XNAS:GBDC Golub Capital BDC Inc Class B Quarterly Report 10-Q Filing - 3/31/2012

Effective Date 3/31/2012

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549

 

 

 

FORM 10-Q

 

þ                 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

 

For the Quarterly Period Ended March 31, 2012

 

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 814-00794

 

Golub Capital BDC, Inc.

(Exact name of registrant as specified in its charter)

 

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

 150 South Wacker Drive, Suite 800

Chicago, IL 60606

(Address of principal executive offices)

 

(312) 205-5050

(Registrant's telephone number, including area code)

 

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

 

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

 

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

Large accelerated filer  ¨ Accelerated filer þ
Non-accelerated filer  ¨  (Do not check if a smaller reporting company) Smaller reporting company ¨

 

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

 

As of May 2, 2012, the Registrant had 25,639,434 shares of common stock, $0.001 par value, outstanding.

 

 

 

 
 

  

Part I. Financial Information  
     
Item 1. Financial Statements 3
     
  Consolidated Statements of Financial Condition as of March 31, 2012 (unaudited) and September 30, 2011 3
     
  Consolidated Statements of Operations for the three and six  months ended March 31, 2012 (unaudited) and 2011 (unaudited) 4
     
  Consolidated Statements of Changes in Net Assets for the six months ended March 31, 2012 (unaudited) and 2011 (unaudited) 5
     
  Consolidated Statements of Cash Flows for the six months ended March 31, 2012 (unaudited) and 2011 (unaudited) 6
     
  Consolidated Schedules of Investments as of March 31, 2012 (unaudited) and September 30, 2011 7
     
  Notes to Consolidated Financial Statements 17
     
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 43
     
Item 3. Quantitative And Qualitative Disclosures About Market Risk 62
     
Item 4. Controls and Procedures 63
     
Part II.  Other Information  
     
Item 1. Legal Proceedings 63
     
Item 1A. Risk Factors 63
     
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 63
     
Item 3. Defaults Upon Senior Securities 63
     
Item 4. Removed and Reserved 63
     
Item 5. Other Information 63
     
Item 6. Exhibits 64

 

2
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Statements of Financial Condition

(In thousands, except share and per share data)

 

   March 31, 2012   September 30, 2011 
  (unaudited)     
Assets           
Investments, at fair value (cost of $611,622 and $462,961, respectively)  $613,797   $459,827 
Cash and cash equivalents   30,121    46,350 
Restricted cash and cash equivalents   42,525    23,416 
Interest receivable   3,716    3,063 
Unrealized appreciation on derivative instruments   1,798    - 
Cash collateral on deposit with custodian   20,809    21,162 
Deferred financing costs   6,457    5,345 
Other assets   56    481 
Total Assets  $719,279   $559,644 
           
Liabilities          
Debt  $331,700   $237,683 
Interest payable   1,310    1,066 
Management and incentive fees payable   3,464    1,608 
Unrealized depreciation on derivative instruments   -    1,986 
Payable for investments purchased   5,010    - 
Accounts payable and accrued expenses   1,070    752 
Total Liabilities   342,554    243,095 
           
Net Assets          
Preferred stock, par value $0.001 per share, 1,000,000 shares authorized, zero shares issued and outstanding as of March 31, 2012 and September 30, 2011, respectively   -    - 
Common stock, par value $0.001 per share, 100,000,000 shares authorized, 25,639,371 and 21,733,903 shares issued and outstanding as of March 31, 2012 and September 30, 2011, respectively   26    22 
Paid in capital in excess of par   375,994    318,302 
Capital distributions in excess of net investment income   (2,133)   (398)
Net unrealized appreciation (depreciation) on investments and derivative instruments   6,640    (1,519)
Net realized (loss) gain on investments and derivative instruments   (3,802)   142 
Total Net Assets   376,725    316,549 
Total Liabilities and Total Net Assets  $719,279   $559,644 
           
Number of common shares outstanding   25,639,371    21,733,903 
Net asset value per common share  $14.69   $14.56 
           
See Notes to Consolidated Financial Statements.          

 

3
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Statements of Operations (unaudited)

(In thousands, except share and per share data)

 

   Three months ended March 31,   Six months ended March 31, 
   2012   2011   2012   2011 
Investment income                    
Interest income  $14,352   $9,111   $26,452   $18,248 
Dividend income   -    -    377    - 
                     
Total investment income   14,352    9,111    26,829    18,248 
                     
Expenses                    
Interest and other debt financing expenses   2,580    1,467    4,946    3,044 
Base management fee   2,093    1,341    3,967    2,625 
Incentive fee   1,434    221    2,344    411 
Professional fees   559    491    1,147    1,058 
Administrative service fee   455    214    718    387 
General and administrative expenses   166    196    301    309 
                     
Total expenses   7,287    3,930    13,423    7,834 
                     
Net investment income   7,065    5,181    13,406    10,414 
                     
Net gain (loss) on investments                    
Net realized (loss) gain on investments   (2,817)   1,049    (4,932)   1,925 
Net realized gain (loss) on derivative instruments   724    -    988    - 
Net change in unrealized appreciation (depreciation) on investments   4,032    (354)   4,375    (501)
Net change in unrealized appreciation (depreciation) on derivative instruments   2,427    -    3,784    - 
                     
Net gain (loss) on investments   4,366    695    4,215    1,424 
                     
Net increase in net assets resulting from operations  $11,431   $5,876   $17,621   $11,838 
                     
Per Common Share Data                    
Basic and diluted earnings per common share  $0.48   $0.33   $0.77   $0.67 
Dividends and distributions declared per common share  $0.32   $0.32   $0.64   $0.63 
Basic and diluted weighted average common shares outstanding   24,059,623    17,738,395    22,890,820    17,725,418 

 

See Notes to Consolidated Financial Statements.

 

4
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Statements of Changes in Net Assets (unaudited)

(In thousands, except share data)

  

                   Net Unrealized         
           Capital   Appreciation   Net Realized Gain     
   Common Stock   Paid in Capital   Distributions   (Depreciation) on   (Loss) on Investments     
       Par   in Excess   in Excess of Net   Investments and   and  Derivative   Total 
   Shares   Amount   of Par   Investment Income   Derivative Instruments   Instruments   Net Assets 
                             
Balance at September 30, 2010   17,712,444   $18   $258,568   $-   $1,995  $(40)  $260,541 
Net increase in net assets resulting from operations   -    -    -    10,414    (501)   1,925    11,838 
Distributions to stockholders:                                   
Stock issued in connection with dividend reinvestment plan   43,532    -    765    -    -    -    765 
Dividends and distributions   -    -    -    (11,167)   -    -    (11,167)
Balance at March 31, 2011   17,755,976   $18   $259,333   $(753)  $1,494   $1,885   $261,977 
                                    
Balance at September 30, 2011   21,733,903   $22   $318,302   $(398)  $(1,519)  $142   $316,549 
Issuance of common stock, net of offering and underwriting costs(1)   3,825,000    4    56,512    -    -    -    56,516 
Net increase in net assets resulting from operations   -    -    -    13,406    8,159    (3,944)   17,621 
Distributions to stockholders:                                   
Stock issued in connection with dividend reinvestment plan   80,468    -    1,180    -    -    -    1,180 
Dividends and distributions   -    -    -    (15,141)   -    -    (15,141)
Balance at March 31, 2012   25,639,371   $26   $375,994   $(2,133)  $6,640   $(3,802)  $376,725 

 

(1)On February 3, 2012, Golub Capital BDC, Inc. closed on a public offering of 3,500,000 shares of its common stock at a public offering price of $15.35 per share. On March 1, 2012 Golub Capital BDC, Inc. sold an additional 325,000 shares of its common stock at a public offering price of $15.35 per share pursuant to the underwriters’ partial exercise of the over-allotment option granted.

 

See Notes to Consolidated Financial Statements.

 

5
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Statements of Cash Flows (unaudited)

(In thousands)  Six Months Ended March 31, 
   2012   2011 
Cash flows from operating activities          
Net increase in net assets resulting from operations  $17,621   $11,838 
Adjustments to reconcile net increase in net assets resulting from operations to net cash (used in) provided by operating activities          
Amortization of deferred financing costs   697    365 
Amortization of discount and premium   (2,380)   (3,181)
Net realized loss (gain) on investments   4,932    (1,925)
Net realized (gain) loss on derivative instruments   (988)   - 
Net change in unrealized (appreciation) depreciation on investments   (4,375)   501 
Net change in unrealized (appreciation) depreciation on derivative instruments   (3,784)   - 
(Fundings of) proceeds from revolving loans, net   (1,014)   1,092 
Fundings of investments   (237,606)   (149,994)
Proceeds from principal payments and sales of portfolio investments   86,474    109,316 
Proceeds from derivative instruments   988    - 
Changes in operating assets and liabilities:          
Interest receivable   (653)   (225)
Cash collateral on deposit with custodian   353    - 
Open trade receivable   -    (4,389)
Other assets   425    (422)
Interest payable   244    (232)
Management and incentive fees payable   1,856    582 
Payable for investments purchased   5,010    (5,328)
Accounts payable and accrued expenses   318    298 
Net cash (used in) provided by operating activities   (131,882)   (41,704)
           
Cash flows from investing activities          
Net change in restricted cash and cash equivalents   (19,109)   15,721 
Net cash (used in) provided by investing activities   (19,109)   15,721 
           
Cash flows from financing activities          
Borrowings on debt   131,917    20,000 
Repayments of debt   (37,900)   - 
Capitalized debt financing costs   (1,810)   (968)
Proceeds from shares sold, net of underwriting costs   57,164    - 
Offering costs paid   (648)   - 
Dividends and distributions paid   (13,961)   (10,402)
Net cash provided by (used in) financing activities   134,762    8,630 
           
Net change in cash and cash equivalents   (16,229)   (17,353)
           
Cash and cash equivalents, beginning of period   46,350    61,219 
           
Cash and cash equivalents, end of period  $30,121   $43,866 
           
Supplemental information:          
Cash paid during the period for interest  $4,006   $2,913 
Dividends and distributions declared during the period  $15,141   $11,167 

 

See Notes to Consolidated Financial Statements.

 

6
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (unaudited)

March 31, 2012

(In thousands)

 

                    Percentage    
  Investment  Spread Above    Interest   Maturity   Principal      of    Fair 
  Type  Index(1)    Rate(2)   Date   Amount   Cost   Net Assets   Value 
Investments                                      
Canada                                      
Debt investments                                      
Leisure, Amusement, Motion Pictures, Entertainment                                      
Extreme Fitness, Inc.(6)  Subordinated debt  N/A     14.50%   11/2015   $2,835   $2,790    0.8%  $2,835 
                                       
Total Canada                  2,835    2,790     0.8  $ 2,835
                                        
Fair Value as percentage of Principal Amount                                     100.0%
                                       
United States                                      
Debt investments                                      
Aerospace and Defense                                      
Whitcraft LLC  Subordinated debt  N/A     12.00%   12/2018   $1,877   $1,846    0.5%  $1,877 
Automobile                                      
ABRA, Inc.(3)  Subordinated debt  N/A     N/A(4)    04/2017    -    (24)   -    - 
ABRA, Inc.(6)  Subordinated debt  N/A     13.50%   04/2017    9,659    9,460    2.6    9,659 
American Driveline Systems, Inc.*  Senior loan  L + 5.50    7.00%   01/2016    2,869    2,813    0.7    2,812 
American Driveline Systems, Inc.  Senior loan  P + 4.50    7.75%   01/2016    168    161    160      
CLP Auto Interior Corporation*  Senior loan  L + 4.75%    4.99%   06/2013    3,111    3,111    0.8    2,956 
Heartland Automotive Services II, Inc.*  Senior loan  L + 5.00%    7.25%   01/2014    597    549    0.2    597 
Heartland Automotive Services II, Inc.  Senior loan  L + 7.00%    9.25%   01/2014    447    411    0.1    424 
K&N Engineering, Inc.  Senior loan  P + 4.25%    7.50%   12/2016    60    53    -    57 
K&N Engineering, Inc.  Senior loan  P + 4.25    7.50%   12/2016    3,256    3,194    0.9    3,223 
                      20,167    19,728    5.3    19,888 
Banking                                      
Prommis Solutions Inc.*(5)  Senior loan  P + 2.00    5.25%   02/2013    1,237    1,237    0.1    408 
                                       
Beverage, Food and Tobacco                                      
ABP Corporation*  Senior loan  L + 6.60    8.10%   06/2016    4,559    4,484    1.2    4,559 
ABP Corporation(3)  Senior loan  L + 5.25    N/A(4)    06/2016    -    (6)   -    - 
Ameriqual Group, LLC*  Senior loan  L + 5.00%    6.51%   03/2016    1,913    1,883    0.5    1,818 
Ameriqual Group, LLC*  Senior loan  L + 7.50%    9.01%   03/2016    844    830    0.2    759 
Atkins Nutrionals, Inc.  Senior loan  L + 7.90%    9.40%   12/2015    5,028    4,910    1.3    5,028 
Bertucci's Corporation*  Second lien  L + 11.10    14.10%   07/2012    1,842    1,835    0.5    1,842 
First Watch Restaurants, Inc.*  Senior loan  P + 6.50%    9.75%   12/2016    11,588    11,369    3.0    11,472 
First Watch Restaurants, Inc.(3)  Senior loan  P + 6.50    N/A (4)   12/2016    -    (33)   -    (18)
First Watch Restaurants, Inc.(3)  Senior loan  P + 6.50%    N/A(4)   12/2016    -    (33)   -    (18)
IL Fornaio (America) Corporation*  Senior loan  L + 5.25    6.50%   06/2017    4,806    4,785    1.3    4,806 
Julio & Sons Company*  Senior loan  L + 7.00%    8.50%   09/2016    7,158    7,093    1.9    7,158 
Julio & Sons Company(3)  Senior loan  L + 7.00    N/A(4)    09/2014    -    (18)   -    - 
Julio & Sons Company(3)  Senior loan  L + 7.00    N/A(4)   09/2016    -    (13)   -    - 
Noodles & Company*  Senior loan  L + 4.50    5.75%   02/2016    1,613    1,600    0.4    1,613 
Richelieu Foods, Inc.*  Senior loan  L + 5.50    7.26%   11/2015    2,168    2,125    0.5    2,060 
Richelieu Foods, Inc.  Senior loan  P + 4.50    7.75%   11/2015    115    103    -    85 
                      41,634    40,914    10.8    41,164 
Building and Real Estate                                      
ASP PDM Acquisition Co. LLC*  Senior loan  L + 4.75    5.75%   12/2013    455    440    0.1    373 
Global Claims Services, Inc.*  Senior loan  L + 4.50    5.75%   03/2014    7,537    7,476    2.0    7,537 
KHKI Acquisition, Inc.  Senior loan  P + 5.00    8.50%   03/2013    2,626    2,625    0.6    2,101 
Tecta America Corp.  Senior loan  P + 5.75    9.00%   03/2014    2,404    2,404    0.6    2,148 
                      13,022    12,945    3.3    12,159 
Cargo Transport                                      
TMW Systems, Inc.*  Senior loan  L + 4.25    5.78%   05/2016    1,958    1,934    0.5    1,919 
                                       
Chemicals, Plastics and Rubber                                      
Road Infrastructure Investment, LLC*  Senior loan  L + 5.00    6.25%   03/2018    4,158    4,095    1.1    4,148 
Road Infrastructure Investment, LLC(3)  Senior loan  L + 5.00    N/A(4)    03/2017    -    (45)   -    (5)
Syrgis Holdings, Inc.*  Senior loan  L + 5.50%    7.75%   08/2012    93    92    -    93 
Syrgis Holdings, Inc.*  Senior loan  L + 6.00    8.25%   08/2013    864    843    0.2    864 
Syrgis Holdings, Inc.*  Senior loan  L + 8.50    10.75%   02/2014    474    460    0.1    474 
                      5,589    5,445    1.4    5,574 

 

See Notes to Consolidated Financial Statements.

 

7
 

  

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (Continued)

March 31, 2012 376,725,129

(In thousands)

 

                    Percentage    
  Investment  Spread Above    Interest   Maturity   Principal      of Total    Fair 
  Type Index(1)    Rate(2)   Date   Amount   Cost   Net Assets   Value 
Containers, Packaging and Glass                                      
Fort Dearborn Company*  Senior loan  L + 4.75    6.50%   08/2015   $1,401   $1,382    0.4%  $1,401 
Fort Dearborn Company*  Senior loan  L + 5.25    7.00%   08/2016    3,186    3,139    0.8    3,186 
                      4,587    4,521    1.2    4,587 
Diversified Conglomerate Manufacturing                                      
Heat Transfer Parent, Inc.*  Senior loan  L + 3.00%    3.24%   06/2013    1,724    1,696    0.5    1,724 
Neptco Inc.  Senior loan  P + 5.00    8.15%   03/2013    3,825    3,771    1.0    3,595 
Oasis Outsourcing Holdings, Inc.(6)  Subordinated debt  N/A     13.00%   04/2017    11,970    11,751    3.2    11,970 
Pasternack Enterprises, Inc.*  Senior loan  L + 4.50    6.00%   02/2014    3,959    3,899    1.1    3,959 
Sunless Merger Sub, Inc.*  Senior loan  L + 5.00    6.25%   07/2016    2,382    2,372    0.6    2,358 
Sunless Merger Sub, Inc.(3)  Senior loan  L + 5.00    N/A(4)    07/2016    -    (1)   -    (3)
Tecomet Inc.*  Senior loan  L + 5.25    7.00%   12/2015    4,477    4,415    1.2    4,477 
Tecomet Inc.(3)  Senior loan  L + 5.25    N/A(4)    12/2015    -    (6)   -    - 
Vintage Parts, Inc.*  Senior loan  L + 6.00    8.50%   12/2013    86    86    -    86 
Vintage Parts, Inc.*  Senior loan  L + 8.00    9.75%   12/2013    1,294    1,279    0.4    1,319 
Vintage Parts, Inc.*  Senior loan  L + 5.50 %    5.97%   12/2013    6,194    6,163    1.6    6,070 
                      35,911    35,425    9.6    35,555 
Diversified Conglomerate Service                                      
API Healthcare Corporation*  Senior loan  L + 7.88    9.38%   02/2017    9,833    9,646    2.6    9,686 
Benetech, Inc.*  Senior loan  L + 5.00    5.24%   12/2013    8,845    8,693    2.3    8,845 
Compass Group Diversified Holdings, LLC*  Senior loan  L + 6.00 %    6.50%   10/2017    8,429    8,115    2.2    8,429 
Cortz, Inc.*  Senior loan  L + 5.50    7.00%   03/2014    6,930    6,893    1.8    6,930 
Digital Technology International, LLC  Senior loan  P + 6.00 %    9.25%   09/2016    309    301    0.1    309 
Digital Technology International, LLC  Senior loan  P + 6.00    9.25%   09/2016    6,414    6,298    1.7    6,414 
Document Technologies, LLC(3)  Senior loan  P + 4.25    N/A(4)    12/2016    -    (17)   -    (9)
Document Technologies, LLC  Senior loan  L + 5.00    6.50%   12/2016    4,099    4,023    1.1    4,058 
EAG, Inc.*  Senior loan  P + 3.50    6.75%   07/2017    2,698    2,657    0.7    2,698 
Employment Law Training, Inc. *  Senior loan  L + 7.50    9.00%   12/2016    15,932    15,563    4.2    15,772 
Employment Law Training, Inc. (3)  Senior loan  L + 7.50    N/A(4)    12/2016    -    (24)   -    (13)
Evolution1, Inc.*  Senior loan  L + 4.75    6.25%   06/2016    4,643    4,583    1.2    4,550 
Evolution1, Inc.(3)  Senior loan  L + 4.75    N/A(4)    06/2016    -    (21)   -    (33)
Evolution1, Inc.(3)  Senior loan  L + 4.75    N/A(4)    06/2016    -    (4)   -    (7)
HighJump Acquisition LLC(3)  Senior loan  L + 8.75    N/A(4)    07/2016    -    (13)   -    - 
HighJump Acquisition LLC  Senior loan  L + 8.75    10.00%   07/2016    5,469    5,398    1.5    5,469 
MSC.Software Corporation*  Senior loan  L + 6.50    9.15%   12/2016    6,400    6,279    1.7    6,336 
NS Holdings, Inc.*  Senior loan  L + 6.40    7.77%   06/2015    260    255    0.1    260 
NS Holdings, Inc.*  Senior loan  L + 6.28    7.65%   06/2015    2,084    2,057    0.6    2,084 
QuadraMed Corporation*  Senior loan  L + 5.25    6.75%   07/2016    1,184    1,174    0.3    1,172 
The Service Companies, Inc.*  Senior loan  L + 6.50    9.00%   03/2014    6,741    6,667    1.8    6,741 
Sumtotal Systems, Inc.*  Senior loan  L + 4.00    5.25%   12/2015    1,512    1,498    0.4    1,512 
                      91,782    90,021    24.3    91,203 
Diversified Natural Resources, Precious Metals, and Minerals                                      
Metal Spinners, Inc.*  Senior loan  L + 6.50    8.00%   12/2014    1,661    1,611    0.4    1,661 
Metal Spinners, Inc.*  Senior loan  L + 6.50    8.00%   12/2014    3,052    2,965    0.8    3,052 
                      4,713    4,576    1.2    4,713 
Electronics                                      
Blue Coat Systems, Inc.*  Second lien  L + 10.00    11.50%   08/2018    5,424    5,264    1.4    5,451 
Blue Coat Systems, Inc.  Senior loan  L + 6.00    7.50%   02/2018    8,136    7,976    2.2    8,126 
Cape Electrical Supply LLC*(6)  Senior loan  L + 6.25%    7.50%   11/2013    1,723    1,674    0.5    1,723 
Ecommerce Industries, Inc.*  Senior loan  L + 8.34    9.59%   10/2016    13,886    13,654    3.7    13,886 
Ecommerce Industries, Inc.(3)  Senior loan  L + 6.75    N/A(4)    10/2016    -    (30)   -    - 
Entrust, Inc.*  Senior loan  L + 7.28    8.78%   03/2017    4,163    4,109    1.1    4,163 
Entrust, Inc.*  Senior loan  L + 7.29    8.79%   03/2017    8,994    8,870    2.4    8,994 
Syncsort Incorporated*  Senior loan  L + 5.50    7.50%   03/2015    8,741    8,605    2.3    8,741 
Syncsort Incorporated(3)  Senior loan  L + 5.50    N/A(4)    03/2015    -    (5)   -    - 
Time-O-Matic, Inc.(6)  Subordinated debt  N/A     13.25%   12/2016    11,488    11,293    3.0    11,488 
                      62,555    61,410    16.6    62,572 
Farming and Agriculture                                      
AGData, L.P.  Senior loan  L + 6.25    7.75%   08/2016    2,893    2,857    0.8    2,893 
                                       
Finance                                      
Bonddesk Group LLC*  Senior loan  L + 5.00    6.50%   09/2016    1,015    1,005    0.3    1,005 
Pillar Processing LLC*(5)  Senior loan  L + 7.50    7.72%   11/2013    2,972    2,966    0.6    2,080 
Pillar Processing LLC*(5)  Senior loan  N/A     14.50%   05/2014    3,125    3,125    0.1    313 
                      7,112    7,096    1.0    3,398 

 

See Notes to Consolidated Financial Statements.

 

8
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (Continued)

March 31, 2012 376,725,129

(In thousands)

 

                    Percentage    
  Investment  Spread Above    Interest   Maturity   Principal      of Total   Fair  
  Type  Index(1)    Rate(2)   Date   Amount   Cost   Net Assets   Value 
Healthcare, Education and Childcare                                      
Advanced Pain Management Holdings, Inc.(6)  Subordinated debt  N/A     14.00%   06/2016   $7,879   $7,730    2.1%  $7,879 
Avatar International, LLC*  Senior loan  L + 7.50    8.75%   09/2016    7,955    7,832    2.1    7,955 
Avatar International, LLC(3)  Senior loan  L + 7.50    N/A(4)   09/2016    -    (9)   -    - 
Avatar International, LLC  Senior loan  L + 8.00    9.25%   09/2016    1,716    1,696    0.5    1,716 
Campus Management Acquisition Corp.  Second lien  L + 9.14    10.89%   09/2015    5,221    5,148    1.3    4,960 
Community Hospices of America, Inc.*  Senior loan  L + 5.50    7.25%   12/2015    5,097    5,021    1.4    5,097 
Community Hospices of America, Inc.(3)  Senior loan  L + 5.50    N/A(4)    12/2015    -    (6)   -    - 
Community Hospices of America, Inc.(6)  Subordinated debt  L + 11.75    13.75%   06/2016    1,848    1,814    0.5    1,848 
DDC Center Inc.*  Senior loan  L + 6.50    9.50%   10/2014    8,447    8,449    2.2    8,447 
DDC Center Inc.*  Senior loan  L + 6.50    9.50%   12/2012    227    227    0.1    227 
DDC Center Inc.  Senior loan  L + 6.50    N/A(4)    10/2013    -    -    -    - 
Delta Educational Systems, Inc.*  Senior loan  L + 5.00    7.00%   11/2012    2,827    2,798    0.8    2,827 
Dialysis Newco, Inc.(6)  Subordinated debt  N/A     13.00%   09/2018    8,708    8,577    2.3    8,577 
G & H Wire Company, Inc.*  Senior loan  L + 5.50    7.25%   12/2015    5,625    5,552    1.5    5,625 
G & H Wire Company, Inc.(3)  Senior loan  L + 5.50    N/A(4)    12/2015    -    (10)   -    - 
Hospitalists Management Group, LLC  Senior loan  L + 4.50    6.00%   05/2017    415    403    0.1    397 
Hospitalists Management Group, LLC  Senior loan  P + 3.50    6.75%   05/2017    4,154    4,066    1.1    4,071 
Hospitalists Management Group, LLC(3)  Senior loan  P + 3.50    N/A(4)    05/2017    -    (12)   -    (18)
The Hygenic Corporation*  Senior loan  L + 2.50    2.74%   04/2013    2,230    2,208    0.6    2,186 
Integrated DNA Technologies, Inc.(6)  Subordinated debt  N/A     14.00%   04/2015    450    435    0.1    450 
Integrated DNA Technologies, Inc.(6)  Subordinated debt  N/A     14.00%   04/2015    450    445    0.1    450 
Integrated DNA Technologies, Inc.(6)  Subordinated debt  N/A     14.00%   04/2015    3,800    3,760    1.0    3,800 
Maverick Healthcare Group, LLC *  Senior loan  L + 5.50    7.25%   12/2016    2,206    2,177    0.6    2,206 
National Healing Corporation*  Second lien  L + 10.00    11.50%   11/2018    17,976    16,885    4.7    17,616 
National Healing Corporation  Senior loan  L + 6.75    8.25%   11/2017    3,587    3,417    0.9    3,515 
NeuroTherm, Inc.*  Senior loan  L + 5.00    6.50%   02/2016    1,654    1,626    0.4    1,654 
NeuroTherm, Inc.  Senior loan  L + 5.00    6.50%   02/2016    188    182    -    188 
Reliant Pro ReHab, LLC*  Senior loan  L + 4.75    6.00%   06/2016    3,697    3,642    1.0    3,623 
Reliant Pro ReHab, LLC(3)  Senior loan  L + 4.75    N/A(4)    06/2016    -    (19)   -    (35)
Reliant Pro ReHab, LLC  Senior loan  P + 3.75    7.00%   06/2016    231    222    0.1    219 
Surgical Information Systems, LLC  Second lien  L + 7.40    8.95%   12/2015    4,757    4,686    1.3    4,757 
TIDI Products, LLC*  Senior loan  L + 4.75    6.25%   05/2015    2,182    2,151    0.6    2,182 
TIDI Products, LLC(3)  Senior loan  L + 4.75    N/A(4)   05/2015    -    (4)   -    - 
                      103,527    101,089    27.4    102,419 
Home and Office Furnishings, Housewares, and Durable Consumer                                      
Amerifile, LLC*  Senior loan  L + 5.00    6.50%   03/2016    4,408    4,355    1.2    4,408 
Top Knobs USA, Inc.*  Senior loan  L + 5.75    7.75%   11/2016    1,144    1,127    0.3    1,144 
WII Components, Inc.*  Senior loan  L + 4.75    6.25%   07/2016    1,778    1,755    0.5    1,778 
WII Components, Inc.  Senior loan  P + 3.75    7.00%   07/2016    28    26    -    28 
Zenith Products Corporation*  Senior loan  L + 5.00    5.68%   09/2013    3,628    3,594    0.9    3,555 
                      10,986    10,857    2.9    10,913 
Leisure, Amusement, Motion Pictures and Entertainment                                      
Competitor Group, Inc.*  Senior loan  L + 8.00    9.50%   01/2017    17,019    16,701    4.5    17,019 
Competitor Group, Inc.(3)  Senior loan  L + 8.00    N/A(4)    01/2017    -    (39)   -    - 
Octane Fitness, LLC*  Senior loan  L + 5.50    7.00%   12/2015    4,675    4,533    1.2    4,675 
Optronics Product Company, Inc.*  Second lien  L + 7.25    8.25%   12/2013    2,489    2,430    0.7    2,489 
Pride Manufacturing Company, LLC*  Senior loan  L + 5.50    7.25%   11/2015    783    772    0.2    760 
                      24,966    24,397    6.6    24,943 

 

See Notes to Consolidated Financial Statements.

 

9
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (Continued)

March 31, 2012 376,725,129

(In thousands)

 

                    Percentage    
  Investment  Spread Above    Interest   Maturity   Principal      of Total   Fair  
  Type  Index(1)    Rate(2)   Date   Amount   Cost   Net Assets   Value 
Personal and Non-Durable Consumer Products                                      
Dr. Miracles, Inc.*(6)  Senior loan  L + 7.50    10.00%   03/2014   $3,165   $3,146    0.8%  $2,976 
Massage Envy, LLC*  Senior loan  L + 5.00    6.50%   06/2016    6,590    6,522    1.7    6,590 
Massage Envy, LLC(3)  Senior loan  L + 5.00    N/A(4)    06/2016    -    (1)   -    - 
MTS Medication Technologies, Inc.*  Senior loan  L + 5.25    6.75%   06/2016    1,528    1,518    0.4    1,528 
MTS Medication Technologies, Inc.(3)  Senior loan  L + 5.50    N/A(4)    06/2016    -    (1)   -    - 
Strategic Partners, Inc.(6)  Subordinated debt  N/A     14.00%   02/2017    9,636    9,438    2.6    9,636 
                      20,919    20,622    5.5    20,730 
Personal, Food and Miscellaneous Services                                       
Affordable Care Inc.*  Senior loan  L + 5.00    6.50%   12/2015    3,668    3,625    1.0    3,668 
Affordable Care Inc.(3)  Senior loan  L + 5.00    N/A(4)    12/2015    -    (7)   -    - 
Automatic Bar Controls, Inc.*  Senior loan  L + 6.00    7.51%   03/2016    1,054    1,043    0.3    1,003 
Automatic Bar Controls, Inc.(3)  Senior loan  P + 4.75    N/A(4)    03/2016    -    (2)   -    (8)
Focus Brands Inc.  Second lien  L + 9.00    10.25%   08/2018    6,481    6,353    1.7    6,513 
Focus Brands Inc.  Senior loan  L + 5.00    6.26%   02/2018    6,391    6,328    1.7    6,415 
Ignite Restaurant Group, Inc.*  Senior loan  L + 4.75    6.25%   03/2016    6,549    6,470    1.7    6,549 
NVA Acquisition Company  Senior loan  L + 4.25    5.50%   06/2016    1,891    1,875    0.5    1,815 
Restaurant Technologies, Inc.*  Senior loan  L + 4.75    6.00%   05/2017    1,111    1,101    0.3    1,088 
Restaurant Technologies, Inc.  Senior loan  L + 4.75    6.00%   05/2017    120    119    -    117 
Trusthouse Service Group, Inc.(3)  Senior loan  L + 5.13    N/A(4)    07/2017    -    (4)   -    - 
Trusthouse Service Group, Inc.  Senior loan  P + 4.13    7.38%   07/2016    3    3    -    3 
Trusthouse Service Group, Inc.  Senior loan  L + 5.13    6.63%   07/2017    1,018    1,004    0.3    1,018 
Vetcor Professional Practices LLC*  Senior loan  L + 6.00    7.50%   02/2015    9,899    9,899    2.6    9,899 
                      38,185    37,807    10.1    38,080 
Personal Transportation                                      
PODS Funding Corp. II*  Senior loan  L + 7.00    8.50%   11/2016    6,174    6,001    1.6    6,174 
PODS Funding Corp. II(6)  Subordinated debt  N/A     21.00%   11/2017    2,802    2,802    0.7    2,802 
PODS Funding Corp. II  Subordinated debt  N/A     N/A(4)    11/2017    -    -    -    - 
PODS Funding Corp. II(3)  Second lien  N/A     N/A(4)    05/2017    -    (10)   -    - 
PODS Funding Corp. II(6)  Second lien  N/A     15.50%   05/2017    2,045    1,987    0.5    2,045 
PODS Funding Corp. II(3)  Senior loan  L + 7.00    N/A(4)    11/2016    -    (52)   -    - 
                      11,021    10,728    2.8    11,021 
Printing and Publishing                                      
Market Track, LLC*  Senior loan  L + 7.75    9.25%   11/2015    12,325    12,149    3.3    12,325 
Market Track, LLC(3)  Senior loan  L + 7.75    N/A(4)    11/2015    -    (17)   -    - 
Trade Service Company, LLC*  Senior loan  L + 5.25    6.75%   06/2013    1,189    1,187    0.3    1,189 
Trade Service Company, LLC*(6)  Senior loan  N/A     14.00%   06/2013    765    762    0.2    765 
Trade Service Company, LLC(3)  Senior loan  L + 5.25    N/A(4)    06/2013    -    (1)   -    - 
                      14,279    14,080    3.8    14,279 
Retail Stores                                      
Barcelona Restaurants, LLC*  Senior loan  L + 10.00    11.50%   03/2017    4,988    4,893    1.3    4,914 
Barcelona Restaurants, LLC(3)  Senior loan  L + 10.00    N/A(4)    03/2017    -    (6)   -    (6)
Bojangles' Restaurants, Inc.*  Senior loan  L + 6.50    8.00%   08/2017    2,968    2,760    0.8    2,969 
Chuy's OPCO, Inc.  Senior loan  L + 7.00    8.50%   05/2016    289    287    0.1    289 
Chuy's OPCO, Inc.  Senior loan  P + 5.50    10.00%   05/2016    443    425    0.1    443 
Chuy's OPCO, Inc.  Senior loan  L + 7.00    8.50%   05/2016    15,150    14,911    4.0    15,150 
DTLR, Inc.*  Senior loan  L + 8.00    11.00%   12/2015    8,115    7,998    2.2    8,115 
The Marshall Retail Group, LLC*  Senior loan  L + 6.50    8.00%   04/2013    10,820    10,616    2.9    10,820 
The Marshall Retail Group, LLC(3)  Senior loan  L + 6.50    N/A(4)    04/2013    -    (17)   -    - 
Restaurant Holding Company, LLC  Senior loan  L + 7.50    9.00%   02/2017    9,978    9,783    2.6    9,978 
Rubio's Restaurants, Inc.*(6)  Senior loan  L + 7.75    9.50%   06/2015    8,459    8,341    2.2    8,459 
Vision Source L.P.*  Senior loan  L + 6.75    8.00%   04/2016    13,497    13,270    3.6    13,497 
Vision Source L.P.(3)  Senior loan  L + 6.75    N/A(4)    04/2016    -    (10)   -    - 
                      74,707    73,251    20    74,628 
Telecommunications                                      
Hosting.com, Inc.*  Senior loan  L + 4.50    5.75%   05/2014    918    905    0.2    918 
Hosting.com, Inc.(3)  Senior loan  L + 4.50    N/A(4)    05/2014    -    (2)   -    - 
NameMedia, Inc.  Senior loan  L + 6.00    7.50%   11/2014    46    46    -    46 
NameMedia, Inc.  Senior loan  L + 6.00    7.50%   11/2014    2,290    2,253    0.6    2,290 
West Corporation(3)  Senior loan  L + 2.00    N/A(4)    10/2012    -    (66)   (0.1)   (200)
                      3,254    3,136    0.7    3,054 
Utilities                                      
PowerPlan Consultants, Inc.*  Senior loan  P + 4.25    7.50%   05/2014    5,239    5,160    1.4    5,160 
PowerPlan Consultants, Inc.(3)  Senior loan  P + 4.25    N/A(4)    05/2015    -    (2)   -    (2)
                      5,239    5,158    2.0    5,158 
Total debt investments United States               602,120   591,080    157.4  $593,135 
                                       
Fair Value as a percentage of Principal Amount                                   98.5%

 

See Notes to Consolidated Financial Statements.

 

10
 

 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (unaudited) - (Continued)

March 31, 2012

(In thousands, except derivative contracts)

 

                     Principal       Percentage     
    Investment   Spread Above   Interest   Maturity    Amount/Shares/       of Total   Fair 
    Type   Index(1)   Rate(2)   Date    Contracts   Cost   Net Assets   Value 
Equity investments                                      
Aerospace and Defense                                      
Whitcraft LLC   Common stock   N/A   N/A   N/A     1   $670    0.2%  $670 
Whitcraft LLC   Warrant   N/A   N/A   N/A     -    -    -    117 
                           670    0.2    787 
Automobile                                      
ABRA, Inc.   LLC interest   N/A   N/A   N/A     1    1,471    0.4    1,471 
K&N Engineering, Inc.   Common stock   N/A   N/A   N/A     -    4    -    4 
K&N Engineering, Inc.   Preferred stock A   N/A   N/A   N/A     -    62    -    62 
K&N Engineering, Inc.   Preferred stock B   N/A   N/A   N/A     -    18    -    18 
                           1,555    0.4    1,555 
Beverage, Food and Tobacco                                      
Atkins Nutrionals, Inc.   LLC interest   N/A   N/A   N/A     57    796    0.2    914 
First Watch Restaurants, Inc.   Common stock   N/A   N/A   N/A     7    691    0.2    691 
Julio & Sons Company   LLC interest   N/A   N/A   N/A     521    521    0.1    521 
Richelieu Foods, Inc.   LP interest   N/A   N/A   N/A     220    220    0.1    207 
                           2,228    0.6    2,333 
Diversified Conglomerate Manufacturing                                      
Neptco Inc.   Warrant   N/A   N/A   N/A     5    -    -    - 
Oasis Outsourcing Holdings, Inc.   LLC interest   N/A   N/A   N/A     1,088    1,088    0.3    1,251 
Sunless Merger Sub, Inc.   Preferred stock   N/A   N/A   N/A     -    148    -    148 
                           1,236    0.3-   1,399 
Diversified Conglomerate Service                                      
Document Technologies, LLC   LLC interest   N/A   N/A   N/A     24    490    0.1    490 
Employment Law Training, Inc.   LP interest   N/A   N/A   N/A     666    666    0.2    666 
                           1,156    0.3-   1,156 
Healthcare, Education and Childcare                                      
Advanced Pain Management Holdings, Inc.   Common stock   N/A   N/A   N/A     67    67    -    63 
Advanced Pain Management Holdings, Inc.   Preferred stock   N/A   N/A   N/A     13    1,273    0.3    1,188 
Avatar International, LLC   LP interest   N/A   N/A   N/A     7    695    0.2    695 
Dialysis Newco, Inc.   LLC units   N/A   N/A   N/A     871    871    0.2    871 
G & H Wire Company, Inc.   LP interest   N/A   N/A   N/A     -    102    -    102 
Hospitalists Management Group, LLC   Common stock   N/A   N/A   N/A     -    38    -    38 
National Healing Corporation   Preferred stock   N/A   N/A   N/A     695    799    0.2    799 
NeuroTherm, Inc.   Common stock   N/A   N/A   N/A     1    569    0.2    569 
Reliant Pro ReHab, LLC   Preferred stock   N/A   N/A   N/A     2    264    0.1    263 
Surgical Information Systems, LLC   Common stock   N/A   N/A   N/A     4    414    0.1    414 
                           5,092    1.3    5,002 
Home and Office Furnishings,                                      
 Housewares, and Durable Consumer                                      
Top Knobs USA, Inc.   Common stock   N/A   N/A   N/A     3    73    -    73 
                                       
Leisure, Amusement, Motion Pictures                                      
 and Entertainment                                      
Competitor Group, Inc.   Preferred stock   N/A   N/A   N/A     199    88    0.1    193 
Competitor Group, Inc.   Common stock   N/A   N/A   N/A     9    86    -    107 
                           174    0.1    300 
Personal and Non-Durable Consumer                                      
 Products                                      
Strategic Partners, Inc.   LLC interest   N/A   N/A   N/A     169    1,691    0.4    1,691 
                                       
Personal Transportation                                      
PODS Funding Corp. II   Warrant   N/A   N/A   N/A     224    -    -    - 
                                       
Retail Stores                                      
Barcelona Restaurants, LLC   LP interest   N/A   N/A   N/A     1,996    1,996    0.5    1,996 
Rubio's Restaurants, Inc.   Preferred stock   N/A   N/A   N/A     199    945    0.2    599 
Vision Source L.P.   Common stock   N/A   N/A   N/A     9    936    0.2    936 
                           3,877    0.9-   3,531 
                                       
Total equity investments United States                         $17,752    4.7%  $17,827 
                                       
Total United States                         $608,832    162.2%  $610,962 
                                       
Total investments                         $611,622    162.9%  $613,797 
                                       
Derivative investments                                      
Total return swap (Note 7)   Total return swap   N/A   N/A   06/2014     N/A   $-    0.4%  $1,480 
                                       
Futures contracts sold (Note 7)   Futures contracts   N/A   N/A   06/2012     250   $-    0.1%  $318 
                                       
Total derivative instruments                         $-    0.5%  $1,798 

 


*Denotes that all or a portion of the loan secures the notes offered in the Debt Securitization (as defined in Note 6).
(1)The majority of the investments bear interest at a rate that may be determined by reference to London Interbank Offered Rate ("LIBOR") "L" or Prime "P" and which reset daily, quarterly or semiannually. For each we have provided the spread over LIBOR or Prime and the weighted average current interest rate in effect at March 31, 2012. Certain investments are subject to a LIBOR or Prime interest rate floor. For fixed rate loans, a spread above a reference rate is not applicable.
(2)For portfolio companies with multiple interest rate contracts, the interest rate shown is a weighted average current interest rate in effect at March 31, 2012.
(3)The negative fair value is the result of the capitalized discount on the loan or the unfunded commitment being valued below par. The negative cost is the result of the capitalized discount being greater than the principal amount outstanding on the loan.
(4)The entire commitment was unfunded at March 31, 2012. As such, no interest is being earned on this investment.
(5)Loan was on non-accrual status as of March 31, 2012, meaning that the Company has ceased recognizing interest income on the loan.
(6)A portion of the interest may be deferred through a payment-in-kind ("PIK") rate option.

 

See Notes to Consolidated Financial Statements.

 

11
 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments

September 30, 2011

(In thousands)

 

                             Percentage     
    Investment    Spread Above   Interest   Maturity   Principal       of   Fair 
    Type    Index(1)   Rate(2)   Date   Amount   Cost   Net Assets   Value 
Investments                                                       
Canada                                         
Debt investments                                         
Leisure, Amusement, Motion Pictures,                                         
Entertainment                                         
Extreme Fitness, Inc.(6)   Subordinated debt     N/A    14.50%   11/2015   $2,799   $2,748    0.8%  $2,799 
                                          
Total Canada                       $2,799   $2,748    0.8%  $2,799 
                                          
Fair Value as percentage of Principal Amount                                       100.0%
                                          
United States                                         
Debt investments                                         
Aerospace and Defense                                         
Whitcraft LLC   Subordinated debt     N/A    12.00%   12/2018   $1,877   $1,843    0.6%  $1,877 
                                          
Automobile                                         
CLP Auto Interior Corporation*   Senior loan     L + 4.75%   4.99%   06/2013    3,146    3,146    0.9    2,988 
Driven Brands, Inc.*   Senior loan     L + 5.00%   6.53%   10/2014    5,109    5,109    1.6    5,108 
                         8,255    8,255    2.5    8,096 
Banking                                         
Prommis Solutions Inc.*(5)   Senior loan     P + 3.25%   5.25%   02/2013    1,237    1,237    0.2    928 
                         1,237    1,237    0.2    928 
Beverage, Food and Tobacco                                         
ABP Corporation*   Senior loan     L + 5.25%   6.75%   06/2016    4,582    4,498    1.4    4,581 
ABP Corporation(3)   Senior loan     L + 5.25%   N/A(4)    06/2016    -    (7)   -    - 
Ameriqual Group, LLC*   Senior loan     L + 5.00%   6.51%   03/2016    1,960    1,924    0.6    1,960 
Ameriqual Group, LLC*   Senior loan     L + 7.50%   9.00%   03/2016    848    833    0.3    848 
Atkins Nutrionals, Inc.   Second lien     L + 10.92%   12.92%   12/2015    5,028    4,944    1.6    5,028 
Bertucci's Corporation*   Second lien     L + 11.26%   14.27%   07/2012    1,943    1,921    0.6    1,943 
IL Fornaio (America) Corporation*   Senior loan     L + 5.25%   6.50%   06/2017    4,831    4,808    1.5    4,807 
Julio & Sons Company(3)   Senior loan     L + 7.00%   N/A(4)   09/2014    -    (22)   -    (22)
Julio & Sons Company(3)   Senior loan     L + 7.00%   N/A(4)   09/2016    -    (15)   -    (15)
Julio & Sons Company*   Senior loan     L + 7.00%   8.50%   09/2016    7,175    7,104    2.2    7,103 
Noodles & Company*   Senior loan     L + 4.50%   5.75%   02/2016    1,621    1,607    0.5    1,621 
Richelieu Foods, Inc.*   Senior loan     L + 5.00%   6.76%   11/2015    2,225    2,174    0.7    2,225 
Richelieu Foods, Inc.   Senior loan     P + 4.00%   7.25%   11/2015    132    119    -    132 
                         30,345    29,888    9.4    30,211 
Building and Real Estate                                         
American Fire Protection Group, Inc.(5)   Senior loan     L + 6.75%   9.00%   06/2011    4,422    4,124    0.3    1,105 
ASP PDM Acquisition Co. LLC*   Senior loan     L + 2.75%   3.29%   12/2013    457    436    0.1    411 
Infiltrator Systems, Inc.*   Senior loan     L + 5.50%   8.50%   09/2012    7,548    7,405    2.4    7,548 
Global Claims Services, Inc.*   Senior loan     L + 4.50%   5.75%   03/2014    7,633    7,556    2.4    7,633 
KHKI Acquisition, Inc.   Senior loan     L + 6.00%   8.50%   03/2012    118    118    -    118 
KHKI Acquisition, Inc.   Senior loan     L + 6.00%   8.50%   03/2013    2,600    2,598    0.7    2,080 
Tecta America Corp.   Senior loan     P + 5.75%   9.00%   03/2014    2,285    2,285    0.6    2,029 
                         25,063    24,522    6.5    20,924 
Cargo Transport                                         
TMW Systems, Inc.*   Senior loan     L + 4.25%   5.80%   05/2016    2,167    2,137    0.7    2,102 
                                          
Chemicals, Plastics and Rubber                                         
Flint Trading, Inc.*   Senior loan     L + 7.25%   8.75%   06/2016    12,466    12,403    3.9    12,466 
Flint Trading, Inc.(3)   Senior loan     L + 7.25%   N/A(4)   06/2016    -    (10)   -    - 
Syrgis Holdings, Inc.*   Senior loan     L + 5.50%   7.75%   08/2012    186    182    0.1    186 
Syrgis Holdings, Inc.*   Senior loan     L + 6.00%   8.25%   08/2013    864    836    0.3    864 
Syrgis Holdings, Inc.*   Senior loan     L + 8.50%   10.75%   02/2014    474    457    0.1    474 
                         13,990    13,868    4.4    13,990 

 

See Notes to Consolidated Financial Statements.

 

12
 

 

Golub Capital BDC, Inc. and Subsidiaries

Consolidated Schedule of Investments (Continued)

September 30, 2011

(In thousands)

 

                           Percentage     
    Investment  Spread Above   Interest   Maturity   Principal       of Total   Fair 
    Type  Index(1)   Rate(2)   Date   Amount   Cost   Net Assets   Value 
Containers, Packaging and Glass                                                        
Fort Dearborn Company*   Senior loan   L + 4.75%   6.65%   08/2015   $23   $22    -%  $23 
Fort Dearborn Company*   Senior loan   L + 5.25%   7.12%   08/2016    49    48    -    49 
Fort Dearborn Company*   Senior loan   L + 4.75%   6.50%   08/2015    1,473    1,450    0.5    1,473 
Fort Dearborn Company*   Senior loan   L + 5.25%   7.00%   08/2016    3,258    3,205    1.0    3,258 
                       4,803    4,725    1.5    4,803 
Diversified Conglomerate Manufacturing                                       
Heat Transfer Parent, Inc.*   Senior loan   L + 3.00%   3.24%   06/2013    1,790    1,748    0.5    1,682 
Neptco Inc.(6)   Senior loan   L + 6.00%   8.00%   03/2013    3,920    3,838    1.1    3,607 
OnCore Manufacturing LLC*   Senior loan   L + 8.00%   11.00%   06/2016    3,542    3,482    1.2    3,648 
Pasternack Enterprises, Inc.*   Senior loan   L + 4.50%   6.00%   02/2014    4,467    4,381    1.4    4,377 
Sunless Merger Sub, Inc.*   Senior loan   L + 5.00%   6.25%   07/2016    2,412    2,400    0.8    2,400 
Sunless Merger Sub, Inc.(3)   Senior loan   L + 5.00%   N/A(4)   07/2016    -    (1)   -    (1)
Tecomet Inc.(3)   Senior loan   L + 5.25%   N/A(4)   12/2015    -    (7)   -    - 
Tecomet Inc.*   Senior loan   L + 5.25%   7.00%   12/2015    4,564    4,520    1.4    4,564 
Vintage Parts, Inc.*   Senior loan   L + 5.50%   5.75%   12/2013    6,596    6,534    2.0    6,398 
Vintage Parts, Inc.*   Senior loan   L + 6.00%   8.50%   12/2013    92    92    -    92 
Vintage Parts, Inc.*   Senior loan   L + 8.00%   9.75%   12/2013    1,378    1,415    0.4    1,420 
                       28,761    28,402    8.8    28,187 
Diversified Conglomerate Service                                       
Benetech, Inc.*   Senior loan   L + 5.00%   5.22%   12/2013    8,845    8,649    2.8    8,845 
CIBT Holdings(3)   Senior loan   L + 4.75%   N/A(4)   12/2015    -    (3)   -    - 
CIBT Holdings*   Senior loan   L + 4.75%   6.50%   12/2015    1,055    1,055    0.3    1,055 
Compass Group Diversified Holdings, LLC*   Senior loan   L + 4.00%   4.25%   12/2013    4,444    4,444    1.4    4,444 
Cortz, Inc.*   Senior loan   L + 5.50%   7.00%   03/2014    6,624    6,585    2.1    6,624 
Digital Technology International, LLC(3)   Senior loan   P + 6.00%   N/A(4)   09/2016    -    (9)   -    (9)
Digital Technology International, LLC   Senior loan   L + 7.25%   8.75%   09/2016    6,495    6,365    2.0    6,430 
EAG, Inc.*   Senior loan   P + 3.50%   6.75%   07/2017    2,732    2,687    0.9    2,732 
Evolution1, Inc.(3)   Senior loan   L + 4.75%   N/A(4)   06/2016    -    (24)   -    (33)
Evolution1, Inc.(3)   Senior loan   L + 4.75%   N/A(4)   06/2016    -    (5)   -    (7)
Evolution1, Inc.*   Senior loan   L + 4.75%   6.25%   06/2016    4,654    4,588    1.4    4,561 
HighJump Acquisition LLC(3)   Senior loan   L + 8.75%   N/A(4)   07/2016    -    (15)   -    (16)
HighJump Acquisition LLC   Senior loan   L + 8.75%   10.00%   07/2016    5,496    5,417    1.7    5,469 
NS Holdings, Inc.*(3)   Senior loan   L + 6.25%   N/A(4)   06/2015    -    (6)   -    - 
NS Holdings, Inc.*   Senior loan   L + 6.28%   7.65%   06/2015    2,140    2,107    0.7    2,140 
QuadraMed Corporation*   Senior loan   L + 5.25%   6.75%   07/2016    1,215    1,203    0.4    1,202 
Royall & Company*   Senior loan   L + 5.00%   6.50%   11/2015    770    757    0.2    770 
The Service Companies, Inc.*   Senior loan   L + 6.50%   9.00%   03/2014    5,573    5,573    1.8    5,573 
Sumtotal Systems, Inc.*   Senior loan   L + 4.25%   5.50%   12/2015    1,552    1,536    0.5    1,552 
                       51,595    50,904    16.2    51,332 
Diversified Natural Resources, Precious                                       
Metals, and Minerals                                       
Metal Spinners, Inc.*   Senior loan   L + 7.00%   10.00%   12/2014    1,728    1,681    0.5    1,728 
Metal Spinners, Inc.*(6)   Senior loan   L + 11.00%   14.00%   12/2014    3,153    3,072    1.0    3,153 
                       4,881    4,753    1.5    4,881 
Electronics                                       
Cape Electrical Supply LLC*(6)   Senior loan   L + 6.25%   7.50%   11/2013    1,973    1,899    0.6    1,973 
Entrust, Inc.*   Senior loan   L + 7.22%   8.72%   03/2017    4,273    4,259    1.3    4,273 
Entrust, Inc.*   Senior loan   L + 7.23%   8.73%   03/2017    9,971    9,961    3.1    9,971 
Syncsort Incorporated(3)   Senior loan   L + 5.50%   N/A(4)   03/2015    -    (6)   -    - 
Syncsort Incorporated*   Senior loan   L + 5.50%   7.50%   03/2015    8,981    8,981    2.8    8,981 
Time-O-Matic, Inc.(6)   Subordinated debt   N/A    13.25%   12/2016    11,416    11,199