The Company estimates its portfolio will generate dividends, distributions, and interest income of approximately $6.9 million in the next quarter. This estimate includes a cash distribution of $1.5 million per quarter ($0.45 per quarter per common unit) for Direct Fuels and assumes $0.8 million per quarter ($0.475 per quarter per common and Class A preferred unit) from VantaCore. The Company expects that approximately 70% of the VantaCore distribution will be in the form of additional preferred units during the Company’s first fiscal quarter of fiscal 2012. The Company’s guidance does not reflect any changes in cash distributions made by MLPs or changes in interest rates based on the movement in LIBOR rates since November 30, 2011.
|Portfolio Category||Amount Invested($ in millions)||Average AnnualYield (1)(2)|
|Private MLPs (3)||$||67||14.2%|
|Public MLPs, MLP Affiliates and Other Public Equity||183||6.9|
|Debt Investments (4)(5)||53||10.2|
|(1)||Average yields include return of capital distributions. Return of capital distributions are reported as a reduction to gross dividends and distributions to arrive at net investment income reported under generally accepted accounting principles.|
|(2)||Average yields for Public MLPs, MLP Affiliates and Other Public Equity are based on the most recently declared distributions as of November 30, 2011. Amounts invested for Private MLPs are based on November 30, 2011 valuations. Average yields reflect quarterly distributions of $0.45 per common unit for Direct Fuels and $0.475 per common and Class A preferred unit for VantaCore.|
|(3)||The amount invested excludes the Company’s equity investment in ProPetro (valued at $16.7 million as of November 30, 2011) which does not pay a dividend.|
|(4)||The average yield includes straight-line amortization of the purchase price discounts/premiums through the expected maturity.|
|(5)||The amount invested includes the Company’s $11.9 million debt investment in ProPetro. This investment pays paid-in-kind interest at an annual rate of 13.0% (amended from an annual rate of 15.0% as of January 31, 2012).|
Management Fees and Other Operating Expenses – Management fees are estimated to be approximately $1.43 million per quarter. Other operating expenses are estimated to be approximately $0.43 million per quarter.
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