Oaktree Specialty Lending Corp

Previous wording

•the impact of current global economic conditions, including those caused by inflation, an elevated (but decreasing) interest rate environment and geopolitical events or all of the foregoing.

Current wording

•the impact of current global economic conditions, including those caused by inflation, an elevated interest rate environment and geopolitical events or all of the foregoing.

Previous wording

Our investment objective is to generate current income and capital appreciation by providing companies with flexible and innovative financing solutions, including first lien loans (which may include “unitranche” loans and “last out” first lien loans, which are loans that are second priority behind “first out” first lien loans), second lien loans, unsecured and mezzanine loans, bonds, preferred equity and certain equity co-investments. We may also seek to generate capital appreciation and income through secondary investments at discounts to par in either private or syndicated transactions. Our portfolio may also include certain structured finance and other non-traditional structures. We invest in companies that typically possess resilient business models with strong underlying fundamentals. We intend to deploy capital across credit and economic cycles with a focus on long-term results, which we believe will enable us to build lasting partnerships with financial sponsors and management teams, and we may seek to opportunistically take advantage of dislocations in the financial markets and other situations that may benefit from Oaktree’s credit and structuring expertise. Sponsors may include financial sponsors, such as an institutional investor or a private equity firm, or a strategic entity seeking to invest in a portfolio company. We generally invest in securities that are rated below investment grade by rating agencies or that would be rated below investment grade if they were rated. Below investment grade securities, which are often referred to as “high yield” and “junk,” have predominantly speculative characteristics with respect to the issuer’s capacity to pay interest and repay principal.

Current wording

Our investment objective is to generate current income and capital appreciation by providing companies with flexible and innovative financing solutions, including first lien loans (which may include “unitranche” loans and “last out” first lien loans, which are loans that are second priority behind “first out” first lien loans), second lien loans, unsecured and mezzanine loans, bonds and preferred and common equity, including equity co-investments. We may also seek to generate capital appreciation and income through secondary investments at discounts to par in either private or syndicated transactions. Our portfolio may also include certain structured finance and other non-traditional structures. We invest in companies that typically possess resilient business models with strong underlying fundamentals. We intend to deploy capital across credit and economic cycles with a focus on long-term results, which we believe will enable us to build lasting partnerships with financial sponsors and management teams, and we may seek to opportunistically take advantage of dislocations in the financial markets and other situations that may benefit from Oaktree’s credit and structuring expertise. Sponsors may include financial sponsors, such as an institutional investor or a private equity firm, or a strategic entity seeking to invest in a portfolio company. We generally invest in securities that are rated below investment grade by rating agencies or that would be rated below investment grade if they were rated. Below investment grade securities, which are often referred to as “high yield” and “junk,” have predominantly speculative characteristics with respect to the issuer’s capacity to pay interest and repay principal.

Previous wording

As of March 31, 2026, we held $2,766.4 million of investments at fair value, down from $2,847.8 million held at September 30, 2025, primarily driven by realized and unrealized losses during the six months ended March 31, 2026. As of March 31, 2026 and September 30, 2025, approximately 95.6% and 94.8%, respectively, of our total assets represented investments at fair value.

Current wording

As of June 30, 2026, we held $2,741.8 million of investments at fair value, down from $2,847.8 million held at September 30, 2025, primarily driven by realized and unrealized losses during the nine months ended June 30, 2026. As of June 30, 2026 and September 30, 2025, approximately 95.9% and 94.8%, respectively, of our total assets represented investments at fair value.

Previous wording

Interest income, adjusted for accretion of original issue discount, or OID, is recorded on an accrual basis to the extent that such amounts are expected to be collected. We stop accruing interest on investments when it is determined that interest is no longer collectible. Investments that are expected to pay regularly scheduled interest in cash are generally placed on non-accrual status when there is reasonable doubt that principal or interest cash payments will be collected. Cash interest payments received on investments may be recognized as income or a return of capital depending upon management’s judgment. A non-accrual investment is restored to accrual status if past due principal and interest are paid in cash, and the portfolio company, in management’s judgment, is likely to continue timely payment of its remaining obligations. As of March 31, 2026, there were ten investments on non-accrual status that in the aggregate represented 5.9% and 2.6% of total debt investments at cost and fair value, respectively. As of September 30, 2025, there were ten investments on non-accrual status that in aggregate represented 6.5% and 3.0% of total debt investments at cost and fair value, respectively.

Current wording

Interest income, adjusted for accretion of original issue discount, or OID, is recorded on an accrual basis to the extent that such amounts are expected to be collected. We stop accruing interest on investments when it is determined that interest is no longer collectible. Investments that are expected to pay regularly scheduled interest in cash are generally placed on non-accrual status when there is reasonable doubt that principal or interest cash payments will be collected. Cash interest payments received on investments may be recognized as income or a return of capital depending upon management’s judgment. A non-accrual investment is restored to accrual status if past due principal and interest are paid in cash, and the portfolio company, in management’s judgment, is likely to continue timely payment of its remaining obligations. As of June 30, 2026, there were six investments on non-accrual status that in the aggregate represented 4.2% and 1.8% of total debt investments at cost and fair value, respectively. As of September 30, 2025, there were ten investments on non-accrual status that in aggregate represented 6.5% and 3.0% of total debt investments at cost and fair value, respectively.

Previous wording

During the six months ended March 31, 2026, we originated $520.7 million of investment commitments in 38 new and 18 existing portfolio companies and funded $512.4 million of investments.

Current wording

During the nine months ended June 30, 2026, we originated $727.1 million of investment commitments in 45 new and 25 existing portfolio companies and funded $747.9 million of investments.

Previous wording

During the six months ended March 31, 2026, we received $512.6 million of proceeds from prepayments, exits, other paydowns and sales and exited 19 portfolio companies.

Current wording

During the nine months ended June 30, 2026, we received $775.4 million of proceeds from prepayments, exits, other paydowns and sales and exited 26 portfolio companies.

Previous wording

Both the cost and fair value of our SLF JV I Notes were $112.7 million as of each of March 31, 2026 and September 30, 2025. We earned interest income of $3.0 million and $6.3 million on the SLF JV I Notes for the three and six months ended March 31, 2026, respectively. We earned interest income of $3.2 million and $6.7 million on the SLF JV I Notes for the three and six months ended March 31, 2025, respectively. As of March 31, 2026, the SLF JV I Notes bore interest at a rate of one-month secured overnight financing rate, or SOFR, plus 7.00% per annum with a SOFR floor of 1.00% and will mature on December 29, 2028.

Current wording

Both the cost and fair value of our SLF JV I Notes were $84.5 million as of June 30, 2026 and $112.7 million as of September 30, 2025. We earned interest income of $1.9 million and $8.2 million on the SLF JV I Notes for the three and nine months ended June 30, 2026, respectively. We earned interest income of $3.3 million and $9.9 million on the SLF JV I Notes for the three and nine months ended June 30, 2025, respectively. As of June 30, 2026, the SLF JV I Notes bore interest at a rate of one-month secured overnight financing rate, or SOFR, plus 5.00% per annum and will mature on December 29, 2030.

Previous wording

The cost and fair value of the LLC equity interests in SLF JV I held by us was $54.8 million and $0.1 million, respectively, as of March 31, 2026, and $54.8 million and $11.9 million, respectively, as of September 30, 2025. We earned zero and $0.5 million in dividend income for the three and six months ended March 31, 2026, respectively, with respect to our investment in the LLC equity interests of SLF JV I. We earned $0.7 million and $1.4 million in dividend income for the three and six months ended March 31, 2025, respectively, with respect to its investment in the LLC equity interests of SLF JV I.

Current wording

The cost and fair value of the LLC equity interests in SLF JV I held by us was $83.0 million and $28.7 million, respectively, as of June 30, 2026, and $54.8 million and $11.9 million, respectively, as of September 30, 2025. We earned $1.4 million and $1.9 million in dividend income for the three and nine months ended June 30, 2026, respectively, with respect to our investment in the LLC equity interests of SLF JV I. We earned $0.5 million and $1.9 million in dividend income for the three and nine months ended June 30, 2025, respectively, with respect to its investment in the LLC equity interests of SLF JV I.

Previous wording

On March 19, 2021, we became party to the LLC agreement of the Glick JV. The Glick JV invests primarily in senior secured loans of middle-market companies. We co-invest in these securities with GF Equity Funding through the Glick JV. The Glick JV is managed by a four person Board of Directors, two of whom are selected by us and two of whom are selected by GF Equity Funding. All portfolio decisions and investment decisions in respect of the Glick JV must be approved by the Glick JV investment committee, consisting of one representative selected by us and one representative selected by GF Equity Funding (with approval from a representative of each required). Since we do not have a controlling financial interest in the Glick JV, we do not consolidate the Glick JV. The Glick JV is not an "eligible portfolio company" as defined in section 2(a)(46) of the

Current wording

On March 19, 2021, we became party to the LLC agreement of the Glick JV. The Glick JV invests primarily in senior secured loans of middle-market companies. We co-invest in these securities with GF Equity Funding through the Glick JV. The Glick JV is managed by a four person Board of Directors, two of whom are selected by us and two of whom are selected by GF Equity Funding. All portfolio decisions and investment decisions in respect of the Glick JV must be approved by the Glick JV investment committee, consisting of one representative selected by us and one representative selected by GF Equity Funding (with approval from a representative of each required). Since we do not have a controlling financial interest in the Glick JV, we do not consolidate the Glick JV. The Glick JV is not an "eligible portfolio company" as defined in section 2(a)(46) of the Investment Company Act. The Glick JV is capitalized as transactions are completed. The members provide capital to the Glick

Previous wording

Investment Company Act. The Glick JV is capitalized as transactions are completed. The members provide capital to the Glick JV in exchange for LLC equity interests, and we and GF Debt Funding 2014 LLC, or GF Debt Funding, an entity advised by affiliates of GF Equity Funding, provide capital to the Glick JV in exchange for subordinated notes issued by the Glick JV, or the Glick JV Notes. The Glick JV Notes are junior in right of payment to the repayment of temporary contributions made by us to fund investments of the Glick JV that are repaid when GF Equity Funding and GF Debt Funding make their capital contributions and fund their Glick JV Notes, respectively.

Current wording

JV in exchange for LLC equity interests, and we and GF Debt Funding 2014 LLC, or GF Debt Funding, an entity advised by affiliates of GF Equity Funding, provide capital to the Glick JV in exchange for subordinated notes issued by the Glick JV, or the Glick JV Notes. The Glick JV Notes are junior in right of payment to the repayment of temporary contributions made by us to fund investments of the Glick JV that are repaid when GF Equity Funding and GF Debt Funding make their capital contributions and fund their Glick JV Notes, respectively.

Previous wording

As of March 31, 2026 and September 30, 2025, we and GF Equity Funding owned 87.5% and 12.5%, respectively, of the outstanding LLC equity interests, and we and GF Debt Funding owned 87.5% and 12.5%, respectively, of the Glick JV Notes. Approximately $84.0 million in aggregate commitments was funded as of each of March 31, 2026 and September 30, 2025, of which $73.5 million was from us. As of each of March 31, 2026 and September 30, 2025, we had commitments to fund Glick JV Notes of $78.8 million, of which $12.4 million was unfunded. As of each of March 31, 2026 and September 30, 2025, we had commitments to fund LLC equity interests in the Glick JV of $8.7 million, of which $1.6 million was unfunded.

Current wording

As of June 30, 2026 and September 30, 2025, we and GF Equity Funding owned 87.5% and 12.5%, respectively, of the outstanding LLC equity interests, and we and GF Debt Funding owned 87.5% and 12.5%, respectively, of the Glick JV Notes. Approximately $74.8 million in aggregate commitments were funded as of June 30, 2026, of which $65.5 million was from us. Approximately $84.0 million in aggregate commitments was funded as of September 30, 2025, of which $73.5 million was from us. As of June 30, 2026, we had commitments to fund Glick JV Notes of $58.3 million, all of which was funded. As of September 30, 2025, we had commitments to fund Glick JV Notes of $78.8 million, of which $12.4 million was unfunded. As of June 30, 2026, we had commitments to fund LLC equity interests in the Glick JV of $21.1 million, of which $14.0 million were unfunded. As of September 30, 2025, we had commitments to fund LLC equity interests in the Glick JV of $8.7 million, of which $1.6 million was unfunded.

Previous wording

The cost and fair value of our aggregate investment in the Glick JV was $53.9 million and $41.5 million, respectively, as of March 31, 2026. The cost and fair value of our aggregate investment in the Glick JV was $53.1 million and $46.1 million, respectively, as of September 30, 2025. For the three and six months ended March 31, 2026, our investment in the Glick JV Notes earned interest income of $1.6 million and $3.3 million, respectively. For the three and six months ended March 31, 2025, the Company's investment in the Glick JV Notes earned interest income of $1.7 million and $3.4 million, respectively. We did not earn any dividend income for the three and six months ended March 31, 2026 and 2025 with respect to our investment in the LLC equity interests of the Glick JV.

Current wording

The cost and fair value of our aggregate investment in the Glick JV was $54.3 million and $41.3 million, respectively, as of June 30, 2026. The cost and fair value of our aggregate investment in the Glick JV was $53.1 million and $46.1 million, respectively, as of September 30, 2025. For the three and nine months ended June 30, 2026, our investment in the Glick JV Notes earned interest income of $1.4 million and $4.7 million, respectively. For the three and nine months ended June 30, 2025, the Company's investment in the Glick JV Notes earned interest income of $1.7 million and $5.1 million, respectively. We did not earn any dividend income for the three and nine months ended June 30, 2026 and 2025 with respect to our investment in the LLC equity interests of the Glick JV.

Previous wording

Comparison of Three and Six Months ended March 31, 2026 and March 31, 2025

Current wording

Comparison of three and nine months ended June 30, 2026 and June 30, 2025

Previous wording

Total investment income for the three months ended March 31, 2026 and 2025 was $70.4 million and $77.6 million, respectively. For the three months ended March 31, 2026, this amount consisted of $68.7 million of interest income from portfolio investments (which included $3.5 million of PIK interest), $1.3 million of fee income and $0.4 million of dividend income (which included $0.4 million of PIK dividends). For the three months ended March 31, 2025, this amount consisted of $75.1 million of interest income from portfolio investments (which included $4.5 million of PIK interest), $1.7 million of fee income and $0.8 million of dividend income. The decrease of $7.2 million, or 9.3%, in our total investment income for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025, was due primarily to a $6.4 million decrease in interest income that primarily resulted from decreases in reference rates, $0.4 million of lower fee income driven by lower prepayment and amendment fees and a $0.4 million decrease in dividend income.

Current wording

Total investment income for the three months ended June 30, 2026 and 2025 was $69.4 million and $75.3 million, respectively. For the three months ended June 30, 2026, this amount consisted of $66.8 million of interest income from portfolio investments (which included $5.2 million of PIK interest), $1.0 million of fee income and $1.6 million of dividend income (which included $0.2 million of PIK dividends). For the three months ended June 30, 2025, this amount consisted of $74.5 million of interest income from portfolio investments (which included $5.1 million of PIK interest), $0.3 million of fee income and $0.5 million of dividend income. The decrease of $5.8 million, or 7.8%, in our total investment income for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, was due primarily to a $7.6 million decrease in interest income that primarily resulted from decreases in reference rates.

Previous wording

Total investment income for the six months ended March 31, 2026 and 2025 was $145.5 million and $164.2 million, respectively. For the six months ended March 31, 2026, this amount consisted of $139.5 million of interest income from portfolio investments (which included $7.3 million of PIK interest), $4.3 million of fee income and $1.7 million of dividend income (which included $1.2 million of PIK dividends). For the six months ended March 31, 2025, this amount consisted of $159.2 million of interest income from portfolio investments (which included $10.3 million of PIK interest), $3.4 million of fee income and $1.6 million of dividend income. The decrease of $18.7 million, or 11.4%, in our total investment income for the six months ended March 31, 2026, as compared to the six months ended March 31, 2025, was due primarily to a $19.7 million decrease in interest income that primarily resulted from decreases in reference rates, partially offset by $0.9 million of higher fee income driven by higher prepayment and amendment fees and a $0.1 million increase in dividend income primarily driven by dividends earned on certain equity investments.

Current wording

Total investment income for the nine months ended June 30, 2026 and 2025 was $214.9 million and $239.5 million, respectively. For the nine months ended June 30, 2026, this amount consisted of $206.3 million of interest income from portfolio investments (which included $12.5 million of PIK interest), $5.2 million of fee income and $3.3 million of dividend income (which included $1.4 million of PIK dividends). For the nine months ended June 30, 2025, this amount consisted of $233.7 million of interest income from portfolio investments (which included $15.3 million of PIK interest), $3.7 million of fee income and $2.1 million of dividend income. The decrease of $24.6 million, or 10.3%, in our total investment income for the nine months ended June 30, 2026, as compared to the nine months ended June 30, 2025, was due primarily to a $27.4 million decrease in interest income that primarily resulted from decreases in reference rates and a lower average portfolio balance.

Previous wording

Net expenses (i.e., expenses net of fee waivers) for the six months ended March 31, 2026 and 2025 were $74.4 million and $80.3 million, respectively. Net expenses decreased for the six months ended March 31, 2026, as compared to the six months ended March 31, 2025, by $5.9 million, or 7.4%. The decrease in net expenses was primarily driven by $6.5 million of lower interest expense due to decrease in reference rates and a lower average borrowings outstanding and $0.3 million of lower Part I incentive fees (net of waiver), partially offset by $0.4 million of higher professional fees, $0.4 million of higher administrator expense and $0.2 million of higher general and administrative expenses.

Current wording

Net expenses (i.e., expenses net of fee waivers) for the three months ended June 30, 2026 and 2025 were $36.6 million and $41.7 million, respectively. Net expenses decreased for the three months ended June 30, 2026, as compared to the three months ended June 30, 2025, by $5.1 million, or 12.3%. The decrease in net expenses was primarily driven by $6.9 million of lower interest expense due to decrease in reference rates, lower average borrowings outstanding and $0.4 million of lower general and administrative expense, partially offset by $2.0 million of higher Part I incentive fees (net of waiver) and $0.2 million of higher professional fees.

Previous wording

Net expenses (i.e., expenses net of fee waivers) for the three months ended March 31, 2026 and 2025 were $36.0 million and $38.2 million, respectively. Net expenses decreased for the three months ended March 31, 2026, as compared to the three months ended March 31, 2025, by $2.2 million, or 5.8%. The decrease in net expenses was primarily driven by $2.6 million of lower interest expense due to decrease in reference rates and a lower average borrowings outstanding, partially offset by $0.3 million of higher administrator expense and $0.2 million of higher general and administrative expenses.

Current wording

Net expenses (i.e., expenses net of fee waivers) for the nine months ended June 30, 2026 and 2025 were $111.0 million and $122.1 million, respectively. Net expenses decreased for the nine months ended June 30, 2026, as compared to the nine months ended June 30, 2025, by $11.0 million, or 9.1%. The decrease in net expenses was primarily driven by $13.4 million of lower interest expense due to decrease in reference rates and lower average borrowings outstanding, $0.2 million of lower net base management fee and $0.2 million of lower general and administrative expenses, partially offset by $1.6 million of higher Part I incentive fees (net of waiver), $0.6 million of higher professional fees and $0.5 million of higher administrator expense.

Previous wording

Net investment income for the six months ended March 31, 2026 decreased by $12.3 million compared to the six months ended March 31, 2025, as a result of the $18.7 million decrease in total investment income, partially offset by a $5.9 million decrease in net expenses and a $0.5 million decrease in the provision for taxes on net investment income.

Current wording

Net investment income for the three months ended June 30, 2026 decreased by $1.0 million compared to the three months ended June 30, 2025, as a result of the $5.8 million decrease in total investment income and $0.2 million increase in the provision for taxes on net investment income, partially offset by a $5.1 million decrease in net expenses.

Previous wording

Net investment income for the three months ended March 31, 2026 decreased by $4.7 million compared to the three months ended March 31, 2025, as a result of the $7.2 million decrease in total investment income, partially offset by a $2.2 million decrease in net expenses and a $0.3 million decrease in the provision for taxes on net investment income.

Current wording

Net investment income for the nine months ended June 30, 2026 decreased by $13.3 million compared to the nine months ended June 30, 2025, as a result of the $24.6 million decrease in total investment income, partially offset by a $11.0 million decrease in net expenses and a $0.3 million decrease in the provision for taxes on net investment income.

Previous wording

During the three months ended March 31, 2026 and 2025, we recorded aggregate net realized gains (losses) of $(13.6) million and $6.7 million, respectively, in connection with the exits and restructurings of various investments and foreign currency forward contracts. During the six months ended March 31, 2026 and 2025, we recorded aggregate net realized losses of $12.3 million and $10.6 million, respectively, in connection with the exits and restructurings of various investments and foreign currency forward contracts. See “Note 8. Realized Gains or Losses and Net Unrealized Appreciation or Depreciation” in the notes to the accompanying Consolidated Financial Statements for more details regarding investment realization events for the three and six months ended March 31, 2026 and 2025.

Current wording

During the three months ended June 30, 2026 and 2025, we recorded aggregate net realized losses of $49.5 million and $13.4 million, respectively, in connection with the exits and restructurings of various investments and foreign currency forward contracts. During the nine months ended June 30, 2026 and 2025, we recorded aggregate net realized losses of $61.8 million and $24.0 million, respectively, in connection with the exits and restructurings of various investments and foreign currency forward contracts. See “Note 8. Realized Gains or Losses and Net Unrealized Appreciation or Depreciation” in the notes to the accompanying Consolidated Financial Statements for more details regarding investment realization events for the three and nine months ended June 30, 2026 and 2025.

Previous wording

During the six months ended March 31, 2026 and 2025, we recorded net unrealized depreciation of $71.8 million and $101.6 million, respectively. For the six months ended March 31, 2026, this consisted of $59.8 million of net unrealized depreciation on debt investments and $34.1 million of net unrealized depreciation on equity investments, partially offset by $19.6 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses) and $2.4 million of net unrealized appreciation of foreign currency cash and forward contracts. For the six months ended March 31, 2025, this consisted of $85.7 million of net unrealized depreciation on debt investments, $28.2 million of net unrealized depreciation on equity investments and $4.2 million of net unrealized depreciation of foreign currency forward contracts, partially offset by $16.5 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses).

Current wording

During the three months ended June 30, 2026 and 2025, we recorded net unrealized appreciation of $48.2 million and $18.6 million, respectively. For the three months ended June 30, 2026, this consisted of $52.5 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses) and $1.5 million of net unrealized appreciation of foreign currency cash and forward contracts, partially offset by $5.2 million of net unrealized depreciation on equity investments and $0.7 million of net unrealized depreciation on debt investments. For the three months ended June 30, 2025, this consisted of $14.2 million of net unrealized appreciation on equity investments, $1.9 million of net unrealized appreciation of foreign currency forward contracts, $1.5 million of net unrealized appreciation on debt investments and $0.9 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses).

Previous wording

During the three months ended March 31, 2026 and 2025, we recorded net unrealized depreciation of $39.3 million and $82.0 million, respectively. For the three months ended March 31, 2026, this consisted of $45.4 million of net unrealized depreciation on debt investments and $18.6 million of net unrealized depreciation on equity investments, partially offset by $22.4 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses) and $2.3 million of net unrealized appreciation of foreign currency cash and forward contracts. For the three months ended March 31, 2025, this consisted of $63.0 million of net unrealized depreciation on debt investments, $10.0 million of net unrealized depreciation on equity investments and $14.7 million of net unrealized depreciation of foreign currency forward contracts, partially offset by $5.7 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses).

Current wording

During the nine months ended June 30, 2026 and 2025, we recorded net unrealized depreciation of $23.5 million and $83.1 million, respectively. For the nine months ended June 30, 2026, this consisted of $59.9 million of net unrealized depreciation on debt investments and $36.5 million of net unrealized depreciation on equity investments, partially offset by $68.8 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses) and $4.0 million of net unrealized appreciation of foreign currency cash and forward contracts. For the nine months ended June 30, 2025, this consisted of $88.6 million of net unrealized depreciation on debt investments, $13.8 million of net unrealized depreciation on equity investments and $2.3 million of net unrealized depreciation of foreign currency forward contracts, partially offset by $21.6 million of net unrealized appreciation related to exited investments (a portion of which resulted in a reclassification to realized losses).

Previous wording

Our primary uses of cash are for (1) investments in portfolio companies and other investments to comply with certain portfolio diversification requirements, (2) the cost of operations (including our expenses, the management and incentive fees and any indemnification obligations), (3) debt service of borrowings and (4) cash distributions to stockholders. We may also from time to time repurchase or redeem some or all of our outstanding notes. At a special meeting of our stockholders held on June 28, 2019, our stockholders approved the application of the reduced asset coverage requirements in Section 61(a)(2) of the Investment Company Act to us effective as of June 29, 2019. As a result of the reduced asset coverage requirement, we can incur $2 of debt for each $1 of equity as compared to $1 of debt for each $1 of equity. As of March 31, 2026, we had $1,490.0 million in senior securities and our asset coverage ratio was 192.20%. As of March 31, 2026, our target debt to equity ratio was 0.90x to 1.25x (i.e., one dollar of equity for each $0.90 to $1.25 of debt outstanding) and our net debt to equity ratio was 1.04x.

Current wording

Our primary uses of cash are for (1) investments in portfolio companies and other investments to comply with certain portfolio diversification requirements, (2) the cost of operations (including our expenses, the management and incentive fees and any indemnification obligations), (3) debt service of borrowings and (4) cash distributions to stockholders. We may also from time to time repurchase or redeem some or all of our outstanding notes. At a special meeting of our stockholders held on June 28, 2019, our stockholders approved the application of the reduced asset coverage requirements in Section 61(a)(2) of the Investment Company Act to us effective as of June 29, 2019. As a result of the reduced asset coverage requirement, we can incur $2 of debt for each $1 of equity as compared to $1 of debt for each $1 of equity. As of June 30, 2026, we had $1,454.7 million in senior securities and our asset coverage ratio was 194.16%. As of June 30, 2026, our target debt to equity ratio was 0.90x to 1.25x (i.e., one dollar of equity for each $0.90 to $1.25 of debt outstanding) and our net debt to equity ratio was 1.02x.

Previous wording

For the six months ended March 31, 2026, we experienced a net decrease in cash and cash equivalents of $28.4 million. During that period, net cash provided by operating activities was $47.2 million, primarily from $520.5 million of principal payments and sale proceeds received, the cash activities related to $71.1 million of net investment income and $9.0 million of decrease in interest, dividends and fees receivable, partially offset by funding $510.0 million of investments, $15.6 million of increase in receivables from unsettled transactions and $11.8 million of decrease in payables from unsettled transactions. During the same period, net cash used by financing activities was $75.5 million, primarily consisting of $68.2 million of cash distributions paid to our stockholders and $5.0 million of net repayments under our credit facilities.

Current wording

For the nine months ended June 30, 2026, we experienced a net decrease in cash and cash equivalents of $39.7 million. During that period, net cash provided by operating activities was $104.8 million, primarily from $783.8 million of principal payments and sale proceeds received, the cash activities related to $103.6 million of net investment income, a $13.8 million decrease in amounts due from broker and a $9.5 million decrease in interest, dividends and fees receivable, partially offset by funding $743.9 million of investments, $31.7 million of increase in receivables from unsettled transactions and $10.1 million of decrease in payables from unsettled transactions. During the same period, net cash used by financing activities was $144.5 million, primarily consisting of $97.1 million of cash distributions paid to our stockholders and $44.0 million of net repayments under our credit facilities.

Previous wording

For the six months ended March 31, 2025, we experienced a net increase in cash and cash equivalents (including restricted cash) of $29.7 million. During that period, net cash provided by operating activities was $206.0 million, primarily from $640.3 million of principal payments and sale proceeds received and the cash activities related to $83.4 million of net investment income, partially offset by funding $600.9 million of investments, $93.6 million of net increases in payables from unsettled transactions and a $8.1 million increase in due from broker. During the same period, net cash used in financing activities was $177.3 million, primarily consisting of $80.9 million of cash distributions paid to our stockholders, $190.0 million of net repayments under our credit facilities, partially offset by $103.0 million of proceeds from issuance of shares.

Current wording

For the nine months ended June 30, 2025, we experienced a net increase in cash and cash equivalents (including restricted cash) of $1.3 million. During that period, net cash provided by operating activities was $227.0 million, primarily from $871.8 million of principal payments and sale proceeds received and the cash activities related to $116.8 million of net investment income, partially offset by funding $739.4 million of investments and $9.1 million of net decreases in payables from unsettled transactions. During the same period, net cash used in financing activities was $229.1 million, primarily consisting of $114.1 million of cash distributions paid to our stockholders, $200.0 million of net repayments under our credit facilities, partially offset by $103.0 million of proceeds from issuance of shares.

Previous wording

As of March 31, 2026, we had $51.3 million in cash and cash equivalents, portfolio investments (at fair value) of $2.8 billion, $22.9 million of interest, dividends and fees receivable, $0.3 million of due from portfolio companies, $620.0 million of undrawn capacity on our credit facilities (subject to borrowing base and other limitations), $17.3 million of net receivables from unsettled transactions, $540.0 million of borrowings outstanding under our credit facilities and $941.7 million of unsecured notes payable (net of unamortized financing costs, unaccreted discount and interest rate swap fair value adjustment).

Current wording

As of June 30, 2026, we had $39.9 million in cash and cash equivalents, portfolio investments (at fair value) of $2.7 billion, $23.0 million of interest, dividends and fees receivable, $0.2 million of due from portfolio companies, $659.0 million of undrawn capacity on our credit facilities (subject to borrowing base and other limitations), $31.7 million of net receivables from unsettled transactions, $501.0 million of borrowings outstanding under our credit facilities and $937.8 million of unsecured notes payable (net of unamortized financing costs, unaccreted discount and interest rate swap fair value adjustment).

Previous wording

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. As of March 31, 2026, our only off-balance sheet arrangements consisted of $276.7 million of unfunded commitments, which was composed of $249.6 million to provide debt and equity financing to certain of our portfolio companies and $27.1 million to provide financing to the JVs. All of the $276.7 million of unfunded commitments can be drawn immediately. As of September 30, 2025, our only off-balance sheet arrangements consisted of $286.0 million of unfunded commitments, which was comprised of $258.9 million to provide debt and equity financing to certain of its portfolio companies and $27.1 million to provide financing to the JVs. Of the $258.9 million, approximately $246.9 million can be drawn immediately with the remaining amount subject to certain milestones that must be met by portfolio companies or other restrictions.

Current wording

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. As of June 30, 2026, our only off-balance sheet arrangements consisted of $235.4 million of unfunded commitments, which was composed of $208.3 million to provide debt and equity financing to certain of our portfolio companies and $27.1 million to provide financing to the JVs. All of the $235.4 million of unfunded commitments can be drawn immediately. As of September 30, 2025, our only off-balance sheet arrangements consisted of $286.0 million of unfunded commitments, which was comprised of $258.9 million to provide debt and equity financing to certain of its portfolio companies and $27.1 million to provide financing to the JVs. Of the $258.9 million, approximately $246.9 million can be drawn immediately with the remaining amount subject to certain milestones that must be met by portfolio companies or other restrictions.

Previous wording

During the three and six months ended March 31, 2026 and 2025, we did not issue any shares of common stock as part of the dividend reinvestment plan, or DRIP.

Current wording

During the three and nine months ended June 30, 2026 and 2025, we did not issue any shares of common stock as part of the dividend reinvestment plan, or DRIP.

Previous wording

In connection with the "at the market" offering, we did not issue and sell any shares of common stock during the six months ended March 31, 2026.

Current wording

In connection with the "at the market" offering, we did not issue and sell any shares of common stock during the nine months ended June 30, 2026.

Previous wording

In connection with the "at the market" offering, the Company issued and sold 168,055 shares of common stock during the six months ended March 31, 2025 for net proceeds of $3.0 million (net of offering costs).

Current wording

In connection with the "at the market" offering, the Company issued and sold 168,055 shares of common stock during the nine months ended June 30, 2025 for net proceeds of $3.0 million (net of offering costs).

Previous wording

As of March 31, 2026 and September 30, 2025, we had $540.0 million and $545.0 million of borrowings outstanding under the Syndicated Facility, which had a fair value of $540.0 million and $545.0 million, respectively. Our borrowings under the Syndicated Facility bore interest at a weighted average interest rate of 5.798% and 6.651% for the six months ended March 31, 2026 and 2025, respectively. For the three and six months ended March 31, 2026, we recorded interest expense (inclusive of fees) of $10.4 million and $20.7 million, respectively, related to the Syndicated Facility. For the three and six months ended March 31, 2025, we recorded interest expense (inclusive of fees) of $8.4 million and $17.8 million, respectively, related to the Syndicated Facility.

Current wording

As of June 30, 2026 and September 30, 2025, we had $501.0 million and $545.0 million of borrowings outstanding under the Syndicated Facility, which had a fair value of $501.0 million and $545.0 million, respectively. Our borrowings under the Syndicated Facility bore interest at a weighted average interest rate of 5.744% and 6.533% for the nine months ended June 30, 2026 and 2025, respectively. For the three and nine months ended June 30, 2026, we recorded interest expense (inclusive of fees) of $8.9 million and $29.6 million, respectively, related to the Syndicated Facility. For the three and nine months ended June 30, 2025, we recorded interest expense (inclusive of fees) of $9.7 million and $27.5 million, respectively, related to the Syndicated Facility.

Previous wording

The below table presents the components of interest and other debt expenses related to the 2027 Notes, the 2029 Notes and the 2030 Notes for the three and six months ended March 31, 2026:

Current wording

The below table presents the components of interest and other debt expenses related to the 2027 Notes, the 2029 Notes and the 2030 Notes for the three and nine months ended June 30, 2026:

Previous wording

The below table presents the components of interest and other debt expenses related to the 2025 Notes, the 2027 Notes and the 2029 Notes for the three and six months ended March 31, 2025:

Current wording

The below table presents the components of interest and other debt expenses related to the 2025 Notes, the 2027 Notes, the 2029 Notes and the 2030 Notes for the three and nine months ended June 30, 2025:

Previous wording

We have entered into the Investment Advisory Agreement with Oaktree and the Administration Agreement with Oaktree Administrator, an affiliate of Oaktree. Mr. John B. Frank, an interested member of our Board of Directors, has an indirect pecuniary interest in Oaktree. Oaktree is a registered investment adviser under the Investment Advisers Act of 1940, as amended, that is partially and indirectly owned by Brookfield Oaktree Holdings, LLC. See “Note 10. Related Party Transactions – Investment Advisory Agreement” and “– Administrative Services” in the notes to the accompanying Consolidated Financial Statements.

Current wording

We have entered into the Investment Advisory Agreement with Oaktree and the Administration Agreement with Oaktree Administrator, an affiliate of Oaktree. Mr. John B. Frank, an interested member of our Board of Directors, has an indirect pecuniary interest in Oaktree. Oaktree is a registered investment adviser under the Investment Advisers Act of 1940, as amended, that is indirectly owned by Brookfield Corporation and Brookfield Asset Management Ltd. See “Note 10. Related Party Transactions – Investment Advisory Agreement” and “– Administrative Services” in the notes to the accompanying Consolidated Financial Statements.

Previous wording

On April 27, 2026, our Board of Directors declared quarterly and supplemental distributions of $0.30 per share and $0.04 per share, respectively, payable in cash on June 30, 2026 to stockholders of record on June 15, 2026.

Current wording

On July 27, 2026, our Board of Directors declared quarterly and supplemental distributions of $0.30 per share and $0.03 per share, respectively, payable in cash on September 30, 2026 to stockholders of record on September 15, 2026.