.4%

11,741

11,540

16,190

11,634

Copper Trail Fund Investments
(12) (13)
July 17, 2017
Investment Partnership

LP Interests (Copper Trail Energy Fund I, LP)
(8) (31)
12.4%

2,161

1,782

Dos Rios Partners
(12) (13)
April 25, 2013
Investment Partnership

LP Interests (Dos Rios Partners, LP)
(31)
20.2%

6,605

5,417

LP Interests (Dos Rios Partners - A, LP)
(31)
6.4%

2,097

1,720

8,702

7,137

East Teak Fine Hardwoods, Inc.

April 13, 2006
Distributor of Hardwood Products

Common Stock

6,250

480

300

EIG Fund Investments
(12) (13)
November 6, 2015
Investment Partnership

LP Interests (EIG Global Private Debt Fund-A, L.P.)
(8) (31)
11.1%

739

526

Freeport Financial Funds
(12) (13)
June 13, 2013
Investment Partnership

LP Interests (Freeport Financial SBIC Fund LP)
(31)
9.3%

5,974

5,264

LP Interests (Freeport First Lien Loan Fund III LP)
(8) (31)
6.0%

10,785

10,321

16,759

15,585

Harris Preston Fund Investments
(12) (13)
August 9, 2017
Investment Partnership

LP Interests (HPEP 3, L.P.)
(31)
8.2%

3,071

3,258

Hawk Ridge Systems, LLC
(13)
December 2, 2016
Value-Added Reseller of Engineering Design and Manufacturing Solutions

Secured Debt

11.00%
12/2/2023

18,400

18,366

18,400

Preferred Member Units
(8)
226

2,850

8,030

Preferred Member Units
(30)
226

150

420

21,366

26,850

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Houston Plating and Coatings, LLC

January 8, 2003
Provider of Plating and Industrial Coating Services

Unsecured Convertible Debt

8.00%
5/1/2022

3,000

3,000

2,900

Member Units
(8)
322,297

2,352

5,080

5,352

7,980

I-45 SLF LLC
(12) (13)
October 20, 2015
Investment Partnership

Member Units (Fully diluted 20.0%; 24.40% profits
interest) (8)
(8) (31)
20.00% Fully Diluted, 24.40% Profits Interest

20,200

15,789

L.F. Manufacturing Holdings, LLC
(10)
December 23, 2013
Manufacturer of Fiberglass Products

Preferred Member Units (non-voting)
(8) (19)

14.00% PIK

93

93

Member Units

2,179,001

2,019

2,050

2,112

2,143

OnAsset Intelligence, Inc.

April 18, 2011
Provider of Transportation Monitoring / Tracking Products and Services

Secured Debt
(19)

12.00% PIK
6/30/2021

7,301

7,301

7,301

Unsecured Debt
(19)

10.00% PIK
6/30/2021

64

64

64

Preferred Stock

912

1,981

-

Warrants
(27)
5,333

4/18/2021

1,919

-

11,265

7,365

PCI Holding Company, Inc.

December 18, 2012
Manufacturer of Industrial Gas Generating Systems

Preferred Stock

1,500,000

3,927

4,130

Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

January 8, 2013
Provider of Rigsite Accommodation Unit Rentals and Related Services

Secured Debt
(14) (32)

12.00%
1/8/2018

30,369

29,865

-

Preferred Member Units

250

2,500

-

32,365

-

Salado Stone Holdings, LLC
(10)
June 27, 2016
Limestone and Sandstone Dimension Cut Stone Mining Quarries

Class A Preferred Units
(30)
2,000,000

2,000

1,250

Slick Innovations, LLC

September 13, 2018
Text Message Marketing Platform

��

Secured Debt

13.00%
9/13/2023

5,720

5,605

5,719

Common Stock

70,000

700

1,330

Warrants
(27)
18,084

9/13/2028

181

360

6,486

7,409

SI East, LLC

August 31, 2018
Rigid Industrial Packaging Manufacturing

Secured Debt

9.50%
8/31/2023

32,963

32,760

32,962

Preferred Member Units
(8)
157

6,000

9,780

38,760

42,742

Superior Rigging & Erecting Co.

August 31, 2020
Provider of Steel Erection, Crane Rental & Rigging Services

Secured Debt

12.00%
8/31/2025

21,500

21,298

21,298

Preferred Member Units

1,473

4,500

4,500

25,798

25,798

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)

Non-Control/Non-Affiliate Investments (7)

Acousti Engineering Company of Florida, Inc.
(10)
November 2, 2020
Interior Subcontractor Providing Acoustical Walls and Ceilings

Secured Debt
(9)

10.00% (L+8.50%, Floor 1.50%)
10/31/2025

13,000

12,858

12,858

Adams Publishing Group, LLC
(10)
November 19, 2015
Local Newspaper Operator

Secured Debt
(9)

8.75% (L+7.00%, Floor 1.75%)
7/3/2023

5,863

5,745

5,813

ADS Tactical, Inc.
(10)
March 7, 2017
Value-Added Logistics and Supply Chain Provider to the Defense Industry

Secured Debt
(9)

7.00% (L+6.25%, Floor 0.75%)
7/26/2023

19,633

19,529

19,633

Aethon United BR LP
(10)
September 8, 2017
Oil & Gas Exploration & Production

Secured Debt
(9)

7.75% (L+6.75%, Floor 1.00%)
9/8/2023

9,750

9,659

9,544

Affordable Care Holding Corp.
(10)
May 9, 2019
Dental Support Organization

Secured Debt
(9)

5.75% (L+4.75%, Floor 1.00%)
10/22/2022

14,246

14,066

14,044

ALKU, LLC.
(11)
October 18, 2019
Specialty National Staffing Operator

Secured Debt

5.75% (L+5.50%)
7/29/2026

9,466

9,385

9,478

American Nuts, LLC
(10)
April 10, 2018
Roaster, Mixer and Packager of Bulk Nuts and Seeds

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
4/10/2023

12,130

11,954

12,111

American Teleconferencing Services, Ltd.
(11)
May 19, 2016
Provider of Audio Conferencing and Video Collaboration Solutions

Secured Debt
(9)

7.50% (L+6.50%, Floor 1.00%)
6/8/2023

17,358

16,634

8,071

APTIM Corp.
(11)
August 17, 2018
Engineering, Construction & Procurement

Secured Debt

7.75%
6/15/2025

12,452

11,063

9,734

Arcus Hunting LLC
(10)
January 6, 2015
Manufacturer of Bowhunting and Archery Products and Accessories

Secured Debt
(9)

11.00% (L+10.00%, Floor 1.00%)
3/31/2021

11,009

11,009

11,009

Arrow International, Inc
(10)
December 21, 2020
Manufacturer and Distributor of Charitable Gaming Supplies

Secured Debt
(9) (23)

9.23% (L+7.98%, Floor 1.25%)
12/21/2025

10,000

9,901

9,901

ASC Ortho Management Company, LLC
(10)
August 31, 2018
Provider of Orthopedic Services

Secured Debt
(9)

8.50% (L+7.50%, Floor 1.00%)
8/31/2023

5,206

5,148

5,149

Secured Debt
(19)

13.25% PIK
12/1/2023

2,116

2,091

2,116

7,239

7,265

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
ATX Networks Corp.
(11) (13) (21)
June 30, 2015
Provider of Radio Frequency Management Equipment

Secured Debt
(9) (19)

8.75% (7.25% Cash, 1.50% PIK) (1.50% PIK + L+6.25%, Floor 1.00%)
12/31/2023

13,402

13,342

12,263

Berry Aviation, Inc.
(10)
July 6, 2018
Charter Airline Services

Secured Debt
(19)

12.00% (10.50% Cash, 1.5% PIK)
1/6/2024

4,624

4,595

4,624

Preferred Member Units
(8) (19) (30)
122,416
16.00% PIK

145

145

Preferred Member Units
(19) (30)
1,548,387
8.00% PIK

1,671

904

6,411

5,673

BigName Commerce, LLC
(10)
May 11, 2017
Provider of Envelopes and Complimentary Stationery Products

Secured Debt
(9)

8.25% (L+7.25%, Floor 1.00%)
5/11/2022

2,044

2,037

2,011

Binswanger Enterprises, LLC
(10)
March 10, 2017
Glass Repair and Installation Service Provider

Secured Debt
(9)

9.50% (L+8.50%, Floor 1.00%)
3/9/2022

12,958

12,798

12,958

Member Units

1,050,000

1,050

670

13,848

13,628

BLST Operating Company, LLC.
(11)
December 19, 2013
Multi-Channel Retailer of General Merchandise

Secured Debt
(9)

10.00% (L+8.50%, Floor 1.50%)
8/28/2025

5,879

5,879

5,879

Common Stock

653

-

-

Warrants
(27)
70

8/28/2030

-

-

5,879

5,879

Brainworks Software, LLC
(10)
August 12, 2014
Advertising Sales and Newspaper Circulation Software

Secured Debt
(9) (14) (17)

12.50% (Prime+9.25%, Floor 3.25%)
7/22/2019

7,817

7,817

5,332

Brightwood Capital Fund Investments
(12) (13)
July 21, 2014
Investment Partnership

LP Interests (Brightwood Capital Fund III, LP)
(8) (31)
1.6%

10,800

8,459

LP Interests (Brightwood Capital Fund IV, LP)
(8) (31)
0.6%

5,000

4,745

15,800

13,204

Cadence Aerospace LLC
(10)
November 14, 2017
Aerostructure Manufacturing

Secured Debt
(9) (19)

9.50% (4.25% Cash, 5.25% PIK) (5.25% PIK + L+3.25%, Floor 1.00%)
11/14/2023

27,703

27,484

26,359

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
California Pizza Kitchen, Inc.
(11)
August 29, 2016
Casual Restaurant Group

Secured Debt
(9)

11.50% (L+10.00%, Floor 1.50%)
11/23/2024

7,700

7,288

7,315

Secured Debt
(9) (19)

13.50% (1.00% Cash, 12.50% PIK) (1.00% Cash, L+11.00% PIK, Floor 1.50%)
11/23/2024

2,657

2,590

2,524

Secured Debt
(9) (19)

15.00% (1.00% Cash, 14.00% PIK) (1.00% Cash, L+12.50% PIK, Floor 1.50%)
5/23/2025

2,291

2,291

1,833

Common Stock

169,088

949

1,860

13,118

13,532

Central Security Group, Inc.
(11)
December 4, 2017
Security Alarm Monitoring Service Provider

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
10/16/2025

6,891

6,891

5,823

Common Stock

329,084

1,481

1,645

8,372

7,468

Cenveo Corporation
(11)
September 4, 2015
Provider of Digital Marketing Agency Services

Secured Debt
(9)

10.50% (L+9.50%, Floor 1.00%)
6/7/2023

5,250

5,129

4,909

Common Stock

177,130

5,309

2,613

10,438

7,522

Chisholm Energy Holdings, LLC
(10)
May 15, 2019
Oil & Gas Exploration & Production

Secured Debt
(9)

7.75% (L+6.25%, Floor 1.50%)
5/15/2026

3,571

3,498

3,274

Clarius BIGS, LLC
(10)
September 23, 2014
Prints & Advertising Film Financing

Secured Debt
(14) (17) (19)

15.00% PIK
1/5/2015

2,832

2,832

31

Clickbooth.com, LLC
(10)
December 5, 2017
Provider of Digital Advertising Performance Marketing Solutions

Secured Debt
(9)

9.50% (L+8.50%, Floor 1.00%)
1/31/2025

7,850

7,750

7,850

Construction Supply Investments, LLC
(10)
December 29, 2016
Distribution Platform of Specialty Construction Materials to Professional Concrete and Masonry Contractors

Member Units

5,637

8,617

Copper Trail Fund Investments
(12) (13)
July 17, 2017
Investment Partnership

LP Interests (CTEF I, LP)

375

-

67

Corel Corporation
(11) (13) (21)
July 24, 2019
Publisher of Desktop and Cloud-based Software

Secured Debt

5.23% (L+5.00%)
7/2/2026

19,403

18,580

19,124

Darr Equipment LP
(10)
April 15, 2014
Heavy Equipment Dealer

Secured Debt
(19)

12.50% (11.50% Cash, 1.00% PIK)
6/22/2023

5,959

5,959

5,959

Warrants
(29)
915,734

12/23/2023

474

-

6,433

5,959

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Digital River, Inc.
(11)
February 24, 2015
Provider of Outsourced e-Commerce Solutions and Services

Secured Debt
(9)

8.00% (L+7.00%, Floor 1.00%)
2/12/2023

13,628

13,422

13,560

DTE Enterprises, LLC
(10)
April 13, 2018
Industrial Powertrain Repair and Services

Secured Debt
(9)

10.00% (L+8.50%, Floor 1.50%)
4/13/2023

9,324

9,213

9,004

Class AA Preferred Member Units (non-voting)
(8) (19)

10.00% PIK

951

951

Class A Preferred Member Units

776,316

776

880

10,940

10,835

Dynamic Communities, LLC
(10)
July 17, 2018
Developer of Business Events and Online Community Groups

Secured Debt
(9) (19)

12.50% (6.25% Cash, 6.25% PIK) (L+11.50%, Floor 1.00%)
7/17/2023

5,320

5,256

4,921

Eastern Wholesale Fence LLC
(10)
November 19, 2020
Manufacturer and Distributor of Residential and Commercial Fencing Solutions

Secured Debt
(9)

7.50%, (L+6.50%, Floor 1.00%)
10/30/2025

11,857

11,523

11,523

Echo US Holdings, LLC.
(10)
November 12, 2019
Developer and Manufacturer of PVC and Polypropylene Materials

Secured Debt
(9)

7.88% (L+6.25%, Floor 1.63%)
10/25/2024

22,190

22,090

22,190

Electronic Transaction Consultants, LLC
(10)
July 24, 2020
Technology Service Provider for Toll Road and Infrastructure Operators

Secured Debt
(9)

8.50% (L+7.50%, Floor 1.00%)
7/24/2025

10,000

9,829

9,829

EnCap Energy Fund Investments
(12) (13)
December 28, 2010
Investment Partnership

LP Interests (EnCap Energy Capital Fund VIII, L.P.)
(31)
0.1%

3,813

959

LP Interests (EnCap Energy Capital Fund VIII Co-
Investors, L.P.)
(31)
0.4%

2,097

465

LP Interests (EnCap Energy Capital Fund IX, L.P.)
(8) (31)
0.1%

4,366

1,291

LP Interests (EnCap Energy Capital Fund X, L.P.)
(8) (31)
0.1%

8,720

6,426

LP Interests (EnCap Flatrock
(8) (31)
0.8%

6,706

2,546

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Midstream Fund II, L.P.)

LP Interests (EnCap Flatrock Midstream Fund III, L.P.)
(8) (31)
0.2%

6,982

5,793

32,684

17,480

Encino Acquisition Partners Holdings, Inc.
(11)
November 16, 2018
Oil & Gas Exploration & Production

Secured Debt
(9)

7.75% (L+6.75%, Floor 1.00%)
10/29/2025

9,000

8,932

8,297

EPIC Y-Grade Services, LP
(11)
June 22, 2018
NGL Transportation & Storage

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
6/30/2027

6,944

6,854

5,799

Fortna, Inc.
(10)
July 23, 2019
Process, Physical Distribution and Logistics Consulting Services

Secured Debt

5.15% (L+5.00%)
4/8/2025

7,673

7,553

7,486

Fuse, LLC
(11)
June 30, 2019
Cable Networks Operator

Secured Debt

12.00%
6/28/2024

1,810

1,810

1,472

Common Stock

10,429

256

-

2,066

1,472

GeoStabilization International (GSI)
(11)
December 31, 2018
Geohazard Engineering Services & Maintenance

Secured Debt

5.40% (L+5.25%)
12/19/2025

11,224

11,137

11,196

GoWireless Holdings, Inc.
(11)
December 31, 2017
Provider of Wireless Telecommunications Carrier Services

Secured Debt
(9)

7.50% (L+6.50%, Floor 1.00%)
12/22/2024

17,113

16,988

16,976

Grupo Hima San Pablo, Inc.
(11)
March 7, 2013
Tertiary Care Hospitals

Secured Debt
(9) (17)

9.25% (L+7.00%, Floor 1.50%)
4/30/2019

4,504

4,504

3,375

Secured Debt
(17)

13.75%
10/15/2018

2,055

2,040

49

6,544

3,424

GS HVAM Intermediate, LLC
(10)
October 18, 2019
Specialized Food Distributor

Secured Debt
(9)

6.75% (L+5.75%, Floor 1.00%)
10/2/2024

11,053

10,952

11,007

Gexpro Services
(10)
February 24, 2020
Distributor of Industrial and Specialty Parts

Secured Debt
(9)

8.00% (L+6.50%, Floor 1.50%)
2/24/2025

29,180

28,692

28,953

HDC/HW Intermediate Holdings
(10)
December 21, 2018
Managed Services and Hosting Provider

Secured Debt
(9)

8.50% (L+7.50%, Floor 1.00%)
12/21/2023

3,474

3,429

3,351

Heartland Dental, LLC
(10)
September 9, 2020
Dental Support Organization

Secured Debt
(9)

7.50% (L+6.50%, Floor 1.00%)
4/30/2025

14,925

14,501

14,501

Hunter Defense Technologies, Inc.
(10)
March 29, 2018
Provider of Military and Commercial Shelters and Systems

Secured Debt
(9)

8.00% (L+7.00%, Floor 1.00%)
3/29/2023

35,246

34,820

35,246

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
HW Temps LLC

July 2, 2015
Temporary Staffing Solutions

Secured Debt

12.00%
3/29/2023

9,801

9,698

8,994

Hyperion Materials & Technologies, Inc.
(11) (13)
September 12, 2019
Manufacturer of Cutting and Machine Tools & Specialty Polishing Compounds

Secured Debt
(9)

6.50% (L+5.50%, Floor 1.00%)
8/28/2026

22,275

21,894

20,813

Ian, Evan & Alexander Corporation (EverWatch)
(10)
July 31, 2020
Cybersecurity, Software and Data Analytics provider to the Intelligence Community

Secured Debt
(9)

9.50% (L+8.50%, Floor 1.00%)
7/31/2025

16,529

16,158

16,158

Implus Footcare, LLC
(10)
June 1, 2017
Provider of Footwear and Related Accessories

Secured Debt
(9)

8.75% (L+7.75%, Floor 1.00%)
4/30/2024

18,890

18,566

17,172

Independent Pet Partners Intermediate Holdings, LLC
(10)
November 20, 2018
Omnichannel Retailer of Specialty Pet Products

Secured Debt
(19)

6.31% PIK (L+6.00% PIK)
12/22/2022

6,111

6,111

6,111

Secured Debt
(19)

6.00% PIK
11/20/2023

16,670

15,086

15,086

Preferred Stock (non-voting)

3,235

3,235

Preferred Stock (non-voting)

-

-

Member Units

1,558,333

1,558

-

25,990

24,432

Industrial Services Acquisition, LLC
(10)
June 17, 2016
Industrial Cleaning Services

Unsecured Debt
(19)

13.00% (6.00% Cash, 7.00% PIK)
12/17/2022

5,624

5,579

5,624

Preferred Member Units
(8) (19) (30)
144
10.00% PIK

112

112

Preferred Member Units
(8) (19) (30)
80
20.00% PIK

71

71

Member Units
(30)
900

900

530

6,662

6,337

Inn of the Mountain Gods Resort and Casino
(11)
October 30, 2013
Hotel & Casino Owner & Operator

Secured Debt

9.25%
11/30/2023

6,677

6,677

6,677

Interface Security Systems, L.L.C
(10)
August 7, 2019
Commercial Security & Alarm Services

Secured Debt
(9) (19)

11.75% (8.75% Cash, 3.00% PIK) (3.00% PIK + L+7.00%, Floor 1.75%)
8/7/2023

7,245

7,145

7,245

Intermedia Holdings, Inc.
(11)
August 3, 2018
Unified Communications as a Service

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
7/19/2025

20,839

20,755

20,823

Invincible Boat Company, LLC.
(10)
August 28, 2019
Manufacturer of Sport Fishing Boats

Secured Debt
(9)

8.00% (L+6.50%, Floor 1.50%)
8/28/2025

8,876

8,793

8,876

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Isagenix International, LLC
(11)
June 21, 2018
Direct Marketer of Health & Wellness Products

Secured Debt
(9)

6.75% (L+5.75%, Floor 1.00%)
6/14/2025

5,572

5,541

3,130

Jackmont Hospitality, Inc.
(10)
May 26, 2015
Franchisee of Casual Dining Restaurants

Secured Debt
(9)

7.75% (L+6.75%, Floor 1.00%)
5/26/2021

3,954

3,953

3,157

Joerns Healthcare, LLC
(11)
April 3, 2013
Manufacturer and Distributor of Health Care Equipment & Supplies

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
8/21/2024

4,016

3,955

4,016

Common Stock

472,579

4,429

2,795

8,384

6,811

Kemp Technologies Inc.
(10)
June 27, 2019
Provider of Application Delivery Controllers

Secured Debt
(9)

7.50% (L+6.50%, Floor 1.00%)
3/29/2024

17,387

17,088

17,387

Common Stock

1,000,000

1,550

1,550

18,638

18,937

Klein Hersh, LLC
(10)
November 13, 2020
Executive and C-Suite Placement for the Life Sciences and Healthcare Industries

Secured Debt
(9)

8.75% (L+8.00%, Floor 0.75%)
11/13/2025

35,000

34,098

34,098

Kore Wireless Group Inc.
(11)
December 31, 2018
Mission Critical Software Platform

Secured Debt

5.75% (L+5.50%)
12/20/2024

19,090

19,003

18,828

Larchmont Resources, LLC
(11)
August 13, 2013
Oil & Gas Exploration & Production

Secured Debt
(9) (19)

11.00% PIK (L+10.00% PIK, Floor 1.00%)
8/9/2021

2,185

2,185

983

Member Units
(30)
2,828

353

113

2,538

1,096

Laredo Energy VI, LP
(10)
January 15, 2019
Oil & Gas Exploration & Production

Member Units

1,155,952

11,560

10,238

Lightbox Holdings, L.P.
(11)
May 23, 2019
Provider of Commercial Real Estate Software

Secured Debt

5.15% (L+5.00%)
5/9/2026

14,813

14,623

14,368

LKCM Headwater Investments I, L.P.
(12) (13)
January 25, 2013
Investment Partnership

LP Interests
(31)
2.3%

1,746

3,524

LL Management, Inc.
(10)
May 2, 2019
Medical Transportation Service Provider

Secured Debt
(9)

8.25% (L+7.25%, Floor 1.00%)
9/25/2023

16,504

16,337

16,504

Logix Acquisition Company, LLC
(10)
June 24, 2016
Competitive Local Exchange Carrier

Secured Debt
(9)

6.75% (L+5.75%, Floor 1.00%)
12/22/2024

26,131

24,550

24,171

Looking Glass Investments, LLC
(12) (13)
July 1, 2015
Specialty Consumer
Finance

Member Units

3

125

25

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
LSF9 Atlantis Holdings, LLC
(11)
May 17, 2017
Provider of Wireless Telecommunications Carrier Services

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
5/1/2023

9,206

9,206

9,177

Lulu's Fashion Lounge, LLC
(10)
August 31, 2017
Fast Fashion E-Commerce Retailer

Secured Debt
(9) (19)

10.50% (8.00% Cash, 2.50% PIK) (2.50% PIK + L+7.00%, Floor 1.00%)
8/28/2022

11,152

10,983

9,535

Lynx FBO Operating LLC
(10)
September 30, 2019
Fixed Based Operator in the General Aviation Industry

Secured Debt
(9)

7.25% (L+5.75%, Floor 1.50%)
9/30/2024

13,613

13,369

13,521

Member Units

4,872

687

780

14,056

14,301

Mac Lean-Fogg Company
(10)
April 22, 2019
Manufacturer and Supplier for Auto and Power Markets

Secured Debt
(9)

5.63% (L+5.00%, Floor 0.625%)
12/22/2025

17,251

17,149

17,251

Preferred Stock
(8) (19)

13.75% (4.50% Cash, 9.25% PIK)

1,870

1,870

1,841

19,019

19,092

MHVC Acquisition Corp.
(11)
May 8, 2017
Provider of Differentiated Information Solutions, Systems Engineering, and Analytics

Secured Debt
(9)

6.25% (L+5.25%, Floor 1.00%)
4/29/2024

19,797

19,716

19,846

Mills Fleet Farm Group, LLC
(10)
October 24, 2018
Omnichannel Retailer of Work, Farm and Lifestyle Merchandise

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
10/24/2024

13,860

13,595

13,609

NBG Acquisition Inc
(11)
April 28, 2017
Wholesaler of Home Décor Products

Secured Debt
(9)

6.50% (L+5.50%, Floor 1.00%)
4/26/2024

4,070

4,034

3,399

NinjaTrader, LLC
(10)
December 18, 2019
Operator of Futures Trading Platform

Secured Debt
(9)

8.25% (L+6.75%, Floor 1.50%)
12/18/2024

16,875

16,543

16,849

NNE Partners, LLC
(10)
March 2, 2017
Oil & Gas Exploration & Production

Secured Debt
(19)

9.48% (4.75% Cash, 4.50% PIK) (4.50% PIK + L+4.75%)
12/31/2023

23,683

23,572

21,025

Project Eagle Holdings, LLC
(10)
July 6, 2020
Provider of Secure Business Collaboration Software

Secured Debt
(9)

9.25% (L+8.25%, Floor 1.00%)
7/6/2026

14,963

14,583

14,583

Novetta Solutions, LLC
(11)
June 21, 2017
Provider of Advanced Analytics Solutions for Defense Agencies

Secured Debt
(9)

6.00% (L+5.00%, Floor 1.00%)
10/17/2022

22,912

22,629

22,864

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
NTM Acquisition Corp.
(11)
July 12, 2016
Provider of B2B Travel Information Content

Secured Debt
(9) (19)

8.25% (7.25% Cash, 1.00% PIK) (1.00%PIK + L+6.25%, Floor 1.00%)
6/7/2024

4,694

4,694

4,224

Ospemifene Royalty Sub LLC (QuatRx)
(10)
July 8, 2013
Estrogen-Deficiency Drug Manufacturer and Distributor

Secured Debt
(14)

11.50%
11/15/2026

4,765

4,765

121

PaySimple, Inc.
(10)
September 9, 2019
Leading Technology Services Commerce Platform

Secured Debt

5.65% (L+5.50%)
8/23/2025

24,448

24,225

23,959

PricewaterhouseCoopers Public Sector LLP
(11)
May 24, 2018
Provider of Consulting Services to Governments

Secured Debt

8.15% (L+8.00%)
5/1/2026

9,000

8,969

9,000

PT Network, LLC
(10)
November 1, 2013
Provider of Outpatient Physical Therapy and Sports Medicine Services

Secured Debt
(9) (19)

8.73% (6.73% Cash, 2.00% PIK) (2.00% PIK + L+5.50%, Floor 1.00%)
11/30/2023

8,601

8,601

8,601

Research Now Group, Inc. and Survey Sampling International, LLC
(11)
December 31, 2017
Provider of Outsourced Online Surveying

Secured Debt
(9)

6.50% (L+5.50%, Floor 1.00%)
12/20/2024

17,930

17,497

17,715

RM Bidder, LLC
(10)
November 12, 2015
Scripted and Unscripted TV and Digital Programming Provider

Warrants
(26)
187,161

10/20/2025

425

-

Member Units

2,779

46

26

471

26

RTIC Subsidiary Holdings, LLC
(10)
September 1, 2020
Direct-To-Consumer eCommerce Provider of Outdoor Products

Secured Debt
(9)

9.00% (L+7.75%, Floor 1.25%)
9/1/2025

17,260

17,026

17,026

SAFETY Investment Holdings, LLC

April 29, 2016
Provider of Intelligent Driver Record Monitoring Software and Services

Member Units

2,000,000

2,000

2,350

Salient Partners L.P.
(11)
June 25, 2015
Provider of Asset Management Services

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
8/31/2021

6,450

6,443

4,542

Staples Canada ULC
(10) (13) (21)
September 14, 2017
Office Supplies Retailer

Secured Debt
(9) (22)

8.00% (L+7.00%, Floor 1.00%)
9/12/2024

13,032

12,896

12,382

TEAM Public Choices, LLC
(10)
October 28, 2019
Home-Based Care Employment Service Provider

Secured Debt
(9)

6.00% (L+5.00%, Floor 1.00%)
12/18/2027

12,500

12,126

12,406

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

Portfolio Company (1) (20)

Investment Date (24)
Business Description
Type of Investment (2) (3) (15)

Shares/Units
Rate
Maturity Date
Principal (4)
Cost (4)
Fair Value (18)
Tectonic Financial, Inc.

May 15, 2017
Financial Services Organization

Common Stock

200,000

2,000

2,800

TGP Holdings III LLC
(11)
September 30, 2017
Outdoor Cooking & Accessories

Secured Debt
(9)

9.50% (L+8.50%, Floor 1.00%)
9/25/2025

5,500

5,448

5,307

The Pasha Group
(11)
February 2, 2018
Diversified Logistics and Transportation Provided

Secured Debt
(9)

9.00% (L+8.00%, Floor 1.00%)
1/26/2023

10,162

9,585

9,323

USA DeBusk LLC
(10)
October 22, 2019
Provider of Industrial Cleaning Services

Secured Debt
(9)

6.75% (L+5.75%, Floor 1.00%)
10/22/2024

24,948

24,561

24,591

U.S. TelePacific Corp.
(11)
September 14, 2016
Provider of Communications and Managed Services

Secured Debt
(9)

6.50% (L+5.50%, Floor 1.00%)
5/2/2023

17,088

16,913

15,486

Veregy Consolidated, Inc.
(11)
November 9, 2020
Energy Service Company

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
11/3/2027

15,000

14,587

14,888

Vida Capital, Inc
(11)
October 10, 2019
Alternative Asset Manager

Secured Debt

6.15% (L+6.00%)
10/1/2026

17,853

17,626

17,272

Vistar Media, Inc.
(10)
February 17, 2017
Operator of Digital Out-of-Home Advertising Platform

Secured Debt
(9) (19)

12.00% (8.50% Cash, 3.50% PIK) (3.50% PIK + L+7.50%, Floor 1.00%)
4/3/2023

4,636

4,513

4,636

Preferred Stock

70,207

767

910

Warrants
(25)
69,675

4/3/2029

-

920

5,280

6,466

YS Garments, LLC
(11)
August 22, 2018
Designer and Provider of Branded Activewear

Secured Debt
(9)

7.00% (L+6.00%, Floor 1.00%)
8/9/2024

13,997

13,902

12,911

Zilliant Incorporated

June 15, 2012
Price Optimization and Margin Management Solutions

Preferred Stock

186,777

154

260

Warrants
(28)
952,500

6/15/2022

1,071

1,190

1,225

1,450

Subtotal Non-Control/Non-Affiliate Investments (79.5% of net assets at fair value)

1,268,740

1,204,840

Total Portfolio Investments, December 31, 2020 (177.2% of net assets at fair value)

$
2,516,709
$
2,684,866


~~(1)~~	All investments are Lower Middle Market portfolio investments, unless otherwise noted. See Note C for a description of Lower Middle Market portfolio investments. All of the Company’s investments, unless otherwise noted, are encumbered either as security for the Company’s Credit FacilityL+6.00% or ~~in support of the SBA-guaranteed debentures issued by the Funds.~~

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

~~(2)~~	~~Debt investments are income producing, unless otherwise noted. Equity and warrants are non-income producing, unless otherwise noted.~~
~~(3)~~	~~See Note C and Schedule 12-14 for a summary of geographic location of portfolio companies.~~
~~(4)~~	~~Principal is net of repayments. Cost is net of repayments and accumulated unearned income.~~
~~(5)~~	Control investments are defined by the 1940 Act, as investments in which more than 25% of the voting securities are owned or where the ability to nominate greater than 50% of the board representation is maintained.
~~(6)~~	Affiliate investments are defined by the 1940 Act as investments in which between 5% and 25% (inclusive) of the voting securities are owned and the investments are not classified as Control investments.
~~(7)~~	~~Non-Control/Non-Affiliate investments are defined by the 1940 Act as investments that are neither Control investments nor Affiliate investments.~~
~~(8)~~	~~Income producing through dividends or distributions.~~
~~(9)~~	Index based floating interest rate is subject to contractual minimum interest rate. A majority of the variable rate loans in the Company’s investment portfolio bear interest at a rate that may be determined by reference to either LIBOR or an alternate Base Rate (commonly based on the Federal Funds Rate or the Prime Rate), which typically resets semi-annually, quarterly, or monthly at the borrower’s option. The borrower may also elect to have multiple interest reset periods for each loan. For each such loan, the Company has provided the weighted average annual stated interest rate in effect at December 31, 2020. As noted in this schedule, 61% of the loans (based on the par amount) contain LIBOR floors which range between 0.50% and 2.00%, with a weighted-average LIBOR floor of approximately 1.11%Prime+5.00%.
~~(10)~~	~~Private Loan portfolio investment. See Note C for a description of Private Loan portfolio investments.~~
~~(11)~~	~~Middle Market portfolio investment. See Note C for a description of Middle Market portfolio investments.~~
~~(12)~~	~~Other Portfolio investment. See Note C for a description of Other Portfolio investments.~~
~~(13)~~	Investment is not a qualifying asset as defined under Section 55(a) of the 1940 Act. Qualifying assets must represent at least 70% of total assets at the time of acquisition of any additional non-qualifying assets.
~~(14)~~	~~Non-accrual and non-income producing investment.~~
~~(15)~~	~~All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities.”~~
~~(16)~~	~~External Investment Manager. Investment is not encumbered as security for the Company's Credit Facility or in support of the SBA-guaranteed debentures issued by the Funds.~~
~~(17)~~	~~Maturity date is under on-going negotiations with the portfolio company and other lenders, if applicable.~~
~~(18)~~	~~Investment fair value was determined using significant unobservable inputs, unless otherwise noted. See Note C for further discussion.~~
~~(19)~~	~~PIK interest income and cumulative dividend income represent income not paid currently in cash.~~
~~(20)~~	~~All portfolio company headquarters are based in the United States, unless otherwise noted.~~
~~(21)~~	~~Portfolio company headquarters are located outside of the United States.~~
~~(22)~~	In connection with the Company's debt investment in Staples Canada ULC and in an attempt to mitigate any potential adverse change in foreign exchange rates during the term of the Company's investment, the Company maintains a forward foreign currency contract with Cadence Bank to lend $15.8 million Canadian Dollars and receive $12.0 million U.S. Dollars with a settlement date of September 14, 2021. The unrealized appreciation on the forward foreign currency contract is $0.4 million as of December 31, 2020.
~~(23)~~	The Company has entered into an intercreditor agreement that entitles the Company to the "last out" tranche of the first lien secured loans, whereby the "first out" tranche will receive priority as to the "last out" tranche with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company receives a higher interest rate than the contractual stated interest rate of LIBOR plus 7.25% (Floor 1.25%) per the credit agreement and the Consolidated Schedule of Investments above reflects such higher rate.
~~(24)~~	~~Investment date represents the date of initial investment in the portfolio company.~~
~~(25)~~	~~Warrants are presented in equivalent shares with a strike price of $10.92 per share.~~
~~(26)~~	~~Warrants are presented in equivalent units with a strike price of $14.28 per unit.~~
~~(27)~~	~~Warrants are presented in equivalent shares/units with a strike price of $0.01 per share/unit.~~
~~(28)~~	~~Warrants are presented in equivalent shares with a strike price of $0.001 per share.~~
~~(29)~~	~~Warrants are presented in equivalent units with a strike price of $1.50 per unit.~~

~~Table of Contents~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments (Continued)~~

~~December 31, 2020~~

~~(dollars in thousands)~~

~~(30)~~	~~Shares/Units represent ownership in an underlying Real Estate or HoldCo entity.~~
~~(31)~~	~~Investment is not unitized. Presentation is made in percent of fully diluted ownership unless otherwise indicated.~~
~~(32)~~	Portfolio company is in a bankruptcy process and, as such, the maturity date of our debt investment in this portfolio company will not be finally determined until such process is complete. As noted in footnote (14), our debt investment in this portfolio company is on non-accrual status.

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MAIN STREET CAPITAL CORPORATION

Notes to the Consolidated Financial Statements

(Unaudited)

NOTE A—ORGANIZATION AND BASIS OF PRESENTATION

1. Organization

Main Street Capital Corporation (“MSCC”) is a principal investment firm primarily focused on providing customized debt and equity financing to lower middle market (“LMM”) companies and debt capital to middle market (“Middle Market”) companies. The portfolio investments of MSCC and its consolidated subsidiaries are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in a variety of industry sectors. MSCC seeks to partner with entrepreneurs, business owners and management teams and generally provides “one stop” financing alternatives within its LMM ~~portfolio.~~investment strategy. MSCC and its consolidated subsidiaries invest primarily in secured debt investments, equity investments, warrants and other securities of LMM companies based in the United States and in secured debt investments of Middle Market companies generally headquartered in the United States.

MSCC was formed in March 2007 to operate as an internally managed business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). MSCC wholly owns several investment funds, including Main Street Mezzanine Fund, LP (“MSMF”) and Main Street Capital III, LP (“MSC III” and, together with MSMF, the “Funds”), and each of their general partners. The Funds are each licensed as a Small Business Investment Company (“SBIC”) by the United States Small Business Administration (“SBA”). Because MSCC is internally managed, all of the executive officers and other employees are employed by MSCC. Therefore, MSCC does not pay any external investment advisory fees, but instead directly incurs the operating costs associated with employing investment and portfolio management professionals.

MSC Adviser I, LLC (the “External Investment Manager”) was formed in November 2013 as a wholly owned subsidiary of MSCC to provide investment management and other services to parties other than MSCC and its subsidiaries or their portfolio companies (“External Parties”) and receives fee income for such services. MSCC has been granted no-action relief by the Securities and Exchange Commission (“SEC”) to allow the External Investment Manager to register as a registered investment adviser under the Investment Advisers Act of 1940, as amended. Since the External Investment Manager conducts all of its investment management activities for External Parties, it is accounted for as a portfolio investment of MSCC and is not included as a consolidated subsidiary of MSCC in MSCC’s consolidated financial statements.

MSCC has elected to be treated for U.S. federal income tax purposes as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). As a result, MSCC generally will not pay corporate-level U.S. federal income taxes on any net ordinary taxable income or capital gains that it distributes to its stockholders.

MSCC has certain direct and indirect wholly owned subsidiaries that have elected to be taxable entities (the “Taxable Subsidiaries”). The primary purpose of the Taxable Subsidiaries is to permit MSCC to hold equity investments in portfolio companies which are “pass-through” entities for tax purposes.

Unless otherwise noted or the context otherwise indicates, the terms “we,” “us,” “our,” the “Company” and “Main Street” refer to MSCC and its consolidated subsidiaries, which include the Funds and the Taxable Subsidiaries.

2. Basis of Presentation

Main Street’s consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The Company is an investment company following accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 946, Financial Services—Investment Companies (“ASC 946”). For each of the periods presented

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herein, Main Street’s consolidated financial statements include the accounts of MSCC and its consolidated subsidiaries. The Investment Portfolio, as used herein, refers to all of Main Street’s investments in LMM portfolio companies, investments in ~~Middle Market portfolio companies,~~ Private Loan (as defined in Note C) portfolio companies, investments in Middle Market portfolio companies, Other Portfolio (as defined in Note C) investments and the investment in the External Investment Manager (see “Note C—Fair Value Hierarchy for Investments and Debentures—Portfolio Composition—Investment Portfolio Composition” for additional discussion of Main Street’s Investment Portfolio and definitions for the defined terms Private Loan and Other Portfolio). Main Street’s results of operations ~~for the three~~ and ~~six months ended June 30, 2021 and 2020,~~ cash flows for the ~~six~~three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ and financial position as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, are presented on a consolidated basis. The effects of all intercompany transactions between Main Street and its consolidated subsidiaries have been eliminated in consolidation.

The accompanying unaudited consolidated financial statements of Main Street are presented in conformity with U.S. GAAP for interim financial information and pursuant to the requirements for reporting on Form 10-Q and Articles 6, 10 and 12 of Regulation S-X. Accordingly, certain disclosures accompanying annual financial statements prepared in accordance with U.S. GAAP are omitted. The unaudited financial statements and notes should be read in conjunction with the audited financial statements and notes thereto for the year ended December 31, ~~2020.~~2021. In the opinion of management, the unaudited consolidated financial results included herein contain all adjustments, consisting solely of normal recurring accruals, considered necessary for the fair presentation of financial statements for the interim periods included herein. The results of operations for the three ~~and six~~ months ended ~~June 30, 2021 and 2020~~March 31, 2022 are not necessarily indicative of the operating results to be expected for the full year. Financial statements prepared on a U.S. GAAP basis require management to make estimates and assumptions that affect the amounts and disclosures reported in the financial statements and accompanying notes. Such estimates and assumptions could change in the future as more information becomes known, which could impact the amounts reported and disclosed herein.

Principles of Consolidation

Under ASC 946, Main Street is precluded from consolidating other entities in which Main Street has equity investments, including those in which it has a controlling interest, unless the other entity is another investment company. An exception to this general principle in ASC 946 occurs if Main Street holds a controlling interest in an operating company that provides all or substantially all of its services directly to Main Street or to its portfolio companies. Accordingly, as noted above, MSCC’s consolidated financial statements include the financial position and operating results for the Funds and the Taxable Subsidiaries. Main Street has determined that none of its portfolio investments qualify for this exception, including the investment in the External Investment Manager. Therefore, Main Street’s Investment Portfolio is carried on the consolidated balance sheet at fair value, as discussed further in Note B.1., with any adjustments to fair value recognized as “Net Unrealized Appreciation (Depreciation)” on the consolidated statements of operations until the investment is realized, usually upon exit, resulting in any gain or loss being recognized as a “Net Realized Gain (Loss).”

Portfolio Investment Classification

Main Street classifies its Investment Portfolio in accordance with the requirements of the 1940 Act. Under the 1940 Act, (a) “Control Investments” are defined as investments in which Main Street owns more than 25% of the voting securities or has rights to maintain greater than 50% of the board representation, (b) “Affiliate Investments” are defined as investments in which Main Street owns between 5% and 25% (inclusive) of the voting securities and does not have rights to maintain greater than 50% of the board representation, and (c) “Non-Control/Non-Affiliate Investments” are defined as investments that are neither Control Investments nor Affiliate Investments. For purposes of determining the classification of its Investment Portfolio, Main Street has excluded consideration of any voting securities or board appointment rights held by third-party investment funds advised by the External Investment Manager.

NOTE B—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1. Valuation of the Investment Portfolio

Main Street accounts for its Investment Portfolio at fair value. As a result, Main Street follows the provisions of ASC 820, Fair Value Measurements and Disclosures (“ASC 820”). ASC 820 defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value and

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enhances disclosure requirements for fair value measurements. ASC 820 requires Main Street to assume that the

~~Table of Contents~~

portfolio investment is to be sold in the principal market to independent market participants, which may be a hypothetical market. Market participants are defined as buyers and sellers in the principal market that are independent, knowledgeable and willing and able to transact.

Main Street’s portfolio strategy calls for it to invest primarily in illiquid debt and equity securities issued by privately held, LMM companies and more liquid debt securities issued by Middle Market companies that are generally larger in size than the LMM companies. Main Street categorizes some of its investments in LMM companies and Middle Market companies as Private Loan portfolio investments, which are primarily debt securities in privately held companies that have been originated directly by Main Street or through strategic relationships with other investment funds on a collaborative basis, and are often referred to in the debt markets as “club deals.” Private Loan investments are ~~typically similar~~made in companies that are consistent with the size ~~structure, terms and conditions to investments~~of companies Main Street ~~holds~~invests in through its LMM portfolio and Middle Market portfolio. Main Street’s portfolio also includes Other Portfolio investments which primarily consist of investments that are not consistent with the typical profiles for its LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments or ~~Private Loan~~Middle Market portfolio investments, including investments which may be managed by third parties. Main Street’s portfolio may also include short-term portfolio investments that are atypical of Main Street’s LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolio investments in that they are intended to be a short-term deployment of capital and are more liquid than investments within the other portfolios. Main Street’s portfolio investments may be subject to restrictions on resale.

LMM investments and Other Portfolio investments generally have no established trading market while Middle Market and short-term portfolio investments generally have established markets that are not active. Private Loan investments may include investments which have no established trading market or have established markets that are not active. Main Street determines in good faith the fair value of its Investment Portfolio pursuant to a valuation policy in accordance with ASC 820, ~~and a~~with such valuation process approved by its Board of Directors and in accordance with the 1940 Act. Main Street’s valuation policies and processes are intended to provide a consistent basis for determining the fair value of Main Street’s Investment Portfolio.

For LMM portfolio investments, Main Street generally reviews external events, including private mergers, sales and acquisitions involving comparable companies, and includes these events in the valuation process by using an enterprise value waterfall methodology (“Waterfall”) for its LMM equity investments and an income approach using a yield-to-maturity model (“Yield-to-Maturity”) for its LMM debt investments. For Middle Market and short-term portfolio investments, Main Street primarily uses quoted prices in the valuation process. Main Street determines the appropriateness of the use of third-party broker quotes, if any, in determining fair value based on its understanding of the level of actual transactions used by the broker to develop the quote and whether the quote was an indicative price or binding offer, the depth and consistency of broker quotes and the correlation of changes in broker quotes with underlying performance of the portfolio company and other market indices. For Private Loan and Middle Market ~~and Private Loan~~ portfolio investments in debt securities for which it has determined that third-party quotes or other independent pricing are not available or appropriate, Main Street generally estimates the fair value based on the assumptions that it believes hypothetical market participants would use to value the investment in a current hypothetical sale using the Yield-to-Maturity valuation method. For its Other Portfolio equity investments, Main Street generally calculates the fair value of the investment primarily based on the net asset value (“NAV”) of the fund and adjusts the fair value for other factors deemed relevant that would affect the fair value of the investment. All of the valuation approaches for Main Street’s portfolio investments estimate the value of the investment as if Main Street were to sell, or exit, the investment as of the measurement date.

These valuation approaches consider the value associated with Main Street’s ability to control the capital structure of the portfolio company, as well as the timing of a potential exit. For valuation purposes, “control” portfolio investments are composed of debt and equity securities in companies for which Main Street has a controlling interest in the equity ownership of the portfolio company or the ability to nominate a majority of the portfolio company’s board of directors. For valuation purposes, “non-control” portfolio investments are generally composed of debt and equity securities in companies for which Main Street does not have a controlling interest in the equity ownership of the portfolio company or the ability to nominate a majority of the portfolio company’s board of directors.

Under the Waterfall valuation method, Main Street estimates the enterprise value of a portfolio company using a combination of market and income approaches or other appropriate valuation methods, such as considering recent

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transactions in the equity securities of the portfolio company or third-party valuations of the portfolio company, and then performs a ~~waterfall~~Waterfall calculation by allocating the enterprise value over the portfolio company’s securities in order of

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their preference relative to one another. The enterprise value is the fair value at which an enterprise could be sold in a transaction between two willing parties, other than through a forced or liquidation sale. Typically, privately held companies are bought and sold based on multiples of earnings before interest, taxes, depreciation and amortization (“EBITDA”), cash flows, net income, revenues, or in limited cases, book value. There is no single methodology for estimating enterprise value. For any one portfolio company, enterprise value is generally described as a range of values from which a single estimate of enterprise value is derived. In estimating the enterprise value of a portfolio company, Main Street analyzes various factors including the portfolio company’s historical and projected financial results. Due to SEC deadlines for Main Street’s quarterly and annual financial reporting, the operating results of a portfolio company used in the current period valuation are generally the results from the period ended three months prior to such valuation date and may include unaudited, projected, budgeted or pro forma financial information and may require adjustments for non-recurring items or to normalize the operating results that may require significant judgment in determining. In addition, projecting future financial results requires significant judgment regarding future growth assumptions. In evaluating the operating results, Main Street also analyzes the impact of exposure to litigation, loss of customers or other contingencies. After determining the appropriate enterprise value, Main Street allocates the enterprise value to investments in order of the legal priority of the various components of the portfolio company’s capital structure. In applying the Waterfall valuation method, Main Street assumes the loans are paid off at the principal amount in a change in control transaction and are not assumed by the buyer, which Main Street believes is consistent with its past transaction history and standard industry practices.

Under the Yield-to-Maturity valuation method, Main Street also uses the income approach to determine the fair value of debt securities based on projections of the discounted future free cash flows that the debt security will likely generate, including analyzing the discounted cash flows of interest and principal amounts for the debt security, as set forth in the associated loan agreements, as well as the financial position and credit risk of the portfolio company. Main Street’s estimate of the expected repayment date of its debt securities is generally the maturity date of the instrument, as Main Street generally intends to hold its loans and debt securities to maturity. The Yield-to-Maturity analysis also considers changes in leverage levels, credit quality, portfolio company performance, changes in ~~market based~~market-based interest rates and other factors. Main Street will generally use the value determined by the Yield-to-Maturity analysis as the fair value for that security; however, because of Main Street’s general intent to hold its loans to maturity, the fair value will not exceed the principal amount of the debt security valued using the Yield-to-Maturity valuation method. A change in the assumptions that Main Street uses to estimate the fair value of its debt securities using the Yield-to-Maturity valuation method could have a material impact on the determination of fair value. If there is deterioration in credit quality or if a debt security is in workout status, Main Street may consider other factors in determining the fair value of the debt security, including the value attributable to the debt security from the enterprise value of the portfolio company or the proceeds that would most likely be received in a liquidation analysis.

Under the NAV valuation method, for an investment in an investment fund that does not have a readily determinable fair value, Main Street measures the fair value of the investment predominately based on the NAV of the investment fund as of the measurement date and adjusts the investment’s fair value for factors known to Main Street that would affect that fund’s NAV, including, but not limited to, fair values for individual investments held by the fund if Main Street holds the same investment or for a publicly traded investment. In addition, in determining the fair value of the investment, Main Street considers whether adjustments to the NAV are necessary in certain circumstances, based on the analysis of any restrictions on redemption of Main Street’s investment as of the measurement date, recent actual sales or redemptions of interests in the investment fund, and expected future cash flows available to equity holders, including the rate of return on those cash flows compared to an implied market return on equity required by market participants, or other uncertainties surrounding Main Street’s ability to realize the full NAV of its interests in the investment fund.

Pursuant to its internal valuation process and the requirements under the 1940 Act, Main Street performs valuation procedures on each of its portfolio investments quarterly. In addition to its internal valuation process, in arriving at estimates of fair value for its investments in its LMM portfolio companies, Main Street, among other things, consults with a nationally recognized independent financial advisory services firm. The nationally recognized independent financial advisory services firm analyzes and provides observations, recommendations and an assurance certification regarding the Company’s determinations of the fair value of its LMM portfolio company investments. The nationally recognized independent financial advisory services firm is generally consulted relative to Main Street’s investments in each LMM portfolio company at least once every calendar year, and for Main Street’s investments in new LMM portfolio companies, at least once in the twelve-month period subsequent to the initial investment. In certain

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instances, Main Street may determine that it is not cost-effective, and as a result is not in its stockholders’ best interest, to consult with the nationally recognized independent financial advisory services firm on its investments in one or more

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LMM portfolio companies. Such instances include, but are not limited to, situations where the fair value of Main Street’s investment in a LMM portfolio company is determined to be insignificant relative to the total Investment Portfolio. Main Street consulted with and received an assurance certification from its independent financial advisory services firm in arriving at Main Street’s determination of fair value on its investments in a total of 3119 LMM portfolio companies for the ~~six~~three months ended ~~June 30, 2021,~~March 31, 2022, representing approximately ~~52%~~30% of the total LMM portfolio at fair value as of ~~June 30, 2021,~~March 31, 2022, and on a total of 2816 LMM portfolio companies for the ~~six~~three months ended ~~June 30, 2020,~~March 31, 2021, representing approximately ~~47%~~26% of the total LMM portfolio at fair value as of ~~June 30, 2020.~~March 31, 2021. Excluding its investments in LMM portfolio companies that, as of ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ as applicable, had not been in the Investment Portfolio for at least twelve months subsequent to the initial investment or whose primary purpose is to own real estate for which a third-party appraisal is obtained on at least an annual basis, the percentage of the LMM portfolio reviewed and certified by Main Street’s independent financial advisory services firm for the ~~six~~three months ended ~~June 30,~~March 31, 2022 and 2021 was 36% and ~~2020 was 55% and 53%~~29% of the total LMM portfolio at fair value as of ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ respectively.

For valuation purposes, all of Main Street’s Middle Market portfolio investments are non-control investments. To the extent sufficient observable inputs are available to determine fair value, Main Street uses observable inputs to determine the fair value of these investments through obtaining third-party quotes or other independent pricing. For Middle Market portfolio investments for which it has determined that third-party quotes or other independent pricing are not available or appropriate, Main Street generally estimates the fair value based on the assumptions that it believes hypothetical market participants would use to value such Middle Market debt investments in a current hypothetical sale using the Yield-to-Maturity valuation method and such Middle Market equity investments in a current hypothetical sale using the Waterfall valuation method. Because the vast majority of the Middle Market portfolio investments are typically valued using third-party quotes or other independent pricing services (including 94% and 90% of the Middle Market portfolio investments as of June 30, 2021 and December 31, 2020, respectively), Main Street generally does not consult with any financial advisory services firms in connection with determining the fair value of its Middle Market investments.

For valuation purposes, all of Main Street’s Private Loan portfolio investments are non-control investments. For Private Loan portfolio investments for which it has determined that third-party quotes or other independent pricing are not available or appropriate, Main Street generally estimates the fair value based on the assumptions that it believes hypothetical market participants would use to value such Private Loan debt investments in a current hypothetical sale using the Yield-to-Maturity valuation method and such Private Loan equity investments in a current hypothetical sale using the Waterfall valuation method.

In addition to its internal valuation process, in arriving at estimates of fair value for its investments in its Private Loan portfolio companies, Main Street, among other things, consults with a nationally recognized independent financial advisory services firm. The nationally recognized independent financial advisory services firm analyzes and provides observations and recommendations and an assurance certification regarding the Company’s determinations of the fair value of its Private Loan portfolio company investments. The nationally recognized independent financial advisory services firm is generally consulted relative to Main Street’s investments in each Private Loan portfolio company at least once every calendar year, and for Main Street’s investments in new Private Loan portfolio companies, at least once in the twelve-month period subsequent to the initial investment. In certain instances, Main Street may determine that it is not cost-effective, and as a result is not in its stockholders’ best interest, to consult with the nationally recognized independent financial advisory services firm on its investments in one or more Private Loan portfolio companies. Such instances include, but are not limited to, situations where the fair value of Main Street’s investment in a Private Loan portfolio company is determined to be insignificant relative to the total Investment Portfolio. Main Street consulted with and received an assurance certification from its independent financial advisory services firm in arriving at its determination of fair value on its investments in a total of 2618 Private Loan portfolio companies for the ~~six~~three months ended ~~June 30, 2021,~~March 31, 2022, representing approximately ~~45%~~26% of the total Private Loan portfolio at fair value as of ~~June 30, 2021,~~March 31, 2022, and on a total of 2111 Private Loan portfolio companies for the ~~six~~three months ended ~~June 30, 2020,~~March 31, 2021, representing approximately ~~37%~~22% of the total Private Loan portfolio at fair value as of ~~June 30, 2020.~~March 31, 2021. Excluding its investments in Private Loan portfolio companies that, as of ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ as applicable, had not been in the Investment Portfolio for at least twelve months subsequent to the initial investment and its investments in Private Loan portfolio companies that were not reviewed because the investment is valued based upon third-party quotes or other independent pricing, the percentage of the Private Loan portfolio reviewed and certified by Main Street’s independent financial advisory services firm for the ~~six~~three months ended ~~June 30,~~March 31, 2022 and 2021 was 42% and ~~2020 was 60% and 45%~~29% of the total Private Loan portfolio at fair value as of ~~June 30,~~March 31, 2022 and 2021, respectively.

For valuation purposes, all of Main Street’s Middle Market portfolio investments are non-control investments. To the extent sufficient observable inputs are available to determine fair value, Main Street uses observable inputs to determine the fair value of these investments through obtaining third-party quotes or other independent pricing. For Middle Market portfolio investments for which it has determined that third-party quotes or other independent pricing are not available or appropriate, Main Street generally estimates the fair value based on the assumptions that it believes hypothetical market participants would use to value such Middle Market debt investments in a current hypothetical sale using the Yield-to-Maturity valuation method and ~~2020, respectively.~~such Middle Market equity investments in a current hypothetical sale using the Waterfall valuation method. The Company generally consults on a limited basis with a financial advisory services firm in connection with determining the fair value of its Middle Market portfolio investments due to the nature of these investments. The vast majority (93% as of both March 31, 2022 and December 31, 2021) of the Middle Market

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portfolio investments are valued using third-party quotes or other independent pricing services, or are new investments that will be consulted on once they have been in the Investment Portfolio for at least twelve months subsequent to the initial investment.

For valuation purposes, all of Main Street’s short-term portfolio investments are non-control investments. To the extent sufficient observable inputs are available to determine fair value, Main Street uses observable inputs to determine the fair value of these investments through obtaining third-party quotes or other independent pricing. Because all of the short-term portfolio investments are typically valued using third-party quotes or other independent pricing services, Main Street generally does not consult with any financial advisory services firms in connection with determining the fair value of its short-term portfolio investments.

For valuation purposes, all of Main Street’s Other Portfolio investments are non-control investments. Main Street’s Other Portfolio investments comprised ~~5.2%~~2.8% and ~~3.6%~~4.7% of Main Street’s Investment Portfolio at fair value as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, respectively. Similar to the LMM investment portfolio, market quotations for Other Portfolio equity investments are generally not readily available. For its Other Portfolio equity investments, Main Street generally determines the fair value of these investments using the NAV valuation method.

For valuation purposes, Main Street’s investment in the External Investment Manager is a control investment. Market quotations are not readily available for this investment, and as a result, Main Street determines the fair value of the External Investment Manager using the Waterfall valuation method under the market approach. In estimating the enterprise value, Main Street analyzes various factors, including the entity’s historical and projected financial results, as well as its size, marketability and performance relative to the population of market comparables. This valuation approach estimates the value of the investment as if Main Street were to sell, or exit, the investment. In addition, Main Street considers its ability to control the capital structure of the company, as well as the timing of a potential exit, in connection with determining the fair value of the External Investment Manager.

Due to the inherent uncertainty in the valuation process, Main Street’s determination of fair value for its Investment Portfolio may differ materially from the values that would have been determined had a ready market for the securities existed. In addition, changes in the market environment, portfolio company performance and other events that may occur over the lives of the investments may cause the gains or losses ultimately realized on these investments to be materially different than the valuations currently assigned. Main Street determines the fair value of each individual investment and records changes in fair value as unrealized appreciation or depreciation.

Main Street uses an internally developed portfolio investment rating system in connection with its investment oversight, portfolio management and analysis and investment valuation procedures for its LMM portfolio companies. This system takes into account both quantitative and qualitative factors of the LMM portfolio company and the investments held therein.

~~The~~In December 2020, the SEC ~~recently~~ adopted ~~new~~ Rule 2a-5 under the 1940 Act, which permits a BDC’s board of directors to designate its executive officers or investment adviser as a valuation designee to determine the fair value for its investment portfolio, subject to the active oversight of the board. Main Street’s Board of Directors has approved policies and procedures pursuant to Rule 2a-5 (the “Valuation Procedures”) and has designated a group of its executive officers to serve as the Board’s valuation designee. Main Street adopted the Valuation Procedures effective April 1, 2021. Main Street believes its Investment Portfolio as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 approximates fair value as of those dates based on the markets in which it operates and other conditions in existence on those reporting dates.

2. Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the period. Actual results may differ from these estimates under different conditions or assumptions. Additionally, as explained in Note B.1., the consolidated financial statements include investments in the Investment Portfolio whose values have been estimated by Main Street, pursuant to valuation policies and procedures approved and overseen by Main Street’s Board of Directors, in the absence of readily ascertainable market values. Because of the inherent uncertainty of the Investment

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Portfolio valuations, those estimated values may differ materially from the values that would have been determined had a ready market for the securities existed.

The COVID-19 pandemic, and the related effect on the U.S. and global economies, has impacted, and threatens to continue to impact, the businesses and operating results of certain of Main Street’s portfolio companies, as well as

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market interest rate spreads. As a result of these and other current effects of the COVID-19 pandemic, as well as the uncertainty regarding the extent and duration of its impact, the valuation of Main Street’s Investment Portfolio has ~~been experiencing~~experienced increased volatility since the beginning of the COVID-19 pandemic.

3. Cash and Cash Equivalents

Cash and cash equivalents consist of cash and highly liquid investments with an original maturity of three months or less at the date of purchase. Cash and cash equivalents are carried at cost, which approximates fair value.

At ~~June 30, 2021,~~March 31, 2022, cash balances totaling ~~$55.9~~$15.8 million exceeded Federal Deposit Insurance Corporation insurance protection levels, subjecting the Company to risk related to the uninsured balance. All of the Company’s cash deposits are held at large established high credit quality financial institutions and management believes that the risk of loss associated with any uninsured balances is remote.

4. Interest, Dividend and Fee Income

Main Street records interest and dividend income on the accrual basis to the extent amounts are expected to be collected. Dividend income is recorded as dividends are declared by the portfolio company or at the point an obligation exists for the portfolio company to make a distribution. In accordance with Main Street’s valuation policies, Main Street evaluates accrued interest and dividend income periodically for collectability. When a loan or debt security becomes 90 days or more past due, and if Main Street otherwise does not expect the debtor to be able to service all of its debt or other obligations, Main Street will generally place the loan or debt security on non-accrual status and cease recognizing interest income on that loan or debt security until the borrower has demonstrated the ability and intent to pay contractual amounts due. If a loan or debt security’s status significantly improves regarding the debtor’s ability to service the debt or other obligations, or if a loan or debt security is sold or written off, Main Street removes it from non-accrual status.

As of ~~June 30,~~March 31, 2022, Main Street’s total Investment Portfolio had nine investments on non-accrual status, which comprised approximately 0.6% of its fair value and 3.1% of its cost. As of December 31, 2021, Main Street’s total Investment Portfolio had nine investments on non-accrual status, which comprised approximately ~~1.2%~~0.7% of its fair value and ~~3.9% of its cost. As of December 31, 2020, Main Street’s total Investment Portfolio had seven investments on non-accrual status, which comprised approximately 1.3% of its fair value and 3.6%~~3.3% of its cost.

Main Street holds certain debt and preferred equity instruments in its Investment Portfolio that contain payment-in-kind (“PIK”) interest and cumulative dividend provisions. The PIK interest, computed at the contractual rate specified in each debt agreement, is periodically added to the principal balance of the debt and is recorded as interest income. Thus, the actual collection of this interest may be deferred until the time of debt principal repayment. Cumulative dividends are recorded as dividend income, and any dividends in arrears are added to the balance of the preferred equity investment. The actual collection of these dividends in arrears may be deferred until such time as the preferred equity is redeemed or sold. To maintain RIC tax treatment (as discussed in Note B.9. below), these non-cash sources of income may need to be paid out to stockholders in the form of distributions, even though Main Street may not have collected the PIK interest and cumulative dividends in cash. For the three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ (i) approximately ~~3.4%~~1.2% and ~~2.5%~~3.8%, respectively, of Main Street’s total investment income was attributable to PIK interest income not paid currently in cash and (ii) approximately ~~0.6%~~1.1% and 0.9%, respectively, of Main Street’s total investment income was attributable to cumulative dividend income not paid currently in cash. For the six months ended June 30, 2021 and 2020, (i) approximately 3.6% and 1.7%, respectively, of Main Street’s total investment income was attributable to PIK interest income not paid currently in cash and (ii) approximately 0.7% ~~and 0.9%~~, respectively, of Main Street’s total investment income was attributable to cumulative dividend income not paid currently in cash. Main Street stops accruing PIK interest and cumulative dividends and writes off any accrued and uncollected interest and dividends in arrears when it determines that such PIK interest and dividends in arrears are no longer collectible.

Main Street may periodically provide services, including structuring and advisory services, to its portfolio companies or other third parties. For services that are separately identifiable and evidence exists to substantiate fair value, fee income is recognized as earned, which is generally when the investment or other applicable transaction closes. Fees received in connection with debt financing transactions for services that do not meet these criteria are treated as debt origination fees and are deferred and accreted into income over the life of the financing.

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A presentation of total investment income Main Street received from its Investment Portfolio in each of the periods presented is as follows:


	Three Months Ended				Six Months Ended
��									Three Months Ended
	June 30,				June 30,				March 31,
	2021		2020		2021		2020		2022		2021

	(dollars in thousands)								(dollars in thousands)
Interest, fee and dividend income:
Interest income	$	45,944	$	41,574	$	89,416	$	86,450	$	59,441	$	43,471
Dividend income		18,619		7,795		36,316		15,836		16,622		17,697
Fee income		2,731		2,638		4,370		5,870		3,332		1,639
Total interest, fee and dividend income	$	67,294	$	52,007	$	130,102	$	108,156	$	79,395	$	62,807

5. Deferred Financing Costs

Deferred financing costs include commitment fees and other costs related to Main Street’s multi-year revolving credit facility (the “Credit Facility”) and its unsecured notes, as well as the commitment fees and leverage fees (approximately 3.4% of the total commitment and draw amounts, as applicable) on the SBIC debentures. See further discussion of Main Street’s debt in Note E. Deferred financing costs in connection with the Credit Facility are capitalized as an asset. Deferred financing costs in connection with all other debt arrangements are a direct deduction from the related debt liability.

6. Equity Offering Costs

The Company’s offering costs are charged against the proceeds from equity offerings when the proceeds are received.

7. Unearned Income—Debt Origination Fees and Original Issue Discount and Discounts / Premiums to Par Value

Main Street capitalizes debt origination fees received in connection with financings and reflects such fees as unearned income netted against the applicable debt investments. The unearned income from the fees is accreted into income ~~based on the effective interest method~~ over the life of the financing.

In connection with its portfolio debt investments, Main Street sometimes receives nominal cost warrants or warrants with an exercise price below the fair value of the underlying equity (together, “nominal cost equity”) that are valued as part of the negotiation process with the particular portfolio company. When Main Street receives nominal cost equity, Main Street allocates its cost basis in its investment between its debt security and its nominal cost equity at the time of origination based on amounts negotiated with the particular portfolio company. The allocated amounts are based upon the fair value of the nominal cost equity, which is then used to determine the allocation of cost to the debt security. Any discount recorded on a debt investment resulting from this allocation is reflected as unearned income, which is netted against the applicable debt investment, and accreted into interest income ~~based on the effective interest method~~ over the life of the debt investment. The actual collection of this interest is deferred until the time of debt principal repayment.

Main Street may also purchase debt securities at a discount or at a premium to the par value of the debt security. In the case of a purchase at a discount, Main Street records the investment at the par value of the debt security net of the discount, and the discount is accreted into interest income ~~based on the effective interest method~~ over the life of the debt investment. In the case of a purchase at a premium, Main Street records the investment at the par value of the debt security plus the premium, and the premium is amortized as a reduction to interest income ~~based on the effective interest method~~ over the life of the debt investment.

To maintain RIC tax treatment (as discussed in Note B.9. below), these non-cash sources of income may need to be paid out to stockholders in the form of distributions, even though Main Street may not have collected the interest income. For the three months ended ~~June 30,~~March 31, 2022 and 2021, approximately 2.0% and ~~2020, approximately~~ 2.4% ~~and 2.6%, respectively, of Main Street’s total investment income was attributable to interest income from the accretion of discounts associated with debt~~

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~~investments, net of any premium reduction. For the six months ended June 30, 2021 and 2020, approximately 2.4% and 2.6%~~, respectively, of Main Street’s total investment income was attributable to interest income from the accretion of discounts associated with debt investments, net of any premium reduction.

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8. Share-Based Compensation

Main Street accounts for its share-based compensation plans using the fair value method, as prescribed by ASC 718, Compensation—Stock Compensation. Accordingly, for restricted stock awards, Main Street measures the grant date fair value based upon the market price of its common stock on the date of the grant and amortizes the fair value of the awards as share-based compensation expense over the requisite service period, which is generally the vesting term.

Main Street has also adopted Accounting Standards Update (“ASU”) 2016-09, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting, which requires that all excess tax benefits and tax deficiencies (including tax benefits of dividends on share-based payment awards) be recognized as income tax expense or benefit in the income statement and not delay recognition of a tax benefit until the tax benefit is realized through a reduction to taxes payable. Accordingly, the tax effects of exercised or vested awards are treated as discrete items in the reporting period in which they occur. Additionally, Main Street has elected to account for forfeitures as they occur.

9. Income Taxes

MSCC has elected to be treated for U.S. federal income tax purposes as a RIC. MSCC’s taxable income includes the taxable income generated by MSCC and certain of its subsidiaries, including the Funds, which are treated as disregarded entities for tax purposes. As a RIC, MSCC generally will not pay corporate-level U.S. federal income taxes on any net ordinary taxable income or capital gains that MSCC distributes to its stockholders. MSCC must generally distribute at least 90% of its “investment company taxable income” (which is generally its net ordinary taxable income and realized net short-term capital gains in excess of realized net long-term capital losses) and 90% of its tax-exempt income to maintain its RIC status (pass-through tax treatment for amounts distributed). As part of maintaining RIC status, undistributed taxable income (subject to a 4% non-deductible U.S. federal excise tax) pertaining to a given fiscal year may be distributed up to 12 months subsequent to the end of that fiscal year, provided such dividends are declared on or prior to the later of (i) the filing of the U.S. federal income tax return for the applicable fiscal year or (ii) the fifteenth day of the ninth month following the close of the year in which such taxable income was generated.

The Taxable Subsidiaries primarily hold certain portfolio investments for Main Street. The Taxable Subsidiaries permit Main Street to hold equity investments in portfolio companies which are “pass-through” entities for tax purposes and to continue to comply with the “source-of-income” requirements contained in the RIC tax provisions of the Code. The Taxable Subsidiaries are consolidated with Main Street for U.S. GAAP financial reporting purposes, and the portfolio investments held by the Taxable Subsidiaries are included in Main Street’s consolidated financial statements as portfolio investments and recorded at fair value. The Taxable Subsidiaries are not consolidated with MSCC for income tax purposes and may generate income tax expense, or benefit, and tax assets and liabilities, as a result of their ownership of certain portfolio investments. The taxable income, or loss, of the Taxable Subsidiaries may differ from their book income, or loss, due to temporary book and tax timing differences and permanent differences. The Taxable Subsidiaries are each taxed at their normal corporate tax rates based on their taxable income. The income tax expense, or benefit, if any, and the related tax assets and liabilities, of the Taxable Subsidiaries are reflected in Main Street’s consolidated financial statements.

The External Investment Manager is an indirect wholly owned subsidiary of MSCC owned through a Taxable Subsidiary and is a disregarded entity for tax purposes. The External Investment Manager has entered into a tax sharing agreement with its Taxable Subsidiary owner. Since the External Investment Manager is accounted for as a portfolio investment of MSCC and is not included as a consolidated subsidiary of MSCC in MSCC’s consolidated financial statements, and as a result of the tax sharing agreement with its Taxable Subsidiary owner, for its stand-alone financial reporting purposes the External Investment Manager is treated as if it is taxed at normal corporate tax rates based on its taxable income and, as a result of its activities, may generate income tax expense or benefit. The income tax expense, or benefit, if any, and the related tax assets and liabilities, of the External Investment Manager are reflected in the External Investment Manager’s separate financial statements.

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The Taxable Subsidiaries and the External Investment Manager use the liability method in accounting for income taxes. Deferred tax assets and liabilities are recorded for temporary differences between the tax basis of assets and liabilities and their reported amounts in the consolidated financial statements, using statutory tax rates in effect for the year in which the temporary differences are expected to reverse. A valuation allowance is provided, if necessary,

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against deferred tax assets when it is more likely than not that some portion or all of the deferred tax asset will not be realized. Our stockholder’s equity includes an adjustment to classification as a result of permanent book-to-tax differences, which include differences in the book and tax treatment of income and expenses.

Taxable income generally differs from net income for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses. Taxable income generally excludes net unrealized appreciation or depreciation, as investment gains or losses are not included in taxable income until they are realized.

10. Net Realized Gains or Losses and Net Unrealized Appreciation or Depreciation

Realized gains or losses are measured by the difference between the net proceeds from the sale or redemption of an investment or a financial instrument and the cost basis of the investment or financial instrument, without regard to unrealized appreciation or depreciation previously recognized, and includes investments written-off during the period net of recoveries and realized gains or losses from in-kind redemptions. Net unrealized appreciation or depreciation reflects the net change in the fair value of the Investment Portfolio and financial instruments and the reclassification of any prior period unrealized appreciation or depreciation on exited investments and financial instruments to realized gains or losses.

11. Fair Value of Financial Instruments

Fair value estimates are made at discrete points in time based on relevant information. These estimates may be subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Main Street believes that the carrying amounts of its financial instruments, consisting of cash and cash equivalents, receivables, payables and other liabilities approximate the fair values of such items due to the short-term nature of these instruments.

To estimate the fair value of Main Street’s multiple tranches of unsecured debt instruments as disclosed in ~~Note~~“Note E – ~~Debt,~~Debt”, Main Street uses quoted market prices. For the estimated fair value of Main Street’s SBIC debentures, Main Street uses the Yield-to-Maturity valuation method based on projections of the discounted future free cash flows that the debt security will likely generate, including both the discounted cash flows of the associated interest and principal amounts for the debt security.

12. Earnings per Share

Basic and diluted per share calculations are computed utilizing the weighted-average number of shares of common stock outstanding for the period. In accordance with ASC 260, Earnings Per Share, the unvested shares of restricted stock awarded pursuant to Main Street’s equity compensation plans are participating securities and, therefore, are included in the basic earnings per share calculation. As a result, for all periods presented, there is no difference between diluted earnings per share and basic earnings per share amounts.

13. Recently Issued or Adopted Accounting Standards

In March 2020, the FASB issued ASU 2020-04, “Reference rate reform (Topic 848)—Facilitation of the effects of reference rate reform on financial reporting.” The amendments in this update provide optional expedients and exceptions for applying U.S. GAAP to certain contracts and hedging relationships that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform and became effective upon issuance for all entities. The Company has agreements that have LIBOR as a reference rate with certain portfolio companies and also with certain lenders. Many of these agreements include language for choosing an alternative successor rate if LIBOR reference is no longer considered to be appropriate. Contract modifications are required to be evaluated in determining whether the modifications result in the establishment of new contracts or the continuation of existing contracts. The Company adopted this amendment in March 2020 and plans to apply the amendments in this update to account for contract modifications due to changes in reference rates when LIBOR reference is no longer used. The Company

~~Table~~ utilized the optional expedients and exceptions provided by ASU 2020-04 during the three months ended March 31, 2022, the effect of ~~Contents~~

which was not material to the consolidated financial statements and the notes thereto. The Company continues to evaluate the potential impact that the amendments in this update will have on its consolidated financial statements and ~~disclosures when applied.~~disclosures.

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In ~~May 2020,~~December 2021, the SEC published ~~Release~~Staff Accounting Bulletin No. ~~33-10786 (the “May 2020 Release”~~120 (“SAB 120”), ~~Amendments~~ to ~~Financial Disclosures about Acquired~~provide accounting and ~~Disposed Businesses~~disclosure guidance for stock compensation awards made to executives and conforming amendments to the Staff Accounting Bulletin Series to align with the current authoritative accounting guidance in ASC 718, Compensation – Stock Compensation~~, announcing its adoption~~. In part, SAB 120 requires that an entity disclose how it determines the current price of ~~rules amending Rule 1-02(w)(2) under Regulation S-X~~underlying shares for grant-date fair value, the policy for when an adjustment to the share price is required, how it determines the amount of an adjustment to the share price and any significant assumptions used in determining an adjustment to the ~~determination of a significant subsidiary specific to investment companies, including BDCs. In part,~~share price. SAB 120 is effective for all stock compensation awards issued after December 1, 2021. Main Street is in compliance with the ~~rules adopted~~guidance pursuant to ~~the May 2020 Release eliminated the use~~SAB 120 for any share-based compensation disclosures. See “Note J – Share-Based Compensation” for further discussion of ~~the asset test,~~Main Street’s policies and amended the income and investment tests for determining whether an unconsolidated subsidiary requires additional disclosure in the footnotes of the financial statements. Main Street adopted the rules pursuant to the May 2020 Release during the quarter ended June 30, 2020.procedures regarding share-based compensation. The impact of ~~the adoption of these rules on Main Street’s consolidated financial statements~~SAB 120 was not ~~material.~~

~~In December 2020, the SEC published Release No. IC-34084 (the “December 2020 Release”)~~ ~~Use of Derivatives by Registered Investment Companies and Business Development Companies~~~~, announcing its adoption of Rule 18f-4 and amendment of Rule 6c-11 under the 1940 Act~~material to provide an updated, comprehensive approach to the regulation of registered investment companies’, including BDCs’, use of derivatives and address investor protection concerns. In part, the rules adopted pursuant to the December 2020 Release require that funds using derivatives generally will have to adopt a derivatives risk management program that a derivatives risk manager administers and that the fund’s board of directors oversees, and comply with an outer limit on fund leverage. Funds that use derivatives only in a limited manner will not be subject to these requirements, but they will have to adopt and implement policies and procedures reasonably designed to manage the fund’s derivatives risks. Funds also will be subject to reporting and recordkeeping requirements regarding their derivatives use. Main Street adopted the rules pursuant to the December 2020 Release during the quarter ended March 31, 2021. As Main Street is a limited user of derivatives, the impact of the adoption of these rules on the consolidated financial statements ~~was not material.~~and the notes thereto.

From time to time, new accounting pronouncements are issued by the FASB or other standards setting bodies that are adopted by Main Street as of the specified effective date. Main Street believes that the impact of recently issued standards and any that are not yet effective will not have a material impact on its consolidated financial statements upon adoption.

NOTE C—FAIR VALUE HIERARCHY FOR INVESTMENTS AND DEBENTURES—PORTFOLIO COMPOSITION

ASC 820 defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs used to measure fair value, and enhances disclosure requirements for fair value measurements. Main Street accounts for its investments at fair value.

Fair Value Hierarchy

In accordance with ASC 820, Main Street has categorized its investments based on the priority of the inputs to the valuation technique into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical investments (Level 1) and the lowest priority to unobservable inputs (Level 3).

Investments recorded on Main Street’s balance sheet are categorized based on the inputs to the valuation techniques as follows:

Level 1—Investments whose values are based on unadjusted quoted prices for identical assets in an active market that Main Street has the ability to access (examples include investments in active exchange-traded equity securities and investments in most U.S. government and agency securities).

Level 2—Investments whose values are based on quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the investment. Level 2 inputs include the following:

●

Quoted prices for similar assets in active markets (for example, investments in restricted stock);

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●

Quoted prices for identical or similar assets in non-active markets (for example, investments in thinly traded public companies);

●

Pricing models whose inputs are observable for substantially the full term of the investment (for example, market interest rate indices); and

●

Pricing models whose inputs are derived principally from, or corroborated by, observable market data through correlation or other means for substantially the full term of the investment.

Level 3—Investments whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement (for example, investments in illiquid securities issued by privately held companies). These inputs reflect management’s own assumptions about the assumptions a market participant would use in pricing the investment.

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As required by ASC 820, when the inputs used to measure fair value fall within different levels of the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant to the fair value measurement in its entirety. For example, a Level 3 fair value measurement may include inputs that are observable (Levels 1 and 2) and unobservable (Level 3). Therefore, unrealized appreciation and depreciation related to such investments categorized within the Level 3 tables below may include changes in fair value that are attributable to both observable inputs (Levels 1 and 2) and unobservable inputs (Level 3).

As of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, all of Main Street’s LMM portfolio investments consisted of illiquid securities issued by privately held companies and the fair value determination for these investments primarily consisted of unobservable inputs. As a result, all of Main Street’s LMM portfolio investments were categorized as Level 3 as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020.~~2021.

As of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, Main Street’s Private Loan portfolio investments primarily consisted of investments in interest-bearing secured debt investments. The fair value determination for these investments consisted of a combination of observable inputs in non-active markets for which sufficient observable inputs were not available to determine the fair value of these investments and unobservable inputs. As a result, all of Main Street’s Private Loan portfolio investments were categorized as Level 3 as of March 31, 2022 and December 31, 2021.

As of March 31, 2022 and December 31, 2021, Main Street’s Middle Market portfolio investments consisted primarily of investments in secured and unsecured debt investments and independently rated debt investments. The fair value determination for these investments consisted of a combination of observable inputs in non-active markets for which sufficient observable inputs were not available to determine the fair value of these investments and unobservable inputs. As a result, all of Main Street’s Middle Market portfolio investments were categorized as Level 3 as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020.~~2021.

As of ~~June 30, 2021~~March 31, 2022 and December 31, 2020, Main Street’s private loan (“Private Loan”) portfolio investments primarily consisted of investments in interest-bearing secured debt investments. The fair value determination for these investments consisted of a combination of observable inputs in non-active markets for which sufficient observable inputs were not available to determine the fair value of these investments and unobservable inputs. As a result, all of Main Street’s Private Loan portfolio investments were categorized as Level 3 as of June 30, 2021, ~~and December 31, 2020.~~

~~As of June 30, 2021 and December 31, 2020,~~ Main Street’s Other Portfolio investments consisted of illiquid securities issued by privately held companies and the fair value determination for these investments primarily consisted of unobservable inputs. As a result, all of Main Street’s Other Portfolio investments were categorized as Level 3 as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020.~~2021.

As of ~~June 30, 2021,~~March 31, 2022, Main Street held ~~several~~one short-term portfolio ~~investments consisting primarily of investments in~~investment, which was a secured debt ~~investments and independently rated debt investments.~~investment. The fair value determination for ~~these investments~~this investment consisted of available observable inputs in non-active markets sufficient to determine the fair value of ~~these investments.~~the investment. As a result, ~~all of~~ Main Street’s short-term portfolio ~~investments were~~investment was categorized as Level 2 as of ~~June 30, 2021.~~March 31, 2022. As of December 31, 2021, Main Street ~~did not hold any~~held one short-term portfolio ~~investments~~investment, which was a secured debt investment. The fair value determination for this investment consisted of available observable inputs in non-active markets sufficient to determine the fair value of the investment. As a result, Main Street’s short-term portfolio investment was categorized as Level 2 as of December 31, ~~2020.~~2021.

The fair value determination of each portfolio investment categorized as Level 3 required one or more of the following unobservable inputs:

●

Financial information obtained from each portfolio company, including unaudited statements of operations and balance sheets for the most recent period available as compared to budgeted numbers;

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●

Current and projected financial condition of the portfolio company;

●

Current and projected ability of the portfolio company to service its debt obligations;

●

Type and amount of collateral, if any, underlying the investment;

●

Current financial ratios (e.g., fixed charge coverage ratio, interest coverage ratio and net debt/EBITDA ratio) applicable to the investment;

●

Current liquidity of the investment and related financial ratios (e.g., current ratio and quick ratio);

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●

Pending debt or capital restructuring of the portfolio company;

●

Projected operating results of the portfolio company;

●

Current information regarding any offers to purchase the investment;

●

Current ability of the portfolio company to raise any additional financing as needed;

●

Changes in the economic environment which may have a material impact on the operating results of the portfolio company;

●

Internal occurrences that may have an impact (both positive and negative) on the operating performance of the portfolio company;

●

Qualitative assessment of key management;

●

Contractual rights, obligations or restrictions associated with the investment; and

●

Other factors deemed relevant.

The use of significant unobservable inputs creates uncertainty in the measurement of fair value as of the reporting date. The significant unobservable inputs used in the fair value measurement of Main Street’s LMM equity securities, which are generally valued through an average of the discounted cash flow technique and the market comparable/enterprise value technique (unless one of these approaches is determined to not be appropriate), are (i) EBITDA multiples and (ii) the weighted-average cost of capital (“WACC”). Significant increases (decreases) in EBITDA multiple inputs in isolation would result in a significantly higher (lower) fair value measurement. On the contrary, significant increases (decreases) in WACC inputs in isolation would result in a significantly lower (higher) fair value measurement. The significant unobservable inputs used in the fair value measurement of Main Street’s LMM, Private Loan and Middle Market ~~and Private Loan~~ securities are (i) risk adjusted discount rates used in the Yield-to-Maturity valuation technique (see “Note B.1.—Valuation of the Investment Portfolio”) and (ii) the percentage of expected principal recovery. Significant increases (decreases) in any of these discount rates in isolation would result in a significantly lower (higher) fair value measurement. Significant increases (decreases) in any of these expected principal recovery percentages in isolation would result in a significantly higher (lower) fair value measurement. However, due to the nature of certain investments, fair value measurements may be based on other criteria, such as third-party appraisals of collateral and fair values as determined by independent third parties, which are not presented in the tables below.

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The following tables provide a summary of the significant unobservable inputs used to fair value Main Street’s Level 3 portfolio investments as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020:~~2021:


	Fair Value as of									Fair Value as of
	June 30,									March 31,
Type of	2021			Significant		Weighted				2022			Significant		Weighted
Investment	(in thousands)		Valuation Technique	Unobservable Inputs	Range(3)	Average(3)		Median(3)		(in thousands)		Valuation Technique	Unobservable Inputs	Range(3)	Average(3)		Median(3)
Equity investments	$	916,145	Discounted cash flow	WACC	9.6% - 20.6%	14.0	%	14.8	%	$	1,080,542	Discounted cash flow	WACC	9.0% - 21.0%	14.0	%	15.0	%
			Market comparable / Enterprise Value	EBITDA multiple (1)	4.5x - 8.5x(2)	6.7x		6.1x				Market comparable / Enterprise value	EBITDA multiple (1)	4.8x - 8.3x(2)	6.7x		5.9x
Debt investments	$	1,508,135	Discounted cash flow	Risk adjusted discount factor	5.8% - 15.7%(2)	10.0	%	10.0	%	$	2,253,438	Discounted cash flow	Risk adjusted discount factor	5.6% - 15.4%(2)	9.8	%	9.3	%
				Expected principal recovery percentage	0.0% - 100.0%	99.6	%	100.0	%				Expected principal recovery percentage	0.0% - 200.0%	99.5	%	100.0	%
Debt investments	$	490,705	Market approach	Third‑party quote	43.9 - 101.5	97.2		99.5		$	354,790	Market approach	Third‑party quote	5.5 - 100.5	93.6		98.0
Total Level 3 investments	$	2,914,985								$	3,688,770

(1)	EBITDA may include proforma adjustments and/or other addbacks based on specific circumstances related to each investment.

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(2)	Range excludes outliers that are greater than one standard deviation from the mean. Including these outliers, the range for EBITDA multiple is 2.2x - 15.7x and the range for risk adjusted discount factor is 4.7% - 38.5%.

(3)	Does not include investments for which the valuation technique does not include the use of the applicable fair value input.

Fair Value as of










December 31,

Type of

2021

Significant

Weighted

Investment

(in thousands)

Valuation Technique

Unobservable Inputs

Range(3)

Average(3)

Median(3)

Equity investments

$
1,050,269

Discounted cash flow

WACC

9.1% - 20.6%

13.8
%
14.8
%

Market comparable / Enterprise value

EBITDA multiple (1)

4.8x - 7.7x(2)

6.6x

5.9x

Debt investments

$
2,158,424

Discounted cash flow

Risk adjusted discount factor

5.6% - 15.7%(2)

9.8
%
9.3
%

Expected principal recovery percentage

0.0% - 100.0%

99.6
%
100.0
%
Debt investments

$
351,144

Market approach

Third‑party quote

3.0 - 100.5

94.4

99.0

Total Level 3 investments

$
3,559,837

(1)	EBITDA may include proforma adjustments and/or other addbacks based on specific circumstances related to each investment.

(2)	Range excludes outliers that are greater than one standard deviation from the mean. Including these outliers, the range for EBITDA multiple is 2.2x - ~~15.0x~~11.0x and the range for risk adjusted discount factor is ~~4.4%~~4.2% - ~~38.0%.~~

~~(3)~~

~~Does not include investments for which the valuation technique does not include the use of the applicable fair value input.~~

Fair Value as of










December 31,

Type of

2020

Significant

Weighted

Investment

(in thousands)

Valuation Technique

Unobservable Inputs

Range(3)

Average(3)

Median(3)

Equity investments

$
877,732

Discounted cash flow

WACC

9.4% - 21.0%

14.3
%
15.0
%

Market comparable / Enterprise Value

EBITDA multiple (1)

4.5x - 8.5x(2)

7.0x

6.1x

Debt investments

$
1,339,079

Discounted cash flow

Risk adjusted discount factor

7.4% - 15.3%(2)

10.6
%
10.8
%

Expected principal recovery percentage

0.0% - 100.0%

99.4
%
100.0
%
Debt investments

$
468,055

Market approach

Third‑party quote

45.0 - 100.3

94.7

96.5

Total Level 3 investments

$
2,684,866

~~(1)~~

~~EBITDA may include proforma adjustments and/or other addbacks based on specific circumstances related to each investment.~~

~~(2)~~

Range excludes outliers that are greater than one standard deviation from the mean. Including these outliers, the range for EBITDA multiple is 2.2x - 15.0x and the range for risk adjusted discount factor is 5.4% - 29.5%38.5%.

(3)	Does not include investments for which the valuation technique does not include the use of the applicable fair value input.

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The following tables provide a summary of changes in fair value of Main Street’s Level 3 portfolio investments for the ~~six-month~~three-month periods ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ (amounts in thousands):


									Net																Net
	Fair Value		Transfers						Changes		Net				Fair Value		Fair Value		Transfers						Changes		Net				Fair Value
	as of		Into						from		Unrealized				as of		as of		Into						from		Unrealized				as of
Type of	December 31,		Level 3		Redemptions/		New		Unrealized		Appreciation				June 30,		December 31,		Level 3		Redemptions/		New		Unrealized		Appreciation				March 31,
Investment	2020		Hierarchy		Repayments		Investments		to Realized		(Depreciation)		Other(1)		2021		2021		Hierarchy		Repayments		Investments		to Realized		(Depreciation)		Other(1)		2022
Debt	$	1,807,134	$	—	$	(282,896)	$	457,028	$	9,781	$	11,278	$	(3,485)	$	1,998,840	$	2,509,568	$	—	$	(183,699)	$	287,044	$	2,123	$	(6,807)	$	—	$	2,608,229
Equity		866,734		—		(49,565)		20,584		5,177		57,120		5,515		905,565		1,043,709		—		(17,569)		24,711		418		22,512		—		1,073,781
Equity Warrant		10,998		—		—		—		1,128		484		(2,030)		10,580		6,560		—		—		—		—		200		—		6,760
	$	2,684,866	$	—	$	(332,461)	$	477,612	$	16,086	$	68,882	$	—	$	2,914,985	$	3,559,837	$	—	$	(201,268)	$	311,755	$	2,541	$	15,905	$	—	$	3,688,770

(1)	Includes the impact of non-cash conversions. These transactions represent non-cash investing activities. See additional cash flow information at the consolidated statements of cash flows.


									Net																Net
	Fair Value		Transfers						Changes		Net				Fair Value		Fair Value		Transfers						Changes		Net				Fair Value
	as of		Into						from		Unrealized				as of		as of		Into						from		Unrealized				as of
Type of	December 31,		Level 3		Redemptions/		New		Unrealized		Appreciation				June 30,		December 31,		Level 3		Redemptions/		New		Unrealized		Appreciation				March 31,
Investment	2019		Hierarchy		Repayments		Investments		to Realized		(Depreciation)		Other(1)		2020		2020		Hierarchy		Repayments		Investments		to Realized		(Depreciation)		Other(1)		2021
Debt	$	1,782,575	$	—	$	(256,050)	$	225,646	$	29,876	$	(124,365)	$	(12,268)	$	1,645,414	$	1,807,134	$	—	$	(125,448)	$	157,787	$	5,529	$	8,999	$	(2,610)	$	1,851,391
Equity		809,538		—		(21,380)		45,061		(1,112)		(80,261)		12,268		764,114		866,734		—		(24,913)		18,290		11,146		11,696		3,810		886,763
Equity Warrant		10,211		—		(1,096)		—		1,096		(186)		—		10,025		10,998		—		—		—		330		(914)		(1,200)		9,214
	$	2,602,324	$	—	$	(278,526)	$	270,707	$	29,860	$	(204,812)	$	—	$	2,419,553	$	2,684,866	$	—	$	(150,361)	$	176,077	$	17,005	$	19,781	$	—	$	2,747,368

(1)	Includes the impact of non-cash conversions. These transactions represent non-cash investing activities. See additional cash flow information at the consolidated statements of cash flows.

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At ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, Main Street’s investments at fair value were categorized as follows in the fair value hierarchy for ASC 820 purposes:


			Fair Value Measurements								Fair Value Measurements
			(in thousands)								(in thousands)
			Quoted Prices in				Significant				Quoted Prices in				Significant
			Active Markets for		Significant Other		Unobservable				Active Markets for		Significant Other		Unobservable
			Identical Assets		Observable Inputs		Inputs				Identical Assets		Observable Inputs		Inputs
At June 30, 2021	Fair Value		(Level 1)		(Level 2)		(Level 3)
At March 31, 2022									Fair Value		(Level 1)		(Level 2)		(Level 3)
LMM portfolio investments	$	1,341,331	$	—	$	—	$	1,341,331	$	1,795,456	$	—	$	—	$	1,795,456
Private Loan portfolio investments										1,260,664		—		—		1,260,664
Middle Market portfolio investments		434,745		—		—		434,745		397,338		—		—		397,338
Private Loan portfolio investments		863,621		—		—		863,621
Other Portfolio investments		153,558		—		—		153,558		102,392		—		—		102,392
External Investment Manager		121,730		—		—		121,730		132,920		—		—		132,920
Short-term portfolio investments		57,285		—		57,285		—		1,968		—		1,968		—
Total investments	$	2,972,270	$	—	$	57,285	$	2,914,985	$	3,690,738	$	—	$	1,968	$	3,688,770


			Fair Value Measurements								Fair Value Measurements
			(in thousands)								(in thousands)
			Quoted Prices in				Significant				Quoted Prices in				Significant
			Active Markets for		Significant Other		Unobservable				Active Markets for		Significant Other		Unobservable
			Identical Assets		Observable Inputs		Inputs				Identical Assets		Observable Inputs		Inputs
At December 31, 2020	Fair Value		(Level 1)		(Level 2)		(Level 3)
At December 31, 2021									Fair Value		(Level 1)		(Level 2)		(Level 3)
LMM portfolio investments	$	1,285,524	$	—	$	—	$	1,285,524	$	1,716,415	$	—	$	—	$	1,716,415
Private Loan portfolio investments										1,141,772		—		—		1,141,772
Middle Market portfolio investments		445,609		—		—		445,609		395,167		—		—		395,167
Private Loan portfolio investments		740,370		—		—		740,370
Other Portfolio investments		96,603		—		—		96,603		166,083		—		—		166,083
External Investment Manager		116,760		—		—		116,760		140,400		—		—		140,400
Short-term portfolio investments										1,994		—		1,994		—
Total investments	$	2,684,866	$	—	$	—	$	2,684,866	$	3,561,831	$	—	$	1,994	$	3,559,837

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Investment Portfolio Composition

Main Street’s principal investment objective is to maximize its portfolio’s total return by generating current income from its debt investments and current income and capital appreciation from its equity and equity-related investments, including warrants, convertible securities and other rights to acquire equity securities in a portfolio company. Main Street seeks to achieve its investment objective through its LMM, ~~portfolio~~Private Loan, and Middle Market investment strategies.

Main Street’s LMM investment strategy involves investments ~~primarily consist of~~in secured debt, equity warrants and direct equity investments in privately held, LMM companies based in the United States. Main Street’s LMM portfolio companies generally have annual revenues between $10 million and $150 million, and its LMM investments generally range in size from $5 million to ~~$50~~$75 million. The LMM debt investments are typically secured by ~~either~~ a first ~~or second~~ priority lien on the assets of the portfolio company, can include either fixed or floating rate terms and generally have a term of between five and seven years from the original investment date. In most LMM portfolio investments, Main Street receives nominally priced equity warrants and/or makes direct equity investments in connection with a debt investment.

Main Street’s ~~Middle Market portfolio~~private loan (“Private Loan”) investment strategy involves investments ~~primarily consist of direct investments in or secondary purchases of interest-bearing debt securities~~ in privately held companies ~~based in the United States~~ that are generally ~~larger in~~consistent with the size ~~than the~~of its LMM portfolio companies ~~included in Main Street’s LMM portfolio. Main Street’s~~or Middle Market portfolio companies, ~~generally have annual revenues between $150 million and $1.5 billion,~~ and its ~~Middle Market~~Private Loan investments generally range in size from $3$10 million to ~~$20~~$75 million. Main Street’s ~~Middle Market~~Private Loan investments generally consist of loans that have been originated directly by Main Street or through strategic relationships with other investment funds on a collaborative basis, and are often referred to in the debt markets as “club deals.” Main Street’s Private Loan portfolio debt investments are generally secured by ~~either~~ a first ~~or second~~ priority lien on the assets of the portfolio company and typically have a term of between three and seven years from the original investment date.

Main ~~Street’s~~Street may have the option to invest alongside the sponsor in the equity securities of its Private Loan portfolio companies.

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Main Street’s Middle Market investment strategy involves investments ~~are primarily~~in syndicated loans to or debt securities in ~~privately held~~Middle Market companies, ~~that have been originated through strategic relationships~~which Main Street defines as companies with ~~other investment funds on a collaborative basis,~~annual revenues between $150 million and ~~are often referred to in the debt markets as “club deals.” Private Loan~~$1.5 billion, and its Middle Market investments ~~are typically similar~~generally range in size ~~structure, terms and conditions~~from $3 million to ~~investments Main Street holds in its LMM portfolio and Middle Market portfolio.~~$25 million. Main Street’s ~~Private Loan~~Middle Market portfolio debt investments are generally secured by ~~either~~ a first ~~or second~~ priority lien on the assets of the portfolio company and typically have ~~a term~~an expected duration of between three and seven years from the original investment date.

Main Street’s other portfolio (“Other ~~Portfolio~~Portfolio”) investments primarily consist of investments that are not consistent with the typical profiles for its LMM, Private Loan or Middle Market ~~or Private Loan~~ portfolio investments, including investments which may be managed by third parties. In the Other Portfolio, Main Street may incur indirect fees and expenses in connection with investments managed by third parties, such as investments in other investment companies or private funds. For Other Portfolio investments, Main Street generally receives distributions related to the assets held by the portfolio company. Those assets are typically expected to be liquidated over a five to ten-year period.

Based upon Main Street’s liquidity and capital structure management activities, Main Street’s Investment Portfolio may also include short-term portfolio investments that are atypical of Main Street’s LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolio investments in that they are intended to be a short-term deployment of capital. Those assets are typically expected to be liquidated in one year or less. These short-term investments are not expected to be a significant portion of the overall Investment Portfolio.

Main Street’s external asset management business is conducted through its External Investment Manager. The External Investment Manager earns management fees based on the assets under management for external parties and may earn incentive fees, or a carried interest, based on the performance of the assets managed. Main Street entered into an agreement with the External Investment Manager to share employees in connection with its asset management business generally, and specifically for its relationship with MSC Income Fund, Inc. (“MSC Income”)~~, formerly known as HMS Income Fund, Inc.~~. Through this agreement, Main Street shares employees with the External Investment Manager, including their related infrastructure, business relationships, management expertise and capital raising capabilities. Main Street allocates the related expenses to the External Investment Manager pursuant to the sharing agreement. Main Street’s total expenses for the three months ended March 31, 2022 and 2021 are net of expenses allocated to the External Investment Manager ~~for the three months ended June 30, 2021 and 2020~~ of ~~$2.6~~$2.8 million and ~~$1.8 million, respectively, and for the six months ended June 30, 2021 and 2020 of $5.0 million and $3.4~~$2.4 million, respectively.

Investment income, consisting of interest, dividends and fees, can fluctuate dramatically due to various factors, including the level of new investment activity, repayments of debt investments or sales of equity interests. Investment income in any given year could also be highly concentrated among several portfolio companies. For the three ~~and six~~ months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ Main Street did not record investment income from any single portfolio company in excess of 10% of total investment income.

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The following tables provide a summary of Main Street’s investments in the LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolios as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 (this information excludes the Other Portfolio, short-term portfolio investments and the External Investment Manager, ~~all~~each of which ~~are~~is discussed further below):


	As of June 30, 2021									As of March 31, 2022
	LMM (a)			Middle Market			Private Loan			LMM (a)			Private Loan			Middle Market

	(dollars in millions)									(dollars in millions)
Number of portfolio companies		69			39			69			75			79			36
Fair value	$	1,341.3		$	434.7		$	863.6		$	1,795.5		$	1,260.7		$	397.3
Cost	$	1,110.9		$	473.2		$	884.0		$	1,513.8		$	1,273.6		$	443.8
Debt investments as a % of portfolio (at cost)		66.9	%		93.4	%		94.9	%		71.7	%		95.8	%		93.3	%
Equity investments as a % of portfolio (at cost)		33.1	%		6.6	%		5.1	%		28.3	%		4.2	%		6.7	%
% of debt investments at cost secured by first priority lien		98.6	%		97.0	%		97.2	%		99.0	%		99.4	%		98.7	%
Weighted-average annual effective yield (b)		11.4	%		7.7	%		8.4	%		11.1	%		8.2	%		7.6	%
Average EBITDA (c)	$	5.4		$	74.3		$	51.7		$	7.0		$	43.1		$	70.0

(a)	At ~~June 30, 2021,~~March 31, 2022, Main Street had equity ownership in ~~approximately 99%~~all of its LMM portfolio companies, and the average fully diluted equity ownership in those portfolio companies was approximately ~~39%~~40%.

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(b)

The weighted-average annual effective yields were computed using the effective interest rates for all debt investments at cost as of ~~June 30, 2021,~~March 31, 2022, including amortization of deferred debt origination fees and accretion of original issue discount but excluding fees payable upon repayment of the debt instruments and any debt investments on non-accrual status. The weighted-average yield on Main Street’s debt portfolio as of March 31, 2022 including debt investments on non-accrual status was 10.6% for its LMM portfolio, 8.0% for its Private Loan portfolio and 7.1% for its Middle Market portfolio. The weighted-average annual effective yield is ~~higher than~~not reflective of what an investor in shares of Main Street’s common stock will realize on its investment because it does not reflect changes in the market value of Main Street’s stock, Main Street’s utilization of debt capital in its capital structure, Main Street’s expenses or any sales load paid by an investor.

(c)

The average EBITDA is calculated using a simple average for the LMM portfolio and a weighted-average for the Private Loan and Middle Market ~~and Private Loan~~ portfolios. These calculations exclude certain portfolio companies, including three LMM portfolio companies ~~one Middle Market portfolio company~~ and three Private Loan portfolio companies, as EBITDA is not a meaningful valuation metric for Main Street’s investments in these portfolio companies, and those portfolio companies whose primary purpose is to own real estate.


	As of December 31, 2020									As of December 31, 2021
	LMM (a)			Middle Market			Private Loan			LMM (a)			Private Loan			Middle Market

	(dollars in millions)									(dollars in millions)
Number of portfolio companies		70			42			63			73			75			36
Fair value	$	1,285.5		$	445.6		$	740.4		$	1,716.4		$	1,141.8		$	395.2
Cost	$	1,104.6		$	488.9		$	769.0		$	1,455.7		$	1,157.5		$	440.9
Debt investments as a % of portfolio (at cost)		65.8	%		93.0	%		93.8	%		70.9	%		95.7	%		93.3	%
Equity investments as a % of portfolio (at cost)		34.2	%		7.0	%		6.2	%		29.1	%		4.3	%		6.7	%
% of debt investments at cost secured by first priority lien		98.1	%		92.4	%		95.4	%		99.0	%		98.7	%		98.7	%
Weighted-average annual effective yield (b)		11.6	%		7.9	%		8.7	%		11.2	%		8.2	%		7.5	%
Average EBITDA (c)	$	5.3		$	76.5		$	58.1		$	6.2		$	41.3		$	76.0

(a)	At December 31, ~~2020,~~2021, Main Street had equity ownership in ~~approximately 99%~~all of its LMM portfolio companies, and the average fully diluted equity ownership in those portfolio companies was approximately ~~38%~~40%.

(b)

The weighted-average annual effective yields were computed using the effective interest rates for all debt investments at cost as of December 31, ~~2020,~~2021, including amortization of deferred debt origination fees and accretion of original issue discount but excluding fees payable upon repayment of the debt instruments and any debt investments on non-accrual status. The weighted-average yield on Main Street’s debt portfolio as of December 31, 2021 including debt investments on non-accrual status was 10.6% for its LMM portfolio, 8.0% for its Private Loan portfolio and 6.9% for its Middle Market portfolio. The weighted-average annual effective yield is ~~higher than~~not reflective of what an investor in shares of Main Street’s common stock will realize on its investment because it does not reflect changes in the market value of Main Street’s stock, Main Street’s utilization of debt capital in its capital structure, Main Street’s expenses or any sales load paid by an investor.

(c)

The average EBITDA is calculated using a simple average for the LMM portfolio and a weighted-average for the Private Loan and Middle Market ~~and Private Loan~~ portfolios. These calculations exclude certain portfolio companies, including three LMM portfolio companies, three Private Loan portfolio companies and one Middle Market portfolio company, ~~and four Private Loan portfolio companies,~~ as

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EBITDA is not a meaningful valuation metric for Main Street’s investments in these portfolio companies, and those portfolio companies whose primary purpose is to own real estate.

For the three months ended March 31, 2022 and 2021, Main Street achieved an annualized total return on investments of 11.8% and 12.8%, respectively. For the year ended December 31, 2021, Main Street achieved an annualized total return on investments of 16.6%. Total return on investments is calculated using the interest, dividend, and fee income, as well as the realized and unrealized change in fair value of the Investment Portfolio for the specified period. Main Street’s total return on investments is not reflective of what an investor in shares of Main Street’s common stock will realize on its investment because it does not reflect changes in the market value of Main Street’s stock, Main Street’s utilization of debt capital in its capital structure, Main Street’s expenses or any sales load paid by an investor.

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As of ~~June 30,~~March 31, 2022, Main Street had Other Portfolio investments in 13 companies, collectively totaling approximately $102.4 million in fair value and approximately $109.9 million in cost basis and which comprised approximately 2.8% and 3.3% of Main Street’s Investment Portfolio at fair value and cost, respectively. As of December 31, 2021, Main Street had Other Portfolio investments in ~~fourteen~~13 companies, collectively totaling approximately ~~$153.6~~$166.1 million in fair value and approximately ~~$170.6~~$173.7 million in cost basis and which comprised approximately ~~5.2%~~4.7% and 5.3% of Main Street’s Investment Portfolio at fair ~~value.~~ value and cost, respectively.

As of ~~December~~March 31, ~~2020,~~2022, Main Street had ~~Other Portfolio investments in twelve companies, collectively totaling~~one short-term portfolio investment, which was a secured debt investment that had approximately ~~$96.6~~$2.0 million in both fair value and ~~approximately $124.7 million in~~ cost basis and which comprised approximately ~~3.6%~~0.1% of Main Street’s Investment Portfolio at both fair ~~value.~~

value and cost. As of ~~June 30,~~December 31, 2021, Main Street had one short-term portfolio ~~investments~~investment, which was a secured debt investment that had approximately $2.0 million in ~~ten companies, collectively totaling approximately $57.3 million in~~both fair value and ~~approximately $57.2 million in~~ cost basis and which comprised approximately ~~1.9%~~0.1% of Main Street’s Investment Portfolio at both fair ~~value. As of December 31, 2020, Main Street held no short-term investments.~~value and cost.

As discussed further in Note A.1., Main Street holds an investment in the External Investment Manager, a wholly owned subsidiary that is treated as a portfolio investment. As of ~~June 30, 2021, there was $29.5 million cost basis in~~March 31, 2022, this ~~investment and the~~ investment had a fair value of approximately ~~$121.7~~$132.9 million and a cost basis of $29.5 million, which comprised approximately ~~4.1%~~3.6% and 0.9% of Main Street’s Investment Portfolio at fair ~~value.~~value and cost, respectively. As of December 31, ~~2020, there was $29.5 million cost basis in~~2021, this ~~investment and the~~ investment had a fair value of approximately ~~$116.8~~$140.4 million and a cost basis of $29.5 million, which comprised approximately ~~4.3%~~3.9% and 0.9% of Main Street’s Investment Portfolio at fair ~~value.~~value and cost, respectively.

The following tables summarize the composition of Main Street’s total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments at cost and fair value by type of investment as a percentage of the total combined LMM portfolio investments, Private Loan portfolio investments and Middle Market portfolio investments, ~~and Private Loan portfolio investments,~~ as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 (this information excludes the Other Portfolio, short-term portfolio investments and the External Investment ~~Manager)~~Manager, each of which is discussed above).


Cost:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
First lien debt	80.1	%	77.0	%	83.5	%	82.5	%
Equity	17.6	%	19.0	%	15.6	%	16.2	%
Second lien debt	1.3	%	2.7	%	0.3	%	0.6	%
Equity warrants	0.4	%	0.5	%	0.2	%	0.3	%
Other	0.6	%	0.8	%	0.4	%	0.4	%
	100.0	%	100.0	%	100.0	%	100.0	%


Fair Value:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
First lien debt	71.9	%	70.0	%	74.8	%	74.3	%
Equity	26.0	%	26.4	%	24.3	%	24.6	%
Second lien debt	1.1	%	2.4	%	0.3	%	0.5	%
Equity warrants	0.4	%	0.4	%	0.2	%	0.2	%
Other	0.6	%	0.8	%	0.4	%	0.4	%
	100.0	%	100.0	%	100.0	%	100.0	%

The following tables summarize the composition of Main Street’s total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments by geographic region of the United States and other countries at cost and fair value as a percentage of the total combined LMM portfolio investments, Private Loan portfolio investments and Middle Market portfolio investments, ~~and Private Loan portfolio investments,~~ as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 (this

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information excludes the Other Portfolio, short-term portfolio investments and the External Investment Manager). The geographic composition is determined by the location of the corporate headquarters of the portfolio company.


Cost:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
West					28.1	%	28.3	%
Northeast	23.3	%	22.6	%	21.6	%	22.6	%
Southwest	22.8	%	24.3	%	21.2	%	21.6	%
West	20.8	%	21.0	%
Midwest	16.8	%	18.2	%	15.2	%	15.1	%
Southeast	14.2	%	12.8	%	13.1	%	11.6	%
Canada	2.1	%	1.1	%	0.8	%	0.8	%
	100.0	%	100.0	%	100.0	%	100.0	%


Fair Value:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
West					28.6	%	28.5	%
Southwest	23.5	%	24.7	%	22.5	%	23.0	%
Northeast	22.4	%	21.7	%	21.2	%	21.9	%
West	21.7	%	21.4	%
Midwest	17.8	%	19.7	%	15.6	%	15.8	%
Southeast	12.6	%	11.5	%	11.4	%	10.0	%
Canada	2.0	%	1.0	%	0.7	%	0.8	%
	100.0	%	100.0	%	100.0	%	100.0	%

Main Street’s LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments are in companies conducting business in a variety of industries. The following tables summarize the composition of Main Street’s total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and

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~~Private Loan~~Middle Market portfolio investments by industry at cost and fair value as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 (this information excludes the Other Portfolio, short-term portfolio investments and the External Investment Manager).


Cost:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
Machinery					7.8	%	7.3	%
Construction & Engineering	6.9	%	6.0	%	7.3	%	7.8	%
Machinery	5.9	%	6.4	%
Internet Software & Services					6.6	%	7.2	%
Commercial Services & Supplies					5.2	%	5.9	%
Diversified Consumer Services					5.1	%	3.4	%
Distributors					4.6	%	4.7	%
Professional Services					4.3	%	4.6	%
Leisure Equipment & Products					4.0	%	4.1	%
Health Care Providers & Services	5.3	%	5.1	%	3.9	%	3.9	%
Internet Software & Services	5.3	%	5.2	%
Aerospace & Defense	5.1	%	5.9	%
Software	5.1	%	4.4	%
Professional Services	5.0	%	5.1	%
Energy Equipment & Services	4.7	%	4.5	%	3.6	%	4.0	%
Leisure Equipment & Products	4.4	%	4.2	%
Specialty Retail	4.3	%	3.1	%	3.4	%	3.5	%
Commercial Services & Supplies	3.8	%	4.7	%
IT Services	3.4	%	4.0	%	3.4	%	3.5	%
Diversified Telecommunication Services	3.4	%	2.6	%	2.5	%	2.6	%
Media					2.5	%	1.8	%
Communications Equipment	3.1	%	3.3	%	2.2	%	2.3	%
Containers & Packaging					2.2	%	2.3	%
Building Products					2.2	%	2.3	%
Aerospace & Defense					2.2	%	1.9	%
Textiles, Apparel & Luxury Goods					2.1	%	2.2	%
Diversified Financial Services					2.0	%	2.1	%
Tobacco					1.9	%	2.1	%
Food Products					1.9	%	2.0	%
Software					1.7	%	1.8	%
Oil, Gas & Consumable Fuels					1.6	%	1.8	%
Food & Staples Retailing					1.6	%	0.8	%
Internet & Catalog Retail					1.5	%	1.6	%
Health Care Equipment & Supplies					1.4	%	0.3	%
Chemicals					1.3	%	1.7	%
Hotels, Restaurants & Leisure	2.5	%	2.6	%	1.3	%	1.4	%
Food Products	2.4	%	2.6	%
Oil, Gas & Consumable Fuels	2.3	%	3.2	%
Building Products	2.3	%	1.4	%
Tobacco	2.1	%	2.2	%
Media	2.0	%	2.1	%
Diversified Financial Services	2.0	%	2.1	%
Distributors	1.8	%	2.1	%
Electronic Equipment, Instruments & Components	1.6	%	1.9	%	1.3	%	1.4	%
Life Sciences Tools & Services					1.3	%	1.4	%
Computers & Peripherals	1.6	%	1.5	%	1.2	%	1.3	%
Containers & Packaging	1.4	%	1.6	%
Life Sciences Tools & Services	1.3	%	1.4	%
Electrical Equipment					1.0	%	0.7	%
Household Durables	1.3	%	1.3	%	0.9	%	1.0	%
Diversified Consumer Services	1.3	%	1.0	%
Trading Companies & Distributors	1.0	%	1.2	%
Transportation Infrastructure	1.0	%	1.0	%
Electrical Equipment	1.0	%	0.8	%
Food & Staples Retailing	0.9	%	1.0	%
Other (1)	4.5	%	4.5	%	3.0	%	3.3	%
	100.0	%	100.0	%	100.0	%	100.0	%

(1)	Includes various industries with each industry individually less than 1.0% of the total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments at each date.

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Fair Value:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
Machinery	7.5	%	8.1	%	8.9	%	8.5	%
Construction & Engineering	6.9	%	6.1	%	7.2	%	7.7	%
Software	5.6	%	4.6	%
Health Care Providers & Services	5.2	%	5.2	%
Diversified Consumer Services					7.2	%	5.9	%
Internet Software & Services					5.9	%	6.4	%
Commercial Services & Supplies					4.9	%	5.5	%
Distributors					4.6	%	4.7	%
Specialty Retail	4.8	%	3.4	%	4.0	%	4.1	%
Aerospace & Defense	4.7	%	5.7	%
Internet Software & Services	4.6	%	4.5	%
Leisure Equipment & Products	4.2	%	4.0	%	3.9	%	4.0	%
Professional Services	4.0	%	4.0	%	3.9	%	3.9	%
Diversified Consumer Services	3.7	%	3.0	%
Commercial Services & Supplies	3.6	%	4.5	%
Health Care Providers & Services					3.6	%	3.6	%
IT Services	3.2	%	3.8	%	3.2	%	3.3	%
Media					3.0	%	2.2	%
Energy Equipment & Services	3.2	%	3.0	%	2.4	%	2.8	%
Containers & Packaging					2.4	%	2.5	%
Diversified Telecommunication Services	3.1	%	2.0	%	2.3	%	2.5	%
Diversified Financial Services					2.2	%	2.3	%
Tobacco					2.2	%	2.2	%
Building Products					2.1	%	2.2	%
Textiles, Apparel & Luxury Goods					2.0	%	2.1	%
Software					2.0	%	2.0	%
Aerospace & Defense					2.0	%	1.7	%
Computers & Peripherals	2.9	%	2.9	%	1.9	%	2.2	%
Food Products					1.9	%	1.9	%
Internet & Catalog Retail					1.5	%	1.5	%
Food & Staples Retailing					1.5	%	0.8	%
Communications Equipment	2.5	%	2.7	%	1.4	%	1.5	%
Media	2.4	%	2.5	%
Diversified Financial Services	2.2	%	2.3	%
Building Products	2.2	%	1.4	%
Food Products	2.2	%	2.2	%
Tobacco	2.1	%	2.1	%
Oil, Gas & Consumable Fuels					1.3	%	1.4	%
Chemicals					1.2	%	1.6	%
Life Sciences Tools & Services					1.2	%	1.3	%
Health Care Equipment & Supplies					1.2	%	0.1	%
Construction Materials					1.1	%	1.1	%
Electrical Equipment					1.0	%	0.8	%
Hotels, Restaurants & Leisure	1.9	%	2.0	%	0.9	%	1.0	%
Oil, Gas & Consumable Fuels	1.8	%	2.7	%
Distributors	1.8	%	2.1	%
Containers & Packaging	1.7	%	1.7	%
Life Sciences Tools & Services	1.2	%	1.4	%
Household Durables	1.2	%	1.3	%
Construction Materials	1.2	%	1.4	%
Trading Companies & Distributors	1.0	%	1.2	%
Electronic Equipment, Instruments & Components	0.9	%	1.3	%
Transportation Infrastructure	0.9	%	1.0	%
Other (1)	5.6	%	5.9	%	4.0	%	4.7	%
	100.0	%	100.0	%	100.0	%	100.0	%

(1)	Includes various industries with each industry individually less than 1.0% of the total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments at each date.

At ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, Main Street had no portfolio investment that was greater than 10% of the Investment Portfolio at fair value.

Unconsolidated Significant Subsidiaries

In accordance with Rules 3-09 and 4-08(g) of Regulation S-X, Main Street must determine which of its unconsolidated controlled portfolio companies, if any, are considered “significant subsidiaries.” In evaluating its unconsolidated controlled portfolio companies in accordance with Regulation S-X, there are two tests that Main Street must utilize to determine if any of Main Street’s Control Investments (as defined in Note A, including those unconsolidated portfolio companies defined as Control Investments in which Main Street does not own greater than 50% of the voting securities or maintain greater than 50% of the board representation) are considered significant subsidiaries: the investment test and the income test. The investment test is generally measured by dividing Main Street’s investment in the Control Investment by the value of Main Street’s total investments. The income test is generally measured by dividing the absolute value of the combined sum of total investment income, net realized gain (loss) and net unrealized appreciation (depreciation) from the relevant Control Investment for the period being tested by the absolute value of Main Street’s change in net assets resulting from operations for the same period. Rules 3-09 and 4-08(g) of

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Regulation S-X ~~requires~~require Main Street to include (1) separate audited financial statements of an unconsolidated majority-owned subsidiary (Control Investments in which Main Street owns greater than 50% of the voting securities) in an annual report and (2) summarized financial information of a Control Investment in a quarterly report, respectively, if certain thresholds of

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the investment or income tests are exceeded and the unconsolidated portfolio company qualifies as a significant subsidiary.

As of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020,~~2021, Main Street had no single investment that qualified as a significant subsidiary under either the investment or income tests.

NOTE D—EXTERNAL INVESTMENT MANAGER

As discussed further in Note A.1 and Note C, the External Investment Manager provides investment management and other services to External Parties. The External Investment Manager is accounted for as a portfolio investment of MSCC since the External Investment Manager conducts all of its investment management activities for External Parties.

During May 2012, Main Street entered into an investment sub-advisory agreement with HMS Adviser, LP (“HMS Adviser”), which was the investment adviser to MSC Income at the time, to provide certain investment advisory services to HMS Adviser. In December 2013, after obtaining required no-action relief from the SEC to allow it to own a registered investment adviser, Main Street assigned the sub-advisory agreement to theThe External Investment Manager ~~since~~serves as the fees received from such arrangement could otherwise have negative consequences on MSCC’s ability to meet the source-of-income requirement necessary for it to maintain its RIC tax treatment. Under the investment sub-advisory agreement, the External Investment Manager was entitled to 50% of the annual base management fee and the incentive fees earned by HMS Adviser under its advisory agreement with MSC Income. Effective October 30, 2020, the External Investment Manager and HMS Adviser consummated the transactions contemplated by that certain asset purchase agreement by and among the External Investment Manager, HMS Adviser and the other parties thereto whereby the External Investment Manager became the sole investment adviser and administrator to MSC Income pursuant to an Investment Advisory and Administrative Services Agreement entered into in October 2020 between the External Investment Manager and MSC Income (the “Advisory Agreement”). ~~The~~Under the Advisory Agreement, ~~includes a 1.75% annual management fee, reduced from 2.00%, and the same incentive fee as under MSC Income’s prior advisory agreement with HMS Adviser, with~~ the External Investment Manager ~~receiving 100%~~earns a 1.75% annual base management fee on MSC Income’s average total assets, an incentive fee equal to 20% of ~~such~~pre-investment fee net investment income ~~(increased from 50% previously).~~above a specified investment return hurdle rate and a 20% incentive fee on cumulative net realized capital gains in exchange for providing advisory services to MSC Income.

The External Investment Manager provides administrative services for certain External Party clients that, to the extent not waived, are reported as administrative services fees. The administrative services fees generally represent expense reimbursements for a portion of the compensation, overhead and related expenses for certain professionals directly attributable to performing administrative services for a client. These fees are recognized as other revenue in the period in which the related services are rendered.

As described more fully in ~~Note~~“Note L – Related Party ~~Transactions,~~Transactions”, the External Investment Manager ~~launched a new private fund,~~also serves as the investment adviser and administrator to MS Private Loan Fund I, LP, a private investment fund with a strategy to co-invest with Main Street in Private Loan portfolio investments (the “Private Loan Fund”)~~, in December 2020.~~. The External Investment Manager entered into an Investment Management Agreement in December 2020 with the Private Loan Fund, pursuant to which the External Investment Manager provides investment advisory and management services to the Private Loan Fund in exchange for an asset-based fee and certain incentive fees. The External Investment Manager may also advise other clients, including funds and separately managed accounts, pursuant to advisory and services agreements with such clients in exchange for asset-based and incentive fees.

During the three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ the External Investment Manager earned ~~$4.2~~$5.4 million and ~~$2.3~~$3.9 million, respectively, in base management fee income. During the three months ended March 31, 2022, the External Investment Manager earned $0.1 million in incentive fee income. No incentive fee income was earned in the three months ended ~~June 30, 2021 and 2020.~~March 31, 2021. During the ~~six~~three months ended ~~June 30, 2021 and 2020,~~March 31, 2022, the External Investment Manager earned ~~$8.1~~$0.2 million ~~and $4.8 million, respectively,~~ in ~~base management~~administrative services fee income. No ~~incentive~~administrative services fee income was earned in the ~~six~~three months ended ~~June 30, 2021 and 2020.~~March 31, 2021.

Main Street determines the fair value of the External Investment Manager using the Waterfall valuation method under the market approach (see further discussion in Note B.1.). Any change in fair value of the investment in the External Investment Manager is recognized on Main Street’s consolidated statements of operations in “Net Unrealized Appreciation (Depreciation)—Control investments.”

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purposes the External Investment Manager is treated as if it is taxed at normal corporate tax rates based on its taxable income and, as a result of its activities, may generate income tax expense or benefit. Main Street owns the External Investment Manager through the Taxable Subsidiary to allow MSCC to continue to comply with the “source-of-income” requirements contained in the RIC tax provisions of the Code. The taxable income, or loss, of the External Investment

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Manager may differ from its book income, or loss, due to temporary book and tax timing differences and permanent differences. As a result of the above described financial reporting and tax treatment, the External Investment Manager provides for any income tax expense, or benefit, and any tax assets or liabilities in its separate financial statements.

Main Street shares employees with the External Investment Manager and allocates costs related to such shared employees to the External Investment Manager generally based on a combination of the direct time spent, new investment origination activity and assets under management, depending on the nature of the expense. For the three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ Main Street allocated ~~$2.6~~$2.8 million and ~~$1.8 million of total expenses, respectively, to the External Investment Manager. For the six months ended June 30, 2021 and 2020, Main Street allocated $5.0 million and $3.4~~$2.4 million of total expenses, respectively, to the External Investment Manager. The total contribution of the External Investment Manager to Main Street’s net investment income consists of the combination of the expenses allocated to the External Investment Manager and the dividend income earned from the External Investment Manager. For the three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ the total contribution to Main Street’s net investment income was ~~$3.8~~$5.1 million and ~~$2.2 million, respectively. For the six months ended June 30, 2021 and 2020, the total contribution to Main Street’s net investment income was $7.4 million and $4.5~~$3.6 million, respectively.

Summarized financial information from the separate financial statements of the External Investment Manager as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 and for the three ~~and six~~ months ended ~~June 30, 2021and 2020~~March 31, 2022 and 2021 is as follows:


	As of		As of		As of		As of
	June 30,		December 31,		March 31,		December 31,
	2021		2020		2022		2021

	(dollars in thousands)				(dollars in thousands)
Cash	$	—	$	—	$	—	$	—
Accounts receivable—advisory clients		4,238		3,520		5,735		5,595
Intangible Asset						29,500		29,500
Total assets	$	4,238	$	3,520	$	35,235	$	35,095

Accounts payable to MSCC and its subsidiaries	$	2,968	$	2,423	$	3,462	$	3,288
Dividend payable to MSCC and its subsidiaries		1,270		1,097		2,273		2,307
Equity		—		—		29,500		29,500
Total liabilities and equity	$	4,238	$	3,520	$	35,235	$	35,095


	Three Months Ended				Six Months Ended				Three Months Ended
	June 30,				June 30,				March 31,
	2021		2020		2021		2020		2022		2021

	(dollars in thousands)								(dollars in thousands)
Management fee income	$	4,212	$	2,323	$	8,115	$	4,822
Management fees									$	5,444	$	3,903
Incentive fees		—		—		—		—		137		—
Administrative services fees										151		—
Total revenues		4,212		2,323		8,115		4,822		5,732		3,903
Expenses allocated from MSCC or its subsidiaries:
Salaries, share‑based compensation and other personnel costs		(2,073)		(1,127)		(4,116)		(2,187)
Salaries, share‑based compensation and other personnel costs, net										(2,260)		(2,043)
Other G&A expenses		(499)		(677)		(836)		(1,261)		(557)		(337)
Total allocated expenses		(2,572)		(1,804)		(4,952)		(3,448)		(2,817)		(2,380)
Pre‑tax income		1,640		519		3,163		1,374		2,915		1,523
Tax expense		(370)		(123)		(714)		(318)		(642)		(344)
Net income	$	1,270	$	396	$	2,449	$	1,056	$	2,273	$	1,179

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NOTE E—DEBT

Summary of debt as of ~~June 30, 2021~~March 31, 2022 is as follows:


	Outstanding Balance		Unamortized Debt Issuance (Costs)/Premiums		Recorded Value		Estimated Fair Value (1)		Outstanding Balance		Unamortized Debt Issuance (Costs)/Premiums		Recorded Value		Estimated Fair Value (1)

	(in thousands)								(in thousands)
Credit Facility									$	338,000	$	—	$	338,000	$	338,000
3.00% Notes due 2026										500,000		(2,259)		497,741		465,150
5.20% Notes due 2024										450,000		1,136		451,136		459,644
SBIC Debentures	$	322,000	$	(7,172)	$	314,828	$	315,059		350,000		(6,973)		343,027		316,770
Credit Facility		169,000		—		169,000		169,000
4.50% Notes due in 2022		185,000		(860)		184,140		193,140
5.20% Notes due 2024		450,000		1,544		451,544		489,780
3.00% Notes due 2026		300,000		(4,770)		295,230		307,950
4.50% Notes due 2022										185,000		(405)		184,595		187,736
Total Debt	$	1,426,000	$	(11,258)	$	1,414,742	$	1,474,929	$	1,823,000	$	(8,501)	$	1,814,499	$	1,767,300

(1)	Estimated fair value for outstanding debt if Main Street had adopted the fair value option under ASC 825. See discussion of the methods used to estimate the fair value of Main Street’s debt in ~~Note~~“Note B.11. – Fair Value of Financial Instruments.”

Summary of debt as of December 31, ~~2020~~2021 is as follows:


	Outstanding Balance		Unamortized Debt Issuance (Costs)/Premiums		Recorded Value		Estimated Fair Value (1)		Outstanding Balance		Unamortized Debt Issuance (Costs)/Premiums		Recorded Value		Estimated Fair Value (1)

	(in thousands)									(in thousands)
Credit Facility									$	320,000	$	—	$	320,000	$	320,000
3.00% Notes due 2026										500,000		(2,391)		497,609		502,285
5.20% Notes due 2024										450,000		1,272		451,272		480,767
SBIC Debentures	$	309,800	$	(5,828)	$	303,972	$	309,907		350,000		(7,269)		342,731		328,206
Credit Facility		269,000		—		269,000		269,000
4.50% Notes due 2022		185,000		(1,164)		183,836		194,938		185,000		(556)		184,444		190,043
5.20% Notes due 2024		450,000		1,817		451,817		488,102
Total Debt	$	1,213,800	$	(5,175)	$	1,208,625	$	1,261,947	$	1,805,000	$	(8,944)	$	1,796,056	$	1,821,301

(1)	Estimated fair value for outstanding debt if Main Street had adopted the fair value option under ASC 825. See discussion of the methods used to estimate the fair value of Main Street’s debt in ~~Note~~“Note B.11. – Fair Value of Financial Instruments.”

Summarized interest expense for the three ~~and six~~ months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ is as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,				Three Months Ended March 31,
	2021		2020		2021		2020		2022		2021
Credit Facility									$	2,059	$	967
3.00% Notes due 2026										3,882		2,149
5.20% Notes due 2024										5,714		5,714
SBIC Debentures	$	2,557	$	2,986	$	5,298	$	6,004		2,799		2,741
Credit Facility		1,408		2,424		2,374		5,363
4.50% Notes Due 2022		2,233		2,233		4,466		4,466
5.20% Notes Due 2024		5,713		4,255		11,430		8,505
3.00% Notes due in 2026		2,489		—		4,638		—
4.50% Notes due 2022										2,233		2,233
Total Interest Expense	$	14,400	$	11,898	$	28,206	$	24,338	$	16,687	$	13,804

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SBIC Debentures

Under existing SBIC regulations, SBA-approved SBICs under common control have the ability to issue debentures guaranteed by the SBA up to a regulatory maximum amount of $350.0 million. Main Street’s SBIC debentures payable, under existing SBA-approved commitments, were ~~$322.0 million and $309.8~~$350.0 million at ~~June 30,~~

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~~2021~~both March 31, 2022 and December 31, ~~2020, respectively.~~2021. SBIC debentures provide for interest to be paid semiannually, with principal due at the applicable 10-year maturity date of each debenture. During the six months ended June 30, 2021, Main Street issued $52.2 million of SBIC debentures and opportunistically prepaid $40.0 million of existing SBIC debentures that were scheduled to mature over the next year as part of an effort to manage the maturity dates of the oldest SBIC debentures. Main Street expects to ~~issue new~~maintain SBIC debentures under the SBIC program in the future, subject to periodic repayments and borrowings, in an amount up to the regulatory maximum amount for affiliated SBIC funds. The weighted-average annual interest rate on the SBIC debentures was 2.9% ~~and 3.4%~~ as of ~~June 30, 2021~~both March 31, 2022 and December 31, ~~2020, respectively.~~2021. The first principal maturity due under the existing SBIC debentures is in 2023, and the weighted-average remaining duration as of ~~June 30, 2021~~March 31, 2022 was approximately ~~6.3~~5.9 years. In accordance with SBIC regulations, the Funds are precluded from incurring additional non-SBIC debt without the prior approval of the SBA.

As of ~~June 30, 2021,~~March 31, 2022, the SBIC debentures consisted of (i) ~~$147.0~~$175.0 million par value of SBIC debentures outstanding issued by MSMF, with a recorded value of ~~$143.8~~$171.6 million that was net of unamortized debt issuance costs of ~~$3.2~~$3.4 million and (ii) $175.0 million par value of SBIC debentures issued by MSC III with a recorded value of ~~$171.0~~$171.5 million that was net of unamortized debt issuance costs of ~~$4.0~~$3.5 million.

Credit Facility

Main Street maintains the Credit Facility to provide additional liquidity to support its investment and operational activities. As of ~~June 30, 2021,~~March 31, 2022, the Credit Facility included total commitments of $855.0 million from a diversified group of 18 lenders, held a maturity date in April 2026 and contained an accordion feature which allowed Main Street to increase the total commitments under the facility to up to ~~$1,200.0 million~~$1.2 billion from new and existing lenders on the same terms and conditions as the existing commitments.

As of ~~June 30, 2021,~~March 31, 2022, borrowings under the Credit Facility bore interest, subject to Main Street’s election and resetting on a monthly basis on the first of each month, on a per annum basis at a rate equal to the applicable LIBOR rate ~~(0.1%~~(0.2% as of the most recent reset date for the period ended ~~June 30, 2021)~~March 31, 2022) plus (i) 1.875% (or the applicable base rate (Prime Rate of ~~3.25%~~3.50% as of ~~June 30, 2021)~~March 31, 2022) plus 0.875%) as long as Main Street meets certain agreed upon excess collateral and maximum leverage requirements or (ii) 2.0% (or the applicable base rate plus 1.0%) otherwise. Main Street pays unused commitment fees of 0.25% per annum on the unused lender commitments under the Credit Facility. The Credit Facility is secured by a first lien on the assets of MSCC and its subsidiaries, excluding the equity ownership or assets of the Funds and the External Investment Manager. As of ~~June 30, 2021,~~March 31, 2022, the Credit Facility contained certain affirmative and negative covenants, including but not limited to: (i) maintaining minimum liquidity, (ii) maintaining an interest coverage ratio of at least 2.0 to 1.0, (iii) maintaining ana 1940 Act asset coverage ratio ~~(tangible net worth to Credit Facility borrowings)~~ of at least 1.5 to 1.0, (iv) maintaining a minimum tangible net worth and (v) maintaining a minimum asset coverage ratio of 200% with respect to the consolidated assets (with certain limitations on the contribution of equity in financing subsidiaries as specified therein) of MSCC and the guarantors under the Credit Facility to the secured debt of MSCC and the guarantors.

As of ~~June 30, 2021,~~March 31, 2022, the interest rate on the Credit Facility was ~~2.0%~~2.1% (based on the LIBOR rate of ~~0.1%~~0.2% as of the most recent reset date plus 1.875%). The average interest rate for borrowings under the Credit Facility was 2.0% ~~and 2.4%~~ for each of the three months ended ~~June 30, 2021~~March 31, 2022 and ~~2020, respectively, and 2.0% and 3.0% for the six months ended June 30, 2021 and 2020, respectively.~~2021. As of ~~June 30, 2021,~~March 31, 2022, Main Street was in compliance with all financial covenants of the Credit Facility.

4.50% Notes due 2022

In November 2017, Main Street issued $185.0 million in aggregate principal amount of 4.50% unsecured notes due December 1, 2022 (the “4.50% ~~Notes due 2022”~~Notes”) at an issue price of 99.16%. The 4.50% Notes ~~due 2022~~ are unsecured obligations and rank pari passu with Main Street’s current and future unsecured indebtedness; senior to any of its future indebtedness that expressly provides it is subordinated to the 4.50% ~~Notes due 2022;~~Notes; effectively subordinated to all of its existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under its Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of its subsidiaries, including without limitation, the indebtedness of the Funds. The 4.50% Notes may be redeemed in whole or

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~~Notes due 2022 may be redeemed in whole or~~ in part at any time at Main Street’s option subject to certain make-whole provisions. The 4.50% Notes ~~due 2022~~ bear interest at a rate of 4.50% per year payable semiannually on June 1 and December 1 of each year. The total net proceeds from the 4.50% Notes, ~~due 2022,~~ resulting from the issue price and after underwriting discounts and estimated offering expenses payable, were approximately $182.2 million. Main Street may from time to time repurchase the 4.50% Notes ~~due 2022~~ in accordance with the 1940 Act and the rules promulgated thereunder.

The indenture governing the 4.50% Notes ~~due 2022~~ (the “4.50% Notes Indenture”) contains certain covenants, including covenants requiring Main Street’s compliance with (regardless of whether Main Street is subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring Main Street to provide financial information to the holders of the 4.50% Notes ~~due 2022~~ and the trustee if Main Street ceases to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 4.50% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, Main Street was in compliance with these covenants.

5.20% Notes due 2024

In April 2019, Main Street issued $250.0 million in aggregate principal amount of 5.20% unsecured notes due May 1, 2024 (the “5.20% Notes”) at an issue price of 99.125%. Subsequently, in December 2019, Main Street issued an additional $75.0 million aggregate principal amount of the 5.20% Notes at an issue price of 105.0% and, in July 2020, Main Street issued an additional $125.0 million aggregate principal amount at an issue price of 102.674%. The 5.20% Notes issued in December 2019 and July 2020 have identical terms as, and are a part of a single series with, the 5.20% Notes issued in April 2019. The 5.20% Notes are unsecured obligations and rank pari passu with Main Street’s current and future unsecured indebtedness; senior to any of its future indebtedness that expressly provides it is subordinated to the 5.20% Notes; effectively subordinated to all of its existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under its Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of its subsidiaries, including without limitation, the indebtedness of the Funds. The 5.20% Notes may be redeemed in whole or in part at any time at Main Street’s option subject to certain make-whole provisions. The 5.20% Notes bear interest at a rate of 5.20% per year payable semiannually on May 1 and November 1 of each year. The total net proceeds from the 5.20% Notes, resulting from the issue price and after net issue price premiums and estimated offering expenses payable, were approximately $451.4 million. Main Street may from time to time repurchase the 5.20% Notes in accordance with the 1940 Act and the rules promulgated thereunder.

The indenture governing the 5.20% Notes (the “5.20% Notes Indenture”) contains certain covenants, including covenants requiring Main Street’s compliance with (regardless of whether Main Street is subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring Main Street to provide financial information to the holders of the 5.20% Notes and the trustee if Main Street ceases to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 5.20% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, Main Street was in compliance with these covenants.

3.00% Notes due 2026

In January 2021, Main Street issued $300.0 million in aggregate principal amount of 3.00% unsecured notes due July 14, 2026 (the “3.00% Notes”) at an issue price of 99.004%. ~~The total net proceeds from~~Subsequently, in October 2021, Main Street issued an additional $200.0 million aggregate principal amount of the 3.00% Notes ~~resulting from the~~at an issue price of 101.741%. The 3.00% Notes issued in October 2021 have identical terms as, and ~~after underwriting discounts and estimated offering expenses payable, were approximately $294.8 million.~~are a part of a single series with, the 3.00% Notes issued in January 2021. The 3.00% Notes are unsecured obligations and rank pari passu with Main Street’s current and future unsecured indebtedness; senior to any of its future indebtedness that expressly provides it is subordinated to the 3.00% Notes; effectively subordinated to all of its existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under its Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of its subsidiaries, including without limitation, the indebtedness of the Funds. The 3.00% Notes may be redeemed in whole or in part at any time at Main Street’s option subject to certain make-whole provisions. The 3.00% Notes bear interest at a rate of 3.00% per year payable semiannually on January 14 and July 14 of each year. The total net proceeds from the 3.00% Notes, resulting from the issue price and after net issue price premiums and estimated offering expenses payable, were approximately $498.3

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million. Main Street may from time to time repurchase the 3.00% Notes in accordance with the 1940 Act and the rules promulgated thereunder.

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The indenture governing the 3.00% Notes (the “3.00% Notes Indenture”) contains certain covenants, including covenants requiring Main Street’s compliance with (regardless of whether Main Street is subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring Main Street to provide financial information to the holders of the 3.00% Notes and the trustee if Main Street ceases to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 3.00% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, Main Street was in compliance with these covenants.

NOTE F—FINANCIAL HIGHLIGHTS


	Six Months Ended June 30,				Three Months Ended March 31,
Per Share Data:	2021		2020		2022		2021
NAV at the beginning of the period	$	22.35	$	23.91	$	25.29	$	22.35
Net investment income(1)		1.20		1.04		0.73		0.58
Net realized gain (loss) (1)(2)		0.03		(0.48)
Net realized gain (loss)(1)(2)						0.05		(0.23)
Net unrealized appreciation (depreciation)(1)(2)		1.15		(2.78)		0.20		0.50
Income tax benefit (provision)(1)(2)		(0.15)		0.25		(0.07)		(0.01)
Net increase (decrease) in net assets resulting from operations(1)		2.23		(1.97)		0.91		0.84
Dividends paid from net investment income						(0.72)		(0.62)
Distributions from capital gains						—		—
Dividends paid		(1.23)		(1.23)		(0.72)		(0.62)
Impact of the net change in monthly dividends declared prior to the end of the period and paid in the subsequent period						(0.01)		—
Accretive effect of stock offerings (issuing shares above NAV per share)		0.07		0.17		0.35		0.01
Accretive effect of DRIP issuance (issuing shares above NAV per share)		0.04		0.05		0.03		0.02
Other(3)		(0.04)		(0.08)		0.04		0.05
NAV at the end of the period	$	23.42	$	20.85	$	25.89	$	22.65
Market value at the end of the period	$	41.09	$	20.51	$	42.64	$	39.15
Shares outstanding at the end of the period		68,531,789		65,763,805		72,370,407		68,000,898

(1)	Based on weighted-average number of common shares outstanding for the period.

(2)	Net realized gains or losses, net unrealized appreciation or depreciation, and income taxes can fluctuate significantly from period to period.

(3)	Includes the impact of the different share amounts as a result of calculating certain per share data based on the weighted-average basic shares outstanding during the period and certain per share data based on the shares outstanding as of a period end or transaction date.


	Six Months Ended June 30,						Three Months Ended March 31,
	2021			2020			2022			2021

	(dollars in thousands)						(dollars in thousands)
NAV at end of period	$	1,604,841		$	1,370,944		$	1,873,654		$	1,540,164
Average NAV	$	1,553,257		$	1,414,501		$	1,831,250		$	1,527,466
Average outstanding debt	$	1,311,114		$	1,119,229		$	1,784,750		$	1,263,950
Ratio of total expenses, including income tax expense, to average NAV (1) (2)		3.76	%		3.96	%
Ratio of operating expenses to average NAV (2) (3)		3.09	%		2.85	%
Ratio of operating expenses, excluding interest expense, to average NAV (2) (3)		1.27	%		1.13	%
Ratio of total expenses, including income tax expense, to average NAV (1)(2)								1.76	%		1.55	%
Ratio of operating expenses to average NAV (2)(3)								1.48	%		1.51	%
Ratio of operating expenses, excluding interest expense, to average NAV (2)(3)								0.57	%		0.61	%
Ratio of net investment income to average NAV (2)		5.29	%		4.80	%		2.85	%		2.60	%
Portfolio turnover ratio (2)		11.86	%		9.44	%		6.49	%		4.92	%
Total investment return (2) (4)		31.59	%		(24.97)	%
Total return based on change in NAV (2) (5)		10.06	%		(8.34)	%
Total investment return (2)(4)								(3.32)	%		23.52	%
Total return based on change in NAV (2)(5)								3.64	%		3.79	%

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(1)

Total expenses are the sum of operating expenses and net income tax provision/benefit. Net income tax provision/benefit includes the accrual of net deferred tax provision/benefit relating to the net unrealized appreciation/depreciation on portfolio investments held in Taxable Subsidiaries and due to the change in the loss carryforwards, which are non-cash in nature and may vary significantly from period to period. Main Street is required to include net deferred tax provision/benefit in calculating its total expenses even though these net deferred taxes are not currently payable/receivable.

(2)	Not annualized.

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(3)

Unless otherwise noted, operating expenses include interest, compensation, general and administrative and share-based compensation expenses, net of expenses allocated to the External Investment ~~Manager.~~Manager of $2.8 million and $2.4 million for the three months ended March 31, 2022 and 2021, respectively.

(4)

Total investment return is based on the purchase of stock at the current market price on the first day and a sale at the current market price on the last day of each period reported on the table and assumes reinvestment of dividends at prices obtained by Main Street’s dividend reinvestment plan during the period. The return does not reflect any sales load that may be paid by an investor.

(5)

Total return is based on change in net asset value aswas calculated using the sum of ending net asset value plus dividends to stockholders and other non-operating changes during the period, as divided by the beginning net asset value. Non-operating changes include any items that affect net asset value other than the net increase in net assets resulting from operations, such as the effects of stock offerings, shares issued under the DRIP and equity incentive plans and other miscellaneous items.

NOTE G—DIVIDENDS, DISTRIBUTIONS AND TAXABLE INCOME

Main Street currently pays regular monthly dividends to its ~~stockholders.~~stockholders and supplemental dividends to its stockholders from time to time. Future ~~monthly~~ dividends, if any, will be determined by ~~its~~Main Street’s Board of Directors on a quarterly basis. Main Street paid regular monthly dividends of ~~$0.205~~$0.215 per share, totaling ~~$42.0~~$46.0 million or $0.645 per share, for the three months ended March 31, 2022, compared to aggregate regular monthly dividends of $41.8 million, or $0.615 per share, for the three months ended June 30, 2021, and $83.9 million, or $1.230 per share, for the six months ended June 30, 2021 compared to aggregate regular monthly dividends of approximately $39.9 million, or $0.615 per share, forMarch 31, 2021. During the three months ended ~~June 30, 2020, and $79.6~~March 31, 2022, Main Street also paid a supplemental dividend of $5.4 million, or ~~$1.230 for~~$0.075 per share. Main Street did not pay a supplemental dividend during the ~~six~~three months ended ~~June 30, 2020.~~March 31, 2021.

MSCC has elected to be treated for U.S. federal income tax purposes as a RIC. MSCC’s taxable income includes the taxable income generated by MSCC and certain of its subsidiaries, including the Funds, which are treated as disregarded entities for tax purposes. As a RIC, MSCC generally will not pay corporate-level U.S. federal income taxes on any net ordinary taxable income or capital gains that MSCC distributes to its stockholders. MSCC must generally distribute at least 90% of its “investment company taxable income” (which is generally its net ordinary taxable income and realized net short-term capital gains in excess of realized net long-term capital losses) and 90% of its tax-exempt income to maintain its RIC status (pass-through tax treatment for amounts distributed). As part of maintaining RIC status, undistributed taxable income (subject to a 4% non-deductible U.S. federal excise tax) pertaining to a given fiscal year may be distributed up to 12 months subsequent to the end of that fiscal year, provided such dividends are declared on or prior to the later of (i) filing of the U.S. federal income tax return for the applicable fiscal year or (ii) the fifteenth day of the ninth month following the close of the year in which such taxable income was generated.

The determination of the tax attributes for Main Street’s distributions is made annually, based upon its taxable income for the full year and distributions paid for the full year. Therefore, a determination made on an interim basis may not be representative of the actual tax attributes of distributions for a full year. Ordinary dividend distributions from a RIC do not qualify for the 20% maximum tax rate (plus a 3.8% Medicare surtax, if applicable) on dividend income from domestic corporations and qualified foreign corporations, except to the extent that the RIC received the income in the form of qualifying dividends from domestic corporations and qualified foreign corporations. The tax attributes for distributions will generally include both ordinary income and qualified dividends, but may also include either one or both of capital gains and return of capital.

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Listed below is a reconciliation of “Net increase (decrease) in net assets resulting from operations” to taxable income and to total distributions declared to common stockholders for the ~~six~~three months ended ~~June 30, 2021~~March 31, 2022 and ~~2020.~~2021.


	Six Months Ended June 30,				Three Months Ended March 31,
	2021		2020		2022		2021

	(estimated, dollars in thousands)				(estimated, dollars in thousands)
Net increase (decrease) in net assets resulting from operations	$	152,451	$	(128,068)	$	65,203	$	57,346
Book-tax difference from share-based compensation expense		(6,967)		322		2,818		2,333
Net unrealized (appreciation) depreciation		(78,440)		180,684		(14,752)		(34,001)
Income tax provision (benefit)		10,407		(15,760)		5,097		682
Pre-tax book (income) loss not consolidated for tax purposes		(17,971)		(952)		(2,933)		5,353
Book income and tax income differences, including debt origination, structuring fees, dividends, realized gains and changes in estimates		7,780		36,651		2,862		6,121
Estimated taxable income (1)		67,260		72,877		58,295		37,834
Taxable income earned in prior year and carried forward for distribution in current year		24,350		29,107		50,834		24,350
Taxable income earned prior to period end and carried forward for distribution next period		(21,626)		(35,573)		(72,844)		(34,231)
Dividend payable as of period end and paid in the following period		14,049		13,474		15,519		13,940
Total distributions accrued or paid to common stockholders	$	84,033	$	79,885	$	51,804	$	41,893

(1)

Main Street’s taxable income for each period is an estimate and will not be finally determined until the company files its tax return for each year. Therefore, the final taxable income, and the taxable income earned in each period and carried forward for distribution in the following period, may be different than this estimate.

The income tax expense (benefit) for Main Street is generally composed of (i) deferred tax expense (benefit), which is primarily the result of the net activity relating to the portfolio investments held in the Taxable Subsidiaries, including changes in loss carryforwards, changes in net unrealized appreciation or depreciation and other temporary book tax differences, and (ii) current tax expense, which is primarily the result of current U.S. federal income and state taxes and excise taxes on Main Street’s estimated undistributed taxable income. The income tax expense, or benefit, and the related tax ~~asset~~assets and liabilities generated by the Taxable Subsidiaries, if any, are reflected in Main Street’s consolidated statement of operations. Main Street’s provision for income taxes was comprised of the following for the three ~~and six~~ months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ (amounts in thousands):

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	Three Months Ended June 30,				Six Months Ended June 30,				Three Months Ended March 31,
	2021		2020		2021		2020		2022		2021
Current tax expense (benefit):
Federal	$	97	$	280	$	141	$	77	$	52	$	45
State		359		91		655		(492)		543		296
Excise		200		179		493		670		714		293
Total current tax expense (benefit)		656		550		1,289		255		1,309		634
Deferred tax expense (benefit):
Federal		7,101		(7,433)		7,295		(14,851)		2,807		194
State		1,969		(612)		1,823		(1,164)		981		(146)
Total deferred tax expense (benefit)		9,070		(8,045)		9,118		(16,015)		3,788		48

Total income tax provision (benefit)	$	9,726	$	(7,495)	$	10,407	$	(15,760)	$	5,097	$	682

The net deferred tax liability at ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 was ~~$11.7~~$33.5 million and ~~$2.6~~$29.7 million, respectively, with the change primarily related to changes in net unrealized appreciation or depreciation, changes in loss carryforwards, and other temporary book-tax differences relating to portfolio investments held by the Taxable Subsidiaries. At ~~June 30, 2021,~~March 31, 2022, for U.S. federal income tax purposes, the Taxable Subsidiaries had a net operating loss carryforward from prior years which, if unused, will expire in various taxable years from ~~2028~~2034 through 2037. Any net operating losses generated in 2018 and future periods are not subject to expiration and will carryforward indefinitely until utilized. The ~~timing and manner in which Main Street will utilize any loss carryforwards generated before December 31, 2017 may be limited in the future under the provisions of the Code. Additionally, the~~ Taxable Subsidiaries have interest expense limitation carryforwards which have an indefinite carryforward.

NOTE H—COMMON STOCK

Main Street maintains a program with certain selling agents through which it can sell shares of its common stock by means of at-the-market offerings from time to time (the “ATM Program”). During the ~~six~~three months ended ~~June 30, 2021,~~March 31, 2022, Main Street sold ~~341,522~~1,499,577 shares of its common stock at a weighted-average price of ~~$38.14~~$42.82 per share and raised ~~$13.0~~$64.2 million of gross proceeds under the ATM Program. Net proceeds were ~~$12.7~~$63.4 million after commissions to the selling agents on shares sold and offering costs. As of ~~June 30, 2021, 5,371,850~~March 31, 2022, sales transactions representing 118,227 shares had not settled and are not included in shares issued and outstanding on the face of the consolidated balance sheet but are included in the weighted average shares outstanding in the consolidated statement of operations and in the shares used to calculate the net asset value per share. During the three months ended March 31, 2022, Main Street entered into new distribution agreements to sell up to 15,000,000 shares through the ATM Program. As of March 31, 2022, 14,370,489 shares remained available for sale under the ATM Program.

During the year ended December 31, ~~2020,~~2021, Main Street sold ~~2,645,778~~2,332,795 shares of its common stock at a weighted-average price of ~~$32.10~~$42.71 per share and raised ~~$84.9~~$99.6 million of gross proceeds under the ATM Program. Net proceeds were ~~$83.8~~$98.4 million after commissions to the selling agents on shares sold and offering costs.

NOTE I—DIVIDEND REINVESTMENT PLAN

The dividend reinvestment feature of Main Street’s dividend reinvestment and direct stock purchase plan (the “DRIP”) provides for the reinvestment of dividends on behalf of its stockholders, unless a stockholder has elected to receive dividends in cash. As a result, if Main Street declares a cash dividend, its stockholders who have not “opted out” of the DRIP by the dividend record date will have their cash dividend automatically reinvested into additional shares of MSCC common stock. The share requirements of the DRIP may be satisfied through the issuance of shares of common stock or through open market purchases of common stock by the DRIP plan administrator. Newly issued shares will be valued based upon the final closing price of MSCC’s common stock on the valuation date determined for each dividend by Main Street’s Board of Directors. Shares purchased in the open market to satisfy the DRIP requirements will be valued based upon the average price of the applicable shares purchased, before any associated brokerage or other costs. Main Street’s DRIP is administered by its transfer agent on behalf of Main Street’s record holders and participating brokerage firms. Brokerage firms and other financial intermediaries may decide not to participate in Main Street’s DRIP but may provide a similar dividend reinvestment plan for their clients.

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Summarized DRIP information for the ~~six~~three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ is as follows:


	June 30,				Three Months Ended March 31,
	2021		2020		2022		2021

	($ in millions)				($ in millions)
Total dividends paid	$	83.9	$	79.6
DRIP participation	$	7.5	$	8.1	$	4.8	$	3.7
Shares issued for DRIP		198,283		254,951		114,043		106,651

NOTE J—SHARE-BASED COMPENSATION

Main Street accounts for its share-based compensation plans using the fair value method, as prescribed by ASC 718, Compensation—Stock Compensation. Accordingly, for restricted stock awards, Main Street measured the grant date fair value based upon the market price of its common stock on the date of the grant and amortizes the fair value of the awards as share-based compensation expense over the requisite service period, which is generally the vesting term.

Main Street’s Board of Directors approves the issuance of shares of restricted stock to Main Street employees pursuant to the Main Street Capital Corporation 2015 Equity and Incentive Plan (the “Equity and Incentive Plan”). These shares generally vest over a three-year period from the grant date. The fair value is expensed over the service period, starting on the grant date. The following table summarizes the restricted stock issuances approved by Main Street’s Board of Directors under the Equity and Incentive Plan, net of shares forfeited, if any, and the remaining shares of restricted stock available for issuance as of ~~June 30, 2021.~~March 31, 2022.


Restricted stock authorized under the plan		3,000,000
Less net restricted stock granted during:
Year ended December 31, 2015		(900)
Year ended December 31, 2016		(260,514)
Year ended December 31, 2017		(223,812)
Year ended December 31, 2018		(243,779)
Year ended December 31, 2019		(384,049)
Year ended December 31, 2020		(370,272)
~~Six months~~Year ended ~~June 30,~~December 31, 2021		~~(309,682)~~(332,143)
Three months ended March 31, 2022		(5,228)
Restricted stock available for issuance as of ~~June 30, 2021~~March 31, 2022		~~1,206,992~~1,179,303

As of ~~June 30, 2021,~~March 31, 2022, the following table summarizes the restricted stock issued to Main Street’s non-employee directors and the remaining shares of restricted stock available for issuance pursuant to the Main Street Capital Corporation 2015 Non-Employee Director Restricted Stock Plan. These shares are granted upon appointment or election to the board and vest on the day immediately preceding the annual meeting of stockholders following the respective grant date and are expensed over such service period.


Restricted stock authorized under the plan		300,000
Less net restricted stock granted during:
Year ended December 31, 2015		(6,806)
Year ended December 31, 2016		(6,748)
Year ended December 31, 2017		(5,948)
Year ended December 31, 2018		(6,376)
Year ended December 31, 2019		(6,008)
Year ended December 31, 2020		(11,463)
~~Six months~~Year ended ~~June 30,~~December 31, 2021		(4,949)
Three months ended March 31, 2022		—
Restricted stock available for issuance as of ~~June 30, 2021~~March 31, 2022		251,702

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For the three months ended ~~June 30,~~March 31, 2022 and 2021, ~~and 2020,~~ Main Street recognized total share-based compensation expense of $2.8 million and $2.8 million, respectively, related to the restricted stock issued to Main Street employees and non-employee directors. For the six months ended June 30, 2021 and 2020, Main Street recognized total share-based

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~~compensation expense of $5.1 million and $5.7~~$2.3 million, respectively, related to the restricted stock issued to Main Street employees and non-employee directors.

As of ~~June 30, 2021,~~March 31, 2022, there was ~~$19.7~~$11.8 million of total unrecognized compensation expense related to Main Street’s non-vested restricted shares. This compensation expense is expected to be recognized over a remaining weighted-average period of approximately ~~2.2~~1.9 years as of ~~June 30, 2021.~~March 31, 2022.

NOTE K—COMMITMENTS AND CONTINGENCIES

At ~~June 30, 2021,~~March 31, 2022, Main Street had the following outstanding commitments (in thousands):


Investments with equity capital commitments that have not yet funded:	Amount		Amount

Congruent Credit Opportunities Fund III, LP	$	8,117	$	8,117

Encap Energy Fund Investments
EnCap Energy Capital Fund IX, L.P.	$	230	$	208
EnCap Energy Capital Fund X, L.P.		772		537
EnCap Flatrock Midstream Fund II, L.P.		4,586		4,586
EnCap Flatrock Midstream Fund III, L.P.		423		365
	$	6,011	$	5,696

MS Private Loan Fund I, LP	$	4,187	$	7,500

EIG Fund Investments	$	3,701	$	3,701

Brightwood Capital Fund Investments
Brightwood Capital Fund III, LP	$	3,000	$	3,000
Brightwood Capital Fund V, LP				3,500
			$	6,500

Freeport Fund Investments
Freeport Financial SBIC Fund LP	$	1,375	$	1,375
Freeport First Lien Loan Fund III LP		4,032		4,871
	$	5,407	$	6,246

LKCM Headwater Investments I, L.P.	$	2,500	$	2,500

UnionRock Energy Fund II, LP	$	599	$	1,039

Harris Preston Fund Investments
HPEP 3, L.P.	$	1,555	$	1,555
2717 HPP-MS, LP				56
			$	1,611

Dos Rios Partners
Dos Rios Partners, LP	$	835	$	835
Dos Rios Partners - A, LP		265		265
	$	1,100	$	1,100


Total equity commitments	$	36,177
Total Equity Commitments			$	44,010

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Amount
Investments with commitments to fund revolving loans that have not been fully drawn or term loans with additional commitments not yet funded:

NWN Corporation

$
8,760
SI East, LLC

7,500
MS Private Loan Fund I, LP

7,414
Adams Publishing Group, LLC

5,000
Bolder Panther Group, LLC

5,000
Pearl Meyer Topco LLC

5,000
Classic H&G Holdco, LLC

4,000
Electronic Transaction Consultants, LLC

3,704
GS HVAM Intermediate, LLC

3,409
Ian, Evan & Alexander Corporation

3,333
Hunter Defense Technologies, Inc.

3,230
NinjaTrader, LLC

3,078
RTIC Subsidiary Holdings, LLC

2,740
Echo US Holdings, LLC.

2,586
Superior Rigging & Erecting Co.

2,500
Klein Hersh, LLC

2,500
Nebraska Vet AcquireCo, LLC

2,500
Mako Steel, LP

2,195
Fortna, Inc.

2,027
PPL RVs, Inc.

2,000
Hawk Ridge Systems, LLC

2,000
Burning Glass Intermediate Holding Company, Inc.

1,951
MB2 Dental Solutions, LLC

2,216
Colonial Electric Company LLC

1,600
Market Force Information, LLC

1,600
Cody Pools, Inc.

1,600
Chamberlin Holding LLC

1,600
Direct Marketing Solutions, Inc.

1,600
Trantech Radiator Topco, LLC

1,600
Eastern Wholesale Fence LLC

1,411
Lynx FBO Operating LLC

1,375
GRT Rubber Technologies LLC

1,340
RA Outdoors LLC

1,278
Project Eagle Holdings, LLC

1,250
Arcus Hunting LLC

1,205
Gamber-Johnson Holdings, LLC

1,200
Invincible Boat Company, LLC.

1,080
CompareNetworks Topco, LLC

1,000
NRI Clinical Research, LLC

1,000
Mystic Logistics Holdings, LLC

800
Project BarFly, LLC

760
DTE Enterprises, LLC

750
Student Resource Center, LLC

750
PT Network, LLC

658
Tedder Industries, LLC

640
ASC Interests, LLC

500
Jensen Jewelers of Idaho, LLC

500
Clickbooth.com, LLC

457
HW Temps LLC

400
American Nuts, LLC

281
Dynamic Communities, LLC

250
Acousti Engineering Company of Florida

53

Total loan commitments

$
113,181

Total commitments

$
149,358

Investments with commitments to fund revolving loans that have not been fully drawn or term loans with additional commitments not yet funded:

Amount

Xenon Arc, Inc.

$
32,400
MS Private Loan Fund I, LP

10,000
GS Operating, LLC

12,727
JTI Electrical & Mechanical, LLC

8,421
Paragon Healthcare, Inc.

8,112
Adams Publishing Group, LLC

7,882
NinjaTrader, LLC

7,472
ArborWorks, LLC

7,017
NWN Corporation

6,716
Veregy Consolidated, Inc.

5,875
Watterson Brands, LLC

5,789
SI East, LLC

5,250
Rug Doctor, LLC

5,085
Bolder Panther Group, LLC

5,000
Robbins Bros. Jewelry, Inc.

4,500
South Coast Terminals Holdings, LLC

4,465
Zips Car Wash, LLC

4,265
BDS Solutions IntermediateCo, LLC

3,521
Pearl Meyer Topco LLC

3,500
Direct Marketing Solutions, Inc.

3,400
Winter Services LLC

3,222
Batjer TopCo, LLC

2,700
Cody Pools, Inc.

2,529
AVEX Aviation Holdings, LLC

2,520
Infolinks Media Buyco, LLC

2,520
Nebraska Vet AcquireCo, LLC

2,500
Event Holdco, LLC

2,461
West Star Aviation Acquisition, LLC

2,411
VVS Holdco, LLC

2,400
MB2 Dental Solutions, LLC

2,256
Klein Hersh, LLC

2,250
Mako Steel, LP

2,231
KMS, LLC

2,171
SIB Holdings, LLC

2,124
Fortna, Inc.

2,027
IG Parent Corporation

2,000
Roof Opco, LLC

1,960
Burning Glass Intermediate Holding Company, Inc.

1,859
Evergreen North America Acquisitions, LLC

1,854
Career Team Acquireco LLC

1,800
Johnson Downie Opco, LLC

1,800
Colonial Electric Company LLC

1,600
Market Force Information, LLC

1,600
Chamberlin Holding LLC

1,600
Trantech Radiator Topco, LLC

1,600
Hawk Ridge Systems, LLC

1,415
GS HVAM Intermediate, LLC

1,364
GRT Rubber Technologies LLC

1,340
American Health Staffing Group, Inc.

1,333
Project Eagle Holdings, LLC

1,250
Gamber-Johnson Holdings, LLC

1,200
ATS Operating, LLC

1,080
Invincible Boat Company, LLC.

1,080
Interface Security Systems, L.L.C

1,067
CompareNetworks Topco, LLC

1,000
Flip Electronics LLC

982
The Affiliati Network, LLC

920
Acousti Engineering Company of Florida

913
Mystic Logistics Holdings, LLC

800
RA Outdoors LLC

767
Project BarFly, LLC

760
DTE Enterprises, LLC

750
Student Resource Center, LLC

750
Orttech Holdings, LLC

625
ASC Interests, LLC

530

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Computer Data Source, LLC

500
Jensen Jewelers of Idaho, LLC

500
Datacom, LLC

450
Classic H&G Holdco, LLC

400
Flame King Holdings, LLC

400
Wall Street Prep, Inc.

400
Dynamic Communities, LLC

250

Total Loan Commitments

$
228,218

Total Commitments

$
272,228

Main Street will fund its unfunded commitments from the same sources it uses to fund its investment commitments that are funded at the time they are made (which are typically through existing cash and cash equivalents and borrowings under the Credit Facility). Main Street follows a process to manage its liquidity and ensure that it has available capital to fund its unfunded commitments as necessary. ~~The Company had total unrealized depreciation of $0.1 million on the outstanding unfunded commitments as of June 30, 2021.~~

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~~Effective January 1, 2019, ASC 842 required that a lessee evaluate its leases to determine whether they should be classified as operating or financing leases.~~ Main Street ~~identified~~has one operating lease for its office space. The lease commenced May 15, 2017 and expires January 31, 2028. It contains two five-year extension options for a final expiration date of January 31, 2038.

AsIn accordance with ASC 842, Main Street ~~classified~~has recorded this lease as an operating lease prior to implementation, ASC 842-10-65-1 indicates that a right-of-use asset and lease liability should be recorded based on the effective date. Main Street adopted ASC 842 effective January 1, 2019 and recorded a right-of-use asset and a lease liability ~~as of that date. After this date, Main Street has recorded~~and records lease expense on a straight-line ~~basis, consistent with the accounting treatment for lease expense prior to the adoption of ASC 842.~~basis.

Total operating lease cost incurred by Main Street for each of the three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020~~ was $0.2 ~~million and for each of the six months ended June 30, 2021 and 2020 was $0.4~~ million. As of ~~June 30, 2021,~~March 31, 2022, the asset related to the operating lease was ~~$4.0~~$3.6 million and is included in the interest receivable and other assets balance on the consolidated balance sheet. The lease liability was ~~$4.7~~$4.3 million and is included in the accounts payable and other liabilities balance on the consolidated balance sheet. As of ~~June 30, 2021,~~March 31, 2022, the remaining lease term was ~~6.6~~5.8 years and the discount rate was 4.2%.

The following table shows future minimum payments under Main Street’s operating lease as of ~~June 30, 2021~~March 31, 2022 (in thousands):


For the Years Ended December 31,	Amount		Amount
2021	$	389
2022		790	$	593
2023		804		804
2024		818		818
2025		832		832
2026				846
Thereafter		1,778		933
Total	$	5,411	$	4,826

Main Street may, from time to time, be involved in litigation arising out of its operations in the normal course of business or otherwise. Furthermore, third parties may try to impose liability on Main Street in connection with the activities of its portfolio companies. While the outcome of any current legal proceedings cannot at this time be predicted with certainty, Main Street does not expect any current matters will materially affect its financial condition or results of operations; however, there can be no assurance whether any pending legal proceedings will have a material adverse effect on Main Street’s financial condition or results of operations in any future reporting period.

NOTE L—RELATED PARTY TRANSACTIONS

As discussed further in Note D, the External Investment Manager is treated as a wholly owned portfolio company of MSCC and is included as part of Main Street’s Investment Portfolio. At ~~June 30, 2021,~~March 31, 2022, Main Street had a receivable of approximately ~~$4.2~~$5.7 million due from the External Investment Manager, which included (i) approximately ~~$3.0~~$3.5 million related primarily to operating expenses incurred by MSCC or its subsidiaries as required to support the External Investment Manager’s business and amounts due from the External Investment Manager to Main Street under a tax sharing agreement (see further discussion in Note D) and (ii) approximately ~~$1.3~~$2.3 million of dividends declared but not paid by the External Investment Manager. MSCC has entered into an agreement with the External Investment Manager to share employees in connection with its asset management business generally, and specifically for the

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External Investment Manager’s relationship with MSC Income and its other clients (see further discussion in Note A.1 and Note D).

From time to time, Main Street may make investments in clients of the External Investment Manager in the form of debt or equity capital on terms approved by Main Street’s Board of Directors. In January 2021, Main Street entered into a Term Loan Agreement with MSC Income (the “Term Loan Agreement”). The Term Loan Agreement was unanimously approved by Main Street’s Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act, and the board of directors of MSC Income, including each director who is not an “interested person” of MSC Income or the External Investment Manager. The Term Loan Agreement ~~provides~~initially provided for

~~Table of Contents~~

a term loan of $40.0 million to MSC Income, bearing interest at a fixed rate of 5.00% per annum, and ~~matures~~maturing in January 2026. The Term Loan Agreement was amended in July 2021 to provide for borrowings up to an additional $35.0 million, $20.0 million of which was funded upon signing of the amendment and $15.0 million available in two additional advances during the six months following the amendment date. Borrowings under the Term Loan Agreement ~~are~~were expressly subordinated and junior in right of payment to all secured indebtedness of MSC Income. In October 2021, MSC Income ~~and are subject to a two-year~~ ~~no-call period~~ ~~that expires on January 27, 2023.~~ ~~See Note M for discussion of the recent amendment and increased commitments~~fully repaid all borrowings outstanding under the Term Loan Agreement ~~made subsequent to June 30, 2021.~~and the Term Loan Agreement was extinguished.

In December 2020, the External Investment Manager entered into an Investment Management Agreement with the Private Loan Fund to provide investment advisory and management services in exchange for an asset-based fee and certain incentive fees. The Private Loan Fund is a private investment fund exempt from registration under the 1940 Act that ~~invests in debt investments in middle market companies generally~~co-invests with ~~EBITDA between $7.5 million and $50 million and generally owned by a private equity sponsor, which~~ Main Street ~~generally refers to as~~in Main Street’s Private Loan ~~investments.~~investment strategy. In connection with the Private Loan Fund’s initial closing in December 2020, Main Street committed to contribute up to $10.0 million as a limited partner and will be entitled to distributions on such interest. In February 2022, Main Street increased its total commitment to the Private Loan Fund from $10.0 million to $15.0 million. In addition, certain of Main Street’s officers and employees (and certain of their immediate family members) have made capital commitments to the Private Loan Fund as limited partners and therefore have direct pecuniary interests in the Private Loan Fund. As of ~~June 30, 2021,~~March 31, 2022, Main Street has funded ~~approximately $0.3~~$7.5 million of its limited partner commitment and Main Street’s unfunded commitment was ~~approximately $4.2~~$7.5 million. Main Street’s limited partner commitment to the Private Loan Fund was unanimously approved by the Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act.

Additionally, Main Street provided the Private Loan Fund with a revolving line of credit pursuant to an Unsecured Revolving Promissory Note, dated February 5, 2021 ~~(the “Private Loan~~and was subsequently amended on November 30, 2021 and on December 29, 2021 (as amended, the “PL Fund ~~Loan”~~2021 Note”), in an aggregate amount equal to the amount of limited partner capital commitments to the Private Loan Fund up to ~~$50.0~~$85.0 million. Borrowings under the ~~Private Loan~~PL Fund ~~Loan bear~~2021 Note bore interest at a fixed rate of 5.00% per annum and ~~will mature~~matured on ~~the earlier of June 30, 2022 and the date of the Private Loan Fund’s final closing~~.February 28, 2022. The ~~Private Loan~~PL Fund ~~Loan~~2021 Note was unanimously approved by Main Street’s Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 ~~Act, and the board of directors of~~Act. In February 2022, the Private Loan Fund fully repaid all borrowings outstanding under the PL Fund 2021 Note and the PL Fund 2021 Note was extinguished.

In March 2022, Main Street provided the Private Loan Fund with a new revolving line of credit pursuant to a Secured Revolving Promissory Note, dated March 17, 2022 (the “PL Fund 2022 Note”), which provides for borrowings up to $10.0 million. Borrowings under the PL Fund 2022 Note bear interest at a fixed rate of 5.00% per annum and mature on date upon which the Private Loan Fund’s investment period concludes, which is scheduled to occur in March 2026. Available borrowings under the PL Fund 2022 Note are subject to a 0.25% non-use fee. The PL Fund 2022 Note was unanimously approved by Main Street’s Board of Directors, including each director who is not an “interested ~~person”~~person,” as such term is defined in Section 2(a)(19) of ~~Private Loan Fund or~~ the ~~External Investment Manager.~~1940 Act. As of ~~June 30, 2021,~~March 31, 2022, there were ~~$16.2 million of~~no borrowings outstanding under the ~~Private Loan~~PL Fund ~~Loan.~~2022 Note.

In November 2015, Main Street’s Board of Directors approved and adopted the Main Street Capital Corporation Deferred Compensation Plan (the “2015 Deferred Compensation Plan”). The 2015 Deferred Compensation Plan became effective on January 1, 2016 and replaced the Deferred Compensation Plan for Non-Employee Directors previously adopted by the Board of Directors in June 2013 (the “2013 Deferred Compensation Plan”). Under the 2015 Deferred Compensation Plan, non-employee directors and certain key employees may defer receipt of some or all of their cash compensation and directors’ fees, subject to certain limitations. Individuals participating in the 2015 Deferred Compensation Plan receive distributions of their respective balances based on predetermined payout schedules or other events as defined by the plan and are also able to direct investments made on their behalf among investment alternatives permitted from time to time under the plan, including phantom Main Street stock units. As of ~~June 30, 2021, $14.3~~ March 31, 2022, $16.5

Table of Contents

million of compensation and dividend reinvestments, plus net of unrealized gains and losses and investment income, and minus distributions had been deferred under the 2015 Deferred Compensation Plan (including amounts previously deferred under the 2013 Deferred Compensation Plan). Of this amount, $6.5 million had been deferred into phantom Main Street stock units, representing ~~157,054~~152,790 shares of Main Street’s common stock. Any amounts deferred under the plan represented by phantom Main Street stock units will not be issued or included as outstanding on the consolidated statements of changes in net assets until such shares are actually distributed to the participant in accordance with the plan, but the related phantom stock units are included in ~~weighted-average~~weighted average shares outstanding with the related dollar amount of the deferral included in total expenses in Main Street’s consolidated statements of operations as earned. The dividend amounts related to additional phantom stock units are included in the statements of changes in net assets as an increase to dividends to stockholders offset by a corresponding increase to additional paid-in capital.

NOTE M—SUBSEQUENT EVENTS

~~During August 2021,~~In May 2022, Main Street declared a supplemental cash dividend of $0.075 per share payable in June 2022. This supplemental cash dividend is in addition to the previously announced regular monthly cash dividends that Main Street declared for the second quarter of 2022 of $0.215 per share for each of April, May and June 2022.

In May 2022, Main Street also declared regular monthly dividends of ~~$0.210~~$0.215 per share for each month of ~~October, November~~July, August and ~~December~~September of ~~2021.~~2022. These regular monthly dividends equal a total of ~~$0.630~~$0.645 per share for the ~~fourth~~third quarter of ~~2021,~~2022, representing a ~~2.4%~~4.9% increase from the regular monthly dividends paid in the ~~fourth~~third quarter of ~~2020.~~2021. Including the regular monthly and supplemental dividends declared for the ~~third~~second and ~~fourth~~third quarters of ~~2021,~~2022, Main Street will have paid ~~$32.075~~$34.26 per share in cumulative dividends since its October 2007 initial public offering.

As previously disclosed, in February 2022, Main Street’s Board unanimously approved the application of the reduced BDC asset coverage ratio, effective as of February 23, 2023 unless approved earlier by a vote of Main Street’s stockholders. At the Company’s 2022 annual meeting of stockholders (the “Annual Meeting”) on May 2, 2022, Main Street’s stockholders approved the application of the reduced BDC asset coverage ratio, effective the day after the Annual Meeting. As a result, the BDC asset coverage ratio applicable to Main Street decreased from 200% to 150% effective May 3, 2022. As of March 31, 2022, Main Street’s BDC asset coverage ratio was 227%.

8683

Table of Contents

In July 2021, Main Street amended the Term Loan Agreement with MSC Income (the “July 2021 Term Loan”) to provide for up to an additional $35.0 million of borrowings on substantially the same terms as the Term Loan Agreement, $20.0 million of which was funded at the time of closing and with up to $15.0 million available to MSC Income in two equal delayed draws until January 27, 2022. The July 2021 Term Loan was unanimously approved by Main Street’s Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act, and the board of directors of MSC Income, including each director who is not an “interested person” of MSC Income or the External Investment Manager.

~~Table of Contents~~

Schedule 12-14

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments In and Advances to Affiliates

~~June 30,~~March 31, 2022

(dollars in thousands)

(unaudited)

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

May 31,

Realized

Unrealized

Credited to

2021

Gross

Gross

2022
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value
Majority‑owned investments



















ASK (Analytical Systems Keco Holdings, LLC)

12.00% (L+10.00%, Floor 2.00%) Secured Debt

(8)

$
-

$
-

$
170

$
4,736

$
23

$
70

$
4,689

Preferred Member Units

(8)

-

(576)

-

4,894

-

576

4,318
Brewer Crane Holdings, LLC

11.00% (L+10.00%, Floor 1.00%) Secured Debt

(9)

-

-

224

8,037

6

124

7,919

Preferred Member Units

(9)

-

70

265

7,710

70

-

7,780
Café Brazil, LLC

Member Units

(8)

-

60

52

2,570

60

-

2,630
California Splendor Holdings LLC

11.00% (L+10.00%, Floor 1.00%) Secured Debt

(9)

-

-

787

27,915

17

-

27,932

Preferred Member Units

(9)

-

-

357

9,510

357

-

9,867

Preferred Member Units

(9)

-

3,990

63

13,275

3,990

-

17,265
Clad-Rex Steel, LLC

10.50% (L+9.50%, Floor 1.00%) Secured Debt

(5)

-

-

285

10,401

10

-

10,411

10.00% Secured Debt

(5)

-

-

27

1,071

-

8

1,063

Member Units

(5)

-

80

348

10,780

80

-

10,860
CMS Minerals Investments

Member Units

(9)

-

192

43

1,974

192

109

2,057
Cody Pools, Inc.

12.25% (L+10.50%, Floor 1.75%) Secured Debt

(8)

-

(23)

1,380

42,484

2,888

2,890

42,482

Preferred Member Units

(8)

-

-

687

47,640

-

-

47,640
CompareNetworks Topco, LLC

10.00% (L+9.00%, Floor 1.00%) Secured Debt

(9)

-

(8)

159

6,477

8

688

5,797

Preferred Member Units

(9)

-

1,610

158

12,000

1,610

-

13,610
Datacom, LLC

7.50% Secured Debt

(8)

-

-

209

7,668

43

68

7,643

Preferred Member Units

(8)

-

60

24

2,610

60

-

2,670
Direct Marketing Solutions, Inc.

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

(18)

752

24,048

21

332

23,737

Preferred Stock

(9)

-

4,100

343

18,350

4,100

-

22,450
Gamber-Johnson Holdings, LLC

10.50% (L+8.50%, Floor 2.00%) Secured Debt

(5)

-

(5)

520

21,598

5

5

21,598

Member Units

(5)

-

(4,580)

180

49,700

-

4,580

45,120
GRT Rubber Technologies LLC

8.23% (L+8.00%) Secured Debt

(8)

-

(11)

803

38,885

11

11

38,885

Member Units

(8)

-

-

1,217

46,190

-

-

46,190
Jensen Jewelers of Idaho, LLC

10.00% (Prime+6.75%, Floor 2.00%) Secured Debt

(9)

-

(3)

64

2,550

3

103

2,450

Member Units

(9)

-

2,700

537

12,420

2,700

-

15,120
Kickhaefer Manufacturing Company, LLC

11.50% Secured Debt

(5)

-

-

599

20,324

12

-

20,336

9.00% Secured Debt

(5)

-

-

88

3,876

-

8

3,868

Member Units

(5)

-

(70)

-

12,310

70

12,240

Member Units

(5)

-

-

26

2,460

-

-

2,460
Market Force Information, LLC

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

-

102

3,400

-

-

3,400

12.00% PIK Secured Debt

(9)

-

-

-

8,936

-

-

8,936
MH Corbin Holding LLC

13.00% Secured Debt

(5)

-

(1,495)

274

5,934

9

1,575

4,368
MSC Adviser I, LLC

Member Units

(8)

-

(7,480)

2,277

140,400

-

7,480

132,920
Mystic Logistics Holdings, LLC

10.00% Secured Debt

(6)

-

(1)

157

6,378

1

281

6,098

Common Stock

(6)

-

2,220

568

8,840

2,220

-

11,060
OMi Topco, LLC

12.00% Secured Debt

(8)

-

(14)

554

18,000

14

514

17,500

Preferred Member Units

(8)

-

-

479

20,210

-

-

20,210
PPL RVs, Inc.

7.50% (L+7.00%, Floor 0.50%) Secured Debt

(8)

-

-

36

726

1,257

-

1,983

7.50% (L+7.00%, Floor 0.50%) Secured Debt

(8)

-

-

219

11,655

-

11,655

Common Stock

(8)

-

560

104

14,360

560

-

14,920
Principle Environmental, LLC

13.00% Secured Debt

(8)

-

-

51

1,465

3

500

968

13.00% Secured Debt

(8)

198

5,808

6

5,814

Preferred Member Units

(8)

-

-

219

11,160

-

-

11,160

Common Stock

(8)

-

-

-

710

-

-

710
Quality Lease Service, LLC

Member Units

(7)

-

(29)

-

2,149

-

679

1,470
Robbins Bros. Jewelry, Inc.

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

-

1,117

35,956

21

-

35,977

Preferred Equity

(9)

-

-

140

11,070

-

-

11,070
Trantech Radiator Topco, LLC

12.00% Secured Debt

(7)

-

(7)

269

8,712

8

407

8,313

Common Stock

(7)

-

-

29

8,660

-

-

8,660

Table of Contents

Ziegler’s NYPD, LLC

12.00% Secured Debt

(8)

-

-

19

625

-

-

625

6.50% Secured Debt

(8)

-

-

16

1,000

-

-

1,000

14.00% Secured Debt

(8)

-

-

96

2,750

-

-

2,750

Preferred Member Units

(8)

-

-

-

2,130

-

-

2,130
Other controlled investments

2717 MH, L.P.

LP Interests (2717 MH, L.P.)

(8)

-

189

-

3,971

346

-

4,317

LP Interests (2717 HPP-MS, L.P.)

(8)

-

-

-

-

244

-

244
ASC Interests, LLC

13.00% Secured Debt

(8)

-

-

7

200

-

30

170

13.00% Secured Debt

(8)

-

-

59

1,636

6

-

1,642

Member Units

(8)

-

80

-

720

80

-

800
ATS Workholding, LLC

5.00% Secured Debt

(9)

-

-

-

3,005

-

-

3,005
Barfly Ventures, LLC

7.00% Secured Debt

(5)

-

-

12

711

-

-

711

Member Units

(5)

-

120

-

1,930

120

-

2,050
Batjer TopCo, LLC

11.00% Secured Debt

(8)

-

-

196

-

10,917

-

10,917

Member Units

(8)

-

-

-

-

4,073

-

4,073
Bolder Panther Group, LLC

10.50% (L+9.00%, Floor 1.50%) Secured Debt

(9)

-

(20)

1,160

39,000

10,214

20

49,194

Class A Preferred Member Units

(9)

-

-

292

10,194

-

10,194

-

Class B Preferred Member Units

(9)

-

2,760

368

23,170

2,760

-

25,930
Bridge Capital Solutions Corporation

13.00% Secured Debt

(6)

-

-

286

8,813

-

-

8,813

13.00% Secured Debt

(6)

-

-

33

1,000

-

-

1,000

Preferred Member Units

(6)

-

-

25

1,000

-

-

1,000

Warrants

(6)

-

200

-

4,060

200

-

4,260
CBT Nuggets, LLC

Member Units

(9)

-

(1,740)

412

50,620

-

1,740

48,880
Centre Technologies Holdings, LLC

12.00% (L+10.00%, Floor 2.00%) Secured Debt

(8)

-

-

288

8,864

7

233

8,638

Preferred Member Units

(8)

-

-

30

5,840

-

-

5,840
Chamberlin Holding LLC

9.00% (L+8.00%, Floor 1.00%) Secured Debt

(8)

-

(18)

419

17,817

18

154

17,681

Member Units

(8)

295

24,140

-

-

24,140

Member Units

(8)

-

-

17

1,540

-

-

1,540
Charps, LLC

10.00% Unsecured Debt

(5)

-

(18)

158

5,694

18

18

5,694

Preferred Member Units

(5)

-

100

209

13,990

100

-

14,090
Colonial Electric Company LLC

12.00% Secured Debt

(6)

-

-

745

24,351

16

316

24,051

Preferred Member Units

(6)

-

-

369

9,130

-

-

9,130
Copper Trail Energy Fund I, LP - CTMH

LP Interests (CTMH, LP)

(9)

-

-

-

710

-

-

710
Digital Products Holdings LLC

11.00% (L+10.00%, Floor 1.00%) Secured Debt

(5)

-

-

466

16,801

12

330

16,483

Preferred Member Units

(5)

-

-

50

9,835

-

-

9,835
Garreco, LLC

9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%) Secured Debt

(8)

-

-

94

4,196

-

-

4,196

Member Units

(8)

-

70

40

2,270

70

-

2,340
Gulf Manufacturing, LLC

Member Units

(8)

-

(350)

195

5,640

-

350

5,290
Gulf Publishing Holdings, LLC

10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%) Secured Debt

(8)

-

-

3

257

-

-

257

12.50% (6.25% Cash, 6.25% PIK) Secured Debt

(8)

-

(1,717)

212

9,717

-

1,717

8,000
Harrison Hydra-Gen, Ltd.

Common Stock

(8)

-

-

-

3,530

-

-

3,530
Johnson Downie Opco, LLC

13.00% (L+11.50%, Floor 1.50%) Secured Debt

(8)

-

-

382

11,344

6

-

11,350

Preferred Equity

(8)

-

-

318

3,150

-

-

3,150
JorVet Holdings, LLC

12.00% Secured Debt

(9)

-

-

257

-

25,394

-

25,394

Common Stock

(9)

-

-

-

-

10,741

-

10,741
KBK Industries, LLC

Member Units

(5)

-

310

211

13,620

310

-

13,930
MS Private Loan Fund

5.00% Unsecured Debt

(8)

-

-

435

63,151

17,000

80,151

-

LP Interests

(8)

-

-

72

2,581

5,000

-

7,581
NAPCO Precast, LLC

Member Units

(8)

-

(190)

-

13,560

-

190

13,370
Nebraska Vet AcquireCo, LLC (NVS)

12.00% Secured Debt

(5)

-

-

541

10,412

6

-

10,418

12.00% Secured Debt

(5)

4,829

1,408

-

6,237

Preferred Member Units

(5)

-

-

-

7,700

-

-

7,700
NexRev LLC

11.00% Secured Debt

(8)

-

-

850

14,045

10

218

13,837

Preferred Member Units

(8)

-

-

20

2,690

-

-

2,690
NRP Jones, LLC

12.00% Secured Debt

(5)

-

-

62

2,080

-

-

2,080

Member Units

(5)

-

(150)

101

6,440

-

150

6,290
NuStep, LLC

7.50% (L+6.50%, Floor 1.00%) Secured Debt

(5)

-

-

48

1,720

1,200

-

2,920

12.00% Secured Debt

(5)

-

-

504

17,240

-

-

17,240

Preferred Member Units

(5)

-

-

-

13,500

-

-

13,500
Orttech Holdings, LLC

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(5)

-

-

743

24,150

13

-

24,163

Preferred Stock

(5)

-

-

193

10,000

-

-

10,000
Pearl Meyer Topco LLC

12.00% Secured Debt

(6)

-

(18)

1,004

32,674

1,518

18

34,174

Member Units

(6)

-

8,080

1,756

26,970

8,080

-

35,050
River Aggregates, LLC

Member Units

(8)

-

-

-

3,280

-

-

3,280
Tedder Industries, LLC

12.00% Secured Debt

(9)

-

-

525

16,181

582

-

16,763

Preferred Member Units

(9)

-

-

-

8,579

-

-

8,579
Televerde, LLC

Member Units

(8)

-

(731)

-

7,280

-

1,808

5,472

Preferred Stock

(8)

-

-

-

-

1,794

-

1,794
Vision Interests, Inc.

Series A Preferred Stock

(9)

-

-

-

3,000

-

-

3,000

Table of Contents

VVS Holdco LLC

7.00% (L+6.00%, Floor 1.00%) Secured Debt

(5)

-

-

21

1,169

1

400

770

11.50% Secured Debt

(5)

-

-

889

30,100

15

-

30,115

Preferred Equity

(5)

-

-

150

11,840

-

-

11,840

Other

Amounts related to investments transferred to or from other 1940 Act classification during the period

-

-

(236)

6,123

-

-

-
Total Control investments

$
-

$
8,279

$
32,577

$
1,489,257

$
122,644

$
119,115

$
1,486,663
Affiliate Investments

AAC Holdings, Inc.

18.00% (10.00% Cash, 8.00% PIK) Secured Debt

(7)

$
-

$
30

$
478

$
9,794

$
250

$
-

$
10,044

Common Stock

(7)

-

-

-

2,079

-

-

2,079

Warrants

(7)

-

-

-

1,940

-

-

1,940
AFG Capital Group, LLC

10.00% Secured Debt

(8)

-

-

2

144

-

86

58

Preferred Member Units

(8)

-

610

-

7,740

610

-

8,350
ATX Networks Corp.

8.50% (L+7.50%, Floor 1.00%) Secured Debt

(6)

-

230

-

7,092

230

-

7,322

10.00% PIK Unsecured Debt

(6)

-

82

77

1,963

159

-

2,122
BBB Tank Services, LLC

12.00% (L+11.00%, Floor 1.00%) Unsecured Debt

(8)

-

(209)

144

2,507

-

209

2,298

Preferred Stock (non-voting)

(8)

-

-

-

-

-

-

-

Member Units

(8)

-

-

-

-

-

-

-
Boccella Precast Products LLC

10.00% Secured Debt

(6)

-

-

8

320

-

-

320

Member Units

(6)

-

-

40

4,830

-

-

4,830
Brightwood Capital Fund Investments - Fund V

LP Interests (Brightwood Capital Fund V, LP)

(6)

-

139

-

1,000

639

-

1,639
Buca C, LLC

12.25% (L+11.25%, Floor 1.00%) Secured Debt

(7)

-

-

540

14,370

-

-

14,370
Career Team Holdings, LLC

12.50% Secured Debt

(6)

-

-

645

20,050

10

-

20,060

Class A Common Units

(6)

-

-

-

4,499

-

-

4,499
Chandler Signs Holdings, LLC

Class A Units

(8)

-

160

-

460

160

-

620
Classic H&G Holdings, LLC

7.00% (L+6.00%, Floor 1.00%) Secured Debt

(6)

-

-

159

4,000

3,600

-

7,600

8.00% Secured Debt

(6)

-

(11)

396

19,274

11

11

19,274

Preferred Member Units

(6)

-

1,020

352

15,260

1,020

-

16,280
Congruent Credit Opportunities Funds

LP Interests (Congruent Credit Opportunities Fund
III, LP)

(8)

-

-

163

9,959

-

1,106

8,853
DMA Industries, LLC

12.00% Secured Debt

(7)

-

-

647

20,993

11

-

21,004

Preferred Equity

(7)

-

-

-

5,944

-

-

5,944
Dos Rios Partners

LP Interests (Dos Rios Partners - A, LP)

(8)

-

28

-

3,280

28

-

3,308

LP Interests (Dos Rios Partners, LP)

(8)

-

90

-

10,329

90

-

10,419
Dos Rios Stone Products LLC

Class A Preferred Units

(8)

-

(290)

-

640

-

290

350
EIG Fund Investments

LP Interests (EIG Global Private Debt Fund-A, L.P.)

(8)

2

-

27

547

2

50

499
Flame King Holdings, LLC

7.50% (L+6.50%, Floor 1.00%) Secured Debt

(9)

-

-

139

6,324

1,204

-

7,528

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

-

647

20,996

10

-

21,006

Preferred Equity

(9)

-

-

280

10,400

-

-

10,400
Freeport Financial SBIC Fund LP

LP Interests (Freeport Financial SBIC Fund LP)

(5)

-

-

2

6,078

-

1,493

4,585

LP Interests (Freeport First Lien Loan Fund III LP)

(5)

-

-

108

7,231

-

-

7,231
GFG Group, LLC.

12.00% Secured Debt

(5)

-

(6)

383

12,545

6

6

12,545

Preferred Member Units

(5)

-

-

251

6,990

-

1

6,989
Hawk Ridge Systems, LLC

7.00% (L+6.00%, Floor 1.00%) Secured Debt

(9)

-

-

47

2,585

-

-

2,585

8.00% Secured Debt

(9)

-

(8)

702

34,800

8

8

34,800

Preferred Member Units

(9)

-

-

579

14,680

1,890

16,570

Preferred Member Units

(9)

-

1,990

-

771

99

-

870
Houston Plating and Coatings, LLC

8.00% Unsecured Convertible Debt

(8)

-

(90)

60

2,960

-

90

2,870

Member Units

(8)

-

(240)

1

3,210

-

241

2,969
HPEP 3, L.P.

LP Interests (HPEP 3, L.P.)

(8)

698

(280)

2

4,712

-

28

4,684
I-45 SLF LLC

Member Units (Fully diluted 20.0%; 24.40% profits
interest)

(8)

-

52

516

14,387

52

-

14,439
Iron-Main Investments, LLC

12.50% Secured Debt

(5)

-

-

102

3,170

1

-

3,171

12.50% Secured Debt

(5)

-

-

146

4,557

2

-

4,559

12.50% Secured Debt

(5)

-

-

915

28,749

10

-

28,759

Common Stock

(5)

-

-

-

1,798

-

-

1,798
L.F. Manufacturing Holdings, LLC

Preferred Member Units (non-voting)

(8)

-

-

4

107

4

-

111

Member Units

(8)

-

-

224

2,560

-

-

2,560

Table of Contents

OnAsset Intelligence, Inc.

12.00% PIK Secured Debt

(8)

-

-

29

935

29

-

964

12.00% PIK Secured Debt

(8)

-

-

29

954

29

-

983

12.00% PIK Secured Debt

(8)

-

-

62

2,055

61

-

2,116

12.00% PIK Secured Debt

(8)

-

-

129

4,286

129

-

4,415

10.00% PIK Unsecured Debt

(8)

-

-

5

191

6

-

197
Oneliance, LLC

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(7)

-

-

171

5,547

3

-

5,550

Preferred Stock

(7)

-

-

-

1,056

-

-

1,056
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

12.00% Secured Debt

(8)

(8)

-

-

-

-

-

-
SI East, LLC (Stavig)

10.25% Secured Debt

(7)

-

(18)

2,048

65,850

18

325

65,543

Preferred Member Units

(7)

-

960

89

11,570

959

-

12,529
Slick Innovations, LLC

13.00% Secured Debt

(6)

-

(13)

182

5,320

13

213

5,120

Common Stock

(6)

-

-

-

1,510

-

-

1,510

Warrants

(6)

-

-

-

400

-

-

400
Sonic Systems International, LLC

8.50% (L+7.50%, Floor 1.00%) Secured Debt

(8)

-

-

267

11,757

12

-

11,769

Common Stock

(8)

-

(60)

11

1,070

-

60

1,010
Superior Rigging & Erecting Co.

12.00% Secured Debt

(7)

-

-

656

21,332

12

-

21,344

Preferred Member Units

(7)

-

-

-

4,500

-

-

4,500
The Affiliati Network, LLC

7.00% Secured Debt

(9)

-

-

14

262

1,521

720

1,063

11.83% Secured Debt

(9)

-

-

390

12,834

7

-

12,841

Preferred Stock

(9)

-

590

122

6,400

590

-

6,990
UnionRock Energy Fund II, LP

LP Interests

(9)

-

(1,885)

236

6,123

-

4,470

1,653
UniTek Global Services, Inc.

8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%) Secured Debt

(6)

-

-

9

371

2

-

373

8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%) Secured Debt

(6)

-

-

43

1,852

12

-

1,864

15.00% PIK Secured Convertible Debt

(6)

-

(80)

47

2,375

47

34

2,388

Preferred Stock

(6)

-

(87)

88

2,833

88

88

2,833

Preferred Stock

(6)

-

337

-

1,498

337

-

1,835
Volusion, LLC

11.50% Secured Debt

(8)

-

-

496

17,434

-

350

17,084

8.00% Unsecured Convertible Debt

(8)

-

-

8

409

-

-

409

Preferred Member Units

(8)

-

-

-

5,989

-

-

5,989
Other

-

Amounts related to investments transferred to or from other 1940 Act classification during the period

-

-

(6,123)

-

-

-
Total Affiliate investments

$
692

$
3,041

$
13,917

$
549,214

$
13,981

$
9,879

$
559,439

(1)	The principal amount, the ownership detail for equity investments and if the investment is income producing is included in the consolidated schedule of investments.

(2)

Represents the total amount of interest, fees and dividends credited to income for the portion of the period for which an investment was included in Control or Affiliate categories, respectively. For investments transferred between Control and Affiliate categories during the period, any income or investment balances related to the time period it was in the category other than the one shown at period end is included in “Amounts from investments transferred from other 1940 Act classifications during the period.”

(3)

Gross additions include increases in the cost basis of investments resulting from new portfolio investments, follow-on investments and accrued PIK interest, and the exchange of one or more existing securities for one or more new securities. Gross additions also include net increases in unrealized appreciation or net decreases in net unrealized depreciation as well as the movement of an existing portfolio company into this category and out of a different category.

(4)

Gross reductions include decreases in the cost basis of investments resulting from principal repayments or sales and the exchange of one or more existing securities for one or more new securities. Gross reductions also include net increases in net unrealized depreciation or net decreases in unrealized appreciation as well as the movement of an existing portfolio company out of this category and into a different category.

Table of Contents

(5)

Portfolio company located in the Midwest region as determined by location of the corporate headquarters. The fair value as of March 31, 2022 for control investments located in this region was $338,390. This represented 22.8% of net assets as of March 31, 2022. The fair value as of March 31, 2022 for affiliate investments located in this region was $69,637. This represented 12.4% of net assets as of March 31, 2022.

(6)

Portfolio company located in the Northeast region and Canada as determined by location of the corporate headquarters. The fair value as of March 31, 2022 for control investments located in this region was $134,636. This represented 9.1% of net assets as of March 31, 2022. The fair value as of March 31, 2022 for affiliate investments located in this region was $100,269. This represented 17.9% of net assets as of March 31, 2022.

(7)

Portfolio company located in the Southeast region as determined by location of the corporate headquarters. The fair value as of March 31, 2022 for control investments located in this region was $18,443. This represented 1.2% of net assets as of March 31, 2022. The fair value as of March 31, 2022 for affiliate investments located in this region was $165,903. This represented 29.7% of net assets as of March 31, 2022.

(8)

Portfolio company located in the Southwest region as determined by location of the corporate headquarters. The fair value as of March 31, 2022 for control investments located in this region was $587,631. This represented 39.5% of net assets as of March 31, 2022. The fair value as of March 31, 2022 for affiliate investments located in this region was $107,324. This represented 19.2% of net assets as of March 31, 2022.

(9)

Portfolio company located in the West region as determined by location of the corporate headquarters. The fair value as of March 31, 2022 for control investments located in this region was $407,563. This represented 27.4% of net assets as of March 31, 2022. The fair value as of March 31, 2022 for affiliate investments located in this region was $116,306. This represented 20.8% of net assets as of March 31, 2022.

(10)	All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities,” unless otherwise noted.

(11)

This schedule should be read in conjunction with the consolidated schedule of investments and notes to the consolidated financial statements. Supplemental information can be located within the schedule of investments including end of period interest rate, preferred dividend rate, maturity date, investments not paid currently in cash and investments whose value was determined using significant unobservable inputs.

(12)	Investment has an unfunded commitment as of March 31, 2022 (see Note K). The fair value of the investment includes the impact of the fair value of any unfunded commitments.

Table of Contents

Schedule 12-14

MAIN STREET CAPITAL CORPORATION

Consolidated Schedule of Investments in and Advances to Affiliates

March 31, 2021

(dollars in thousands)

(unaudited)

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2020

Gross

Gross

2021
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value
Majority‑owned investments



















ASK (Analytical Systems Keco Holdings, LLC)

12.00% (L+10.00%, Floor 2.00%) Secured Debt

(8)

$
-

$
-

$
346

$
4,874

$
114

$
150

$
4,838

Preferred Member Units

(8)

-

(1,830)

-

3,200

-

1,830

1,370

Preferred Member Units

(8)

-

986

-

-

1,640

-

1,640

Warrants

(8)

-

(10)

-

10

-

10

-
CMS Minerals Investments

Member Units

(9)

-

453

13

1,624

453

107

1,970
Café Brazil, LLC

Member Units

(8)

-

460

31

2,030

460

-

2,490
California Splendor Holdings LLC

Preferred Member Units

(9)

-

2,897

125

6,241

2,897

-

9,138

Preferred Member Units

(9)

-

-

623

8,255

623

-

8,878

11.00% (L+10.00%, Floor 1.00%) Secured Debt

(9)

-

36

1,708

35,832

113

8,129

27,816
Clad-Rex Steel, LLC

Member Units

(5)

-

810

143

8,610

810

-

9,420

Member Units

(5)

-

-

-

530

-

-

530

10.50% (L+9.50%, Floor 1.00%) Secured Debt

(5)

-

-

589

10,853

-

469

10,384

10.00% Secured Debt

(5)

-

-

55

1,100

-

14

1,086
Cody Pools, Inc.

Preferred Member Units

(8)

-

7,260

106

14,940

7,260

-

22,200

12.25% (L+10.50%, Floor 1.75%) Secured Debt

(8)

-

(30)

843

14,216

30

2,400

11,846
Datacom, LLC

Preferred Member Units

(8)

-

-

-

-

2,610

-

2,610

5.00% Secured Debt

(8)

-

-

336

-

8,175

54

8,121
Direct Marketing Solutions, Inc.

Preferred Stock

(9)

-

(1,560)

-

19,380

-

1,560

17,820

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

-

932

15,007

18

-

15,025
GRT Rubber Technologies LLC

Member Units

(8)

-

-

2,192

44,900

-

-

44,900

7.09% (L+7.00%) Secured Debt

(8)

-

-

600

16,775

-

-

16,775
Gamber-Johnson Holdings, LLC

Member Units

(5)

-

912

3,477

52,490

3,760

-

56,250

9.00% (L+7.00%, Floor 2.00%) Secured Debt

(5)

-

(30)

954

19,838

830

30

20,638

9.00% (L+7.00%, Floor 2.00%) Secured Debt

(5)

-

(1)

4

-

1

1

-
Jensen Jewelers of Idaho, LLC

Member Units

(9)

-

1,990

597

7,620

1,990

-

9,610

10.00% (Prime+6.75%, Floor 2.00%) Secured Debt

(9)

-

(7)

167

3,400

7

407

3,000
Kickhaefer Manufacturing Company, LLC

Member Units

(5)

-

-

-

12,240

-

-

12,240

11.50% Secured Debt

(5)

-

-

1,296

22,269

29

1,200

21,098

Member Units

(5)

-

50

50

1,160

50

-

1,210

9.00% Secured Debt

(5)

-

-

177

3,909

-

16

3,893
MH Corbin Holding LLC

13.00% (10.00% Cash, 3.00% PIK) Secured Debt

(5)

-

(521)

569

8,280

17

681

7,616

Preferred Member Units

(5)

-

(2,370)

-

2,370

-

2,370

-
MSC Adviser I, LLC

Member Units

(8)

-

4,970

2,449

116,760

4,970

-

121,730
Market Force Information, LLC

12.00% PIK Secured Debt

(9)

-

(294)

-

13,562

-

294

13,268

12.00% (L+11.00%, Floor 1.00%) Secured Debt

(9)

-

-

178

1,600

1,800

-

3,400
Mystic Logistics Holdings, LLC

Common Stock

(6)

-

(3,070)

548

8,990

-

3,070

5,920

12.00% Secured Debt

(6)

-

-

410

6,723

5

24

6,704

12.00% Secured Debt

(6)

-

-

2

-

-

-

-

~~Table of Contents~~


							Amount of																Amount of
							Interest,																Interest,
							Fees or																Fees or
			Amount of		Amount of		Dividends		December 31,						June 30,				Amount of		Amount of		Dividends		December 31,						March 31,
			Realized		Unrealized		Credited to		2020		Gross		Gross		2021				Realized		Unrealized		Credited to		2019		Gross		Gross		2021
Company	Investment(1)(10)(11)	Geography	Gain/(Loss)		Gain/(Loss)		Income(2)		Fair Value		Additions(3)		Reductions(4)		Fair Value		Investment(1)(10)(11)	Geography	Gain/(Loss)		Gain/(Loss)		Income(2)		Fair Value		Additions(3)		Reductions(4)		Fair Value
Majority‑owned investments
Café Brazil, LLC																	Member Units	(8)	$	-	$	230	$	-	$	2,030	$	230	$	-	$	2,260
California Splendor Holdings LLC																	(L+10.00%, Floor 1.00%) Secured Debt	(9)		-		65		784		27,789		79		-		27,869
																	(L+8.00%, Floor 1.00%) Secured Debt	(9)		-		(29)		117		8,043		10		5,629		2,423
																	Preferred Member Units	(9)		-		-		310		8,255		310		-		8,565
																	Preferred Member Units	(9)		-		631		63		6,241		631		-		6,872
Clad-Rex Steel, LLC																	(L+9.50%, Floor 1.00%) Secured Debt	(5)		-		-		292		10,853		-		81		10,773
																	Member Units	(5)		-		-		72		8,610		-		-		8,610
																	Member Units	(5)		-		-		-		530		-		-		530
																	10.00% Secured Debt	(5)		-		-		28		1,100		-		7		1,093
CMS Minerals Investments																	Member Units	(9)		-		180		2		1,624		180		37		1,767
Cody Pools, Inc.																	(L+10.50%, Floor 1.75%) Secured Debt	(8)		-		(7)		439		14,216		7		207		14,016
																	Preferred Member Units	(8)		-		3,930		29		14,940		3,930		-		18,870
CompareNetworks Topco, LLC																	Preferred Member Units	(9)		-		1,530		-		6,780		1,530		-		8,310
																	(L+10.00%, Floor 1.00%) Secured Debt	(9)		-		(3)		229		7,953		3		3		7,954
Datacom, LLC																	8.00% Secured Debt	(8)		(1,800)		185		-		1,615		185		1,800		-
																	Preferred Member Units	(8)		-		-		-		-		2,610		-		2,610
																	10.50% PIK Secured Debt	(8)		(1,801)		1,945		1		10,531		1,945		12,475		-
																	Preferred Member Units	(8)		(6,030)		6,030		-		-		6,030		6,030		-
																	Preferred Member Units	(8)		(1,294)		1,294		-		-		1,294		1,294		-
																	5.00% Secured Debt	(8)		-		-		113		-		8,064		27		8,037
Direct Marketing Solutions, Inc.																	Preferred Stock	(9)		-		(1,560)		-		19,380		-		1,560		17,820
																	(L+11.00%, Floor 1.00%) Secured Debt	(9)		-		-		463		15,007		9		-		15,015
Gamber-Johnson Holdings, LLC																	(L+7.00%, Floor 2.00%) Secured Debt	(5)		-		(15)		472		19,838		815		15		20,638
																	Member Units	(5)		-		(88)		3,235		52,490		2,848		88		55,250
GRT Rubber Technologies LLC																	(L+7.00%) Secured Debt	(8)		-		-		299		16,775		-		-		16,775
																	Member Units	(8)		-		-		944		44,900		-		-		44,900
Jensen Jewelers of Idaho, LLC																	(Prime+6.75%, Floor 2.00%) Secured Debt	(9)		-		(3)		86		3,400		3		153		3,250
																	Member Units	(9)		-		700		415		7,620		700		-		8,320
Kickhaefer Manufacturing Company, LLC																	Member Units	(5)		-		-		-		12,240		-		-		12,240
																	11.50% Secured Debt	(5)		-		-		655		22,269		11		-		22,280
																	9.00% Secured Debt	(5)		-		-		89		3,909		-		8		3,901
																	Member Units	(5)		-		-		24		1,160		-		-		1,160
Market Force Information, LLC																	(L+11.00%, Floor 1.00%) Secured Debt	(9)		-		-		76		1,600		1,550		-		3,150
																	PIK Secured Debt	(9)		-		(294)		-		13,562		-		294		13,268
MH Corbin Holding LLC																	(10.00% Cash, 3.00% PIK) Secured Debt	(5)		-		-		284		8,280		8		80		8,208
																	Preferred Member Units	(5)		-		(1,170)		-		2,370		-		1,170		1,200
MSC Adviser I, LLC																	Member Units	(8)		-		460		1,179		116,760		460		-		117,220
Mystic Logistics Holdings, LLC																	12.00% Secured Debt	(6)		-		-		205		6,723		2		-		6,725
																	Common Stock	(6)		-		(1,710)		476		8,990		-		1,710		7,280
OMi Holdings, Inc.	Common Stock	(8)		-		(1,550)		1,080		20,380		-		1,550		18,830	Common Stock	(8)		-		(1,550)		450		20,380		-		1,550		18,830
Pearl Meyer Topco LLC																	12.00% Secured Debt	(6)		-		-		1,064		34,689		14		-		34,703
																	12.00% Secured Debt	(6)		-		-		44		2,513		-		1,500		1,013
																	Member Units	(6)		-		-		850		15,940		-		-		15,940
PPL RVs, Inc.	Common Stock	(8)		-		1,630		569		11,500		1,630		-		13,130	Common Stock	(8)		-		830		38		11,500		830		-		12,330
	7.50% (L+7.00%, Floor 0.50%) Secured Debt	(8)		-		(14)		470		11,806		27		214		11,619	(L+7.00%, Floor 0.50%) Secured Debt	(8)		-		(7)		236		11,806		13		207		11,612
Principle Environmental, LLC	13.00% Secured Debt	(8)		-		(62)		430		6,397		12		62		6,347	13.00% Secured Debt	(8)		-		(62)		214		6,397		6		62		6,340
																	Warrants	(8)		-		330		-		870		330		1,200		-
	Common Stock	(8)		-		(440)		-		-		1,200		440		760	Common Stock	(8)		-		(360)		-		-		1,200		360		840
	Preferred Member Units	(8)		-		(360)		-		10,500		-		360		10,140	Preferred Member Units	(8)		-		(120)		-		10,500		-		120		10,380
Quality Lease Service, LLC	Member Units	(7)		-		(311)		-		4,460		-		1,561		2,899	Member Units	(7)		-		(178)		-		4,460		-		578		3,882
Trantech Radiator Topco, LLC	Common Stock	(7)		-		(40)		58		6,030		-		40		5,990	Common Stock	(7)		-		(340)		29		6,030		-		340		5,690
	12.00% Secured Debt	(7)		-		-		538		8,644		10		-		8,654	12.00% Secured Debt	(7)		-		-		267		8,644		5		-		8,649
Ziegler’s NYPD, LLC	Preferred Member Units	(8)		-		290		-		1,780		290		-		2,070	6.50% Secured Debt	(8)		-		21		16		979		21		-		1,000
	14.00% Secured Debt	(8)		-		-		194		2,750		-		-		2,750	Preferred Member Units	(8)		-		290		-		1,780		290		-		2,070
	12.00% Secured Debt	(8)		-		-		38		625		-		-		625	14.00% Secured Debt	(8)		-		-		96		2,750		-		-		2,750
	6.50% Secured Debt	(8)		-		21		33		979		21		-		1,000	12.00% Secured Debt	(8)		-		-		19		625		-		-		625
Other controlled investments
2717 MH, L.P.		(8)		-		-		-		250		-		250		-	LP Interests (2717 HPP-MS, L.P.)	(8)		-		-		-		250		-		-		250
	LP Interests (2717 MH, L.P.)	(8)		-		-		-		2,702		46		-		2,748	LP Interests (2717 MH, L.P.)	(8)		-		(65)		-		2,702		46		65		2,684
ASC Interests, LLC	Member Units	(8)		-		(110)		-		1,120		-		110		1,010	Member Units	(8)		-		50		-		1,120		50		-		1,170
	13.00% Secured Debt	(8)		-		-		126		1,715		110		-		1,825	13.00% Secured Debt	(8)		-		-		62		1,715		5		-		1,720
ATS Workholding, LLC	5.00% Secured Debt	(9)		-		(305)		-		3,347		-		385		2,962
Barfly Ventures, LLC	Member Units	(5)		-		116		-		1,584		116		-		1,700
	7.00% Secured Debt	(5)		-		-		45		343		368		-		711
Bolder Panther Group, LLC	14.00% Class A Preferred Member Units	(9)		-		-		704		10,194		-		-		10,194
ASK (Analytical Systems Keco Holdings, LLC)																	Preferred Member Units	(8)		-		(470)		-		3,200		-		470		2,730
	8.00% Class B Preferred Member Units	(9)		-		3,420		1,135		14,000		3,420		-		17,420	(L+10.00%, Floor 2.00%) Secured Debt	(8)		-		-		171		4,874		15		-		4,889
	10.50% (L+9.00%, Floor 1.50%) Secured Debt	(9)		-		-		1,514		27,225		525		500		27,250	Warrants	(8)		-		(10)		-		10		-		10		-
Bond-Coat, Inc.		(8)		(2,320)		4,310		-		2,040		4,310		6,350		-
Brewer Crane Holdings, LLC	Preferred Member Units	(9)		-		(710)		367		5,850		-		710		5,140
	11.00% (L+10.00%, Floor 1.00%) Secured Debt	(9)		-		-		473		8,513		10		248		8,275
Bridge Capital Solutions Corporation	13.00% Secured Debt	(6)		-		-		925		8,403		349		-		8,752
	Warrants	(6)		-		510		-		3,220		510		-		3,730
	Preferred Member Units	(6)		-		-		50		1,000		-		-		1,000
	13.00% Secured Debt	(6)		-		-		67		998		1		-		999
CBT Nuggets, LLC	Member Units	(9)		-		6,540		678		46,080		6,540		-		52,620
Centre Technologies Holdings, LLC	Preferred Member Units	(8)		-		(320)		60		6,160		-		320		5,840
	12.00% (L+10.00%, Floor 2.00%) Secured Debt	(8)		-		-		667		11,549		22		1,906		9,665
Chamberlin Holding LLC	Member Units	(8)		-		(1,420)		3,559		28,070		-		1,420		26,650
	9.00% (L+8.00%, Floor 1.00%) Secured Debt	(8)		-		(22)		691		15,212		22		1,417		13,817
	Member Units	(8)		-		110		34		1,270		110		-		1,380
Charps, LLC	Preferred Member Units	(5)		-		1,060		1,543		10,520		1,060		-		11,580
	10.00% Unsecured Debt	(5)		-		(382)		683		8,475		262		3,646		5,091
	0.15 Secured Debt	(5)		-		-		4		669		-		669		-
Colonial Electric Company LLC	Preferred Member Units	(6)		-		-		100		-		7,680		-		7,680
	12.00% Secured Debt	(6)		-		-		1,162		-		24,958		-		24,958
CompareNetworks Topco, LLC	Preferred Member Units	(9)		-		3,250		158		6,780		3,250		-		10,030
	10.00% (L+9.00%, Floor 1.00%) Secured Debt	(9)		-		(9)		430		7,954		9		709		7,254
Copper Trail Energy Fund I, LP - CTMH	LP Interests (CTMH, LP)	(9)		-		-		-		747		-		37		710
Datacom, LLC	Preferred Member Units	(8)		(6,030)		6,030		-		-		6,030		6,030		-
	Preferred Member Units	(8)		(1,294)		1,294		-		-		1,294		1,294		-
	10.50% PIK Secured Debt	(8)		(1,801)		1,945		1		10,531		1,945		12,476		-
	8.00% Secured Debt	(8)		(1,800)		185		-		1,615		185		1,800		-
Digital Products Holdings LLC	Preferred Member Units	(5)		-		-		100		9,835		-		-		9,835
	11.00% (L+10.00%, Floor 1.00%) Secured Debt	(5)		-		-		1,000		18,077		22		660		17,439

Table of Contents

ATS Workholding, LLC																	5.00% Secured Debt	(9)		-		(123)		-		3,347		-		163		3,184
Barfly Ventures, LLC																	7.00% Secured Debt	(5)		-		-		20		343		368		-		711
																	Member Units	(5)		-		-		-		1,584		-		-		1,584
Bolder Panther Group, LLC																	8.00% Class B Preferred Member Units	(9)		-		-		276		14,000		-		-		14,000
																	(L+9.00%, Floor 1.50%) Secured Debt	(9)		-		-		744		27,225		14		-		27,239
							Amount of										14.00% Class A Preferred Member Units	(9)		-		-		352		10,194		-		-		10,194
							Interest,										(L+8.00%, Floor 1.50%) Secured Debt	(9)		-		-		15		-		500		-		500
Bond-Coat, Inc.																	Common Stock	(8)		-		440		-		2,040		440		-		2,480
Brewer Crane Holdings, LLC																	Preferred Member Units	(9)		-		(360)		337		5,850		-		360		5,490
																	(L+10.00%, Floor 1.00%) Secured Debt	(9)		-		-		237		8,513		5		124		8,394
Bridge Capital Solutions Corporation																	Preferred Member Units	(6)		-		-		25		1,000		-		-		1,000
							Fees or										13.00% Secured Debt	(6)		-		-		33		998		1		-		999
			Amount of		Amount of		Dividends		December 31,						June 30,		13.00% Secured Debt	(6)		-		-		457		8,403		170		-		8,573
			Realized		Unrealized		Credited to		2020		Gross		Gross		2021		Warrants	(6)		-		120		-		3,220		120		-		3,340
Company	Investment(1)(10)(11)	Geography	Gain/(Loss)		Gain/(Loss)		Income(2)		Fair Value		Additions(3)		Reductions(4)		Fair Value
CBT Nuggets, LLC																	Member Units	(9)		-		-		-		46,080		-		-		46,080
Centre Technologies Holdings, LLC																	(L+10.00%, Floor 2.00%) Secured Debt	(8)		-		-		363		11,549		16		1,753		9,813
																	Preferred Member Units	(8)		-		-		30		6,160		-		-		6,160
Chamberlin Holding LLC																	(L+8.00%, Floor 1.00%) Secured Debt	(8)		-		(8)		352		15,212		8		8		15,212
																	Member Units	(8)		-		210		576		28,070		210		-		28,280
																	Member Units	(8)		-		60		17		1,270		60		-		1,330
Charps, LLC																	Preferred Member Units	(5)		-		800		141		10,520		800		-		11,320
																	(8.67% Cash, 1.33% PIK) Unsecured Debt	(5)		-		(481)		356		8,475		146		904		7,718
																	0.15 Secured Debt	(5)		-		-		4		669		-		669		-
Colonial Electric Company LLC																	12.00% Secured Debt	(6)		-		-		378		-		24,948		-		24,948
																	Preferred Member Units	(6)		-		-		-		-		7,680		-		7,680
Copper Trail Energy Fund I, LP - CTMH																	LP Interests (CTMH, LP)	(9)		-		-		-		747		-		37		710
Digital Products Holdings LLC																	(L+10.00%, Floor 1.00%) Secured Debt	(5)		-		-		502		18,077		11		330		17,758
																	Preferred Member Units	(5)		-		-		50		9,835		-		-		9,835
Garreco, LLC	Member Units	(8)		-		350		-		1,410		350		-		1,760	Member Units	(8)		-		260		-		1,410		260		-		1,670
	9.00% (L+8.00%, Floor 1.00%, Ceiling 1.50%) Secured Debt	(8)		-		-		204		4,519		-		-		4,519	(L+8.00%, Floor 1.00%, Ceiling 1.50%) Secured Debt	(8)		-		-		102		4,519		-		-		4,519
Gulf Manufacturing, LLC	Member Units	(8)		-		790		347		4,510		790		-		5,300	Member Units	(8)		-		140		154		4,510		140		-		4,650
Gulf Publishing Holdings, LLC	12.50% (6.25% Cash, 6.25% PIK) Secured Debt	(8)		-		(1,752)		849		12,044		849		2,171		10,722	(5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%) Secured Debt	(8)		-		-		7		250		7		3		253
	10.50% (5.25% Cash, 5.25% PIK) (L+9.50%, Floor 1.00%) Secured Debt	(8)		-		-		14		250		14		7		257	(6.25% Cash, 6.25% PIK) Secured Debt	(8)		-		-		421		12,044		421		206		12,259
Harrison Hydra-Gen, Ltd.	Common Stock	(8)		-		(600)		-		5,450		-		600		4,850	Common Stock	(8)		-		(130)		-		5,450		-		130		5,320
J&J Services, Inc.	Preferred Stock	(7)		-		370		-		12,680		370		-		13,050	11.50% Secured Debt	(7)		-		(5)		373		12,800		5		5		12,800
	11.50% Secured Debt	(7)		-		(17)		746		12,800		17		817		12,000	Preferred Stock	(7)		-		-		-		12,680		-		-		12,680
KBK Industries, LLC	Member Units	(5)		-		330		221		13,200		330		-		13,530	Member Units	(5)		-		-		28		13,200		-		-		13,200
MS Private Loan Fund	LP Interests	(8)		-		-		-		-		285		-		285	LP Interests	(8)		-		-		-		-		142		-		142
	5.00% Unsecured Debt	(8)		-		-		300		-		16,220		-		16,220	5.0% Unsecured Debt	(8)		-		-		111		-		8,422		-		8,422
MSC Income Fund Inc.	5.00% Unsecured Debt	(8)		-		210		891		-		39,840		-		39,840	5.0% Unecured Debt	(8)		-		210		368		-		39,822		-		39,822
NAPCO Precast, LLC	Member Units	(8)		-		(530)		81		16,100		-		530		15,570	Member Units	(8)		-		(530)		79		16,100		-		530		15,570
NRI Clinical Research, LLC	9.00% Secured Debt	(9)		-		(20)		262		5,620		20		865		4,775
	Member Units	(9)		-		2,434		399		5,600		2,434		-		8,034
NRI Clinical Research, LLC	Warrants	(9)		-		540		-		1,490		540		-		2,030
NRP Jones, LLC	Member Units	(5)		-		419		(45)		2,821		419		-		3,240
	12.00% Secured Debt	(5)		-		-		126		2,080		-		-		2,080
Nebraska Vet AcquireCo, LLC (NVS)	12.00% Secured Debt	(5)		-		-		651		10,395		9		-		10,404	Preferred Member Units	(5)		-		-		-		6,500		-		-		6,500
	Preferred Member Units	(5)		-		-		-		6,500		-		-		6,500	12.00% Secured Debt	(5)		-		-		326		10,395		5		-		10,400
NexRev LLC	Preferred Member Units	(8)		-		1,810		40		1,470		1,810		-		3,280	Preferred Member Units	(8)		-		1,810		20		1,470		1,810		-		3,280
	11.00% Secured Debt	(8)		-		178		946		16,726		197		436		16,487	11.00% Secured Debt	(8)		-		178		474		16,726		188		218		16,696
NRI Clinical Research, LLC																	9.00% Secured Debt	(9)		-		(8)		135		5,620		8		8		5,620
	Preferred Member Units	(5)		-		1,570		-		10,780		1,570		-		12,350	Warrants	(9)		-		40		-		1,490		40		-		1,530
	11.00% Secured Debt	(5)		-		26		1,017		17,193		47		-		17,240	Member Units	(9)		-		150		136		5,600		150		-		5,750
NRP Jones, LLC																	12.00% Secured Debt	(5)		-		-		62		2,080		-		-		2,080
	7.50% (L+6.50%, Floor 1.00%) Secured Debt	(5)		-		-		6		-		400		400		-	Member Units	(5)		-		419		(45)		2,821		419		-		3,240
Pearl Meyer Topco LLC	Member Units	(6)		-		2,550		1,528		15,940		2,550		-		18,490
NuStep, LLC																	Preferred Member Units	(5)		-		610		-		10,780		610		-		11,390
	12.00% Secured Debt	(6)		-		272		2,170		37,202		311		3,840		33,673	12.00% Secured Debt	(5)		-		-		529		17,193		10		-		17,203
Pegasus Research Group, LLC	Member Units	(8)		-		(560)		-		8,830		-		560		8,270	Member Units	(8)		-		(560)		-		8,830		-		560		8,270
Principle Environmental, LLC	Warrants	(8)		-		330		-		870		330		1,200		-
River Aggregates, LLC	Member Units	(8)		-		50		-		3,240		50		-		3,290	Member Units	(8)		-		-		-		3,240		-		-		3,240
Tedder Industries, LLC	Preferred Member Units	(9)		-		-		-		8,136		-		-		8,136	12.00% Secured Debt	(9)		-		-		482		16,301		17		1,600		14,718
																	Preferred Member Units	(9)		-		-		-		8,136		-		-		8,136
	12.00% Secured Debt	(9)		-		-		960		16,300		582		1,599		15,283	12.00% Secured Debt	(9)		-		-		(1)		-		-		-		-
UnionRock Energy Fund II, LP	LP Interests	(9)		-		737		-		2,894		2,113		220		4,787	LP Interests	(9)		-		520		-		2,894		1,895		-		4,788
Vision Interests, Inc.	13.00% Secured Debt	(9)		-		-		133		2,028		-		-		2,028	13.00% Secured Debt	(9)		-		-		66		2,028		-		-		2,028
	Series A Preferred Stock	(9)		-		(160)		-		3,160		-		160		3,000	Series A Preferred Stock	(9)		-		(160)		-		3,160		-		160		3,000
Other Amounts related to investments transferred to or from other 1940 Act classification during the period				-		-		-		-		-		-		-				-		-		-		-		-		-		-
Total Control Investments			$	(13,245)	$	45,084	$	51,052	$	1,113,725	$	177,453	$	81,385	$	1,209,793			$	(10,925)	$	14,261	$	24,025	$	1,113,725	$	126,139	$	46,901	$	1,192,964
Affiliate Investments
AAC Holdings, Inc.	Common Stock	(7)	$	-	$	(1,069)	$	-	$	3,148	$	-	$	1,069	$	2,079	(10.00% Cash, 8.00% PIK) Secured Debt	(7)	$	-	$	163	$	435	$	9,187	$	362	$	-	$	9,548
	(L+11.00%, Floor 1.00%) Secured Debt	(7)		-		-		(16)		-		-		-		-	Warrants	(7)		-		(1,136)		-		2,938		-		1,136		1,802
	18.00% (10.00% Cash, 8.00% PIK) Secured Debt	(7)		-		(89)		883		9,187		401		89		9,499	Common Stock	(7)		-		(1,218)		-		3,148		-		1,218		1,930
AAC Holdings, Inc.	Warrants	(7)		-		(998)		-		2,938		-		998		1,940
																	(L+11.00%, Floor 1.00%) Secured Debt	(7)		-		-		(16)		-		-		-		-
AFG Capital Group, LLC	Preferred Member Units	(8)		-		1,150		-		5,810		1,150		-		6,960	Preferred Member Units	(8)		-		510		-		5,810		510		-		6,320
	10.00% Secured Debt	(8)		-		-		20		491		-		173		318	10.00% Secured Debt	(8)		-		-		11		491		-		87		404
American Trailer Rental Group LLC																	Member Units	(5)		-		1,870		-		16,010		1,870		-		17,880
BBB Tank Services, LLC	Member Units	(8)		-		(280)		-		280		-		280		-	Member Units	(8)		-		-		-		280		-		-		280
	15.00% PIK Preferred Stock (non-voting)	(8)		-		(162)		11		151		11		162		-	(L+11.00%, Floor 1.00%) Unsecured Debt	(8)		-		-		164		4,722		20		-		4,742
	12.00% (L+11.00%, Floor 1.00%) Unsecured Debt	(8)		-		-		317		4,722		27		-		4,749	PIK Preferred Stock (non-voting)	(8)		-		-		6		151		6		-		157
Boccella Precast Products LLC	Member Units	(6)		-		(1,090)		370		6,040		-		1,090		4,950	Member Units	(6)		-		(290)		360		6,040		-		290		5,750
Buca C, LLC	6.00% PIK Preferred Member Units	(7)		-		-		-		-		-		-		-	(2.56% Cash, 7.69% PIK) (L+9.25%, Floor 1.00%) Secured Debt	(7)		-		(373)		362		14,256		-		373		13,883
CAI Software LLC																	Member Units	(6)		-		410		(10)		7,190		410		-		7,600
	10.25% (L+9.25%, Floor 1.00%) Secured Debt	(7)		-		(373)		747		14,256		487		373		14,370	12.50% Secured Debt	(6)		-		(46)		1,489		47,474		46		3,399		44,121
Chandler Signs Holdings, LLC																	Class A Units	(8)		-		(420)		-		1,460		-		420		1,040
Classic H&G Holdings, LLC																	Preferred Member Units	(6)		-		1,670		320		9,510		1,670		-		11,180
																	12.00% Secured Debt	(6)		-		(10)		758		24,800		10		10		24,800
Congruent Credit Opportunities Funds																	LP Interests (Congruent Credit Opportunities Fund III, LP)	(8)		-		-		215		11,540		-		-		11,540

Table of Contents

LP Interests (Fund II)

(8)

(4,449)

4,355

-

94

4,355

4,449

-
Copper Trail Energy Fund I, LP

LP Interests (Copper Trail Energy Fund I, LP)

(9)

-

61

91

1,782

61

-

1,843
Dos Rios Partners

LP Interests (Dos Rios Partners, LP)

(8)

-

(316)

-

5,417

-

316

5,101

LP Interests (Dos Rios Partners - A, LP)

(8)

-

(100)

-

1,720

-

100

1,620
Dos Rios Stone Products LLC

Class A Preferred Units

(8)

-

(230)

-

1,250

-

230

1,020
East Teak Fine Hardwoods, Inc.

Common Stock

(7)

-

-

-

300

-

-

300
EIG Fund Investments

LP Interests (EIG Global Private Debt Fund-A, L.P.)

(8)

3

-

33

526

34

113

446
Freeport Financial SBIC Fund LP

LP Interests (Freeport First Lien Loan Fund III LP)

(5)

-

-

245

10,321

-

1,398

8,923

LP Interests (Freeport Financial SBIC Fund LP)

(5)

-

-

-

5,264

-

-

5,264
GFG Group, LLC.

Preferred Member Units

(5)

-

-

-

-

4,900

-

4,900

12.00% Secured Debt

(5)

-

-

315

-

15,588

-

15,588
Hawk Ridge Systems, LLC

10.00% Secured Debt

(9)

-

-

2

-

-

-

-

10.00% Secured Debt

(9)

-

(8)

468

18,400

8

8

18,400

Preferred Member Units

(9)

-

1,290

337

8,030

1,290

-

9,320

Preferred Member Units

(9)

-

70

-

420

70

-

490
Houston Plating and Coatings, LLC

8.00% Unsecured Convertible Debt

(8)

-

-

60

2,900

-

-

2,900

Member Units

(8)

-

(830)

1

5,080

-

830

4,250
HPEP 3, L.P.

LP Interests (HPEP 3, L.P.)

(8)

-

-

-

3,258

374

-

3,632
I-45 SLF LLC

Member Units (Fully diluted 20.0%; 24.40% profits
interest) (8)

(8)

-

639

456

15,789

639

2,000

14,428
L.F. Manufacturing Holdings, LLC

PIK Preferred Member Units (non-voting)

(8)

-

-

3

93

3

-

96

Member Units

(8)

-

-

-

2,050

-

-

2,050
OnAsset Intelligence, Inc.

PIK Unsecured Debt

(8)

-

-

2

64

3

2

66

PIK Secured Debt

(8)

-

-

219

7,301

219

-

7,520
PCI Holding Company, Inc.

Preferred Stock

(9)

-

(203)

2,852

4,130

-

4,130

-
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

12.00% Secured Debt

(8)

(357)

-

-

-

-

-

-
SI East, LLC (Stavig)

9.50% Secured Debt

(7)

-

(39)

768

32,963

39

3,789

29,213

Preferred Member Units

(7)

-

380

0

9,780

380

-

10,160
Slick Innovations, LLC

Common Stock

(6)

-

180

-

1,330

180

-

1,510

Warrants

(6)

-

40

-

360

40

-

400

12.00% Secured Debt

(6)

-

(12)

185

5,720

12

172

5,560
Superior Rigging & Erecting Co.

Preferred Member Units

(7)

-

-

-

4,500

-

-

4,500

12.00% Secured Debt

(7)

-

-

653

21,298

8

-

21,306
UniTek Global Services, Inc.

PIK Secured Debt

(6)

-

-

19

-

1,092

-

1,092

PIK Preferred Stock

(6)

-

(52)

72

3,208

92

72

3,228

(L+6.50% Floor 1.00%) Secured Debt

(6)

-

62

41

2,426

65

393

2,098
Volusion, LLC

11.50% Secured Debt

(8)

-

-

582

19,243

-

-

19,243

Preferred Member Units

(8)

-

-

-

5,990

-

-

5,990

8.00% Unsecured Convertible Debt

(8)

-

-

8

291

-

-

291
Other
Amounts related to
investments transferred to
or from other
1940 Act classification
during the period

-

-

-

-

-

-

-
Total Affiliate investments

$
(4,803)

$
6,417

$
11,505

$
366,301

$
34,356

$
24,934

$
375,723

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2020

Gross

Gross

2021
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value
CAI Software LLC

Member Units

(6)

-

6,741

1,900

7,190

6,741

1,921

12,010

12.50% Secured Debt

(6)

-

37

3,350

47,474

23,600

3,353

67,721
Chandler Signs Holdings, LLC

Class A Units

(8)

-

(810)

-

1,460

-

810

650
Classic H&G Holdings, LLC

Preferred Member Units

(6)

-

2,250

570

9,510

2,250

-

11,760

10.00% Secured Debt

(6)

-

(64)

1,412

24,800

64

5,590

19,274
Congruent Credit Opportunities Funds

LP Interests (Fund II)

(8)

(4,449)

4,355

-

94

4,355

4,449

-

LP Interests (Congruent Credit Opportunities Fund
III, LP)

(8)

-

(178)

389

11,540

-

178

11,362
Copper Trail Energy Fund I, LP

LP Interests (Copper Trail Energy Fund I, LP)

(9)

-

61

319

1,782

61

-

1,843
Dos Rios Partners

LP Interests (Dos Rios Partners, LP)

(8)

-

1,608

-

5,417

1,608

-

7,025

LP Interests (Dos Rios Partners - A, LP)

(8)

-

510

-

1,720

510

-

2,230
Dos Rios Stone Products LLC

Class A Preferred Units

(8)

-

(230)

-

1,250

-

230

1,020
EIG Fund Investments

LP Interests (EIG Global Private Debt Fund-A, L.P.)

(8)

8

92

33

526

126

166

486
East Teak Fine Hardwoods, Inc.

Common Stock

(7)

-

130

-

300

130

-

430
Freeport Financial SBIC Fund LP

LP Interests (Freeport Financial SBIC Fund LP)

(5)

-

386

-

5,264

386

-

5,650

LP Interests (Freeport First Lien Loan Fund III LP)

(5)

-

-

455

10,321

-

2,317

8,004
GFG Group, LLC.

Preferred Member Units

(5)

-

-

290

-

4,900

-

4,900

12.00% Secured Debt

(5)

-

-

822

-

15,626

3,200

12,426
HPEP 3, L.P.

LP Interests (HPEP 3, L.P.)

(8)

-

531

-

3,258

905

-

4,163
Hawk Ridge Systems, LLC

Preferred Member Units

(9)

-

2,600

691

8,030

2,600

-

10,630

Preferred Member Units

(9)

-

140

-

420

140

-

560

9.50% Secured Debt

(9)

-

(17)

919

18,400

17

17

18,400

9.50% Secured Debt

(9)

-

-

4

-

-

-

-
Houston Plating and Coatings, LLC

8.00% Unsecured Convertible Debt

(8)

-

-

121

2,900

-

-

2,900

Member Units

(8)

-

(1,560)

2

5,080

-

1,560

3,520
I-45 SLF LLC

Member Units (Fully diluted 20.0%; 24.40% profits
interest) (8)

(8)

-

877

935

15,789

1,677

2,000

15,466
L.F. Manufacturing Holdings, LLC

Member Units

(8)

-

(140)

-

2,050

-

140

1,910

14.00% PIK Preferred Member Units (non-voting)

(8)

-

-

7

93

7

-

100
OnAsset Intelligence, Inc.

12.00% PIK Secured Debt

(8)

-

-

447

7,301

447

-

7,748

Common Stock

(8)

-

(830)

-

-

830

830

-

10.00% PIK Unsecured Debt

(8)

-

-

3

64

6

3

67
OnAsset Intelligence, Inc.

Warrants

(8)

-

830

-

-

830

830

-
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

12.00% Secured Debt

(8)

(356)

-

-

-

-

-

-
SI East, LLC (Stavig)

Preferred Member Units

(7)

-

5,250

-

9,780

5,250

-

15,030

8.75% Secured Debt

(7)

-

(60)

1,456

32,961

57

3,847

29,171
Slick Innovations, LLC

12.00% Secured Debt

(6)

-

(23)

362

5,720

23

343

5,400

Common Stock

(6)

-

180

-

1,330

180

-

1,510

Warrants

(6)

-

40

-

360

40

-

400
Superior Rigging & Erecting Co.

Preferred Member Units

(7)

-

-

-

4,499

-

-

4,499

12.00% Secured Debt

(7)

-

-

1,314

21,298

17

-

21,315
UniTek Global Services, Inc.

20.00% PIK Preferred Stock

(6)

-

(239)

149

2,833

149

239

2,743

20.00% PIK Preferred Stock

(6)

-

(375)

-

374

-

374

-

15.00% PIK Secured Debt

(6)

-

355

61

-

1,550

42

1,508

8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%) Secured Debt

(6)

-

62

130

2,426

163

442

2,147
Volusion, LLC

8.00% Unsecured Convertible Debt

(8)

-

118

16

291

118

-

409

11.50% Secured Debt

(8)

-

992

1,170

19,243

991

-

20,234

~~Table of Contents~~

(1)	The principal amount, the ownership detail for equity investments and if the investment is income producing is included in the consolidated schedule of investments.

(2)

(3)

(4)

(5)	Portfolio company located in the Midwest region as determined by location of the corporate headquarters. The fair value as of ~~June 30,~~March 31, 2021 for control investments located in this region was ~~$256,063.~~$258,822. This represented ~~16.0%~~21.7% of

Table of Contents

net assets as of ~~June 30,~~March 31, 2021. The fair value as of ~~June 30,~~March 31, 2021 for affiliate investments located in this region was ~~$30,980.~~$52,555. This represented ~~1.9%~~14.0% of net assets as of ~~June 30,~~March 31, 2021.

(6)

Portfolio company located in the Northeast region as determined by location of the corporate headquarters. The fair value as of ~~June 30,~~March 31, 2021 for control investments located in this region was ~~$111,907.~~$112,201. This represented ~~7.0%~~9.4% of net assets as of ~~June 30,~~March 31, 2021. The fair value as of ~~June 30,~~March 31, 2021 for affiliate investments located in this region was ~~$129,419.~~$107,338. This represented ~~8.1%~~28.6% of net assets as of ~~June 30,~~March 31, 2021.

(7)

Portfolio company located in the Southeast region as determined by location of the corporate headquarters. The fair value as of ~~June 30,~~March 31, 2021 for control investments located in this region was ~~$42,591.~~$43,701. This represented ~~2.7%~~3.7% of net assets as of ~~June 30,~~March 31, 2021. The fair value as of ~~June 30,~~March 31, 2021 for affiliate investments located in this region was ~~$98,336.~~$92,642. This represented ~~6.1%~~24.7% of net assets as of ~~June 30,~~March 31, 2021.

(8)

Portfolio company located in the Southwest region as determined by location of the corporate headquarters. The fair value as of ~~June 30,~~March 31, 2021 for control investments located in this region was ~~$499,378.~~$492,297. This represented ~~31.1%~~41.3% of net assets as of ~~June 30,~~March 31, 2021. The fair value as of ~~June 30,~~March 31, 2021 for affiliate investments located in this region was ~~$97,305.~~$93,135. This represented ~~6.1%~~24.8% of net assets as of ~~June 30,~~March 31, 2021.

~~Table of Contents~~

(9)

Portfolio company located in the West region as determined by location of the corporate headquarters. The fair value as of ~~June 30,~~March 31, 2021 for control investments located in this region was ~~$299,854.~~$285,943. This represented ~~18.7%~~24.0% of net assets as of ~~June 30,~~March 31, 2021. The fair value as of ~~June 30,~~March 31, 2021 for affiliate investments located in this region was ~~$31,433.~~$30,053. This represented ~~2.0%~~8.0% of net assets as of ~~June 30,~~March 31, 2021.

(10)	All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities,” unless otherwise noted.

(11)

(12)	Investment has an unfunded commitment as of ~~June 30,~~March 31, 2021 ~~(see Note K). The fair value of the investment includes the impact of the fair value of any unfunded commitments.~~

~~Table of Contents~~

~~Schedule 12-14~~

~~MAIN STREET CAPITAL CORPORATION~~

~~Consolidated Schedule of Investments in and Advances to Affiliates~~

~~June 30, 2020~~

~~(dollars in thousands)~~

~~(unaudited)~~

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2019

Gross

Gross

2020
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value
Majority‑owned investments

Café Brazil, LLC

Member Units

(8)

$
-

$
(260)

$
38

$
2,440

$
-

$
260

$
2,180
California Splendor Holdings LLC

LIBOR Plus 8.00% (Floor 1.00%)

(9)

-

(40)

354

7,104

14,270

5,840

15,534

LIBOR Plus 10.00% (Floor 1.00%)

(9)

-

(65)

1,689

27,801

26

65

27,762

Preferred Member Units

(9)

-

-

543

7,163

543

-

7,706

Preferred Member Units

(9)

-

(1,601)

125

7,382

-

1,601

5,781
Clad-Rex Steel, LLC

LIBOR Plus 9.50% (Floor 1.00%)

(5)

-

49

599

10,781

60

-

10,841

Member Units

(5)

-

(1,020)

245

9,630

-

1,020

8,610

10% Secured Debt

(5)

-

(11)

57

1,137

-

24

1,113

Member Units

(5)

-

-

-

460

-

-

460
CMS Minerals Investments

Member Units

(9)

-

(136)

-

1,900

-

262

1,638
Cody Pools, Inc.

LIBOR Plus 10.50% (Floor 1.75%)

(8)

-

-

822

-

15,850

200

15,650

Preferred Member Units

(8)

-

-

29

-

8,317

-

8,317
CompareNetworks Topco, LLC

LIBOR Plus 11.00% (Floor 1.00%)

(9)

-

-

517

8,288

12

350

7,950

Preferred Member Units

(9)

-

1,070

-

3,010

1,070

-

4,080
Direct Marketing Solutions, Inc.

LIBOR Plus 11.00% (Floor 1.00%)

(9)

-

(9)

990

15,707

27

487

15,247

Preferred Stock

(9)

-

(140)

-

20,200

-

140

20,060
Gamber-Johnson Holdings, LLC

LIBOR Plus 6.50% (Floor 2.00%)

(5)

-

(11)

856

19,022

1,611

795

19,838

Member Units

(5)

-

(170)

2,608

53,410

-

170

53,240
GRT Rubber Technologies LLC

LIBOR Plus 7.00%

(8)

-

-

681

15,016

1,759

-

16,775

Member Units

(8)

-

(2,020)

1,341

47,450

-

2,020

45,430
Guerdon Modular Holdings, Inc.

16.00% Secured Debt

(9)

(12,776)

12,588

-

-

12,776

12,776

-

LIBOR Plus 8.50% (Floor 1.00%)

(9)

(993)

1,010

-

-

993

993

-

Preferred Stock

(9)

(1,140)

1,140

-

-

1,140

1,140

-

Common Stock

(9)

(2,849)

2,983

-

-

2,849

2,849

-

Warrants

(9)

-

-

-

-

-

-

-
Harborside Holdings, LLC

Member Units

(8)

-

(2,000)

-

9,560

100

2,000

7,660
IDX Broker, LLC

11.00% Secured Debt

(9)

-

(42)

711

13,400

42

13,442

-

Preferred Member Units

(9)

9,337

(9,088)

1,193

15,040

-

15,040

-
Jensen Jewelers of Idaho, LLC

Prime Plus 6.75% (Floor 2.00%)

(9)

-

(56)

225

4,000

6

206

3,800

Member Units

(9)

-

(1,000)

111

8,270

-

1,000

7,270
Kickhaefer Manufacturing Company, LLC

9.50% Current/2.00% PIK Secured Debt

(5)

-

-

1,493

24,982

1,261

946

25,297

Member Units

(5)

-

(790)

-

12,240

-

790

11,450

9.00% Secured Debt

(5)

-

-

179

3,939

-

15

3,924

Member Units

(5)

-

-

45

1,160

-

-

1,160
Market Force Information, LLC

12.00% PIK Secured Debt

(9)

-

(11,068)

304

25,316

2,885

13,946

14,255

Member Units

(9)

-

(5,280)

-

5,280

-

5,280

-
MH Corbin Holding LLC

13.00% Secured Debt

(5)

-

(76)

592

8,890

16

236

8,670

Preferred Member Units

(5)

-

(20)

-

20

-

20

-

Preferred Member Units

(5)

-

(1,340)

-

4,770

-

1,340

3,430
Mid-Columbia Lumber Products, LLC

10.00% Secured Debt

(9)

-

-

44

1,602

148

1,750

-

12.00% Secured Debt

(9)

-

-

119

3,644

256

3,900

-

Member Units

(9)

(27)

(1,000)

1

-

1,027

1,027

-

9.50% Secured Debt

(9)

-

-

30

701

19

720

-

Member Units

(9)

-

(219)

20

1,640

709

219

2,130
MSC Adviser I, LLC

Member Units

(8)

-

(5,440)

1,056

74,520

-

5,440

69,080
Mystic Logistics Holdings, LLC

10.00% Secured Debt

(6)

-

-

404

6,253

985

279

6,959

Common Stock

(6)

-

1,980

-

8,410

1,980

-

10,390
OMi Holdings, Inc.

Common Stock

(8)

-

1,080

543

16,950

1,080

-

18,030
Pearl Meyer Topco LLC

12.00% Secured Debt

(6)

-

-

1,151

-

34,663

-

34,663

Member Units

(6)

-

-

-

-

13,800

800

13,000
PPL RVs, Inc.

LIBOR Plus 8.75% PIK (Floor 0.50%)

(8)

-

-

664

12,118

136

250

12,004

~~Table of Contents~~

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2019

Gross

Gross

2020
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value

Common Stock

(8)

-

1,210

-

9,930

1,210

-

11,140

13.00% Secured Debt

(8)

-

55

440

6,397

-

-

6,397
Principle Environmental, LLC
(d/b.a TruHorizon
Environmental Solutions)

Preferred Member Units

(8)

-

(480)

-

13,390

-

480

12,910

Warrants

(8)

-

(20)

-

1,090

-

20

1,070
Quality Lease Service, LLC

Member Units

(7)

-

(3,810)

-

9,289

301

3,810

5,780
Trantech Radiator Topco, LLC

12.00% Secured Debt

(7)

-

74

557

9,102

85

320

8,867

Common Stock

(7)

-

3,025

58

4,655

3,025

-

7,680
Vision Interests, Inc.

13.00% Secured Debt

(9)

-

-

133

2,028

-

-

2,028

Series A Preferred Stock

(9)

-

(629)

-

4,089

-

629

3,460

Common Stock

(9)

(3,586)

3,296

-

409

3,296

3,705

-
Ziegler’s NYPD, LLC

6.50% Secured Debt

(8)

-

(101)

33

1,000

-

101

899

12.00% Secured Debt

(8)

-

-

38

625

-

-

625

14.00% Secured Debt

(8)

-

(384)

195

2,750

-

384

2,366

Warrants

(8)

-

-

-

-

-

-

-

Preferred Member Units

(8)

-

(130)

-

1,269

-

130

1,139
Other controlled investments

Access Media Holdings, LLC

10.00% PIK Secured Debt

(5)

-

(2,450)

25

6,387

-

2,450

3,937

Preferred Member Units

(5)

-

-

-

(284)

-

-

(284)

Member Units

(5)

-

-

-

-

-

-

-
Analytical Systems Keco, LLC

LIBOR Plus 10.00% (Floor 2.00%)

(8)

-

-

366

5,210

36

270

4,976

Preferred Member Units

(8)

-

690

-

3,200

690

-

3,890

Warrants

(8)

-

194

-

316

194

-

510
ASC Interests, LLC

13.00% Secured Debt

(8)

-

-

115

1,639

-

33

1,606

Member Units

(8)

-

(240)

-

1,290

-

240

1,050
ATS Workholding, LLC

5.00% Secured Debt

(9)

-

(619)

187

4,521

63

619

3,965

Preferred Member Units

(9)

-

(939)

-

939

-

939

-
Bond-Coat, Inc.

15.00% Secured Debt

(8)

-

-

1,399

11,473

123

11,596

-

Common Stock

(8)

-

(1,470)

-

8,300

-

1,470

6,830
Brewer Crane Holdings, LLC

LIBOR Plus 10.00% (Floor 1.00%)

(9)

-

-

518

8,989

10

248

8,751

Preferred Member Units

(9)

-

-

50

4,280

-

-

4,280
Bridge Capital Solutions Corporation

13.00% Secured Debt

(6)

-

-

868

7,797

288

-

8,085

Warrants

(6)

-

(180)

-

3,500

-

180

3,320

13.00% Secured Debt

(6)

-

-

67

996

1

-

997

Preferred Member Units

(6)

-

-

50

1,000

-

-

1,000
CBT Nuggets, LLC

Member Units

(9)

-

(4,790)

454

50,850

-

4,790

46,060
Centre Technologies Holdings, LLC

LIBOR Plus 10.00% (Floor 2.00%)

(8)

-

-

743

12,136

13

306

11,843

Preferred Member Units

(8)

-

-

60

5,840

-

-

5,840
Chamberlin Holding LLC

LIBOR Plus 10.00% (Floor 1.00%)

(8)

-

(17)

1,054

17,773

17

17

17,773

Member Units

(8)

-

110

1,485

24,040

110

-

24,150

Member Units

(8)

-

(530)

34

1,450

-

530

920
Charps, LLC

15.00% Secured Debt

(5)

-

-

152

2,000

-

-

2,000

Preferred Member Units

(5)

-

1,210

311

6,920

1,210

-

8,130
Copper Trail Fund Investments

LP Interests (CTMH, LP)

(9)

-

-

-

872

-

110

762
Datacom, LLC

8.00% Secured Debt

(8)

-

-

-

1,615

-

-

1,615

10.50% PIK Secured Debt

(8)

-

-

-

10,142

-

-

10,142

Class A Preferred Member Units

(8)

-

-

-

-

-

-

-

Class B Preferred Member Units

(8)

-

-

-

-

-

-

-
Digital Products Holdings LLC

LIBOR Plus 10.00% (Floor 1.00%)

(5)

-

350

1,123

18,452

373

660

18,165

Preferred Member Units

(5)

-

(579)

100

5,174

-

579

4,595
Garreco, LLC

LIBOR Plus 8.00% (Floor 1.00%, Ceiling 1.50%)

(8)

-

-

220

4,515

4

-

4,519

Member Units

(8)

-

(860)

-

2,560

-

860

1,700
Gulf Manufacturing, LLC

Member Units

(8)

-

(2,630)

119

7,430

-

2,630

4,800
Gulf Publishing Holdings, LLC

LIBOR Plus 9.50% (Floor 1.00%), Current Coupon 5.25% / 5.25% PIK

(8)

-

-

14

280

3

40

243

6.25% Current / 6.25% PIK

(8)

-

(1,091)

809

12,493

214

1,091

11,616

Member Units

(8)

-

(2,420)

-

2,420

-

2,420

-

~~Table of Contents~~

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2019

Gross

Gross

2020
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value
Harris Preston Fund Investments

LP Interests (2717 MH, L.P.)

(8)

-

(180)

-

3,157

-

180

2,977
Harrison Hydra-Gen, Ltd.

Common Stock

(8)

-

(2,330)

104

7,970

-

2,330

5,640
J&J Services, Inc.

11.50% Secured Debt

(7)

-

135

1,053

17,430

170

2,400

15,200

Preferred Stock

(7)

-

2,815

-

7,160

2,815

75

9,900
KBK Industries, LLC

Member Units

(5)

-

(2,330)

437

15,470

-

2,330

13,140
NAPCO Precast, LLC

Member Units

(8)

-

(3,830)

4

14,760

-

3,830

10,930
NexRev LLC

11.00% PIK Secured Debt

(8)

-

(1,701)

913

17,469

182

1,919

15,732

Preferred Member Units

(8)

-

(6,310)

-

6,310

-

6,310

-
NRI Clinical Research, LLC

10.50% Secured Debt

(9)

-

(17)

394

5,981

1,536

517

7,000

Warrants

(9)

-

160

-

1,230

160

-

1,390

Member Units

(9)

-

333

377

4,988

710

377

5,321
NRP Jones, LLC

12.00% Secured Debt

(5)

-

-

387

6,376

-

-

6,376

Member Units

(5)

-

(1,590)

25

4,710

-

1,590

3,120
NuStep, LLC

12.00% Secured Debt

(5)

-

-

1,218

19,703

21

160

19,564

Preferred Member Units

(5)

-

-

-

10,200

-

-

10,200
Pegasus Research Group, LLC

Member Units

(8)

-

1,790

491

8,170

1,790

-

9,960
River Aggregates, LLC

Zero Coupon Secured Debt

(8)

-

-

-

722

-

-

722

Member Units

(8)

-

1,170

187

4,990

1,170

-

6,160

Member Units

(8)

-

151

-

3,169

151

-

3,320
Tedder Industries, LLC

12.00% Secured Debt

(9)

-

-

41

640

-

-

640

12.00% Secured Debt

(9)

-

-

1,009

16,272

14

-

16,286

Preferred Member Units

(9)

-

-

-

8,136

-

-

8,136
UnionRock Energy Fund II, LP

LP Interests

(9)

-

-

-

-

2,894

-

2,894
Other
Amounts related to
investments transferred to
or from other
1940 Act classification
during the period

(7,832)

4,656

4

4,564

Total Control Investments

$
(19,866)

$
(42,235)

$
38,800

$
1,032,721

$
143,295

$
163,313

$
1,008,139
Affiliate Investments

AFG Capital Group, LLC

10.00% Secured Debt

(8)

$
-

$
-

$
37

$
838

$
-

$
174

$
664

Preferred Member Units

(8)

-

(10)

-

5,180

-

10

5,170
American Trailer Rental Group LLC

LIBOR Plus 7.25% (Floor 1.00%)

(5)

-

(182)

1,119

27,087

182

27,269

-

Member Units

(5)

-

779

-

8,540

4,520

-

13,060
BBB Tank Services, LLC

LIBOR Plus 11.00% (Floor 1.00%)

(8)

-

(51)

335

4,698

37

51

4,684

Preferred Member Units

(8)

-

-

10

131

10

-

141

Member Units

(8)

-

(80)

-

290

-

80

210
Boccella Precast Products LLC

LIBOR Plus 10.00% (Floor 1.00%)

(6)

-

(138)

982

13,244

138

13,382

-

Member Units

(6)

-

(290)

369

6,270

-

290

5,980
Buca C, LLC

LIBOR Plus 9.25% (Floor 1.00%)

(7)

-

(1,714)

1,036

18,794

24

1,714

17,104

Preferred Member Units

(7)

-

(4,005)

69

4,701

69

4,005

765
CAI Software LLC

12.50% Secured Debt

(6)

-

108

996

9,160

19,500

16

28,644

Member Units

(6)

-

369

10

5,210

720

-

5,930
Chandler Signs Holdings, LLC

Class A Units

(8)

-

(200)

(91)

2,740

-

200

2,540
Charlotte Russe, Inc

Common Stock

(9)

-

-

-

-

-

-

-
Classic H&G Holdings, LLC

12.00% Secured Debt

(6)

-

-

1,518

-

25,753

-

25,753

Preferred Member Units

(6)

-

-

-

-

5,760

-

5,760
Congruent Credit Opportunities Funds

LP Interests (Fund II)

(8)

-

-

-

855

-

-

855

LP Interests (Fund III)

(8)

-

(399)

394

13,915

-

1,411

12,504
Copper Trail Fund Investments

LP Interests (Copper Trail Energy Fund I, LP)

(9)

-

(791)

594

2,362

-

540

1,822
Dos Rios Partners

LP Interests (Dos Rios Partners, LP)

(8)

-

(504)

-

7,033

759

504

7,288

LP Interests (Dos Rios Partners - A, LP)

(8)

-

(160)

-

2,233

241

160

2,314
East Teak Fine Hardwoods, Inc.

Common Stock

(7)

-

(100)

4

400

-

100

300
EIG Fund Investments

LP Interests (EIG Global Private Debt fund-A, L.P.)

(8)

6

(111)

69

720

94

219

595
Freeport Financial Funds

LP Interests (Freeport Financial SBIC Fund LP)

(5)

-

(624)

-

5,778

-

624

5,154

~~Table of Contents~~

Amount of

Interest,

Fees or

Amount of

Amount of

Dividends

December 31,

June 30,

Realized

Unrealized

Credited to

2019

Gross

Gross

2020
Company

Investment(1)(10)(11)

Geography

Gain/(Loss)

Gain/(Loss)

Income(2)

Fair Value

Additions(3)

Reductions(4)

Fair Value

LP Interests (Freeport First Lien Loan Fund III LP)

(5)

-

46

80

9,696

1,035

160

10,571
Fuse, LLC

12.00% Secured Debt

(9)

-

(338)

118

1,939

-

338

1,601

Common Stock

(9)

-

-

-

256

-

-

256
Harris Preston Fund Investments

LP Interests (HPEP 3, L.P.)

(8)

-

-

-

2,474

345

-

2,819
Hawk Ridge Systems, LLC

LIBOR Plus 6.00% (Floor 1.00%)

(9)

-

-

25

600

-

-

600

11.00% Secured Debt

(9)

-

(15)

760

13,400

15

15

13,400

Preferred Member Units

(9)

-

(580)

45

7,900

-

580

7,320

Preferred Member Units

(9)

-

(30)

-

420

-

30

390
Houston Plating and Coatings, LLC

8.00% Unsecured Convertible Debt

(8)

-

(1,000)

121

4,260

-

1,000

3,260

Member Units

(8)

-

(3,110)

66

10,330

-

3,110

7,220
I-45 SLF LLC

Member Units

(8)

-

(3,654)

1,258

14,407

3,200

3,654

13,953
L.F. Manufacturing Holdings, LLC

Preferred Member Units

(8)

-

-

6

81

6

-

87

Member Units

(8)

-

-

-

2,050

-

-

2,050
OnAsset Intelligence, Inc.

12.00% PIK Secured Debt

(8)

-

-

399

6,474

399

-

��
6,873

10.00% PIK Secured Debt

(8)

-

-

3

58

3

-

61

Preferred Stock

(8)

-

-

-

-

-

-

-

Warrants

(8)

-

-

-

-

-

-

-
PCI Holding Company, Inc.

12.00% Current Secured Debt

(9)

-

-

689

11,356

-

-

11,356

Preferred Stock

(9)

-

1,450

-

2,680

1,450

-

4,130

Preferred Stock

(9)

-

-

-

4,350

-

-

4,350
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)

12.00% Secured Debt

(8)

-

-

-

-

241

241

-

Preferred Member Units

(8)

-

-

-

-

-

-

-
Salado Stone Holdings, LLC

Class A Preferred Units

(8)

-

(140)

-

570

-

140

430
SI East, LLC

9.50% Current, Secured Debt

(7)

-

(36)

1,633

32,963

36

36

32,963

Preferred Member Units

(7)

-

1,110

534

8,200

1,110

-

9,310
Slick Innovations, LLC

14.00% Current, Secured Debt

(6)

-

-

468

6,197

19

80

6,136

Warrants

(6)

-

10

-

290

10

-

300

Common Stock

(6)

-

50

-

1,080

50

-

1,130
UniTek Global Services, Inc.

LIBOR Plus 6.50% (Floor 1.00%)

(6)

-

(283)

121

2,962

14

299

2,677

Preferred Stock

(6)

-

(2,680)

-

2,684

-

2,680

4

Preferred Stock

(6)

-

(212)

212

2,282

212

212

2,282

Preferred Stock

(6)

-

448

118

1,889

944

-

2,833

Preferred Stock

(6)

-

(3,009)

-

3,667

-

3,009

658

Common Stock

(6)

-

-

-

-

-

-

-
Universal Wellhead Services Holdings, LLC

Preferred Member Units

(8)

-

(560)

-

800

-

560

240

Member Units

(8)

-

-

-

-

-

-

-
Volusion, LLC

11.50% Secured Debt

(8)

-

(181)

1,248

19,352

72

181

19,243

8.00% Unsecured Convertible Debt

(8)

-

-

16

291

-

-

291

Preferred Member Units

(8)

-

(8,322)

-

14,000

-

8,322

5,678

Warrants

(8)

-

(150)

-

150

-

150

-
Other
Amounts related to
investments transferred to
or from other
1940 Act classification
during the period

(241)

-

-

-

-

-

-
Total Affiliate investments

$
(235)

$
(29,289)

$
15,371

$
330,287

$
66,968

$
75,546

$
321,709

~~(1)~~

~~The principal amount, the ownership detail for equity investments and if the investment is income producing is included in the consolidated schedule of investments.~~

~~(2)~~

~~Table of Contents~~

~~(3)~~

~~(4)~~

~~(5)~~

Portfolio company located in the Midwest region as determined by location of the corporate headquarters. The fair value as of June 30, 2020 for control investments located in this region was $236,976. This represented 17.3% of net assets as of June 30, 2020. The fair value as of June 30, 2020 for affiliate investments located in this region was $28,785. This represented 2.1% of net assets as of June 30, 2020.

~~(6)~~

Portfolio company located in the Northeast region as determined by location of the corporate headquarters. The fair value as of June 30, 2020 for control investments located in this region was $78,414. This represented 5.7% of net assets as of June 30, 2020. The fair value as of June 30, 2020 for affiliate investments located in this region was $88,087. This represented 6.4% of net assets as of June 30, 2020.

~~(7)~~

Portfolio company located in the Southeast region as determined by location of the corporate headquarters. The fair value as of June 30, 2020 for control investments located in this region was $47,427. This represented 3.5% of net assets as of June 30, 2020. The fair value as of June 30, 2020 for affiliate investments located in this region was $60,442. This represented 4.4% of net assets as of June 30, 2020.

~~(8)~~

Portfolio company located in the Southwest region as determined by location of the corporate headquarters. The fair value as of June 30, 2020 for control investments located in this region was $401,136. This represented 29.3% of net assets as of June 30, 2020. The fair value as of June 30, 2020 for affiliate investments located in this region was $99,170. This represented 7.2% of net assets as of June 30, 2020.

~~(9)~~

Portfolio company located in the West region as determined by location of the corporate headquarters. The fair value as of June 30, 2020 for control investments located in this region was $244,186. This represented 17.8% of net assets as of June 30, 2020. The fair value as of June 30, 2020 for affiliate investments located in this region was $45,225. This represented 3.3% of net assets as of June 30, 2020.

~~(10)~~

~~All of the Company’s portfolio investments are generally subject to restrictions on resale as “restricted securities,” unless otherwise noted.~~

~~(11)~~

~~(12)~~

~~Investment has an unfunded commitment as of June 30, 2020~~ (see Note K). The fair value of the investment includes the impact of the fair value of any unfunded commitments.

9892

Table of Contents

Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

This Quarterly Report on Form 10-Q contains forward-looking statements regarding the plans and objectives of management for future operations and which relate to future events or our future performance or financial condition. Any such forward-looking statements may involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve assumptions and describe our future plans, strategies and expectations, are generally identifiable by use of the words “may,” “will,” “should,” “expect,” “anticipate,” “estimate,” “believe,” “intend” or “project” or the negative of these words or other variations on these words or comparable terminology. These forward-looking statements are based on assumptions that may be incorrect, and we cannot assure you that the projections included in these forward-looking statements will come to pass. Our actual results could differ materially from those expressed or implied by the forward-looking statements as a result of various factors, including, without ~~limitation: changes in laws and regulations and adverse changes in~~limitation the economy generally or in the industries in which our portfolio companies operate, including with respect to changes from the impact of the COVID-19 pandemic, and the resulting impacts on our and our portfolio companies’ business and operations, liquidity and access to capital; and such other factors referenced in Item 1A entitled “Risk Factors” below in Part 2 of this Quarterly Report on Form 10-Q, if any, and discussed in Item 1A entitled “Risk Factors” in Part I of our Annual Report on Form 10-K for the year ended December 31, ~~2020,~~2021, filed with the Securities and Exchange Commission (“SEC”) on February ~~26, 2021~~25, 2022 and elsewhere in this Quarterly Report on Form 10-Q and our other SEC filings. Other factors that could cause actual results to differ materially include changes in the economy and future changes in laws or regulations and conditions in our operating areas.

We have based the forward-looking statements included in this Quarterly Report on Form 10-Q on information available to us on the date of this Quarterly Report on Form 10-Q, and we assume no obligation to update any such forward-looking statements, unless we are required to do so by applicable law. However, you are advised to refer to any additional disclosures that we may make directly to you or through reports that we in the future may file with the SEC, including subsequent periodic and current reports.

This discussion should be read in conjunction with our consolidated financial statements as of December 31, 2021, and for the year then ended, and Management’s Discussion and Analysis of Financial Condition and Results of Operations, both contained in our Annual Report on Form 10-K for the year ended December 31, 2021, as well as the consolidated financial statements (unaudited) and notes to the consolidated financial statements (unaudited) contained in this report.

ORGANIZATION

Main Street Capital Corporation (“MSCC” or “Main Street”) is a principal investment firm. MSCC wholly owns several investment funds, including Main Street Mezzanine Fund, LP (“MSMF”) and Main Street Capital III, LP (“MSC III” and, ~~collectively~~together with MSMF, the “Funds”), and each of their general partners. MSCC has certain direct and indirect wholly owned subsidiaries that have elected to be taxable entities (the “Taxable Subsidiaries”). The primary purpose of the Taxable Subsidiaries is to permit MSCC to hold equity investments in portfolio companies which are “pass-through” entities for tax purposes.

COVID-19 UPDATE

The COVID-19 pandemic and ~~the related~~its effect on the U.S. and global economies, including the current related impacts to supply chain delays, labor and material availability and price increases, has had, and threatens to continue to have, adverse consequences for our business and operating results, and the businesses and operating results of our portfolio companies. During the quarter ended ~~June 30, 2021,~~March 31, 2022, we continued to work collectively with our employees and portfolio companies to navigate ~~the~~these significant challenges created by the COVID-19 pandemic. We remain focused on ensuring the safety of our employees and the employees of our portfolio companies, while also managing our ongoing business activities. In this regard, we remain heavily engaged with our portfolio companies. As discussed below under “Discussion and Analysis of Results of Operations,” our investment income, principally our interest and dividend income, was negatively impacted by the economic effects of the COVID-19 pandemic in 2020. We continue to maintain access to multiple sources of liquidity, including cash, unused capacity under our Credit Facility and remaining SBIC debenture capacity. As of June 30, 2021, we were in compliance with all debt covenants and do not anticipate any issues with our ability to comply with all covenants in the future. Refer to “—Liquidity and Capital Resources” below for further discussion as of June 30, 2021.

challenges. Neither our management team nor our Board of Directors is able to predict the full impact of the COVID-19 pandemic, including its duration and the magnitude of its economic and societal impact. As such, while we will continue to monitor the evolving situation, ~~and guidance from U.S. authorities, including federal, state and local public health authorities,~~ we are unable to predict with any certainty the extent to which these events, or any future impacts related to the ~~outbreak~~pandemic, will negatively affect our

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portfolio companies’ operating results and financial condition or the impact that such disruptions may have on our results of operations and financial condition in the future.

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OVERVIEW OF OUR BUSINESS

Our principal investment objective is to maximize our portfolio’s total return by generating current income from our debt investments and current income and capital appreciation from our equity and equity-related investments, including warrants, convertible securities and other rights to acquire equity securities in a portfolio company. We seek to achieve ~~this~~our investment objective ~~by primarily focusing on providing customized debt and equity financing to~~through our lower middle market (“LMM”) ~~companies~~, Private Loan (as defined below), and ~~debt capital to~~ middle market (“Middle Market”) ~~companies.~~investment strategies. Our LMM investment strategy involves investments in companies that generally have annual revenues between $10 million and $150 million and our LMM portfolio investments generally range in size from $5 million to ~~$50~~$75 million. Our Middle Market investment strategy involves investments ~~are made~~ in ~~businesses~~companies that are generally larger in size than our LMM ~~portfolio~~ companies, with annual revenues typically between $150 million and $1.5 billion, and our Middle Market investments generally range in size from $3 million to ~~$20~~$25 million. Our private loan (“Private Loan”) ~~portfolio~~investment strategy involves investments ~~are primarily debt securities~~ in ~~privately held~~ companies that ~~have been originated through strategic relationships~~are consistent with ~~other~~the size of the companies in our LMM and Middle Market investment ~~funds on a collaborative basis~~strategies, and ~~are often referred to in the debt markets as “club deals.”~~our Private Loan investments ~~are typically similar~~generally range in size ~~structure, terms and conditions~~from $10 million to ~~investments we hold in our LMM portfolio and Middle Market portfolio.~~$75 million.

We seek to fill the financing gap for LMM businesses, which, historically, have had limited access to financing from commercial banks and other traditional sources. The underserved nature of the LMM creates the opportunity for us to meet the financing needs of LMM companies while also negotiating favorable transaction terms and equity participations. Our ability to invest across a company’s capital structure, from secured loans to equity securities, allows us to offer portfolio companies a comprehensive suite of financing options, or a “one stop” financing solution. Providing customized, “one stop” financing solutions is important to LMM portfolio companies. We generally seek to partner directly with entrepreneurs, management teams and business owners in making our investments. Our LMM portfolio debt investments are generally secured by a first lien on the assets of the portfolio company and typically have a term of between five and seven years from the original investment date.

Private Loan investments generally consist of loans that have been originated directly by us or through strategic relationships with other investment funds on a collaborative basis and are often referred to in the debt markets as “club deals.” Our Private Loan portfolio debt investments are generally secured by a first priority lien on the assets of the portfolio company and typically have a term of between three and seven years from the original investment date.

Our Middle Market portfolio investments primarily consist of direct investments in or secondary purchases of interest-bearing syndicated loans or debt securities in privately held companies based in the United States that are generally larger in size than the companies included in our LMM portfolio. Our Middle Market portfolio debt investments are generally secured by ~~either~~ a first ~~or second~~ priority lien on the assets of the portfolio company and typically have an expected duration ~~of between three and seven years from the original investment date.~~

Private Loan investments are typically similar in size, structure, terms and conditions to investments we hold in our LMM portfolio and Middle Market portfolio. Our Private Loan portfolio debt investments are generally secured by either a first or second priority lien on the assets of the portfolio company and typically have a term of between three and seven years from the original investment date.

Our other portfolio (“Other Portfolio”) investments primarily consist of investments that are not consistent with the typical profiles for our LMM, Private Loan or Middle Market ~~or Private Loan~~ portfolio investments, including investments which may be managed by third parties. In our Other Portfolio, we may incur indirect fees and expenses in connection with investments managed by third parties, such as investments in other investment companies or private funds.

Subject to changes in our cash and overall liquidity, ~~as well as our capital structure management activities,~~ our Investment Portfolio may also include short-term portfolio investments that are atypical of our LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolio investments in that they are intended to be a short-term deployment of capital. These assets are typically expected to be liquidated in one year or less and are not expected to be a significant portion of the overall Investment Portfolio.

Our external asset management business is conducted through MSC Adviser I, LLC (the “External Investment Manager”). The External Investment Manager earns management fees based on the assets under management for external parties and may earn incentive fees, or a carried interest, based on the performance of the assets managed. We have entered into an agreement with the External Investment Manager to share employees in connection with its asset management business generally, and specifically for its relationship with MSC Income Fund, Inc. (“MSC Income”)~~, formerly known as HMS Income Fund, Inc.,~~ and its other ~~investment advisory~~ clients. Through this agreement, we share

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employees with the External Investment Manager, including their related infrastructure, business relationships, management expertise and capital raising capabilities.

During May 2012, we entered into an investment sub advisory agreement with HMS Adviser, LP (“HMS Adviser”), which was the investment adviser to MSC Income at the time, to provide certain investment advisory services to HMS Adviser. In December 2013, after obtaining required no action relief from the SEC to allow us to own a registered investment adviser, we assigned the sub advisory agreement to the External Investment Manager since the fees received from such arrangement could otherwise have negative consequences on our ability to meet the source of income requirement necessary for us to maintain our RIC tax treatment. Under the investment sub advisory agreement, the External Investment Manager was entitled to 50% of the annual base management fee and the incentive fees earned by HMS Adviser under its advisory agreement with MSC Income. Effective October 30, 2020, the External Investment Manager and HMS Adviser consummated the transactions contemplated by that certain asset purchase agreement by and among the External Investment Manager, HMS Adviser and the other parties thereto whereby the External Investment Manager became the sole investment adviser and administrator to MSC Income pursuant to an Investment Advisory and Administrative Services Agreement entered into between the External Investment Manager and MSC Income (the “Advisory Agreement”). The Advisory Agreement includes a 1.75% annual management fee, reduced from 2.00% previously, and the same incentive fee as under MSC Income’s prior advisory agreement with HMS Adviser, with the External Investment Manager receiving 100% of such fee income (increased from 50% previously).

In April 2014, we received an exemptive order from the SEC permitting co-investments by us and MSC Income in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act. During December 2020, we received an amended exemptive order from the SEC permitting co-investments by us, MSC Income and other funds advised by the External Investment Manager in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act. We have made co-investments with MSC Income and the Private Loan Fund (as defined below), and in the future intend to make co-investments with MSC Income, the Private Loan Fund and other funds advised by the External Investment Manager, in accordance with the conditions of the order. The order requires, among other things, that we and the External Investment Manager consider whether each such investment opportunity is appropriate for us and the External Investment Manager’s advised clients, including MSC Income, as applicable, and if it is appropriate, to propose an allocation of the investment opportunity between such parties. Because the External Investment Manager may receive performance-based fee compensation from funds advised by the External Investment Manager, including MSC Income and the Private Loan Fund, this may provide the Company and the External Investment Manager an incentive to allocate opportunities to other participating funds instead of us. However, both we and the External Investment Manager have policies and procedures in place to manage this conflict, including oversight by the independent members of our Board of Directors.

The External Investment Manager launched its first private fund, MS Private Loan Fund I, LP, a private investment fund with a strategy to co-invest with Main Street in Private Loan portfolio investments (the “Private Loan Fund”), in December 2020. The External Investment Manager entered into an Investment Management Agreement in December 2020 with the Private Loan Fund, pursuant to which the External Investment Manager provides investment advisory and management services to the Private Loan Fund in exchange for an asset-based fee and certain incentive fees.

The External Investment Manager earned base management fee income of $4.2 million and $2.3 million during the three months ended June 30, 2021 and 2020, respectively, and $8.1 million and $4.8 million during the six months ended June 30, 2021 and 2020, respectively. No incentive fee income was earned in the three months or the six months ended June 30, 2021 and 2020.

We allocate certain expenses to the External Investment Manager pursuant to the sharing agreement between it and MSCC. Our total expenses are net of expenses allocated to the External Investment Manager for the three months ended June 30, 2021 and 2020 of $2.6 million and $1.8 million, respectively, and for the six months ended June 30, 2021 and 2020 of $5.0 million and $3.4 million, respectively. The total contribution of the External Investment Manager to our net investment income consists of the combination of the expenses allocated to the External Investment Manager and the dividend income earned from the External Investment Manager. The total contribution to our net investment income was $3.8 million and $2.2 million for the three months ended June 30, 2021 and 2020, respectively, and $7.4 million and $4.5 million for the six months ended June 30, 2021 and 2020, respectively.

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See “Note C – Fair Value Hierarchy for Investments and Debentures – Portfolio Composition – Investment Portfolio Composition” in the notes to consolidated financial statements for a summary of Main Street’s investments in the LMM, Middle Market and Private Loan portfolios as of June 30, 2021 and December 31, 2020.

Our portfolio investments are generally made through MSCC, the Taxable Subsidiaries and the Funds. MSCC, the Taxable Subsidiaries and the Funds share the same investment strategies and criteria, although they are subject to different regulatory regimes. An investor’s return in MSCC will depend, in part, on the Taxable Subsidiaries’ and the Funds’ investment returns as they are wholly owned subsidiaries of MSCC.

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The level of new portfolio investment activity will fluctuate from period to period based upon our view of the current economic fundamentals, our ability to identify new investment opportunities that meet our investment criteria, and our ability to consummate the identified opportunities. The level of new investment activity, and associated interest and fee income, will directly impact future investment income. In addition, the level of dividends paid by portfolio companies and the portion of our portfolio debt investments on non-accrual status will directly impact future investment income. While we intend to grow our portfolio and our investment income over the long term, our growth and our operating results may be more limited during depressed economic periods. However, we intend to appropriately manage our cost structure and liquidity position based on applicable economic conditions and our investment outlook. The level of realized gains or losses and unrealized appreciation or depreciation on our investments will also fluctuate depending upon portfolio activity, economic conditions and the performance of our individual portfolio companies. The changes in realized gains and losses and unrealized appreciation or depreciation could have a material impact on our operating results.

Because we are internally managed, we do not pay any external investment advisory fees, but instead directly incur the operating costs associated with employing investment and portfolio management professionals. We believe that our internally managed structure provides us with a better alignment of interests between our management team, our employees and our shareholders, and a beneficial operating expense structure when compared to other publicly traded and privately held investment firms which are externally ~~managed, and our~~managed. Our internally managed structure allows us the opportunity to leverage our non-interest operating expenses as we grow our Investment Portfolio and our External Investment Manager’s asset management business. The ratio of our total operating expenses, excluding interest expense, as a percentage of our quarterly average total assets was ~~1.4%~~1.5% and ~~1.2%~~1.4%, respectively, for the trailing twelve months ended ~~June 30,~~March 31, 2022 and 2021, and ~~2020, and 1.3%~~1.5% for the year ended December 31, ~~2020.~~2021. The ratio of our total operating expenses, including interest expense, as a percentage of our quarterly average total assets was 3.3% for each of the trailing twelve months ended March 31, 2022 and 2021 and 3.4% for the year ended December 31, 2021. Our ratio of expenses as a percentage of our average net asset value is described in greater detail in “Note F – Financial Highlights” to the consolidated financial statements included in “Item 1. Consolidated Financial Statements” of this Quarterly Report on Form 10-Q.

The External Investment Manager earns management fees based on the assets of the funds and accounts under management and may earn incentive fees, or a carried interest, based on the performance of the funds and accounts managed. The total contribution of the External Investment Manager to our net investment income consists of the combination of the expenses allocated to the External Investment Manager and the dividend income earned from the External Investment Manager. The total contribution to our net investment income was $5.1 million and $3.6 million for the three months ended March 31, 2022 and 2021, respectively. The External Investment Manager earned base management fee income of $5.4 million and $3.9 million during the three months ended March 31, 2022 and 2021, respectively. During the three months ended March 31, 2022, the External Investment Manager earned $0.1 million in incentive fee income. No incentive fee income was earned in the three months ended March 31, 2021. During the three months ended March 31, 2022, the External Investment Manager earned $0.2 million in administrative services fee income. No administrative services fee income was earned in the three months ended March 31, 2021. Our total expenses are net of expenses allocated to the External Investment Manager for the three months ended March 31, 2022 and 2021 of $2.8 million and $2.4 million, respectively.

The External Investment Manager serves as the investment adviser and administrator to MSC Income pursuant to an Investment Advisory and Administrative Services Agreement entered into in October 2020 between the External Investment Manager and MSC Income (the “Advisory Agreement”). Under the Advisory Agreement, the External Investment Manager earns a 1.75% annual base management fee on MSC Income’s average total assets, an incentive fee equal to 20% of pre-investment fee net investment income above a specified investment return hurdle rate and a 20% incentive fee on cumulative net realized capital gains in exchange for providing advisory services to MSC Income.

Additionally, the External Investment Manager has entered into an Investment Management Agreement with MS Private Loan Fund I, LP, a private investment fund with a strategy to co-invest with Main Street in Private Loan portfolio investments (the “Private Loan Fund”), pursuant to which the External Investment Manager provides investment advisory and management services to the Private Loan Fund in exchange for an asset-based fee and certain incentive fees.

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We have received an exemptive order from the SEC permitting co-investments among us, MSC Income and other funds and clients advised by the External Investment Manager in certain negotiated transactions where co-investing would otherwise be prohibited under the 1940 Act. We have made co-investments with, and in the future intend to continue to make co-investments with MSC Income, the Private Loan Fund and other clients advised by the External Investment Manager, in accordance with the conditions of the order. The order requires, among other things, that we and the External Investment Manager consider whether each such investment opportunity is appropriate for us and the External Investment Manager’s advised clients, as applicable, and if it is appropriate, to propose an allocation of the investment opportunity between such parties. Because the External Investment Manager may receive performance-based fee compensation from funds and clients advised by the External Investment Manager, this may provide the Company and the External Investment Manager an incentive to allocate opportunities to other participating funds and clients instead of us. However, both we and the External Investment Manager have policies and procedures in place to manage this conflict, including oversight by the independent members of our Board of Directors. Additional information regarding the operation of the co-investment program is set forth in the order granting exemptive relief, which may be reviewed on the SEC’s website at www.sec.gov. In addition to the co-investment program described above, we also co-invest in syndicated deals and other transactions where price is the only negotiated point by us and our affiliates.

INVESTMENT PORTFOLIO SUMMARY

The following tables provide a summary of our investments in the LMM, Private Loan and Middle Market portfolios as of March 31, 2022 and December 31, 2021 (this information excludes the Other Portfolio investments, short-term portfolio investments and the External Investment Manager which are discussed further below):

As of March 31, 2022

LMM (a)

Private Loan

Middle Market

(dollars in millions)

Number of portfolio companies

75

79

36

Fair value

$
1,795.5

$
1,260.7

$
397.3

Cost

$
1,513.8

$
1,273.6

$
443.8

Debt investments as a % of portfolio (at cost)

71.7
%

95.8
%

93.3
%
Equity investments as a % of portfolio (at cost)

28.3
%

4.2
%

6.7
%
% of debt investments at cost secured by first priority lien

99.0
%

99.4
%

98.7
%
Weighted-average annual effective yield (b)

11.1
%

8.2
%

7.6
%
Average EBITDA (c)

$
6.2

$
41.3

$
76.0

(a)	At March 31, 2022, we had equity ownership in all of our LMM portfolio companies, and the average fully diluted equity ownership in those portfolio companies was approximately 40%.

(b)

The weighted-average annual effective yields were computed using the effective interest rates for all debt investments at cost as of March 31, 2022, including amortization of deferred debt origination fees and accretion of original issue discount but excluding fees payable upon repayment of the debt instruments and any debt investments on non-accrual status. The weighted-average yield on our debt portfolio as of March 31, 2022 including debt investments on non-accrual status was 10.6% for our LMM portfolio, 8.0% for our Private Loan portfolio and 7.1% for our Middle Market portfolio. The weighted-average annual effective yield is not reflective of what an investor in shares of our common stock will realize on its investment because it does not reflect changes in the market value of our stock, our utilization of debt capital in our capital structure, our expenses or any sales load paid by an investor.

(c)

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metric for our investments in these portfolio companies, and those portfolio companies whose primary purpose is to own real estate.

As of December 31, 2021

LMM (a)

Private Loan

Middle Market

(dollars in millions)

Number of portfolio companies

73

75

36

Fair value

$
1,716.4

$
1,141.8

$
395.2

Cost

$
1,455.7

$
1,157.5

$
440.9

Debt investments as a % of portfolio (at cost)

70.9
%

95.7
%

93.3
%
Equity investments as a % of portfolio (at cost)

29.1
%

4.3
%

6.7
%
% of debt investments at cost secured by first priority lien

99.0
%

98.7
%

98.7
%
Weighted-average annual effective yield (b)

11.2
%

8.2
%

7.5
%
Average EBITDA (c)

$
6.2

$
41.3

$
76.0

(a)	At December 31, 2021, we had equity ownership in all of our LMM portfolio companies, and the average fully diluted equity ownership in those portfolio companies was approximately 40%.

(b)

The weighted-average annual effective yields were computed using the effective interest rates for all debt investments at cost as of December 31, 2021, including amortization of deferred debt origination fees and accretion of original issue discount but excluding fees payable upon repayment of the debt instruments and any debt investments on non-accrual status. The weighted-average yield on our debt portfolio as of December 31, 2021 including debt investments on non-accrual status was 10.6% for our LMM portfolio, 8.0% for our Private Loan portfolio and 6.9% for our Middle Market portfolio. The weighted-average annual effective yield is not reflective of what an investor in shares of our common stock will realize on its investment because it does not reflect changes in the market value of our stock, our utilization of debt capital in our capital structure, our expenses or any sales load paid by an investor.

(c)

The average EBITDA is calculated using a simple average for the LMM portfolio and a weighted-average for the Private Loan and Middle Market portfolios. These calculations exclude certain portfolio companies, including three LMM portfolio companies, three Private Loan portfolio companies and one Middle Market portfolio company, as EBITDA is not a meaningful valuation metric for our investments in these portfolio companies, and those portfolio companies whose primary purpose is to own real estate.

For the three months ended March 31, 2022 and 2021, we achieved an annualized total return on investments of 11.8% and 12.8%, respectively. For the year ended December 31, 2021, we achieved an annualized total return on investments of 16.6%. Total return on investments is calculated using the interest, dividend, and fee income, as well as the realized and unrealized change in fair value of the Investment Portfolio for the specified period. Our total return on investments is not reflective of what an investor in shares of our common stock will realize on its investment because it does not reflect changes in the market value of our stock, our utilization of leverage or debt capital in our capital structure, our expenses or any sales load paid by an investor.

As of March 31, 2022, we had Other Portfolio investments in 13 companies, collectively totaling approximately $102.4 million in fair value and approximately $109.9 million in cost basis and which comprised approximately 2.8% and 3.3% of our Investment Portfolio at fair value and cost, respectively. As of December 31, 2021, we had Other Portfolio investments in 13 companies, collectively totaling approximately $166.1 million in fair value and approximately $173.7 million in cost basis and which comprised approximately 4.7% and 5.3% of our Investment Portfolio at fair value and cost, respectively.

As of March 31, 2022, we had one short-term portfolio investment, which was a secured debt investment that had approximately $2.0 million in both fair value and in cost basis and which comprised approximately 0.1% of our Investment Portfolio at both fair value and cost. As of December 31, 2021, we had Other Portfolio investments in 13 companies, collectively totaling approximately $166.1 million in fair value and approximately $173.7 million in cost basis and which comprised approximately 4.7% and 5.3% of our Investment Portfolio at fair value and cost, respectively.

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As previously discussed, the External Investment Manager is a wholly owned subsidiary that is treated as a portfolio investment. As of March 31, 2022, this investment had a fair value of approximately $132.9 million and a cost basis of $29.5 million, which comprised approximately 3.6% and 0.9% of our Investment Portfolio at fair value and cost, respectively. As of December 31, 2021, this investment had a fair value of approximately $140.4 million and a cost basis of $29.5 million, which comprised approximately 3.9% and 0.9% of our Investment Portfolio at fair value and cost, respectively.

CRITICAL ACCOUNTING POLICIES

The preparation of financial statements and related disclosures in conformity with generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and contingent assets and liabilities at the date of the financial statements, and revenues and expenses during the periods reported. Actual results could materially differ from those estimates. Critical accounting policies are those that require management to make subjective or complex judgments about the effect of matters that are inherently uncertain and may change in subsequent periods. Changes that may be required in the underlying assumptions or estimates in these areas could have a material impact on our current and future financial condition and results of operations.

Management has discussed the development and selection of each critical accounting policy and estimate with the Audit Committee of the Board of Directors. Our critical accounting policies and estimates include the Investment Portfolio Valuation and Revenue Recognition policies described below. Our significant accounting policies are described in greater detail in ~~Note~~“Note B – Summary of Significant Accounting Policies” to the consolidated financial statements included in “Item 1. Consolidated Financial Statements” of this Quarterly Report on Form 10-Q.

Investment Portfolio Valuation

The most significant determination inherent in the preparation of our consolidated financial statements is the valuation of our Investment Portfolio and the related amounts of unrealized appreciation and depreciation. We consider this determination to be a critical accounting estimate, given the significant judgments and subjective measurements required. As of ~~June 30, 2021~~both March 31, 2022 and December 31, ~~2020~~2021, our Investment Portfolio valued at fair value represented approximately ~~96% and~~ 97% of our total ~~assets, respectively.~~assets. We are required to report our investments at fair value. We follow the provisions of FASB ASC 820, Fair Value Measurements and Disclosures (“ASC 820”). ASC 820 defines fair value, establishes a framework for measuring fair value, establishes a fair value hierarchy based on the quality of inputs

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used to measure fair value and enhances disclosure requirements for fair value measurements. ASC 820 requires us to assume that the portfolio investment is to be sold in the principal market to independent market participants, which may be a hypothetical market. Market participants are defined as buyers and sellers in the principal market that are independent, knowledgeable and willing and able to transact. See “Note B.1.—Valuation of the Investment Portfolio” in the notes to consolidated financial statements for a detailed discussion of our investment portfolio valuation process and procedures.

Due to the inherent uncertainty in the valuation process, our determination of fair value for our Investment Portfolio may differ materially from the values that would have been determined had a ready market for the securities existed. In addition, changes in the market environment, portfolio company performance and other events that may occur over the lives of the investments may cause the gains or losses ultimately realized on these investments to be materially different than the valuations currently assigned. We determine the fair value of each individual investment and record changes in fair value as unrealized appreciation or depreciation.

~~The~~In December 2020, the SEC ~~recently~~ adopted ~~new~~ Rule 2a-5 under the 1940 Act, which permits a BDC’s board of directors to designate its executive officers or investment adviser as a valuation designee to determine the fair value for its investment portfolio, subject to the active oversight of the board. Our ~~board~~Board of ~~directors~~Directors has approved policies and procedures pursuant to Rule 2a-5 (the “Valuation Procedures”) and has designated a group of our executive officers to serve as the Board’s valuation designee. We adopted the Valuation Procedures effective April 1, 2021. We believe our ~~investment portfolio~~Investment Portfolio as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 approximates fair value as of those dates based on the markets in which we operate and other conditions in existence on those reporting dates.

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Revenue Recognition

Interest and Dividend Income

We record interest and dividend income on the accrual basis to the extent amounts are expected to be collected. Dividend income is recorded as dividends are declared by the portfolio company or at the point an obligation exists for the portfolio company to make a distribution. In accordance with our valuation policies, we evaluate accrued interest and dividend income periodically for collectability. When a loan or debt security becomes 90 days or more past due, and if we otherwise do not expect the debtor to be able to service all of its debt or other obligations, we will generally place the loan or debt security on non-accrual status and cease recognizing interest income on that loan or debt security until the borrower has demonstrated the ability and intent to pay contractual amounts due. If a loan or debt security’s status significantly improves regarding the debtor’s ability to service the debt or other obligations, or if a loan or debt security is sold or written off, we remove it from non-accrual status.

Fee Income

We may periodically provide services, including structuring and advisory services, to our portfolio companies or other third parties. For services that are separately identifiable and evidence exists to substantiate fair value, fee income is recognized as earned, which is generally when the investment or other applicable transaction closes. Fees received in connection with debt financing transactions for services that do not meet these criteria are treated as debt origination fees and are deferred and accreted into income over the life of the financing.

Payment-in-Kind (“PIK”) Interest and Cumulative Dividends

We hold certain debt and preferred equity instruments in our Investment Portfolio that contain PIK interest and cumulative dividend provisions. The PIK interest, computed at the contractual rate specified in each debt agreement, is periodically added to the principal balance of the debt and is recorded as interest income. Thus, the actual collection of this interest may be deferred until the time of debt principal repayment. Cumulative dividends are recorded as dividend income, and any dividends in arrears are added to the balance of the preferred equity investment. The actual collection of these dividends in arrears may be deferred until such time as the preferred equity is redeemed or sold. To maintain RIC tax treatment (as discussed ~~below)~~in “Note B.9. – Income Taxes” in the notes to the consolidated financial statements), these non-cash sources of income may need to be paid out to stockholders in the form of distributions, even though we may not have collected the PIK interest and cumulative dividends in cash. We stop accruing PIK interest and cumulative dividends and write off any accrued and uncollected interest and dividends in arrears when we determine that such PIK interest and dividends in arrears are no longer collectible. For the three months

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ended ~~June 30,~~March 31, 2022 and 2021 ~~and 2020,~~ (i) approximately ~~3.4%~~1.2% and ~~2.5%~~3.8%, respectively, of our total investment income was attributable to PIK interest income not paid currently in cash and (ii) approximately ~~0.6%~~1.1% and 0.9%, respectively, of our total investment income was attributable to cumulative dividend income not paid currently in cash. For the six months ended June 30, 2021 and 2020, (i) approximately 3.6% and 1.7%, respectively, of our total investment income was attributable to PIK interest income not paid currently in cash and (ii) approximately 0.7% ~~and 0.9%~~, respectively, of our total investment income was attributable to cumulative dividend income not paid currently in cash.

INVESTMENT PORTFOLIO COMPOSITION

The following tables summarize the composition of our total combined LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments at cost and fair value by type of investment as a percentage of the total combined LMM portfolio investments, Private Loan portfolio investments and Middle Market portfolio investments ~~and Private Loan portfolio investments~~ as of ~~June 30, 2021~~March 31, 2022 and December 31, ~~2020~~2021 (this information excludes the Other Portfolio, short-term portfolio investments and the External Investment Manager).


Cost:	June 30, 2021		December 31, 2020		March 31, 2022		December 31, 2021
First lien debt	80.1	%	77.0	%	83.5	%	82.5	%
Equity	17.6	%	19.0	%	15.6	%	16.2	%
Second lien debt	1.3	%	2.7	%	0.3	%	0.6	%
Equity warrants	0.4	%	0.5	%	0.2	%	0.3	%
Other	0.6	%	0.8	%	0.4	%	0.4	%
	100.0	%	100.0	%	100.0	%	100.0	%

Fair Value:

June 30, 2021

December 31, 2020

First lien debt

71.9
%
70.0
%

Equity

26.0
%
26.4
%

Second lien debt

1.1
%
2.4
%

Equity warrants

0.4
%
0.4
%

Other

0.6
%
0.8
%

100.0
%
100.0
%

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Fair Value:

March 31, 2022

December 31, 2021

First lien debt

74.8
%
74.3
%

Equity

24.3
%
24.6
%

Second lien debt

0.3
%
0.5
%

Equity warrants

0.2
%
0.2
%

Other

0.4
%
0.4
%

100.0
%
100.0
%

Our LMM portfolio investments, ~~Middle Market~~Private Loan portfolio investments and ~~Private Loan~~Middle Market portfolio investments carry a number of risks including: (1) investing in companies which may have limited operating histories and financial resources; (2) holding investments that generally are not publicly traded and which may be subject to legal and other restrictions on resale; and (3) other risks common to investing in below investment grade debt and equity investments in our Investment Portfolio. Please see “Risk Factors—Risks Related to ~~Our~~our Investments” contained in our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020~~2021 for a more complete discussion of the risks involved with investing in our Investment Portfolio.

PORTFOLIO ASSET QUALITY

We utilize an internally developed investment rating system to rate the performance of each LMM portfolio company and to monitor our expected level of returns on each of our LMM investments in relation to our expectations for the portfolio company. The investment rating system takes into consideration various factors, including each investment’s expected level of returns, the collectability of our debt investments and the ability to receive a return of the invested capital in our equity investments, comparisons to competitors and other industry participants, the portfolio company’s future outlook and other factors that are deemed to be significant to the portfolio company.

As of ~~June 30,~~March 31, 2022, our total Investment Portfolio had nine investments on non-accrual status, which comprised approximately 0.6% of its fair value and 3.1% of its cost. As of December 31, 2021, our total Investment Portfolio had nine investments on non-accrual status, which comprised approximately ~~1.2%~~0.7% of its fair value and ~~3.9% of its cost. As of December 31, 2020, our total Investment Portfolio had seven investments on non-accrual status, which comprised approximately 1.3% of its fair value and 3.6%~~3.3% of its cost.

The operating results of our portfolio companies are impacted by changes in the broader fundamentals of the United States economy. In periods during which the United States economy contracts, ~~as it did due to the impact of COVID-19,~~ it is likely that the financial results of small to mid-sized companies, like those in which we invest, could

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experience deterioration or limited growth from current levels, which could ultimately lead to difficulty in meeting their debt service requirements, to an increase in defaults on our debt investments or in realized losses on our investments and to difficulty in maintaining historical dividend payment rates and unrealized appreciation on our equity investments. Consequently, we can provide no assurance that the performance of certain portfolio companies will not be negatively impacted by future economic cycles or other conditions, which could also have a negative impact on our future results.

DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS

Comparison of the three months ended ~~June 30,~~March 31, 2022 and 2021 ~~and June 30, 2020~~


	Three Months Ended								Three Months Ended
	June 30,				Net Change				March 31,				Net Change
	2021		2020		Amount		%		2022		2021		Amount		%

	(dollars in thousands)								(dollars in thousands)
Total investment income	$	67,294	$	52,007	$	15,287	29	%	$	79,395	$	62,807	$	16,588	26	%
Total expenses		(24,899)		(20,713)		(4,186)	20	%		(27,183)		(23,050)		(4,133)	18	%
Net investment income		42,395		31,294		11,101	35	%		52,212		39,757		12,455	31	%
Net realized gain (loss) from investments		18,000		(8,584)		26,584	NM	%		3,336		(15,730)		19,066	NM
Net unrealized appreciation (depreciation) from:
Portfolio investments		44,441		13,164		31,277	NM
Net unrealized appreciation (depreciation) from investments										14,752		34,001		(19,249)	NM
Income tax benefit (provision)		(9,726)		7,495		(17,221)	NM			(5,097)		(682)		(4,415)	NM
Net increase in net assets resulting from operations	$	95,110	$	43,369	$	51,741	NM	%	$	65,203	$	57,346	$	7,857	14	%

Three Months Ended

June 30,

Net Change


2021

2020

Amount

%


(dollars in thousands, except per share amounts)

Net investment income

$
42,395

$
31,294

$
11,101

35
%

Share‑based compensation expense

2,759

2,817

(58)

(2)
%

Distributable net investment income(a)

$
45,154

$
34,111

$
11,043

32
%

Net investment income per share—Basic and diluted

$
0.62

$
0.48

$
0.14

29
%

Distributable net investment income per share—Basic and diluted(a)

$
0.66

$
0.52

$
0.14

27
%

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Three Months Ended

March 31,

Net Change


2022

2021

Amount

%


(dollars in thousands, except per share amounts)

Net investment income

$
52,212

$
39,757

$
12,455

31
%

Share‑based compensation expense

2,818

2,333

485

21
%

Distributable net investment income(a)

$
55,030

$
42,090

$
12,940

31
%

Net investment income per share—Basic and diluted

$
0.73

$
0.58

$
0.15

26
%

Distributable net investment income per share—Basic and diluted(a)

$
0.77

$
0.62

$
0.15

24
%

NM	~~Not Meaningful~~Net Change % not meaningful

(a)

Distributable net investment income is net investment income as determined in accordance with U.S. GAAP, excluding the impact of share-based compensation expense which is non-cash in nature. We believe presenting distributable net investment income and related per share amounts is useful and appropriate supplemental disclosure of information for analyzing our financial performance since share-based compensation does not require settlement in cash. However, distributable net investment income is a non-U.S. GAAP measure and should not be considered as a replacement to net investment income and other earnings measures presented in accordance with U.S. GAAP. Instead, distributable net investment income should be reviewed only in connection with such U.S. GAAP measures in analyzing our financial performance. A reconciliation of net investment income in accordance with U.S. GAAP to distributable net investment income is presented in the table above.

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Investment Income

Total investment income for the three months ended ~~June 30, 2021~~March 31, 2022 was ~~$67.3~~$79.4 million, a ~~29%~~26% increase from the ~~$52.0~~$62.8 million of total investment income for the corresponding period of ~~2020.~~2021. The following table provides a summary of the changes in the comparable period activity.


	Three Months Ended									Three Months Ended
	June 30,				Net Change					March 31,				Net Change
	2021		2020		Amount		%			2022		2021		Amount		%

		(dollars in thousands)									(dollars in thousands)
Interest income	$	45,944	$	41,574	$	4,370	11	%	(a)	$	59,441	$	43,471	$	15,970	37	%	(a)
Dividend income		18,619		7,795		10,824	139	%	(b)		16,622		17,697		(1,075)	(6)	%	(b)
Fee income		2,731		2,638		93	4	%			3,332		1,639		1,693	103	%	(c)
Total investment income	$	67,294	$	52,007	$	15,287	29	%	(c)	$	79,395	$	62,807	$	16,588	26	%	(d)

(a)

The increase in interest income iswas primarily ~~related~~due to higher average levels of Investment Portfolio debt ~~investments.~~investments following (i) net origination activity in our LMM portfolio of $348.6 million and $57.2 million for the year ended December 31, 2021 and three months ended March 31, 2022, respectively, and (ii) net origination activity in our Private Loan portfolio of $370.3 million and $114.3 million for the year ended December 31, 2021 and three months ended March 31, 2022, respectively.

(b)

The ~~increase~~decrease in dividend income from Investment Portfolio equity investments iswas primarily a result of ~~(i)~~a $2.9 million decrease related to dividend income considered to be less consistent or non-recurring, partially offset by improved operating results, financial condition and liquidity positions of certain of our portfolio ~~companies following the impacts from the COVID-19 pandemic~~companies.

(c)

The increase in ~~2020, and (ii)~~fee income was primarily related to (i) a ~~$2.6~~$1.2 million increase related to ~~elevated dividend income considered to be less consistent or non-recurring.~~higher originations of Investment Portfolio investments as discussed above and (ii) a $0.5 million increase from refinancing and prepayment of debt investments.

~~(c)~~(d)

The increase in total investment income includes a net reduction in the impact of ~~(i) a $2.6 million increase in dividend~~certain income considered less consistent or non-recurring, ~~and (ii)~~including a ~~$0.2~~$2.9 million decrease in dividend income, partially offset by a $0.7 million increase in accelerated prepayment, repricing and other activity ~~for~~related to certain Investment Portfolio debt investments.

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Expenses

Total expenses for the three months ended ~~June 30, 2021 was $24.9~~March 31, 2022 were $27.2 million, ~~a 20%~~an 18% increase from the ~~$20.7~~$23.1 million in the corresponding period of ~~2020.~~2021. The following table provides a summary of the changes in the comparable period activity.


	Three Months Ended									Three Months Ended
	June 30,				Net Change					March 31,				Net Change
	2021		2020		Amount		%			2022		2021		Amount		%

		(dollars in thousands)									(dollars in thousands)
Employee compensation expenses	$	6,287	$	3,763	$	2,524	67	%	(a)	$	7,544	$	6,072	$	1,472	24	%	(a)
Deferred compensation plan expense		608		1,039		(431)	(41)	%	(b)		(275)		246		(521)	(212)	%	(b)
Total compensation expense		6,895		4,802		2,093	44	%			7,269		6,318		951	15	%
G&A expense		3,417		3,000		417	14	%			3,226		2,975		251	8	%
Interest expense		14,400		11,898		2,502	21	%	(c)		16,687		13,804		2,883	21	%	(c)
Share-based compensation expense		2,759		2,817		(58)	(2)	%			2,818		2,333		485	21	%
Gross expenses		27,471		22,517		4,954	22	%			30,000		25,430		4,570	18	%
Allocation of expenses to the External Investment Manager		(2,572)		(1,804)		(768)	43	%	(d)		(2,817)		(2,380)		(437)	18	%
Total expenses	$	24,899	$	20,713	$	4,186	20	%		$	27,183	$	23,050	$	4,133	18	%

(a)	The increase in ~~employee~~ compensation ~~expenses was~~expense is primarily ~~due~~related to increased headcount, base compensation rates and incentive compensation ~~accruals generally corresponding with our improved operating results.~~accruals.

(b)

The change in the non-cash deferred compensation plan expense iswas due to ~~changes~~the comparable period reduction to compensation expense resulting from a decrease in the fair value of ~~our~~ deferred compensation plan assets ~~which are correlated with changes~~and corresponding liabilities in the ~~overall stock market and is not directly attributable~~first quarter of 2022 compared to ~~our operating activities or results.~~an increase in such fair value in the corresponding period of 2021.

(c)

The increase in interest expense iswas primarily related to ~~elevated~~increased leverage levels to support our investment activity. These borrowings ~~under (i) our 5.20% Notes (as defined~~include an aggregate of $500.0 million in ~~“—Liquidity and Capital Resources—Capital Resources” below), an additional $125.0 million aggregate~~ principal amount of ~~which we issued in July 2020, and (ii)~~ our 3.00% Notes (as defined in “—Liquidity and Capital Resources—Capital Resources” below) issued in January ~~2021, partially offset by decreased interest expense~~

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~~relating to our multi-year revolving credit facility (the “Credit Facility”) due to the lower average balance outstanding.~~

~~(d)~~

~~The increase in the allocation of expenses to the External Investment Manager primarily relates to the impact of the transaction in~~and October ~~2020, whereby the External Investment Manager became the sole investment adviser to MSC Income.~~2021.

Net Investment Income

Net investment income for the three months ended ~~June 30, 2021~~March 31, 2022 increased ~~35%~~31% to ~~$42.4~~$52.2 million, or ~~$0.62~~$0.73 per share, compared to net investment income of ~~$31.3~~$39.8 million, or ~~$0.48~~$0.58 per share, for the corresponding period of ~~2020.~~2021. The increase in net investment income ~~and net investment income per share~~ was principally attributable to the ~~29%~~ increase in total investment income, partially offset by ~~the 20% increase in total~~higher operating expenses, both as discussed ~~above,~~above. The increase in net investment income per share reflects these changes, and the 5%impact of the increase in weighted average shares outstanding ~~to 68.5 million~~ for the three months ended ~~June 30, 2021,~~March 31, 2022, primarily due to shares issued through the ATM Program (as defined in “—Liquidity and Capital Resources—Capital Resources” below), shares issued pursuant to our equity incentive plans and shares issued pursuant to our dividend reinvestment plan. The increase in net investment income on a per share basis includes (i) ~~an increase of $0.04~~a $0.03 per share decrease in investment income ~~from dividend income activity~~ considered ~~to be~~ less consistent or non-recurring and ~~an increase~~(ii) a decrease in ~~accelerated prepayment, repricing and other income activity related to certain Investment Portfolio debt investments, as discussed above, and (ii) an increase~~compensation expense of $0.01 per share ~~due to~~resulting from the ~~decrease in compensation expense related to our deferred compensation plan, primarily attributable to changes~~comparable period difference in the fair value of ~~the~~ deferred compensation plan ~~assets.~~assets and corresponding liabilities, both of which are discussed above.

Distributable Net Investment Income

Distributable net investment income for the three months ended ~~June 30, 2021~~March 31, 2022 increased ~~32%~~31% to ~~$45.2~~$55.0 million, or ~~$0.66~~$0.77 per share, compared with ~~$34.1~~$42.1 million, or ~~$0.52~~$0.62 per share, in the corresponding period of ~~2020.~~2021. The increase in distributable net investment income ~~and distributable net investment income per share~~ was primarily due to the increased level of total investment income, partially offset by ~~(i) the increase in total~~higher operating expenses, excluding share-based compensation expense, both as discussed above, and ~~(ii) a greater number~~the net impact of the increase in weighted average shares outstanding ~~compared~~for the three months ended March 31, 2022, primarily due to shares issued through the ~~corresponding period~~ATM Program (as defined in ~~2020, all as described above.~~“—Liquidity and Capital Resources—Capital Resources” below), shares issued pursuant to our equity incentive plans and shares issued pursuant to our dividend reinvestment plan. The increase in distributable net investment income on a per share basis includes ~~the impacts of~~ (i) ~~the increase~~a decrease in investment income ~~from dividend income activity~~ considered ~~to be~~ less consistent or non-recurring and ~~an increase in accelerated prepayment, repricing and other income activity related to certain Investment Portfolio debt investments and~~ (ii) ~~the~~a decrease in compensation expense ~~attributable to~~resulting

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from the ~~change~~comparable period difference in the fair value of ~~the~~ deferred compensation plan assets ~~during the second quarter~~and corresponding liabilities, both of ~~2021, both as~~which are discussed above.

Net Realized Gain (Loss) from Investments

The following table provides a summary of the primary components of the total net realized gain on investments of ~~$18.0~~$3.3 million for the three months ended ~~June 30, 2021:~~March 31, 2022:


	Three Months Ended June 30, 2021												Three Months Ended March 31, 2022
	Full Exits			Partial Exits			Restructures			Total			Full Exits			Partial Exits			Restructures			Other (a)		Total (a)
	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		Net Gain/(Loss)

	(dollars in thousands)												(dollars in thousands)
LMM Portfolio	$	14,729	2	$	-	-	$	-	-	$	14,729	2	$	-	-	$	-	-	$	-	-	$	(8)	$	(8)
Private Loan Portfolio														1,560	1		-	-		-	-		(31)		1,529
Middle Market Portfolio		(3,141)	1		6,153	1		-	-		3,012	2		-	-		-	-		-	-		-		-

Other Portfolio														-	-		1,531	2		-	-		240		1,771
Short-term Portfolio														-	-		-	-		-	-		44		44
Total net realized gain/(loss)	$	11,588	3	$	6,153	1	$	-	-	$	17,741	4	$	1,560	1	$	1,531	2	$	-	-	$	245	$	3,336

(a)	Other activity includes realized gains and losses from transactions involving four portfolio companies which are not considered to be significant individually or in the aggregate.

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Net Unrealized Appreciation (Depreciation)

The following table provides a summary of the total net unrealized appreciation of ~~$44.4~~$14.8 million for the three months ended ~~June 30, 2021:~~March 31, 2022:


	Three Months Ended June 30, 2021											Three Months Ended March 31, 2022
			Middle		Private									Private		Middle
	LMM(a)		Market		Loan		Other			Total		LMM(a)		Loan		Market		Other			Total

	(dollars in millions)											(dollars in millions)
Accounting reversals of net unrealized (appreciation) depreciation recognized in prior periods due to net realized (gains / income) losses recognized during the current period	$	(5.3)	$	0.6	$	—	$	—		$	(4.7)	$	0.3	$	(0.7)	$	(0.1)	$	(1.7)		$	(2.2)
Net unrealized appreciation (depreciation) relating to portfolio investments		36.4		(2.2)		5.2		9.7	(b)		49.1		20.7		3.2		(0.6)		(6.3)	(b)		17.0
Total net unrealized appreciation (depreciation) relating to portfolio investments	$	31.1	$	(1.6)	$	5.2	$	9.7		$	44.4	$	21.0	$	2.5	$	(0.7)	$	(8.0)		$	14.8

(a)	~~LMM includes~~Includes unrealized appreciation on 3324 LMM portfolio investments and unrealized depreciation on 1413 LMM portfolio investments.

(b)

~~Other includes~~Includes (i) ~~$5.1~~$7.5 million of unrealized depreciation relating to the External Investment Manager and (ii) $0.4 million of unrealized depreciation relating to the Main Street Capital Corporation Deferred Compensation Plan (see “Related Party Transactions and Agreements” below), partially offset by $1.6 million of net unrealized appreciation relating to the Other ~~Portfolio and (ii) $4.5 million of appreciation relating to the External Investment Manager.~~Portfolio.

Income Tax Benefit (Provision)

The income tax provision for the three months ended ~~June 30, 2021~~March 31, 2022 of ~~$9.7~~$5.1 million principally consisted of (i) a deferred tax provision of ~~$9.0~~$3.8 million, which is primarily the result of the net activity relating to our portfolio investments held in our ~~wholly owned taxable subsidiaries,~~Taxable Subsidiaries, including changes in loss carryforwards, changes in net unrealized appreciation/depreciation and other temporary and permanent book-tax differences, and (ii) a current tax provision of ~~$0.7~~$1.3 million related to a ~~$0.5~~$0.7 million provision for excise tax on our estimated undistributed taxable income and a $0.6 million provision for current U.S. federal and state income taxes. The income tax provision for the three months ended March 31, 2021 of $0.7 million principally consisted of a current tax provision of $0.6 million related to a $0.3 million provision for current U.S. federal and state income taxes ~~as well as~~and a ~~$0.2~~ $0.3 million provision for excise tax on our estimated undistributed taxable income. ~~The income tax benefit for the three months ended June 30, 2020~~

103

Table of $7.5 million principally consisted of a deferred tax benefit of $8.0 million, partially offset by a current tax provision of $0.6 million related to a $0.4 million provision for current U.S. federal and state income taxes, as well as a $0.2 million provision for excise tax on our estimated undistributed taxable income.Contents

Net Increase (Decrease) in Net Assets Resulting from Operations

The net increase in net assets resulting from operations for the three months ended ~~June 30, 2021~~March 31, 2022 was ~~$95.1~~$65.2 million, or ~~$1.39~~$0.91 per share, compared with ~~$43.4~~$57.3 million, or ~~$0.66~~$0.84 per share, during the three months ended ~~June 30, 2020.~~March 31, 2021. The tables above provide a summary of the reasons for the change in net increase in net assets resulting from operations for the three months ended ~~June 30, 2021.~~

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~~Comparison of the six months ended June 30, 2021 and June 30, 2020~~

Six Months Ended

June 30,

Net Change


2021

2020

Amount

%

(dollars in thousands)
Total investment income

$
130,102

$
108,156

$
21,946

20
%
Total expenses

(47,954)

(40,317)

(7,637)

19
%
Net investment income

82,148

67,839

14,309

21
%
Net realized gain (loss) from investments

2,270

(30,449)

32,719

NM

Net realized loss on extinguishment of debt

—

(534)

534

NM

Net unrealized appreciation (depreciation) from:

Portfolio investments

78,440

(181,144)

259,584

NM

SBIC debentures

—

460

(460)

NM

Total net unrealized appreciation (depreciation)

78,440

(180,684)

259,124

NM

Income tax benefit (provision)

(10,407)

15,760

(26,167)

NM

Net increase (decrease) in net assets resulting from operations

$
152,451

$
(128,068)

$
280,519

NM

Six Months Ended

June 30,

Net Change


2021

2020

Amount

%

(dollars in thousands, except per share amounts)
Net investment income

$
82,148

$
67,839

$
14,309

21
%
Share‑based compensation expense

5,092

5,654

(562)

(10)
%
Distributable net investment income(a)

$
87,240

$
73,493

$
13,747

19
%
Net investment income per share—Basic and diluted

$
1.20

$
1.04

$
0.16

15
%
Distributable net investment income per share—Basic and diluted(a)

$
1.28

$
1.13

$
0.15

13
%

NM	~~Not Meaningful~~

~~(b)~~

~~Distributable net investment income is net investment income~~March 31, 2022 as determined in accordance with U.S. GAAP, excluding the impact of share-based compensation expense which is non-cash in nature. We believe presenting distributable net investment income and related per share amounts is useful and appropriate supplemental disclosure of information for analyzing our financial performance since share-based compensation does not require settlement in cash. However, distributable net investment income is a non-U.S. GAAP measure and should not be considered as a replacement to net investment income and other earnings measures presented in accordance with U.S. GAAP. Instead, distributable net investment income should be reviewed only in connection with such U.S. GAAP measures in analyzing our financial performance. A reconciliation of net investment income in accordance with U.S. GAAP to distributable net investment income is presented in the table above.

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~~Investment Income~~

Total investment income for the six months ended June 30, 2021 was $130.1 million, a 20% increase from the $108.2 million of total investment income for the corresponding period of 2020. The following table provides a summary of the changes in the comparable period activity.

Six Months Ended

June 30,

Net Change

2021

2020

Amount

%

(dollars in thousands)

Interest Income

$
89,416

$
86,450

$
2,966

3
%
(a)
Dividend Income

36,316

15,836

20,480

129
%
(b)
Fee Income

4,370

5,870

(1,500)

(26)
%
(c)
Total Investment Income

$
130,102

$
108,156

$
21,946

20
%
(d)

~~(a)~~

~~The increase in interest income is primarily related to higher average levels of Investment Portfolio debt investments.~~

~~(b)~~

The increase in dividend income from Investment Portfolio equity investments is primarily a result of (i) improved operating results, financial condition and liquidity positions of certain of our portfolio companies following the impacts from the COVID-19 pandemic in 2020, and (ii) a $5.4 million increase related to elevated dividend income considered to be less consistent or non-recurring.

~~(c)~~

~~The decrease in fee income was primarily due to a $1.6 million decrease in fees from refinancing and prepayment of debt investments.~~

~~(d)~~

The increase in total investment income includes the impact of a $5.4 million increase in dividend income considered less consistent or non-recurring, partially offset by a $1.9 million decrease in accelerated prepayment, repricing and other activity for certain Investment Portfolio debt investments.

~~Expenses~~

Total expenses for the six months ended June 30, 2021 was $48.0 million, a 19% increase from the $40.3 million in the corresponding period of 2020. The following table provides a summary of the changes in the comparable period activity.

Six Months Ended

June 30,

Net Change

2021

2020

Amount

%

(dollars in thousands)

Employee compensation expenses

$
12,238

$
7,182

$
5,056

70
%
(a)
Deferred compensation plan expense

978

118

860

729
%
(b)
Total compensation expense

13,216

7,300

5,916

81
%

G&A expense

6,392

6,473

(81)

(1)
%

Interest expense

28,206

24,338

3,868

16
%
(c)
Share-based compensation expense

5,092

5,654

(562)

(10)
%
(d)
Gross expenses

52,906

43,765

9,141

21
%

Allocation of expenses to the external investment manager

(4,952)

(3,448)

(1,504)

44
%
(e)
Total expenses

$
47,954

$
40,317

$
7,637

19
%

~~(a)~~

~~The increase in employee compensation expenses was primarily due to incentive compensation accruals generally corresponding with our improved operating results.~~

~~(b)~~

The change in deferred compensation plan expense is due to changes in the fair value of our deferred compensation plan assets, which are correlated with changes in the overall stock market and is not directly attributable to our operating activities or results.

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~~(c)~~

The increase in interest expense is primarily related to elevated borrowings under (i) our 5.20% Notes, an additional $125.0 million aggregate principal amount of which we issued in July 2020, and (ii) our 3.00% Notes issued in January 2021, partially offset by decreased interest expense relating to our Credit Facility due to the lower average balance outstanding and the lower average interest rate.

~~(d)~~

~~The decrease in share-based compensation is primarily related to non-recurring compensation expense in the corresponding period in 2020.~~

~~(e)~~

The increase in the allocation of expenses to the External Investment Manager primarily relates to the impact of the transaction in October 2020, whereby the External Investment Manager became the sole investment adviser to MSC Income.

~~Net Investment Income~~

Net investment income for the six months ended June 30, 2021 increased 21% to $82.1 million, or $1.20 per share, compared to net investment income of $67.8 million, or $1.04 per share, for the corresponding period of 2020. The increase in net investment income and net investment income per share was principally attributable to the 20% increase in total investment income, partially offset by the 19% increase in total expenses, both as discussed above, and the 5% increase in weighted average shares outstanding to 68.3 million for the six months ended June 30, 2021, primarily due to shares issued through the ATM Program, shares issued pursuant to our equity incentive plans and shares issued pursuant to our dividend reinvestment plan. The increase in net investment income per share includes an increase of $0.08 per share in investment income from dividend income activity considered to be less consistent or non-recurring, partially offset by (i) a decrease of $0.03 per share related to lower accelerated prepayment, repricing and other activity related to certain Investment Portfolio debt investments and (ii) a decrease of $0.01 per share due to the increase in compensation expense primarily attributable to changes in the fair value of the deferred compensation plan assets.

~~Distributable Net Investment Income~~

Distributable net investment income for the six months ended June 30, 2021 increased 19% to $87.2 million, or $1.28 per share, compared with $73.5 million, or $1.13 per share, in the corresponding period of 2020. The increase in distributable net investment income and distributable net investment income per share was primarily due to the increased level of total investment income, partially offset by (i) the increase in total expenses, excluding share-based compensation expense, and (ii) a greater number of average shares outstanding compared to the corresponding period in 2020, all as described above. The increase in distributable net investment income per share includes the impacts of the increase in investment income from dividend income activity considered to be less consistent or non-recurring, partially offset by a decrease in accelerated prepayment, repricing and other income activity and the increase in compensation expense attributable to the change in the fair value of the deferred compensation plan assets, as discussed above.

~~Net Realized Gain (Loss) from Investments~~

~~The following table provides a summary of the primary components of the total net realized gain on investments of $2.3 million for the six~~three months ended ~~June 30, 2021:~~

Six Months Ended June 30, 2021

Full Exits

Partial Exits

Restructures

Total

Net Gain/(Loss)

# of Investments

Net Gain/(Loss)

# of Investments

Net Gain/(Loss)

# of Investments

Net Gain/(Loss)

# of Investments

(dollars in thousands)
LMM Portfolio

$
14,729

2

$
-

-

$
(10,925)

1

$
3,804

3
Middle Market Portfolio

(4,243)

2

6,153

1

-

-

1,910

3
Other Portfolio

(4,449)

1

777

1

-

-

(3,672)

2

Total net realized gain/(loss)

$
6,037

5

$
6,930

2

$
(10,925)

1

$
2,042

8

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~~Net Unrealized Appreciation (Depreciation)~~

~~The following table provides a summary of the total net unrealized appreciation of $78.4 million for the six months ended June 30, 2021:~~

Six Months Ended June 30, 2021

Middle

Private


LMM(a)

Market

Loan

Other

Total

(dollars in millions)
Accounting reversals of net unrealized appreciation recognized in prior periods due to net realized losses recognized during the current period

$
3.7

$
1.7

$
—

$
4.4

$
9.8
Net unrealized appreciation relating to portfolio investments

45.8

3.4

7.7

11.7
(b)

68.6
Total net unrealized appreciation relating to portfolio investments

$
49.5

$
5.1

$
7.7

$
16.1

$
78.4

~~(a)~~

~~LMM includes unrealized appreciation on 38 LMM portfolio investments and unrealized depreciation on 22 LMM portfolio investments.~~

~~(b)~~

~~Other includes (i) $6.7 million of net unrealized appreciation relating to the Other Portfolio and (ii) $5.0 million of net appreciation relating to the External Investment Manager.~~

~~Income Tax Benefit (Provision)~~

The income tax provision for the six months ended June 30, 2021 of $10.4 million principally consisted of (i) a deferred tax provision of $9.1 million, which is primarily the result of the net activity relating to our portfolio investments held in our wholly owned taxable subsidiaries, including changes in loss carryforwards, changes in net unrealized appreciation/depreciation and other temporary book-tax differences and (ii) a current tax provision of $1.3 million, related to a $0.8 million provision for current U.S. federal and state income taxes and a $0.5 million provision for excise tax on our estimated undistributed taxable income. The income tax benefit for the six months ended June 30, 2020 of $15.8 million principally consisted of a deferred tax benefit of $16.0 million, partially offset by a current tax provision of $0.3 million, primarily related to a $0.4 million provision for current U.S. federal and state income taxes.

~~Net Increase (Decrease) in Net Assets Resulting from Operations~~

The net increase in net assets resulting from operations for the six months ended June 30, 2021 was $152.5 million, or $2.23 per share, compared with a net decrease of $128.1 million, or $1.97 per share, during the six months ended June 30, 2020. The tables above provide a summary of the net increase in net assets resulting from operations for the six months ended June 30,March 31, 2021.

Liquidity and Capital Resources

This “Liquidity and Capital Resources” section should be read in conjunction with the “COVID-19 Update” section above.

Cash Flows

For the ~~six~~three months ended ~~June 30, 2021,~~March 31, 2022, we realized a net ~~increase~~decrease in cash and cash equivalents of ~~$26.9~~$14.7 million, which is the net result of ~~$108.2~~$49.7 million of cash used in our operating activities, ~~and $135.1~~partially offset by $35.0 million of cash provided by our financing activities.

The ~~$108.2~~$49.7 million of cash used in our operating activities resulted primarily from (i) cash uses totaling ~~$520.7~~$315.4 million for the funding of new and follow-on portfolio company investments and settlement of accruals for portfolio investments existing as of December 31, ~~2020,~~2021 and (ii) $23.8 million related to changes in other assets and liabilities, partially offset by (i) cash proceeds totaling ~~$335.2~~$238.9 million from the sales

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and repayments of debt investments and sales of and return on capital from equity investments and (ii) cash flows that we generated from the operating profits earned totaling ~~$34.7~~$50.6 million, which is our distributable net investment income, excluding the non-cash effects of the accretion of unearned income, payment-in-kind interest income, cumulative dividends and the amortization expense for deferred financing ~~costs, and (iii) cash proceeds of $42.6 million related to changes in other assets and liabilities.~~costs.

The ~~$135.1~~$35.0 million of cash provided by our financing activities principally consisted of (i) ~~$300.0 million in cash proceeds from the issuance of the 3.00% Notes (ii) $52.2 million in cash proceeds from the issuance of SBIC debentures and (iii) $13.0~~$63.5 million in net cash proceeds from our ATM Program (described below) and direct stock purchase plan and (ii) $18.0 million in net proceeds from the Credit Facility, partially offset by ~~(i) $100.0 million in net repayments on the Credit Facility, (ii) $76.2~~$46.5 million in cash dividends paid to stockholders, (iii) $40.0 million in repayment of SBIC debentures, (iv) $9.5 million for debt issuance costs, SBIC debenture fees and other costs, and (v) $4.5 million for purchases of vested restricted stock from employees to satisfy their tax withholding requirements upon the vesting of such restricted stock.stockholders.

Capital Resources

As of ~~June 30, 2021,~~March 31, 2022, we had ~~$58.8~~$18.0 million in cash and cash equivalents and ~~$686.0~~$517.0 million of unused capacity under the Credit Facility, before considering the accordion feature discussed below, which we maintain to support our investment and operating activities. As of ~~June 30, 2021,~~March 31, 2022, our net asset value totaled ~~$1,604.8~~$1,873.7 million, or ~~$23.42~~$25.89 per share.

The Credit Facility provides additional liquidity to support our investment and operational activities. As of ~~June 30, 2021,~~March 31, 2022, the Credit Facility included total commitments of $855.0 million from a diversified group of 18 lenders, held a maturity date in April 2026 and contained an accordion feature which allowed us to increase the total commitments under the facility to up to ~~$1,200.0 million~~$1.2 billion from new and existing lenders on the same terms and conditions as the existing commitments. As of ~~June 30, 2021,~~March 31, 2022, borrowings under the Credit Facility bore interest, subject to our election and resetting on a monthly basis on the first of each month, on a per annum basis at a rate equal to the applicable LIBOR rate ~~(0.1%~~(0.2% as of ~~June 30, 2021)~~the most recent reset date for the period ended March 31, 2022) plus (i) 1.875% (or the applicable base rate (Prime Rate of ~~3.25%~~3.50% as of ~~June 30, 2021)~~March 31, 2022) plus 0.875%) as long as we meet certain agreed upon excess collateral and maximum leverage requirements or (ii) 2.0% (or the applicable base rate plus 1.0%) otherwise. We pay unused commitment fees of 0.25% per annum on the unused lender commitments under the Credit Facility. The Credit Facility is secured by a first lien on the assets of MSCC and its subsidiaries, excluding the equity ownership or assets of the Funds and the External Investment Manager. As of ~~June 30, 2021,~~March 31, 2022, the Credit Facility contained certain affirmative and negative covenants, including but not limited to: (i) maintaining minimum liquidity, (ii) maintaining an interest coverage ratio of at least 2.0 to 1.0, (iii) maintaining ana 1940 Act asset coverage ratio ~~(tangible net worth to Credit Facility borrowings)~~ of at least 1.5 to 1.0, (iv) maintaining a minimum tangible net worth and (v) maintaining a minimum asset coverage ratio of 200% with respect to the consolidated assets (with certain limitations on the contribution of equity in financing subsidiaries as specified therein) of MSCC and the guarantors under the Credit Facility to the secured debt of MSCC and the guarantors. As of ~~June 30, 2021,~~March 31, 2022, we had ~~$169.0~~$338.0 million in borrowings outstanding under the Credit Facility, the

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interest rate on the Credit Facility was ~~2.0%~~2.1% (based on the LIBOR rate of ~~0.1%~~0.2% as of the most recent reset date of ~~June~~March 1, ~~2021~~2022 plus 1.875%) and we were in compliance with all financial covenants of the Credit Facility.

Through the Funds, we have the ability to issue SBIC debentures guaranteed by the SBA at favorable interest rates and favorable terms and conditions. Under existing SBIC regulations, SBA-approved SBICs under common control have the ability to issue debentures guaranteed by the SBA up to a regulatory maximum amount of $350.0 million. Under existing SBA-approved commitments, we had ~~$322.0~~$350.0 million of outstanding SBIC debentures guaranteed by the SBA as of ~~June 30, 2021~~March 31, 2022 through our wholly owned SBICs, which bear a weighted-average annual fixed interest rate of approximately 2.9%, paid semiannually, and mature ten years from issuance. The first maturity related to our SBIC debentures occurs in 2023, and the weighted-average remaining duration is approximately ~~6.3~~5.9 years as of June 30, 2021. During the six months ended June 30, 2021, Main Street issued $52.2 million of SBIC debentures and opportunistically prepaid $40.0 million of existing SBIC debentures that were scheduled to mature over the next year as part of an effort to manage the maturity dates of the oldest SBIC debentures.March 31, 2022. Debentures guaranteed by the SBA have fixed interest rates that equal prevailing 10-year Treasury Note rates plus a market spread and have a maturity of ten years with interest payable semiannually. The principal amount of the debentures is not required to be paid before maturity, but may be pre-paid at any time with no prepayment penalty. We expect to ~~issue new~~maintain SBIC debentures under the SBIC program in the future, subject to periodic repayments and borrowings, in an amount up to the regulatory maximum amount for affiliated SBIC funds.

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In November 2017, we issued $185.0 million in aggregate principal amount of 4.50% unsecured notes due December 1, 2022 (the “4.50% ~~Notes due 2022”~~Notes”) at an issue price of 99.16%. The 4.50% Notes ~~due 2022~~ are unsecured obligations and rank pari passu with our current and future unsecured obligations and rank pari passu with our current and future unsecured indebtedness; senior to any of our future indebtedness that expressly provides it is subordinated to the 4.50% ~~Notes due 2022;~~Notes; effectively subordinated to all of our existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under our Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of our subsidiaries, including without limitation, the indebtedness of the Funds. The 4.50% Notes ~~due 2022~~ may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions. The 4.50% Notes ~~due 2022~~ bear interest at a rate of 4.50% per year payable semiannually on June 1 and December 1 of each year. We may from time to time repurchase the 4.50% Notes ~~due 2022~~ in accordance with the 1940 Act and the rules promulgated thereunder. As of ~~June 30, 2021,~~March 31, 2022, the outstanding principal balance of the 4.50% Notes ~~due 2022~~ was $185.0 million.

The indenture governing the 4.50% Notes ~~due 2022~~ (the “4.50% Notes Indenture”) contains certain covenants, including covenants requiring our compliance with (regardless of whether we are subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring us to provide financial information to the holders of the 4.50% Notes ~~due 2022~~ and the trustee if we cease to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 4.50% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, we were in compliance with these covenants.

In April 2019, we issued $250.0 million in aggregate principal amount of 5.20% unsecured ~~Notes~~notes due May 1, 2024 (the “5.20% Notes”) at an issue price of 99.125%. Subsequently, in December 2019, we issued an additional $75.0 million in aggregate principal amount of the 5.20% Notes at an issue price of 105.0%. Also, in July 2020, we issued an additional $125.0 million in aggregate principal amount of the 5.20% Notes at an issue price of 102.674%. The 5.20% Notes issued in December 2019 and July 2020 have identical terms as, and are a part of a single series with, the 5.20% Notes issued in April 2019. The aggregate net proceeds from the 5.20% Notes issuances were used to repay a portion of the borrowings outstanding under the Credit Facility. The 5.20% Notes are unsecured obligations and rank pari passu with our current and future unsecured indebtedness; senior to any of our future indebtedness that expressly provides it is subordinated to the 5.20% Notes; effectively subordinated to all of our existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under our Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of our subsidiaries, including without limitation, the indebtedness of the Funds. The 5.20% Notes may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions. The 5.20% Notes bear interest at a rate of 5.20% per year payable semiannually on May 1 and November 1 of each year. We may from time to time repurchase the 5.20% Notes in accordance with the 1940 Act and the rules promulgated thereunder. As of ~~June 30, 2021,~~March 31, 2022, the outstanding principal balance of the 5.20% Notes was $450.0 million.

The indenture governing the 5.20% Notes (the “5.20% Notes Indenture”) contains certain covenants, including covenants requiring our compliance with (regardless of whether we are subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring us to

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provide financial information to the holders of the 5.20% Notes and the trustee if we cease to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 5.20% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, we were in compliance with these covenants.

In January 2021, we issued $300.0 million in aggregate principal amount of 3.00% unsecured notes due July 14, 2026 (the “3.00% Notes”) at an issue price of 99.004%. ~~The total net proceeds from~~In October 2021, we issued an additional $200.0 million in aggregate principal amount of the 3.00% Notes ~~resulting from the~~at an issue price of 101.741%. The 3.00% Notes issued in October 2021 have identical terms as, and ~~after underwriting discounts and estimated offering expenses payable, were approximately $294.8 million.~~are a part of a single series with, the 3.00% Notes issued in January 2021. The 3.00% Notes are unsecured obligations and rank pari passu with our current and future unsecured indebtedness; senior to any of ~~its~~our future indebtedness that expressly provides it is subordinated to the 3.00% Notes; effectively subordinated to all of ~~its~~our existing and future secured indebtedness, to the extent of the value of the assets securing such indebtedness, including borrowings under ~~its~~our Credit Facility; and structurally subordinated to all existing and future indebtedness and other obligations of any of ~~its~~our subsidiaries, including without limitation, the indebtedness of the Funds. The 3.00% Notes may be redeemed in whole or in part at any time at our option subject to certain make whole provisions. The 3.00% Notes bear interest at a rate of 3.00% per year payable semiannually on January 14 and July 14 of each year. We may from time to time repurchase the 3.00% Notes in accordance with the 1940 Act and the

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rules promulgated thereunder. As of ~~June 30, 2021,~~March 31, 2022, the outstanding principal balance of the 3.00% Notes was ~~$300.0~~$500.0 million.

The indenture governing the 3.00% Notes (the “3.00% Notes Indenture”) contains certain covenants, including covenants requiring our compliance with (regardless of whether we are subject to) the asset coverage requirements set forth in Section 18(a)(1)(A) as modified by Section 61(a)(1) of the 1940 Act, as well as covenants requiring us to provide financial information to the holders of the 3.00% Notes and the trustee if we cease to be subject to the reporting requirements of the Exchange Act. These covenants are subject to limitations and exceptions that are described in the 3.00% Notes Indenture. As of ~~June 30, 2021,~~March 31, 2022, we were in compliance with these covenants.

We maintain a program with certain selling agents through which we can sell shares of our common stock by means of at-the-market offerings from time to time (the “ATM Program”). During the ~~six~~three months ended ~~June 30, 2021,~~March 31, 2022, we sold ~~341,522~~1,499,577 shares of our common stock at a weighted-average price of ~~$38.14~~$42.82 per share and raised ~~$13.0~~$64.2 million of gross proceeds under the ATM Program. Net proceeds were ~~$12.7~~$63.4 million after commissions to the selling agents on shares sold and offering costs. As of ~~June 30, 2021, 5,371,850~~March 31, 2022, sales transactions representing 118,227 shares had not settled and are not included in shares issued and outstanding on the face of the consolidated balance sheet but are included in the weighted average shares outstanding in the consolidated statement of operations and in the shares used to calculate net asset value per share. During the three months ended March 31, 2022, we entered into new distribution agreements to sell up to 15,000,000 shares through the ATM Program. As of March 31, 2022, 14,370,489 shares remained available for sale under the ATM Program.

During the year ended December 31, ~~2020,~~2021, we sold ~~2,645,778~~2,332,795 shares of our common stock at a weighted-average price of ~~$32.10~~$42.71 per share and raised ~~$84.9~~$99.6 million of gross proceeds under the ATM Program. Net proceeds were ~~$83.8~~$98.4 million after commissions to the selling agents on shares sold and offering costs.

We anticipate that we will continue to fund our investment activities through existing cash and cash equivalents, cash flows generated through our ongoing operating activities, utilization of available borrowings under our Credit Facility, and a combination of future issuances of debt and equity capital. Our primary uses of funds will be investments in portfolio companies, operating expenses and cash distributions to holders of our common stock.

We periodically invest excess cash balances into marketable securities and idle funds investments. The primary investment objective of marketable securities and idle funds investments is to generate incremental cash returns on excess cash balances prior to utilizing those funds for investment in our LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolio investments. Marketable securities and idle funds investments generally consist of debt investments, independently rated debt investments, certificates of deposit with financial institutions, diversified bond funds and publicly traded debt and equity investments. We may also invest in short-term portfolio investments that are atypical of our LMM, Private Loan and Middle Market ~~and Private Loan~~ portfolio investments in that they are intended to be a short-term deployment of capital and are more liquid than investments within the other portfolios. Short-term portfolio investments consist primarily of investments in secured debt investments and independently rated debt investments.

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If our common stock trades below our net asset value per share, we will generally not be able to issue additional common stock at the market price, unless our stockholders approve such a sale and our Board of Directors makes certain determinations. We did not seek stockholder authorization to sell shares of our common stock below the then current net asset value per share of our common stock at our ~~2021~~2022 annual meeting of stockholders, and have not sought such authorization since 2012, because our common stock price per share has generally traded significantly above the net asset value per share of our common stock since 2011. We would therefore need future approval from our stockholders to issue shares below the then current net asset value per share.

In order to satisfy the Code requirements applicable to a RIC, we intend to distribute to our stockholders, after consideration and application of our ability under the Code to carry forward certain excess undistributed taxable income from one tax year into the next tax year, substantially all of our taxable income.

In addition, as a BDC, we generally are required to meet a coverage ratio, or BDC asset coverage ratio, of total assets to total senior securities, which include borrowings and any preferred stock we may issue in the future, of at least 200% (or 150% if certain requirements are met). ~~This requirement limits the amount that we may borrow.~~ In January 2008, we received an exemptive order from the SEC to exclude SBA-guaranteed debt securities issued by the Funds and any other wholly owned subsidiaries of ours which operate as SBICs from the BDC asset coverage ~~requirements of the 1940 Act as applicable to us,~~ratio, which, in turn, enables us to fund more investments with debt capital.

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~~Table~~ In May 2022, our stockholders also approved the application of ~~Contents~~the reduced BDC asset coverage ratio. As a result, the BDC asset coverage ratio applicable to us decreased from 200% to 150% effective May 3, 2022. As of March 31, 2022, our BDC asset coverage ratio was 227%.

Although we have been able to secure access to additional liquidity, including through the Credit Facility, public debt issuances, leverage available through the SBIC program and equity offerings, there is no assurance that debt or equity capital will be available to us in the future on favorable terms, or at all.

Recently Issued or Adopted Accounting Standards

See “Note B.13 – Recently Issued or Adopted Accounting Standards” to the consolidated financial statements included in this Quarterly Report on Form 10-Q for a discussion of recently issued or adopted accounting standards.

From time to time, new accounting pronouncements are issued by the FASB or other standards setting bodies that are adopted by us as of the specified effective date. We believe that the impact of recently issued standards and any that are not yet effective will not have a material impact on our consolidated financial statements upon adoption. For a description of recently issued or adopted accounting standards, see “Note B.13 – Recently Issued or Adopted Accounting Standards” to the consolidated financial statements included in this Quarterly Report on Form 10-Q.

Inflation

Inflation has not historically had a significant effect on our results of operations in any of the reporting periods presented herein. However, our portfolio companies have experienced, specifically including over the last few quarters as a result of the COVID-19 pandemic, recent geopolitical events and the related supply chain and labor issues, and may incontinue to experience, the ~~future experience, the~~increasing impacts of inflation on their operating results, including periodic escalations in their costs for labor, raw materials and third-party services and required energy consumption. These issues and challenges related to inflation are receiving significant attention from our investment teams and the management teams of our portfolio companies as we work to manage these growing challenges. Prolonged or more severe impacts of inflation to our portfolio companies could continue to impact their operating profits and, thereby, increase their borrowing costs, and as a result negatively impact their ability to service their debt obligations and/or reduce their available cash for distributions. In addition, these factors could have a negative impact on the fair value of our investments in these portfolio companies. The combined impacts of these impacts in turn could negatively affect our results of operations.

Off-Balance Sheet Arrangements

We may be a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financial needs of our portfolio companies. These instruments include commitments to extend credit and fund equity capital and involve, to varying degrees, elements of liquidity and credit risk in excess of the amount recognized in the balance sheet. At ~~June 30, 2021,~~March 31, 2022, we had a total of ~~$149.4~~$272.2 million in outstanding commitments comprised of (i) ~~fifty-two~~72 investments with commitments to fund revolving loans that had not been fully drawn or term loans with additional commitments not yet funded and (ii) ten investments with equity capital commitments that had not been fully called.

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Contractual Obligations

As of ~~June 30, 2021,~~March 31, 2022, the future fixed commitments for cash payments in connection with our SBIC debentures, the 4.50% Notes, ~~due 2022,~~ the 5.20% Notes, the 3.00% Notes and rent obligations under our office lease for each of the next five years and thereafter are as follows (dollars in thousands):


	2021		2022		2023		2024		2025		Thereafter		Total		2022		2023		2024		2025		2026		Thereafter		Total
3.00% Notes due 2026															$	—	$	—	$	—	$	—	$	500,000	$	—	$	500,000
Interest due on 3.00% Notes due 2026																7,517		15,000		15,000		15,000		15,000		—		67,517
5.20% Notes due 2024																—		—		450,000		—		—		—		450,000
Interest due on 5.20% Notes due 2024																23,400		23,400		11,700		—		—		—		58,500
SBIC debentures	$	—	$	—	$	16,000	$	63,800	$	—	$	242,200	$	322,000		—		16,000		63,800		—		—		270,200		350,000
Interest due on SBIC debentures		4,675		9,805		9,574		8,129		6,903		20,870		59,956		5,166		9,899		8,455		7,228		7,228		15,565		53,541
4.50% Notes due 2022		—		185,000		—		—		—		—		185,000		185,000		—		—		—		—		—		185,000
Interest due on 4.50% Notes due 2022		4,163		8,325		—		—		—		—		12,488		8,325		—		—		—		—		—		8,325
5.20% Notes due 2024		—		—		—		450,000		—		—		450,000
Interest due on 5.20% Notes due 2024		11,700		23,400		23,400		11,700		—		—		70,200
3.00% Notes due 2026		—		—		—		—		—		300,000		300,000
Interest due on 3.00% Notes due 2026		4,550		9,000		9,000		9,000		9,000		9,000		49,550
Operating Lease Obligation (1)		389		790		804		818		832		1,778		5,411		593		804		818		832		846		933		4,826
Total	$	25,477	$	236,320	$	58,778	$	543,447	$	16,735	$	573,848	$	1,454,605	$	230,001	$	65,103	$	549,773	$	23,060	$	523,074	$	286,698	$	1,677,709

(1)	Operating Lease Obligation means a rent payment obligation under a lease classified as an operating lease and disclosed pursuant to ASC 842, as may be modified or supplemented.

As of ~~June 30, 2021,~~March 31, 2022, we had ~~$169.0~~$338.0 million in borrowings outstanding under our Credit Facility, and the Credit Facility ~~was~~is scheduled to mature in April 2026.

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Related Party Transactions and Agreements

As discussed further above, the External Investment Manager is treated as a wholly owned portfolio company of MSCC and is included as part of our Investment Portfolio. At ~~June 30, 2021,~~March 31, 2022, we had a receivable of ~~$4.2~~approximately $5.7 million due from the External Investment Manager, which included ~~$3.0~~$3.5 million related primarily to operating expenses incurred by us as required to support the External Investment Manager’s business and amounts due from the External Investment Manager to Main Street under a tax sharing agreement (see further discussion in ~~Note~~“Note B.9 – Income Taxes” and ~~Note~~“Note D – External Investment Manager” in the notes to the consolidated financial statements) and ~~$1.3~~$2.3 million of dividends declared but not paid by the External Investment Manager. We have entered into an agreement with the External Investment Manager to share employees in connection with its asset management business generally, and specifically for the External Investment Manager’s relationship with MSC Income and its other clients. See “Note A.1 – Organization” and “Note D – External Investment Manager” in the notes to the consolidated financial statements for more information regarding the External Investment Manager.

From time to time, we may make investments in clients of the External Investment Manager in the form of debt or equity capital on terms approved by our Board of Directors. In January 2021, we entered into a Term Loan Agreement with MSC Income (the “Term Loan Agreement”). The Term Loan Agreement was unanimously approved by our Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act and the board of directors of MSC Income, including each director who is not an “interested person” of MSC Income or the External Investment Manager. The Term Loan Agreement ~~provides~~initially provided for a term loan of $40.0 million to MSC Income, bearing interest at a fixed rate of 5.00% per annum, and ~~matures~~maturing in January 2026. The Term Loan Agreement was amended in July 2021 to provide for borrowings up to an additional $35.0 million, $20.0 million of which was funded upon signing of the amendment and $15.0 million available in two additional advances during the six months following the amendment date. Borrowings under the Term Loan Agreement ~~are~~were expressly subordinated and junior in right of payment to all secured indebtedness of MSC Income. In October 2021, MSC Income ~~and are subject to a two-year no-call period that expires on January 27, 2023.~~ ~~See~~ ~~Recent Developments~~ ~~for discussion of the recent amendment and increased commitments~~fully repaid all borrowings outstanding under the Term Loan Agreement ~~made subsequent~~and the Term Loan Agreement was extinguished.

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In May 2022, we purchased 94,697 shares of common stock of MSC Income from MSC Income at the price shares were purchased by MSC Income stockholders pursuant to ~~June 30, 2021.~~MSC Income’s dividend reinvestment plan for its May dividend on such date. In addition, certain of our officers and employees own shares of MSC Income and therefore have direct pecuniary interests in MSC Income. As of March 31, 2022, we did not own any shares of MSC Income. Our purchase of MSC Income common stock was unanimously approved by the Board and MSC Income’s board of directors, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act, of each board.

In December 2020, the External Investment Manager entered into an Investment Management Agreement with the Private Loan Fund, pursuant to which the External Investment Manager provides investment advisory and management services to the Private Loan Fund in exchange for an asset-based fee and certain incentive fees. The Private Loan Fund is a private investment fund exempt from registration under the 1940 Act that ~~invests~~co-invests with Main Street in ~~debt investments in middle market companies generally with EBITDA between $7.5 million and $50 million and generally owned by a private equity sponsor, which we generally refer to as~~Main Street’s Private Loan ~~investments.~~investment strategy. In connection with the Private Loan Fund’s initial closing in December 2020, we committed to contribute up to $10.0 million as a limited partner and will be entitled to distributions on such interest. In February 2022, Main Street increased its total commitment to the Private Loan Fund from $10.0 million to $15.0 million. In addition, certain of our officers and employees (and certain of their immediate family members) have made capital commitments to the Private Loan Fund as limited partners and therefore have direct pecuniary interests in the Private Loan Fund. As of March 31, 2022, we have funded approximately $7.5 million of our limited partner commitment and our unfunded commitment was approximately $7.5 million. Our limited partner commitment to the Private Loan Fund was unanimously approved by our Board of Directors, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 Act.

Additionally, we ~~have~~ provided the Private Loan Fund with a revolving line of credit pursuant to an Unsecured Revolving Promissory Note, dated February 5, 2021 ~~(the “Private Loan~~and was subsequently amended on November 30, 2021 and on December 29, 2021 (as amended, the “PL Fund ~~Loan”~~2021 Note”), in an aggregate amount equal to the amount of limited partner capital commitments to the Private Loan Fund up to ~~$50.0~~$85.0 million. Borrowings under the ~~Private Loan~~PL Fund ~~Loan bear~~2021 Note bore interest at a fixed rate of 5.00% per annum and ~~will mature~~matured on ~~the earlier of June 30, 2022 and the date of the Private Loan Fund’s final closing.~~ February 28, 2022. The ~~Private Loan~~PL Fund ~~Loan~~2021 Note was unanimously approved by our Board of Directors, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19) of the 1940 ~~Act and the board of directors of~~Act. In February 2022, the Private Loan Fund fully repaid all borrowings outstanding under the PL Fund 2021 Note and the PL Fund 2021 Note was extinguished.

In March 2022, we provided the Private Loan Fund with a new revolving line of credit pursuant to a Secured Revolving Promissory Note, dated March 17, 2022 (the “PL Fund 2022 Note”), which provides for borrowings up to $10.0 million. Borrowings under the PL Fund 2022 Note bear interest at a fixed rate of 5.00% per annum and mature on date upon which the Private Loan Fund’s investment period concludes, which is scheduled to occur in March 2026. Available borrowings under the PL Fund 2022 Note are subject to a 0.25% non-use fee. The PL Fund 2022 Note was unanimously approved by our Board of Directors, including each director who is not an “interested ~~person”~~person,” as such term is defined in Section 2(a)(19) of the ~~Private Loan~~1940 Act. As of March 31, 2022, there were no borrowings outstanding under the PL Fund ~~or the External Investment Manager.~~2022 Note.

In November 2015, our Board of Directors approved and adopted the Main Street Capital Corporation Deferred Compensation Plan (the “2015 Deferred Compensation Plan”). The 2015 Deferred Compensation Plan became effective on January 1, 2016 and replaced the Deferred Compensation Plan for Non-Employee Directors previously adopted by the Board of Directors in June 2013 (the “2013 Deferred Compensation Plan”). Under the 2015 Deferred Compensation Plan, non-employee directors and certain key employees may defer receipt of some or all of their cash compensation and directors’ fees, subject to certain limitations. Individuals participating in the 2015 Deferred Compensation Plan receive distributions of their respective balances based on predetermined payout schedules or other events as defined by the plan and are also able to direct investments made on their behalf among investment alternatives permitted from time to time under the plan, including phantom Main Street stock units. As of ~~June 30, 2021, $14.3~~March 31, 2022, $16.5 million of compensation and dividend reinvestments, plus net of unrealized gains and losses and investment income and minus distributions had been deferred under the 2015 Deferred Compensation Plan (including amounts previously deferred under the 2013 Deferred Compensation Plan). Of this amount, ~~$6.5~~$7.3 million had been deferred into phantom Main Street stock units, representing ~~157,054~~162,040 shares of ~~Main Street’s~~our common stock. Any amounts deferred under the plan represented by phantom Main Street stock units will not be issued or included as outstanding on the consolidated statements of changes in net assets until such shares are actually distributed to the participant in accordance with the plan, but the related phantom stock units are included in ~~weighted-average~~weighted average shares outstanding with the related dollar amount of the deferral included in total expenses in Main Street’s consolidated statements of operations as earned. The dividend amounts related to additional phantom ~~stock units~~

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stock units are included in the statements of changes in net assets as an increase to dividends to stockholders offset by a corresponding increase to additional paid-in capital.

Recent Developments

~~During August 2021,~~In May 2022, we declared a supplemental cash dividend of $0.075 per share payable in June 2022. This supplemental cash dividend is in addition to the previously announced regular monthly cash dividends that we declared for the second quarter of 2022 of $0.215 per share for each of April, May and June 2022.

In May 2022, we also declared regular monthly dividends of ~~$0.210~~$0.215 per share for each month of ~~October, November~~July, August and ~~December~~September of ~~2021.~~2022. These regular monthly dividends equal a total of ~~$0.630~~$0.645 per share for the ~~fourth~~third quarter of ~~2021,~~2022, representing a ~~2.4%~~4.9% increase from the regular monthly dividends paid in the ~~fourth~~third quarter of ~~2020.~~2021. Including the regular monthly and supplemental dividends declared for the ~~third~~second and ~~fourth~~third quarters of ~~2021,~~2022, we will have paid ~~$32.075~~$34.26 per share in cumulative dividends since our October 2007 initial public offering.

In July 2021, we amended the Term Loan Agreement with MSC Income (the “July 2021 Term Loan”) to provide for up to an additional $35.0 million of borrowings on substantially the same terms as the Term Loan Agreement, $20.0 million of which was funded at the time of closing and with up to $15.0 million available to MSC IncomeAs previously disclosed, in ~~two equal delayed draws until January 27, 2022.~~ ~~The July 2021 Term Loan was~~February 2022, our Board unanimously approved ~~by our Board, including each director who is not an “interested person,” as such term is defined in Section 2(a)(19)~~the application of the ~~1940 Act, and~~reduced BDC asset coverage ratio, effective as of February 23, 2023 unless approved earlier by a vote of our stockholders. At our 2022 annual meeting of stockholders (the “Annual Meeting”) on May 2, 2022, our stockholders approved the ~~board~~application of ~~directors~~the reduced BDC asset coverage ratio, effective the day after the Annual Meeting. As a result, the BDC asset coverage ratio applicable to us decreased from 200% to 150% effective May 3, 2022. As of ~~MSC Income, including each director who is not an “interested person” of MSC Income or the External Investment Manager~~March 31, 2022, our asset coverage ratio was 227%.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

We are subject to financial market risks, including changes in interest rates, and changes in interest rates may affect both our interest expense on the debt outstanding under our Credit Facility and our interest income from portfolio investments. Our risk management systems and procedures are designed to identify and analyze our risk, to set appropriate policies and limits and to continually monitor these risks. Our investment income will be affected by changes in various interest rates, including LIBOR and prime rates, to the extent that any debt investments include floating interest rates. See “Risk Factors—Risks ~~Relating~~Related to ~~Our~~our Investments — Changes relating to the LIBOR calculation process, the phase-out of LIBOR and the use of replacement rates for LIBOR may adversely affect the value of our portfolio securities.”, “Risk Factors — Risks ~~Relating~~Related to ~~Our~~our Investments — ~~Changes~~We are subject to risks associated with the current interest rate environment and changes in interest rates ~~may~~will affect our cost of capital, net investment income and the value of our investments.” and “Risk Factors — Risks ~~Relating~~Related to ~~Our Debt Financing~~Leverage — Because we borrow money, the potential for gain or loss on amounts invested in us is magnified and may increase the risk of investing in us.” included in our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020~~2021 for more information regarding risks associated with our debt investments and borrowings that utilize LIBOR as a reference rate.

The majority of our debt investments are made with either fixed interest rates or floating rates that are subject to contractual minimum interest rates for the term of the investment. As of ~~June 30, 2021,~~March 31, 2022, approximately ~~70.4%~~73% of our debt investment portfolio (at cost) bore interest at floating rates, ~~86.1%~~93% of which were subject to contractual minimum interest rates. Our interest expense will be affected by changes in the published LIBOR rate in connection with our Credit Facility; however, the interest rates on our outstanding SBIC debentures, ~~3.00% Notes,~~ 4.50% Notes, ~~due 2022~~5.20% Notes and ~~5.20%~~3.00% Notes, which collectively comprise the majority of our outstanding debt, are fixed for the life of such debt. As of ~~June 30, 2021,~~March 31, 2022, we had not entered into any interest rate hedging arrangements. Due to our limited use of derivatives, we have claimed an exclusion from the definition of the term “commodity pool operator” under the Commodity Exchange Act and, therefore, are not subject to registration or regulation as a pool operator under such Act. The following table

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shows the approximate annualized increase or decrease in the components of net investment income due

110

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to hypothetical base rate changes in interest rates, assuming no changes in our investments and borrowings as of ~~June 30, 2021.~~March 31, 2022.


	Increase		(Increase)		Increase		Increase		Increase		(Increase)		Increase		Increase
	(Decrease)		Decrease		(Decrease) in Net		(Decrease) in Net		(Decrease)		Decrease		(Decrease) in Net		(Decrease) in Net
	in Interest		in Interest		Investment		Investment		in Interest		in Interest		Investment		Investment
Basis Point Change	Income		Expense		Income		Income per Share		Income		Expense		Income		Income per Share

	(dollars in thousands, except per share amounts)								(dollars in thousands, except per share amounts)
(150)	$	(307)	$	186	$	(121)	$	—	$	(1,327)	$	811	$	(516)	$	(0.01)
(100)		(300)		186		(114)		—		(1,315)		811		(504)		(0.01)
(50)		(285)		186		(99)		—		(1,028)		811		(217)		—
(25)		(277)		186		(91)		—		(683)		811		128		—
25		553		(423)		130		—		2,919		(845)		2,074		0.03
50		1,123		(845)		278		—		6,623		(1,690)		4,933		0.07
75		1,868		(1,268)		600		0.01		11,105		(2,535)		8,570		0.12
100		3,926		(1,690)		2,236		0.03		15,830		(3,380)		12,450		0.17
125		7,116		(2,113)		5,003		0.07		20,704		(4,225)		16,479		0.23
150		10,544		(2,535)		8,009		0.12		25,625		(5,070)		20,555		0.28

The hypothetical results assume that all LIBOR and prime rate changes would be effective on the first day of the period. However, the contractual LIBOR and prime rate reset dates would vary throughout the period, on either a monthly or quarterly basis, for both our investments and our Credit Facility. The hypothetical results would also be impacted by the changes in the amount of debt outstanding under our Credit Facility (with an increase (decrease) in the debt outstanding under the Credit Facility resulting in an (increase) decrease in the hypothetical interest expense).

Item 4. Controls and Procedures

As of the end of the period covered by this report, we carried out an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer, President, Chief Financial Officer, Chief Compliance Officer and Chief Accounting Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15 of the Exchange Act). Based on that evaluation, our Chief Executive Officer, President, Chief Financial Officer, Chief Compliance Officer and Chief Accounting Officer have concluded that our current disclosure controls and procedures are effective in timely alerting them of material information relating to us that is required to be disclosed in the reports we file or submit under the Exchange Act. ~~Except for the adoption of policies and procedures pursuant to Rule 2a-5 (as discussed in Note B.1 above), there~~There have been no changes in our internal control over financial reporting that occurred during the quarter ended ~~June 30, 2021~~March 31, 2022 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II—OTHER INFORMATION

Item 1. Legal Proceedings

We may, from time to time, be involved in litigation arising out of our operations in the normal course of business or otherwise. Furthermore, third parties may seek to impose liability on us in connection with the activities of our portfolio companies. While the outcome of any current legal proceedings cannot at this time be predicted with certainty, we do not expect any current matters will materially affect our financial condition or results of operations; however, there can be no assurance whether any pending legal proceedings will have a material adverse effect on our financial condition or results of operations in any future reporting period.

Item 1A. Risk Factors

In addition to the other information set forth in this report, you should carefully consider the risk factors described in Part I, Item 1A. “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020,~~2021, which could materially affect our business, financial condition and/or operating results. There have been no material changes to the risk factors as previously disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020.~~2021.

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The risks described in our Annual Report on Form 10-K for the fiscal year ended December 31, ~~2020~~2021 are not the only risks facing us. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially and adversely affect our business, financial condition and/or operating results.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

During the three months ended ~~June 30, 2021,~~March 31, 2022, we issued ~~91,632~~114,043 shares of our common stock under our dividend reinvestment plan. These issuances were not subject to the registration requirements of the Securities Act of 1933, as amended. The aggregate value of the shares of common stock issued during the three months ended ~~June 30, 2021~~March 31, 2022 under the dividend reinvestment plan was approximately ~~$3.8~~$4.8 million.

Upon vesting of restricted stock awarded pursuant to our employee equity compensation plan, shares may be withheld to meet applicable tax withholding requirements. Any withheld shares are treated as common stock purchases by the Company in our consolidated financial statements as they reduce the number of shares received by employees upon vesting (see “Purchase of vested stock for employee payroll tax withholding” in the consolidated statements of changes in net assets for share amounts withheld).

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Item 6. Exhibits

Listed below are the exhibits which are filed as part of this report (according to the number assigned to them in Item 601 of Regulation S-K):


Exhibit Number		Description of Exhibit
10.1*10.1	*	~~Omnibus Amendment No. 1,~~Form of Equity Distribution Agreement dated as of April 7, 2021, by and among Main Street Capital Corporation, the guarantors party thereto, Truist Bank, as administrative agent, solely with respect to Section 2 thereof, the withdrawing lender, and the other lenders party theretoMarch 3, 2022 (previously filed as Exhibit ~~10.1~~1.1 to Main Street Capital Corporation’s Current Report on Form 8-K filed on ~~April 8, 2021~~March 4, 2022 (File No. 1-33723)).
10.2	*	Main Street Capital Corporation 2022 Equity and Incentive Plan (previously filed as Exhibit 4.4 to Main Street Capital Corporation’s Registration Statement on Form S-8 filed on May 3, 2022 (Reg. No. 333-264643)).
10.3	*	Main Street Capital Corporation 2022 Non-Employee Director Restricted Stock Plan (previously filed as Exhibit 4.5 to Main Street Capital Corporation’s Registration Statement on Form S-8 filed on May 3, 2022 (Reg. No. 333-264643)).
10.4	*	Form of Restricted Stock Agreement — Main Street Capital Corporation 2022 Equity and Incentive Plan (previously filed as Exhibit 4.6 to Main Street Capital Corporation’s Registration Statement on Form S-8 filed on May 3, 2022 (Reg. No. 333-264643)).
10.5	*	Form of Restricted Stock Agreement — Main Street Capital Corporation 2022 Non-Employee Director Restricted Stock Plan (previously filed as Exhibit 4.7 to Main Street Capital Corporation’s Registration Statement on Form S-8 filed on May 3, 2022 (Reg. No. 333-264643)).
31.1		Certification of Chief Executive Officer Pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
31.2		Certification of Chief Financial Officer Pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934.
32.1		Certification of Chief Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350).
32.2		Certification of Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. 1350).

*	Exhibit previously filed with the Securities and Exchange Commission, as indicated, and incorporated herein by reference.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


	Main Street Capital Corporation
	/s/ DWAYNE L. HYZAK
Date: ~~August~~May 6, ~~2021~~2022	Dwayne L. Hyzak
	Chief Executive Officer
	(principal executive officer)
	/s/ ~~BRENT D. SMITH~~JESSE E. MORRIS
Date: ~~August~~May 6, ~~2021~~2022	~~Brent D. Smith~~Jesse E. Morris
	Chief Financial Officer and ~~Treasurer~~Chief Operating Officer
	(principal financial officer)
	/s/ LANCE A. PARKER
Date: ~~August~~May 6, ~~2021~~2022	Lance A. Parker
	Vice President and Chief Accounting Officer
	(principal accounting officer)

~~122~~114


	Amount
Investments with commitments to fund revolving loans that have not been fully drawn or term loans with additional commitments not yet funded:

NWN Corporation	$	8,760
SI East, LLC		7,500
MS Private Loan Fund I, LP		7,414
Adams Publishing Group, LLC		5,000
Bolder Panther Group, LLC		5,000
Pearl Meyer Topco LLC		5,000
Classic H&G Holdco, LLC		4,000
Electronic Transaction Consultants, LLC		3,704
GS HVAM Intermediate, LLC		3,409
Ian, Evan & Alexander Corporation		3,333
Hunter Defense Technologies, Inc.		3,230
NinjaTrader, LLC		3,078
RTIC Subsidiary Holdings, LLC		2,740
Echo US Holdings, LLC.		2,586
Superior Rigging & Erecting Co.		2,500
Klein Hersh, LLC		2,500
Nebraska Vet AcquireCo, LLC		2,500
Mako Steel, LP		2,195
Fortna, Inc.		2,027
PPL RVs, Inc.		2,000
Hawk Ridge Systems, LLC		2,000
Burning Glass Intermediate Holding Company, Inc.		1,951
MB2 Dental Solutions, LLC		2,216
Colonial Electric Company LLC		1,600
Market Force Information, LLC		1,600
Cody Pools, Inc.		1,600
Chamberlin Holding LLC		1,600
Direct Marketing Solutions, Inc.		1,600
Trantech Radiator Topco, LLC		1,600
Eastern Wholesale Fence LLC		1,411
Lynx FBO Operating LLC		1,375
GRT Rubber Technologies LLC		1,340
RA Outdoors LLC		1,278
Project Eagle Holdings, LLC		1,250
Arcus Hunting LLC		1,205
Gamber-Johnson Holdings, LLC		1,200
Invincible Boat Company, LLC.		1,080
CompareNetworks Topco, LLC		1,000
NRI Clinical Research, LLC		1,000
Mystic Logistics Holdings, LLC		800
Project BarFly, LLC		760
DTE Enterprises, LLC		750
Student Resource Center, LLC		750
PT Network, LLC		658
Tedder Industries, LLC		640
ASC Interests, LLC		500
Jensen Jewelers of Idaho, LLC		500
Clickbooth.com, LLC		457
HW Temps LLC		400
American Nuts, LLC		281
Dynamic Communities, LLC		250
Acousti Engineering Company of Florida		53

Total loan commitments	$	113,181

Total commitments	$	149,358



Investments with commitments to fund revolving loans that have not been fully drawn or term loans with additional commitments not yet funded:	Amount

Xenon Arc, Inc.	$	32,400
MS Private Loan Fund I, LP		10,000
GS Operating, LLC		12,727
JTI Electrical & Mechanical, LLC		8,421
Paragon Healthcare, Inc.		8,112
Adams Publishing Group, LLC		7,882
NinjaTrader, LLC		7,472
ArborWorks, LLC		7,017
NWN Corporation		6,716
Veregy Consolidated, Inc.		5,875
Watterson Brands, LLC		5,789
SI East, LLC		5,250
Rug Doctor, LLC		5,085
Bolder Panther Group, LLC		5,000
Robbins Bros. Jewelry, Inc.		4,500
South Coast Terminals Holdings, LLC		4,465
Zips Car Wash, LLC		4,265
BDS Solutions IntermediateCo, LLC		3,521
Pearl Meyer Topco LLC		3,500
Direct Marketing Solutions, Inc.		3,400
Winter Services LLC		3,222
Batjer TopCo, LLC		2,700
Cody Pools, Inc.		2,529
AVEX Aviation Holdings, LLC		2,520
Infolinks Media Buyco, LLC		2,520
Nebraska Vet AcquireCo, LLC		2,500
Event Holdco, LLC		2,461
West Star Aviation Acquisition, LLC		2,411
VVS Holdco, LLC		2,400
MB2 Dental Solutions, LLC		2,256
Klein Hersh, LLC		2,250
Mako Steel, LP		2,231
KMS, LLC		2,171
SIB Holdings, LLC		2,124
Fortna, Inc.		2,027
IG Parent Corporation		2,000
Roof Opco, LLC		1,960
Burning Glass Intermediate Holding Company, Inc.		1,859
Evergreen North America Acquisitions, LLC		1,854
Career Team Acquireco LLC		1,800
Johnson Downie Opco, LLC		1,800
Colonial Electric Company LLC		1,600
Market Force Information, LLC		1,600
Chamberlin Holding LLC		1,600
Trantech Radiator Topco, LLC		1,600
Hawk Ridge Systems, LLC		1,415
GS HVAM Intermediate, LLC		1,364
GRT Rubber Technologies LLC		1,340
American Health Staffing Group, Inc.		1,333
Project Eagle Holdings, LLC		1,250
Gamber-Johnson Holdings, LLC		1,200
ATS Operating, LLC		1,080
Invincible Boat Company, LLC.		1,080
Interface Security Systems, L.L.C		1,067
CompareNetworks Topco, LLC		1,000
Flip Electronics LLC		982
The Affiliati Network, LLC		920
Acousti Engineering Company of Florida		913
Mystic Logistics Holdings, LLC		800
RA Outdoors LLC		767
Project BarFly, LLC		760
DTE Enterprises, LLC		750
Student Resource Center, LLC		750
Orttech Holdings, LLC		625
ASC Interests, LLC		530

Computer Data Source, LLC		500
Jensen Jewelers of Idaho, LLC		500
Datacom, LLC		450
Classic H&G Holdco, LLC		400
Flame King Holdings, LLC		400
Wall Street Prep, Inc.		400
Dynamic Communities, LLC		250

Total Loan Commitments	$	228,218

Total Commitments	$	272,228

VVS Holdco LLC	7.00% (L+6.00%, Floor 1.00%) Secured Debt	(5)		-		-		21		1,169		1		400		770
	11.50% Secured Debt	(5)		-		-		889		30,100		15		-		30,115
	Preferred Equity	(5)		-		-		150		11,840		-		-		11,840


Other
Amounts related to investments transferred to or from other 1940 Act classification during the period				-		-		(236)		6,123		-		-		-
Total Control investments			$	-	$	8,279	$	32,577	$	1,489,257	$	122,644	$	119,115	$	1,486,663
Affiliate Investments
AAC Holdings, Inc.	18.00% (10.00% Cash, 8.00% PIK) Secured Debt	(7)	$	-	$	30	$	478	$	9,794	$	250	$	-	$	10,044
	Common Stock	(7)		-		-		-		2,079		-		-		2,079
	Warrants	(7)		-		-		-		1,940		-		-		1,940
AFG Capital Group, LLC	10.00% Secured Debt	(8)		-		-		2		144		-		86		58
	Preferred Member Units	(8)		-		610		-		7,740		610		-		8,350
ATX Networks Corp.	8.50% (L+7.50%, Floor 1.00%) Secured Debt	(6)		-		230		-		7,092		230		-		7,322
	10.00% PIK Unsecured Debt	(6)		-		82		77		1,963		159		-		2,122
BBB Tank Services, LLC	12.00% (L+11.00%, Floor 1.00%) Unsecured Debt	(8)		-		(209)		144		2,507		-		209		2,298
	Preferred Stock (non-voting)	(8)		-		-		-		-		-		-		-
	Member Units	(8)		-		-		-		-		-		-		-
Boccella Precast Products LLC	10.00% Secured Debt	(6)		-		-		8		320		-		-		320
	Member Units	(6)		-		-		40		4,830		-		-		4,830
Brightwood Capital Fund Investments - Fund V	LP Interests (Brightwood Capital Fund V, LP)	(6)		-		139		-		1,000		639		-		1,639
Buca C, LLC	12.25% (L+11.25%, Floor 1.00%) Secured Debt	(7)		-		-		540		14,370		-		-		14,370
Career Team Holdings, LLC	12.50% Secured Debt	(6)		-		-		645		20,050		10		-		20,060
	Class A Common Units	(6)		-		-		-		4,499		-		-		4,499
Chandler Signs Holdings, LLC	Class A Units	(8)		-		160		-		460		160		-		620
Classic H&G Holdings, LLC	7.00% (L+6.00%, Floor 1.00%) Secured Debt	(6)		-		-		159		4,000		3,600		-		7,600
	8.00% Secured Debt	(6)		-		(11)		396		19,274		11		11		19,274
	Preferred Member Units	(6)		-		1,020		352		15,260		1,020		-		16,280
Congruent Credit Opportunities Funds	LP Interests (Congruent Credit Opportunities Fund III, LP)	(8)		-		-		163		9,959		-		1,106		8,853
DMA Industries, LLC	12.00% Secured Debt	(7)		-		-		647		20,993		11		-		21,004
	Preferred Equity	(7)		-		-		-		5,944		-		-		5,944
Dos Rios Partners	LP Interests (Dos Rios Partners - A, LP)	(8)		-		28		-		3,280		28		-		3,308
	LP Interests (Dos Rios Partners, LP)	(8)		-		90		-		10,329		90		-		10,419
Dos Rios Stone Products LLC	Class A Preferred Units	(8)		-		(290)		-		640		-		290		350
EIG Fund Investments	LP Interests (EIG Global Private Debt Fund-A, L.P.)	(8)		2		-		27		547		2		50		499
Flame King Holdings, LLC	7.50% (L+6.50%, Floor 1.00%) Secured Debt	(9)		-		-		139		6,324		1,204		-		7,528
	12.00% (L+11.00%, Floor 1.00%) Secured Debt	(9)		-		-		647		20,996		10		-		21,006
	Preferred Equity	(9)		-		-		280		10,400		-		-		10,400
Freeport Financial SBIC Fund LP	LP Interests (Freeport Financial SBIC Fund LP)	(5)		-		-		2		6,078		-		1,493		4,585
	LP Interests (Freeport First Lien Loan Fund III LP)	(5)		-		-		108		7,231		-		-		7,231
GFG Group, LLC.	12.00% Secured Debt	(5)		-		(6)		383		12,545		6		6		12,545
	Preferred Member Units	(5)		-		-		251		6,990		-		1		6,989
Hawk Ridge Systems, LLC	7.00% (L+6.00%, Floor 1.00%) Secured Debt	(9)		-		-		47		2,585		-		-		2,585
	8.00% Secured Debt	(9)		-		(8)		702		34,800		8		8		34,800
	Preferred Member Units	(9)		-		-		579		14,680		1,890				16,570
	Preferred Member Units	(9)		-		1,990		-		771		99		-		870
Houston Plating and Coatings, LLC	8.00% Unsecured Convertible Debt	(8)		-		(90)		60		2,960		-		90		2,870
	Member Units	(8)		-		(240)		1		3,210		-		241		2,969
HPEP 3, L.P.	LP Interests (HPEP 3, L.P.)	(8)		698		(280)		2		4,712		-		28		4,684
I-45 SLF LLC	Member Units (Fully diluted 20.0%; 24.40% profits interest)	(8)		-		52		516		14,387		52		-		14,439
Iron-Main Investments, LLC	12.50% Secured Debt	(5)		-		-		102		3,170		1		-		3,171
	12.50% Secured Debt	(5)		-		-		146		4,557		2		-		4,559
	12.50% Secured Debt	(5)		-		-		915		28,749		10		-		28,759
	Common Stock	(5)		-		-		-		1,798		-		-		1,798
L.F. Manufacturing Holdings, LLC	Preferred Member Units (non-voting)	(8)		-		-		4		107		4		-		111
	Member Units	(8)		-		-		224		2,560		-		-		2,560

OnAsset Intelligence, Inc.	12.00% PIK Secured Debt	(8)		-		-		29		935		29		-		964
	12.00% PIK Secured Debt	(8)		-		-		29		954		29		-		983
	12.00% PIK Secured Debt	(8)		-		-		62		2,055		61		-		2,116
	12.00% PIK Secured Debt	(8)		-		-		129		4,286		129		-		4,415
	10.00% PIK Unsecured Debt	(8)		-		-		5		191		6		-		197
Oneliance, LLC	12.00% (L+11.00%, Floor 1.00%) Secured Debt	(7)		-		-		171		5,547		3		-		5,550
	Preferred Stock	(7)		-		-		-		1,056		-		-		1,056
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)	12.00% Secured Debt	(8)		(8)		-		-		-		-		-		-
SI East, LLC (Stavig)	10.25% Secured Debt	(7)		-		(18)		2,048		65,850		18		325		65,543
	Preferred Member Units	(7)		-		960		89		11,570		959		-		12,529
Slick Innovations, LLC	13.00% Secured Debt	(6)		-		(13)		182		5,320		13		213		5,120
	Common Stock	(6)		-		-		-		1,510		-		-		1,510
	Warrants	(6)		-		-		-		400		-		-		400
Sonic Systems International, LLC	8.50% (L+7.50%, Floor 1.00%) Secured Debt	(8)		-		-		267		11,757		12		-		11,769
	Common Stock	(8)		-		(60)		11		1,070		-		60		1,010
Superior Rigging & Erecting Co.	12.00% Secured Debt	(7)		-		-		656		21,332		12		-		21,344
	Preferred Member Units	(7)		-		-		-		4,500		-		-		4,500
The Affiliati Network, LLC	7.00% Secured Debt	(9)		-		-		14		262		1,521		720		1,063
	11.83% Secured Debt	(9)		-		-		390		12,834		7		-		12,841
	Preferred Stock	(9)		-		590		122		6,400		590		-		6,990
UnionRock Energy Fund II, LP	LP Interests	(9)		-		(1,885)		236		6,123		-		4,470		1,653
UniTek Global Services, Inc.	8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%) Secured Debt	(6)		-		-		9		371		2		-		373
	8.50% (6.50% cash, 2.00% PIK) (2.00% PIK, L+5.50% Floor 1.00%) Secured Debt	(6)		-		-		43		1,852		12		-		1,864
	15.00% PIK Secured Convertible Debt	(6)		-		(80)		47		2,375		47		34		2,388
	Preferred Stock	(6)		-		(87)		88		2,833		88		88		2,833
	Preferred Stock	(6)		-		337		-		1,498		337		-		1,835
Volusion, LLC	11.50% Secured Debt	(8)		-		-		496		17,434		-		350		17,084
	8.00% Unsecured Convertible Debt	(8)		-		-		8		409		-		-		409
	Preferred Member Units	(8)		-		-		-		5,989		-		-		5,989
Other				-
Amounts related to investments transferred to or from other 1940 Act classification during the period				-		-				(6,123)		-		-		-
Total Affiliate investments			$	692	$	3,041	$	13,917	$	549,214	$	13,981	$	9,879	$	559,439

	LP Interests (Fund II)	(8)		(4,449)		4,355		-		94		4,355		4,449		-
Copper Trail Energy Fund I, LP	LP Interests (Copper Trail Energy Fund I, LP)	(9)		-		61		91		1,782		61		-		1,843
Dos Rios Partners	LP Interests (Dos Rios Partners, LP)	(8)		-		(316)		-		5,417		-		316		5,101
	LP Interests (Dos Rios Partners - A, LP)	(8)		-		(100)		-		1,720		-		100		1,620
Dos Rios Stone Products LLC	Class A Preferred Units	(8)		-		(230)		-		1,250		-		230		1,020
East Teak Fine Hardwoods, Inc.	Common Stock	(7)		-		-		-		300		-		-		300
EIG Fund Investments	LP Interests (EIG Global Private Debt Fund-A, L.P.)	(8)		3		-		33		526		34		113		446
Freeport Financial SBIC Fund LP	LP Interests (Freeport First Lien Loan Fund III LP)	(5)		-		-		245		10,321		-		1,398		8,923
	LP Interests (Freeport Financial SBIC Fund LP)	(5)		-		-		-		5,264		-		-		5,264
GFG Group, LLC.	Preferred Member Units	(5)		-		-		-		-		4,900		-		4,900
	12.00% Secured Debt	(5)		-		-		315		-		15,588		-		15,588
Hawk Ridge Systems, LLC	10.00% Secured Debt	(9)		-		-		2		-		-		-		-
	10.00% Secured Debt	(9)		-		(8)		468		18,400		8		8		18,400
	Preferred Member Units	(9)		-		1,290		337		8,030		1,290		-		9,320
	Preferred Member Units	(9)		-		70		-		420		70		-		490
Houston Plating and Coatings, LLC	8.00% Unsecured Convertible Debt	(8)		-		-		60		2,900		-		-		2,900
	Member Units	(8)		-		(830)		1		5,080		-		830		4,250
HPEP 3, L.P.	LP Interests (HPEP 3, L.P.)	(8)		-		-		-		3,258		374		-		3,632
I-45 SLF LLC	Member Units (Fully diluted 20.0%; 24.40% profits interest) (8)	(8)		-		639		456		15,789		639		2,000		14,428
L.F. Manufacturing Holdings, LLC	PIK Preferred Member Units (non-voting)	(8)		-		-		3		93		3		-		96
	Member Units	(8)		-		-		-		2,050		-		-		2,050
OnAsset Intelligence, Inc.	PIK Unsecured Debt	(8)		-		-		2		64		3		2		66
	PIK Secured Debt	(8)		-		-		219		7,301		219		-		7,520
PCI Holding Company, Inc.	Preferred Stock	(9)		-		(203)		2,852		4,130		-		4,130		-
Rocaceia, LLC (Quality Lease and Rental Holdings, LLC)	12.00% Secured Debt	(8)		(357)		-		-		-		-		-		-
SI East, LLC (Stavig)	9.50% Secured Debt	(7)		-		(39)		768		32,963		39		3,789		29,213
	Preferred Member Units	(7)		-		380		0		9,780		380		-		10,160
Slick Innovations, LLC	Common Stock	(6)		-		180		-		1,330		180		-		1,510
	Warrants	(6)		-		40		-		360		40		-		400
	12.00% Secured Debt	(6)		-		(12)		185		5,720		12		172		5,560
Superior Rigging & Erecting Co.	Preferred Member Units	(7)		-		-		-		4,500		-		-		4,500
	12.00% Secured Debt	(7)		-		-		653		21,298		8		-		21,306
UniTek Global Services, Inc.	PIK Secured Debt	(6)		-		-		19		-		1,092		-		1,092
	PIK Preferred Stock	(6)		-		(52)		72		3,208		92		72		3,228
	(L+6.50% Floor 1.00%) Secured Debt	(6)		-		62		41		2,426		65		393		2,098
Volusion, LLC	11.50% Secured Debt	(8)		-		-		582		19,243		-		-		19,243
	Preferred Member Units	(8)		-		-		-		5,990		-		-		5,990
	8.00% Unsecured Convertible Debt	(8)		-		-		8		291		-		-		291
Other Amounts related to investments transferred to or from other 1940 Act classification during the period				-		-		-		-		-		-		-
Total Affiliate investments			$	(4,803)	$	6,417	$	11,505	$	366,301	$	34,356	$	24,934	$	375,723


	Six Months Ended June 30, 2021
	Full Exits			Partial Exits			Restructures			Total
	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments	Net Gain/(Loss)		# of Investments

	(dollars in thousands)
LMM Portfolio	$	14,729	2	$	-	-	$	(10,925)	1	$	3,804	3
Middle Market Portfolio		(4,243)	2		6,153	1		-	-		1,910	3
Other Portfolio		(4,449)	1		777	1		-	-		(3,672)	2

Total net realized gain/(loss)	$	6,037	5	$	6,930	2	$	(10,925)	1	$	2,042	8