Company Quick10K Filing
Quick10K
FS Investment
10-Q 2019-06-30 Quarter: 2019-06-30
10-Q 2019-03-31 Quarter: 2019-03-31
10-K 2018-12-31 Annual: 2018-12-31
10-Q 2018-09-30 Quarter: 2018-09-30
10-Q 2018-06-30 Quarter: 2018-06-30
10-Q 2018-03-31 Quarter: 2018-03-31
10-K 2017-12-31 Annual: 2017-12-31
10-Q 2017-09-30 Quarter: 2017-09-30
10-Q 2017-06-30 Quarter: 2017-06-30
10-Q 2017-03-31 Quarter: 2017-03-31
10-K 2016-12-31 Annual: 2016-12-31
10-Q 2016-09-30 Quarter: 2016-09-30
10-Q 2016-06-30 Quarter: 2016-06-30
10-Q 2016-03-31 Quarter: 2016-03-31
10-K 2015-12-31 Annual: 2015-12-31
10-Q 2015-09-30 Quarter: 2015-09-30
10-Q 2015-06-30 Quarter: 2015-06-30
10-Q 2015-03-31 Quarter: 2015-03-31
10-K 2014-12-31 Annual: 2014-12-31
10-Q 2014-09-30 Quarter: 2014-09-30
10-Q 2014-06-30 Quarter: 2014-06-30
10-Q 2014-03-31 Quarter: 2014-03-31
10-K 2013-12-31 Annual: 2013-12-31
8-K 2019-09-10 Regulation FD
8-K 2019-08-07 Earnings, Regulation FD, Exhibits
8-K 2019-07-26 Off-BS Arrangement, Exhibits
8-K 2019-07-19 Enter Agreement, Exhibits
8-K 2019-07-19 Regulation FD, Exhibits
8-K 2019-07-18 Earnings, Exhibits
8-K 2019-07-16 Shareholder Vote
8-K 2019-07-15 Enter Agreement, Off-BS Arrangement, Exhibits
8-K 2019-07-08 Enter Agreement, Exhibits
8-K 2019-07-08 Regulation FD, Exhibits
8-K 2019-07-08 Officers
8-K 2019-06-25 Enter Agreement
8-K 2019-06-14 Shareholder Vote, Other Events
8-K 2019-05-22 Regulation FD
8-K 2019-05-08 Earnings, Regulation FD, Exhibits
8-K 2019-04-18 Earnings, Exhibits
8-K 2019-04-02 Regulation FD
8-K 2019-03-22 Accountant, Exhibits
8-K 2019-03-14 Officers
8-K 2019-03-04 Enter Agreement, Off-BS Arrangement, Exhibits
8-K 2019-02-27 Earnings, Regulation FD, Exhibits
8-K 2019-02-11 Earnings, Exhibits
8-K 2019-01-15 Earnings
8-K 2018-12-20 Enter Agreement, Leave Agreement, Exhibits
8-K 2018-12-19 M&A, Officers, Amend Bylaw, Regulation FD, Exhibits
8-K 2018-12-06 Regulation FD
8-K 2018-12-03 Amend Bylaw, Shareholder Vote, Regulation FD, Exhibits
8-K 2018-11-07 Earnings, Regulation FD, Exhibits
8-K 2018-10-17 Earnings, Exhibits
8-K 2018-09-26 Officers
8-K 2018-08-09 Earnings, Regulation FD, Exhibits
8-K 2018-07-26 Earnings, Exhibits
8-K 2018-07-19 Enter Agreement, Amend Bylaw, Regulation FD, Exhibits
8-K 2018-04-25 Earnings, Exhibits
8-K 2018-04-12 Other Events
8-K 2018-04-09 Enter Agreement, Leave Agreement, Exhibits
8-K 2018-03-29 Officers
8-K 2018-03-26 Shareholder Vote
8-K 2018-02-13 Earnings, Exhibits
AFSI Amtrust Financial Services 2,869
CNIG Corning Natural Gas Holding 63
PLRM Pilgrim Bancshares 46
ENCR Ener-Core 2
GNLN Greenlane Holdings 0
GPFF Grant Park Futures Fund Limited Partnership 0
ADPT Adaptive Biotechnologies 0
FDBL Friendable 0
IMAV I-Minerals 0
AEI21 AEI Income & Growth Fund XXI 0
FSIC 2019-06-30
Part I-Financial Information
Item 1. Financial Statements.
Note 1. Principal Business and Organization
Note 2. Summary of Significant Accounting Policies
Note 3. Share Transactions
Note 4. Related Party Transactions
Note 5. Distributions
Note 6. Investment Portfolio
Note 7. Financial Instruments
Note 8. Fair Value of Financial Instruments
Note 9. Financing Arrangements
Note 10. Commitments and Contingencies
Note 11. Financial Highlights
Note 12. Subsequent Events
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.
Item 3. Quantitative and Qualitative Disclosures About Market Risk.
Item 4. Controls and Procedures.
Part Ii-Other Information
Item 1. Legal Proceedings.
Item 1A. Risk Factors.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
Item 3. Defaults Upon Senior Securities.
Item 4. Mine Safety Disclosures.
Item 5. Other Information.
Item 6. Exhibits
EX-31.1 d783324dex311.htm
EX-31.2 d783324dex312.htm
EX-32.1 d783324dex321.htm

FS Investment Earnings 2019-06-30

FSIC 10Q Quarterly Report

Balance SheetIncome StatementCash Flow

10-Q 1 d783324d10q.htm FORM 10-Q Form 10-Q
Table of Contents

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

FORM 10-Q

 

 

 

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

 

    

FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2019

 

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

COMMISSION FILE NUMBER: 814-00757

 

 

FS KKR Capital Corp.

(Exact name of registrant as specified in its charter)

 

 

 

Maryland   26-1630040
(State of Incorporation)   (I.R.S. Employer Identification Number)

201 Rouse Boulevard

Philadelphia, Pennsylvania

  19112
(Address of principal executive offices)   (Zip Code)

Registrant’s telephone number, including area code: (215) 495-1150

 

 

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

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ☐    No  ☐.

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

 

Large accelerated filer  ☒      Accelerated filer  ☐
Non-accelerated filer  ☐      Smaller reporting company  ☐
     Emerging growth company  ☐

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

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

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

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange

on which registered

Common stock, par value $0.001   FSK   New York Stock Exchange

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

There were 518,543,564 shares of the registrant’s common stock outstanding as of August 6, 2019.

 

 

 


Table of Contents

TABLE OF CONTENTS

 

         

Page

PART I—FINANCIAL INFORMATION

  
ITEM 1.   

FINANCIAL STATEMENTS

   1
  

Consolidated Balance Sheets as of June 30, 2019 (Unaudited) and December 31, 2018

   1
  

Unaudited Consolidated Statements of Operations for the three and six months ended June  30, 2019 and 2018

   2
  

Unaudited Consolidated Statements of Changes in Net Assets for the three and six months ended June  30, 2019 and 2018

   3
  

Unaudited Consolidated Statements of Cash Flows for the six months ended June 30, 2019 and 2018

   4
  

Consolidated Schedules of Investments as of June 30, 2019 (Unaudited) and December 31, 2018

   5
  

Notes to Unaudited Consolidated Financial Statements

   35
ITEM 2.   

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

   69
ITEM 3.   

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

   83
ITEM 4.   

CONTROLS AND PROCEDURES

   85

PART II—OTHER INFORMATION

  
ITEM 1.   

LEGAL PROCEEDINGS

   86
ITEM 1A.   

RISK FACTORS

   86
ITEM 2.   

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

   86
ITEM 3.   

DEFAULTS UPON SENIOR SECURITIES

   86
ITEM 4.   

MINE SAFETY DISCLOSURES

   86
ITEM 5.   

OTHER INFORMATION

   86
ITEM 6.   

EXHIBITS

   87
  

SIGNATURES

   89

 


Table of Contents

PART I—FINANCIAL INFORMATION

Item 1. Financial Statements.

FS KKR Capital Corp.

Consolidated Balance Sheets

(in millions, except share and per share amounts)

 

 

 

     June 30, 2019
(Unaudited)
    December 31, 2018  

Assets

    

Investments, at fair value

    

Non-controlled/unaffiliated investments (amortized cost—$6,100 and $6,457, respectively)

   $ 5,879     $ 6,217  

Non-controlled/affiliated investments (amortized cost—$624 and $382, respectively)

     677       358  

Controlled/affiliated investments (amortized cost—$851 and $917, respectively)

     727       812  
  

 

 

   

 

 

 

Total investments, at fair value (amortized cost—$7,575 and $7,756, respectively)

     7,283       7,387  

Cash

     211       101  

Restricted cash

     53       —    

Foreign currency, at fair value (cost—$24 and $3, respectively)

     24       3  

Receivable for investments sold and repaid

     86       144  

Income receivable

     77       60  

Unrealized appreciation on foreign currency forward contracts

     3       3  

Deferred financing costs

     5       6  

Prepaid expenses and other assets

     2       1  
  

 

 

   

 

 

 

Total assets

   $ 7,744     $ 7,705  
  

 

 

   

 

 

 

Liabilities

    

Payable for investments purchased

   $ 17     $ 6  

Debt (net of deferred financing costs of $8 and $3, respectively)(1)

     3,441       3,391  

Unrealized depreciation on swap contracts

     2       16  

Unrealized depreciation on foreign currency forward contracts

     1       0  

Stockholder distributions payable

     100       45  

Management fees payable

     28       20  

Subordinated income incentive fees payable(2)

     25       14  

Administrative services expense payable

     1       1  

Interest payable

     26       28  

Other accrued expenses and liabilities

     5       18  
  

 

 

   

 

 

 

Total liabilities

     3,646       3,539  
  

 

 

   

 

 

 

Commitments and contingencies(3)

    

Stockholders’ equity

    

Preferred stock, $0.001 par value, 50,000,000 shares authorized, none issued and outstanding

     —         —    

Common stock, $0.001 par value, 750,000,000 shares authorized, 520,268,915 and 531,478,739 shares issued and outstanding, respectively

     1       1  

Capital in excess of par value

     4,164       4,235  

Retained earnings (accumulated deficit)(4)

     (67     (70
  

 

 

   

 

 

 

Total stockholders’ equity

     4,098       4,166  
  

 

 

   

 

 

 

Total liabilities and stockholders’ equity

   $ 7,744     $ 7,705  
  

 

 

   

 

 

 

Net asset value per share of common stock at period end

   $ 7.88     $ 7.84  

 

(1)

See Note 9 for a discussion of the Company’s financing arrangements.

 

(2)

See Note 2 for a discussion of the methodology employed by the Company in calculating the subordinated income incentive fees.

 

(3)

See Note 10 for a discussion of the Company’s commitments and contingencies.

 

(4)

See Note 5 for a discussion of the sources of distributions paid by the Company.

See notes to unaudited consolidated financial statements.

 

1


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Statements of Operations

(in millions, except share and per share amounts)

 

 

 

    Three Months Ended
June 30,
    Six Months Ended
June  30,
 
    2019     2018     2019     2018  

Investment income

       

Interest income

  $ 145     $ 78     $ 298     $ 153  

Paid-in-kind interest income

    8       9       16       17  

Fee income

    8       3       19       6  

Dividend income

    3       —         4       7  

From non-controlled/affiliated investments:

       

Interest income

    9       2       11       4  

Paid-in-kind interest income

    4       1       8       4  

From controlled/affiliated investments:

       

Interest income

    2       1       5       2  

Paid-in-kind interest income

    —         2       4       4  

Dividend income

    20       —         29       —    
 

 

 

   

 

 

   

 

 

   

 

 

 

Total investment income

    199       96       394       197  
 

 

 

   

 

 

   

 

 

   

 

 

 

Operating expenses

       

Management fees(1)

    28       15       57       33  

Subordinated income incentive fees(2)

    25       11       49       23  

Administrative services expenses

    2       1       3       2  

Accounting and administrative fees

    1       0       1       0  

Interest expense(3)

    41       21       84       41  

Directors’ fees

    0       0       0       1  

Other general and administrative expenses

    1       2       4       3  
 

 

 

   

 

 

   

 

 

   

 

 

 

Total operating expenses

    98       50       198       103  

Management fee waiver(1)

    —         (0     —         (3
 

 

 

   

 

 

   

 

 

   

 

 

 

Net expenses

    98       50       198       100  
 

 

 

   

 

 

   

 

 

   

 

 

 

Net investment income

    101       46       196       97  
 

 

 

   

 

 

   

 

 

   

 

 

 

Realized and unrealized gain/loss

       

Net realized gain (loss) on investments:

       

Non-controlled/unaffiliated investments

    (51     41       (66     37  

Non-controlled/affiliated investments

    (8     (10     (8     (10

Controlled/affiliated investments

    —         0       (3     0  

Net realized gain (loss) on swap contracts

    (11     —         (10     —    

Net realized gain (loss) on foreign currency

    3       0       5       0  

Net change in unrealized appreciation (depreciation) on investments:

       

Non-controlled/unaffiliated investments

    49       (82     19       (99

Non-controlled/affiliated investments

    24       (21     77       (27

Controlled/affiliated investments

    (12     (8     (19     (18

Net change in unrealized appreciation (depreciation) on swap contracts

    10       —         14       —    

Net change in unrealized appreciation (depreciation) on foreign currency forward contracts

    (2     —         (1     —    

Net change in unrealized gain (loss) on foreign currency

    (2     3       (2     2  
 

 

 

   

 

 

   

 

 

   

 

 

 

Total net realized and unrealized gain (loss)

    —         (77     6       (115
 

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in net assets resulting from operations

  $ 101     $ (31   $ 202     $ (18
 

 

 

   

 

 

   

 

 

   

 

 

 

Per share information—basic and diluted

       

Net increase (decrease) in net assets resulting from operations (Earnings per Share)

  $ 0.19     $ (0.13   $ 0.38     $ (0.08
 

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares outstanding

    522,199,688       242,801,446       524,838,748       244,249,274  
 

 

 

   

 

 

   

 

 

   

 

 

 

 

(1)

See Note 4 for a discussion of the waiver by FB Income Advisor, LLC, the Company’s former investment adviser, of certain management fees to which it was otherwise entitled during the applicable period.

 

(2)

See Note 2 for a discussion of the methodology employed by the Company in calculating the subordinated income incentive fee.

 

(3)

See Note 9 for a discussion of the Company’s financing arrangements.

See notes to unaudited consolidated financial statements.

 

2


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Statements of Changes in Net Assets

(in millions)

 

 

 

     Three Months Ended
June 30,
    Six Months Ended
June 30,
 
         2019             2018             2019             2018      

Operations

        

Net investment income (loss)

   $ 101     $ 46     $ 196     $ 97  

Net realized gain (loss) on investments, swap contracts and foreign currency

     (67     31       (82     27  

Net change in unrealized appreciation (depreciation) on investments, swap contracts and foreign currency forward contracts(1)

     69       (111     90       (144

Net change in unrealized gain (loss) on foreign currency

     (2     3       (2     2  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in net assets resulting from operations

     101       (31     202       (18
  

 

 

   

 

 

   

 

 

   

 

 

 

Stockholder distributions(2)

        

Distributions to stockholders

     (99     (46     (199     (93
  

 

 

   

 

 

   

 

 

   

 

 

 

Net decrease in net assets resulting from stockholder distributions

     (99     (46     (199     (93
  

 

 

   

 

 

   

 

 

   

 

 

 

Capital share transactions(3)

        

Repurchases of common stock

     (24     (38     (71     (39
  

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in net assets resulting from capital share transactions

     (24     (38     (71     (39
  

 

 

   

 

 

   

 

 

   

 

 

 

Total increase (decrease) in net assets

     (22     (115     (68     (150

Net assets at beginning of period

     4,120       2,250       4,166       2,285  
  

 

 

   

 

 

   

 

 

   

 

 

 

Net assets at end of period

   $ 4,098     $ 2,135     $ 4,098     $ 2,135  
  

 

 

   

 

 

   

 

 

   

 

 

 

 

(1)

See Note 7 for a discussion of these financial instruments.

 

(2)

See Note 5 for a discussion of the sources of distributions paid by the Company.

 

(3)

See Note 3 for a discussion of the Company’s capital share transactions.

See notes to unaudited consolidated financial statements.

 

3


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Statements of Cash Flows

(in millions)

 

 

 

    Six Months Ended June 30,  
        2019             2018      

Cash flows from operating activities

   

Net increase (decrease) in net assets resulting from operations

  $ 202     $ (18

Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:

   

Purchases of investments

    (1,062     (356

Paid-in-kind interest

    (28     (25

Proceeds from sales and repayments of investments

    1,202       566  

Net realized (gain) loss on investments

    77       (26

Net change in unrealized (appreciation) depreciation on investments

    (77     143  

Net change in unrealized (appreciation) depreciation on swap contracts

    (14     —    

Net change in unrealized (appreciation) depreciation on foreign currency forward contracts

    1       —    

Accretion of discount

    (8     (3

Amortization of deferred financing costs and discount

    3       2  

Unrealized (gain)/loss on borrowings in foreign currency

    0       (2

(Increase) decrease in receivable for investments sold and repaid

    58       (16

(Increase) decrease in income receivable

    (17     (2

(Increase) decrease in prepaid expenses and other assets

    (1     1  

Increase (decrease) in payable for investments purchased

    11       20  

Increase (decrease) in management fees payable

    8       0  

Increase (decrease) in subordinated income incentive fees payable

    11       (2

Increase (decrease) in administrative services expense

    0       0  

Increase (decrease) in interest payable

    (2     0  

Increase (decrease) in other accrued expenses and liabilities

    (13     (5
 

 

 

   

 

 

 

Net cash provided by (used in) operating activities

    351       277  
 

 

 

   

 

 

 

Cash flows from financing activities

   

Repurchases of common stock

    (71     (39

Stockholder distributions

    (144     (93

Borrowings under credit facilities(1)

    1,372       103  

Repayments of credit facilities(1)

    (1,318     (186

Deferred financing costs paid

    (6     —    
 

 

 

   

 

 

 

Net cash provided by (used in) financing activities

    (167     (215
 

 

 

   

 

 

 

Total increase (decrease) in cash

    184       62  

Cash, restricted cash and foreign currency at beginning of period

    104       139  
 

 

 

   

 

 

 

Cash, restricted cash and foreign currency at end of period(2)

  $ 288     $ 201  
 

 

 

   

 

 

 

Supplemental disclosure

   

Non-cash purchases of investments

  $ 77     $ —    
 

 

 

   

 

 

 

Non-cash sales of investments

  $ (77   $ —    
 

 

 

   

 

 

 

Local and excise taxes paid

  $ 8     $ 5  
 

 

 

   

 

 

 

 

(1)

See Note 9 for a discussion of the Company’s financing arrangements. During the six months ended June 30, 2019 and 2018, the Company paid $83 and $38, respectively, in interest expense on the credit facilities and unsecured notes.

 

(2)

Balance includes cash and foreign currency of $235 and restricted cash of $53. Restricted cash is cash set aside in escrow for the funding of an investment.

See notes to unaudited consolidated financial statements.

 

4


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor   Maturity   Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

Senior Secured Loans—First Lien—93.8%

               

5 Arch Income Fund 2, LLC

  (l)(q)   Diversified Financials   10.5%     11/18/23   $ 51.4     $ 51.4     $ 51.3  

5 Arch Income Fund 2, LLC

  (l)(q)(v)   Diversified Financials   10.5%     11/18/23     26.2       26.2       26.2  

A10 Capital LLC

  (g)(h)   Diversified Financials   L+650   1.0%   5/1/23     30.3       30.0       29.9  

A10 Capital LLC

  (v)   Diversified Financials   L+650   1.0%   5/1/23     14.1       14.0       14.0  

Abaco Systems, Inc

  (e)(g)(h)(i)   Capital Goods   L+600   1.0%   12/7/21     61.5       60.2       60.2  

ABB CONCISE Optical Group LLC

  (g)(h)(x)   Retailing   L+500   1.0%   6/15/23     13.0       13.0       12.3  

Accuride Corp

  (g)(h)(i)(x)   Capital Goods   L+525   1.0%   11/17/23     18.0       17.8       15.9  

Acosta Holdco Inc

  (g)(x)   Commercial & Professional Services   L+325   1.0%   9/26/21     19.1       17.4       7.1  

Advanced Lighting Technologies Inc

  (g)(z)   Materials   L+750   1.0%   10/4/22     20.1       17.7       19.7  

Advantage Sales & Marketing Inc

  (g)(h)(x)   Commercial & Professional Services   L+325   1.0%   7/23/21     17.6       16.8       16.2  

Alion Science & Technology Corp

  (h)(x)   Capital Goods   L+450   1.0%   8/19/21     2.7       2.7       2.7  

All Systems Holding LLC

  (e)(f)(g)(h)   Commercial & Professional Services   L+767   1.0%   10/31/23     52.8       52.8       53.3  

AltEn, LLC

  (g)(n)(w)(y)   Energy   L+400 (L+400 Max PIK)   0.0%   9/12/21     34.7       2.7       1.8  

Altus Power America Inc

  (g)   Energy   L+750   1.5%   9/30/21     3.5       3.5       3.4  

Altus Power America Inc

  (v)   Energy   L+750   1.5%   9/30/21     0.2       0.2       0.2  

AM General LLC

  (e)(g)(h)(i)   Capital Goods   L+725   1.0%   12/28/21     156.0       155.4       156.7  

American Tire Distributors Inc

  (g)(x)   Automobiles & Components   L+750   1.0%   9/2/24     14.8       14.3       13.9  

Ammeraal Beltech Holding BV

  (g)(l)(x)   Capital Goods   E+375   0.0%   7/30/25   2.0       2.3       2.3  

Amtek Global Technology Pte Ltd

  (j)(l)(z)   Automobiles & Components   E+500   0.0%   4/4/24     49.2       60.5       56.0  

Ap Plasman Inc

  (e)(f)(g)(l)   Capital Goods   L+1,000   1.0%   12/29/19   $ 187.8       187.5       187.8  

Apex Group Limited

  (l)(v)   Diversified Financials   L+650   0.0%   6/15/23     1.9       1.8       1.9  

Apex Group Limited

  (g)(l)   Diversified Financials   L+700   1.0%   6/15/25     47.9       47.7       47.9  

Apex Group Limited

  (g)(h)(l)   Diversified Financials   L+700   1.3%   6/15/25     12.7       12.5       12.7  

Apex Group Limited

  (g)(l)   Diversified Financials   L+700   1.0%   6/15/25   £ 31.8       40.4       40.4  

Aspect Software Inc

  (v)   Software & Services   L+500   1.0%   7/15/23   $ 0.7       0.7       0.7  

Aspect Software Inc

  (g)   Software & Services   L+500   1.0%   1/15/24     3.0       2.7       2.6  

AVF Parent LLC

  (e)(g)   Retailing   L+725   1.3%   3/1/24     54.7       54.7       43.2  

Berner Food & Beverage LLC

  (e)(g)(i)   Food & Staples Retailing   L+875   1.0%   2/2/23     62.3       61.9       60.5  

Blackhawk Mining LLC

  (h)   Energy   10.5%     3/1/22     2.7       2.6       2.6  

Blackhawk Mining LLC

  (h)   Energy   10.5%     10/5/22     2.8       2.7       2.7  

Borden Dairy Co

  (e)(g)(h)   Food, Beverage & Tobacco   L+750   1.0%   7/6/23     70.0       70.0       63.6  

Brand Energy & Infrastructure Services Inc

  (h)(x)   Capital Goods   L+425   1.0%   6/21/24     3.0       3.0       2.9  

Bugaboo International BV

  (g)(l)   Consumer Durables & Apparel   E+700, 7.8% PIK (7.8% Max PIK)   0.0%   3/20/25   4.0       4.4       4.5  

CEPSA Holdco (Matador Bidco)

  (g)(k)(l)(x)   Energy   L+475   0.0%   6/19/26   $ 2.0       2.0       2.0  

CHS/Community Health Systems, Inc.

  (g)(l)(x)   Health Care Equipment & Services   8.0%     3/15/26     2.6       2.6       2.5  

Commercial Barge Line Co

  (g)(x)   Transportation   L+875   1.0%   11/12/20     4.4       4.1       3.0  

CSafe Global

  (v)   Capital Goods   L+650   1.0%   11/1/21     5.9       5.9       5.8  

CSafe Global

  (v)   Capital Goods   L+650   1.0%   10/31/23     11.7       11.7       11.7  

CSafe Global

  (g)(h)   Capital Goods   L+650   1.0%   10/31/23     55.9       55.9       55.9  

CSM Bakery Products

  (h)(x)   Food, Beverage & Tobacco   L+400   1.0%   7/3/20     1.1       1.1       1.1  

CTI Foods Holding Co LLC

  (g)   Food, Beverage & Tobacco   L+700   1.0%   5/3/24     3.0       3.0       3.0  

Diamond Resorts International Inc

  (h)(x)   Consumer Services   L+375   1.0%   9/2/23     6.8       6.6       6.5  

Distribution International Inc

  (g)(h)(x)   Retailing   L+575   1.0%   12/15/21     28.0       24.7       26.9  

Eagle Family Foods Inc

  (g)   Food, Beverage & Tobacco   L+650   1.0%   6/14/23     1.7       1.7       1.7  

 

See notes to unaudited consolidated financial statements.

 

5


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor   Maturity   Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

Eagle Family Foods Inc

  (v)   Food, Beverage & Tobacco   L+650   1.0%   6/14/23   $ 5.4     $ 5.3     $ 5.2  

Eagle Family Foods Inc

  (e)(g)(h)(i)   Food, Beverage & Tobacco   L+650   1.0%   6/14/24     47.1       46.7       45.3  

Empire Today LLC

  (e)(g)(h)   Retailing   L+650   1.0%   11/17/22     80.0       80.0       79.5  

Frontline Technologies Group LLC

  (e)(g)(h)(i)   Software & Services   L+650   1.0%   9/18/23     63.5       62.8       63.2  

Frontline Technologies Group LLC

  (v)   Software & Services   L+650   1.0%   9/18/23     9.4       9.4       9.4  

Greystone & Co Inc

  (e)(g)(h)   Diversified Financials   L+800   1.0%   4/17/24     37.4       37.1       38.0  

HM Dunn Co Inc

  (g)(n)(w)(y)   Capital Goods   L+875 PIK (L+875 Max PIK)   1.0%   6/30/21     0.8       0.6       0.2  

HM Dunn Co Inc

  (g)(y)   Capital Goods   15.0% PIK (15.0% Max PIK)     6/30/21     —         —         —    

HM Dunn Co Inc

  (v)(y)   Capital Goods   15.0% PIK (15.0% Max PIK)     6/30/21     —         —         —    

Hudson Technologies Co

  (g)(l)   Commercial & Professional Services   L+1,025   1.0%   10/10/23     39.2       38.9       26.9  

Hunt Mortgage

  (e)(g)(h)   Diversified Financials   L+600   1.0%   2/14/23     79.2       78.6       79.0  

Icynene Group Ltd

  (e)(g)(h)   Materials   L+700   1.0%   11/30/24     29.6       29.5       29.1  

ID Verde

  (l)(v)   Commercial & Professional Services   E+210   0.0%   3/29/24   4.8       5.5       5.5  

Imagine Communications Corp

  (e)(g)(h)   Media   L+825   1.0%   4/29/20   $ 33.5       33.5       33.5  

Imagine Communications Corp

  (e)(g)(l)   Media   L+825   1.0%   4/29/20     13.7       13.7       13.7  

Industry City TI Lessor LP

  (g)   Consumer Services   10.75%, 1.0% PIK (1.0% Max PIK)     6/30/26     27.7       27.7       30.1  

Integro Ltd/United States

  (e)(h)(i)   Insurance   L+575   0.0%   10/30/22     25.5       25.4       25.4  

JAKKS Pacific Inc

  (g)   Consumer Durables & Apparel   L+900   1.5%   6/14/21     4.8       4.8       4.9  

JHT Holdings Inc

  (e)(g)(h)(i)   Capital Goods   L+850   1.0%   5/4/22     23.6       23.3       24.3  

Jo-Ann Stores Inc

  (h)(x)   Retailing   L+500   1.0%   10/20/23     8.8       8.8       8.0  

JSS Holdings Ltd

  (e)(g)(h)   Capital Goods   L+800, 0.0% PIK (2.5% Max PIK)   1.0%   3/31/23     110.8       110.1       114.1  

Kodiak BP LLC

  (g)(h)   Capital Goods   L+725   1.0%   12/1/24     45.1       45.0       44.8  

Kodiak BP LLC

  (v)   Capital Goods   L+725   1.0%   12/1/24     40.6       40.4       40.1  

Lazard Global Compounders Fund

  (g)(l)   Diversified Financials   L+725   3.8%   4/1/26     53.8       53.8       52.6  

Lazard Global Compounders Fund

  (l)(v)   Diversified Financials   L+725   3.8%   4/1/26     7.0       7.0       6.8  

Leading Edge Aviation Services Inc

  (e)(f)(g)(h)   Capital Goods   L+750   1.0%   6/30/20     42.8       42.8       42.8  

Leading Edge Aviation Services Inc

  (f)(l)   Capital Goods   L+750   1.0%   6/30/20     8.8       8.8       8.8  

Leading Edge Aviation Services Inc

  (g)(l)   Capital Goods   L+750   1.0%   6/30/20   25.1       34.2       28.6  

Lenovo Group Ltd

  (g)(l)   Technology Hardware & Equipment   9.6%     6/30/22   $ 25.3       25.3       25.3  

Lenovo Group Ltd

  (g)(l)   Technology Hardware & Equipment   9.6%     6/30/22   12.0       13.7       13.7  

Lipari Foods LLC

  (e)(g)(i)   Food & Staples Retailing   L+588   1.0%   1/4/25   $ 105.5       104.7       105.3  

Lipari Foods LLC

  (v)   Food & Staples Retailing   L+588   1.0%   1/4/25     21.8       21.8       21.8  

Matchesfashion Ltd

  (e)(h)(l)   Consumer Durables & Apparel   L+463   0.0%   10/16/24     12.7       11.9       11.8  

MB Precision Holdings LLC

  (g)(y)   Capital Goods   L+725, 2.3% PIK (2.3% Max PIK)   1.3%   1/23/21     4.6       4.5       4.6  

Micronics Filtration Holdings Inc

  (e)(g)   Capital Goods   L+800, 0.5% PIK (0.5% Max PIK)   1.3%   12/11/20     61.8       61.8       53.3  

Multi-Color Corp

  (g)(k)(l)(x)   Commercial & Professional Services   6.8%     7/15/26     4.3       4.3       4.3  

Murray Energy Corp

  (g)   Energy   L+900   1.0%   2/12/21     18.9       18.8       18.8  

NBG Home

  (g)(h)(i)(x)   Consumer Durables & Apparel   L+550   1.0%   4/26/24     59.4       59.0       57.2  

NCI Inc

  (e)(g)(h)(i)   Software & Services   L+750   1.0%   8/15/24     83.1       82.3       80.8  

North Haven Cadence Buyer Inc

  (v)   Consumer Services   L+500   1.0%   9/2/21     0.9       0.9       0.9  

North Haven Cadence Buyer Inc

  (g)   Consumer Services   L+650   1.0%   9/2/22     3.8       3.8       3.8  

North Haven Cadence Buyer Inc

  (e)(g)(h)   Consumer Services   L+795   1.0%   9/2/22     18.3       18.3       18.2  

North Haven Cadence Buyer Inc

  (g)   Consumer Services   L+650   1.0%   9/2/22     5.1       5.1       5.1  

North Haven Cadence Buyer Inc

  (v)   Consumer Services   L+650   1.0%   9/2/22     0.1       0.1       0.1  

Onvoy LLC

  (g)(x)   Telecommunication Services   L+450   1.0%   2/10/24     1.1       1.1       0.9  

 

See notes to unaudited consolidated financial statements.

 

6


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor   Maturity   Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

One Call Care Management Inc

  (g)(k)(x)   Insurance   L+525   1.0%   11/27/22     13.9       11.8       11.4  

Peak 10 Holding Corp

  (g)(x)   Telecommunication Services   L+350   0.0%   8/1/24     4.6       4.3       4.2  

Petroplex Acidizing Inc

  (g)   Energy   L+725, 1.8% PIK (1.8% Max PIK)   1.0%   12/5/19   $ 22.8     $ 22.8     $ 22.8  

Petroplex Acidizing Inc

  (g)(n)(w)   Energy   15.0% PIK (15.0% Max PIK)     12/5/19     25.7       13.8       9.8  

PHRC License LLC

  (f)(g)(h)   Consumer Services   L+850, 0.3% PIK (0.3% Max PIK)   1.5%   4/28/22     49.9       49.9       50.4  

Power Distribution Inc

  (e)(g)(h)   Capital Goods   L+725   1.3%   1/25/23     28.0       28.0       27.4  

PSKW LLC

  (e)(g)(h)   Health Care Equipment & Services   L+823   1.0%   11/25/21     30.0       30.0       30.0  

PSKW LLC

  (e)   Health Care Equipment & Services   L+824   1.0%   11/25/21     19.4       19.4       19.4  

Qdoba Restaurant Corp

  (g)(h)(x)   Consumer Services   L+700   1.0%   3/21/25     12.8       12.6       13.0  

Reliant Rehab Hospital Cincinnati LLC

  (e)(g)(h)(i)   Health Care Equipment & Services   L+675   1.0%   8/30/24     103.6       102.7       102.1  

Revere Superior Holdings, Inc

  (e)(g)(h)(i)   Software & Services   L+675   1.0%   11/21/22     92.8       92.1       93.2  

Revere Superior Holdings, Inc

  (v)   Software & Services   L+675   1.0%   11/21/22     5.0       5.0       5.0  

Roadrunner Intermediate Acquisition Co LLC

  (e)(g)(h)   Health Care Equipment & Services   L+675   1.0%   3/15/23     32.0       32.0       29.5  

Safariland LLC

  (g)(y)   Capital Goods   L+725   1.1%   11/18/23     1.7       1.7       1.7  

Safariland LLC

  (e)(g)(h)(y)   Capital Goods   L+775   1.1%   11/18/23     123.3       123.3       118.1  

Savers Inc

  (g)   Retailing   L+650, 0.8% PIK (0.8% Max PIK)   1.5%   3/28/24   C$ 60.7       44.7       45.9  

Savers Inc

  (g)(h)   Retailing   L+650, 0.8% PIK (0.8% Max PIK)   1.5%   3/28/24   $ 43.7       43.2       43.3  

Sequa Corp

  (g)(h)(x)   Materials   L+500   1.0%   11/28/21     22.4       22.4       22.0  

Sequel Youth & Family Services LLC

  (g)   Health Care Equipment & Services   L+700   1.0%   9/1/23     13.9       13.9       14.0  

Sequel Youth & Family Services LLC

  (e)(g)(h)   Health Care Equipment & Services   L+800   0.0%   9/1/23     80.0       80.0       80.8  

Sequential Brands Group Inc.

  (g)(h)   Consumer Durables & Apparel   L+875   0.0%   2/7/24     59.4       58.4       58.9  

Smart & Final Stores LLC

  (g)(l)(x)   Food & Staples Retailing   L+675   0.0%   6/20/25     18.9       17.0       17.6  

Smart Foodservice

  (g)(l)(x)   Food & Staples Retailing   L+475   0.0%   6/20/26     2.7       2.7       2.7  

SMART Global Holdings Inc

  (g)(h)(l)   Semiconductors & Semiconductor Equipment   L+625   1.0%   8/9/22     19.7       19.7       19.8  

Sorenson Communications LLC

  (g)(h)(x)   Telecommunication Services   L+650   0.0%   4/29/24     15.3       14.7       15.4  

Staples Canada

  (g)(l)   Retailing   L+700   1.0%   9/12/24   C$ 10.2       7.9       7.9  

Sungard Availability Services Capital Inc

  (g)   Software & Services   L+750   1.0%   2/3/22   $ 0.6       0.6       0.6  

Sungard Availability Services Capital Inc

  (v)   Software & Services   L+750   1.0%   2/3/22     0.6       0.6       0.6  

Sutherland Global Services Inc

  (h)(l)(x)   Software & Services   L+538   1.0%   4/23/21     4.6       4.5       4.5  

Sweet Harvest Foods Management Co

  (e)(i)   Food & Staples Retailing   L+775, 1.0% PIK (1.0% Max PIK)   1.0%   5/30/23     26.6       26.5       20.8  

Tangoe LLC

  (e)(g)(h)   Software & Services   L+650   1.0%   11/28/25     89.6       88.7       89.0  

Team Health Inc

  (g)(h)(x)   Health Care Equipment & Services   L+275   1.0%   2/6/24     12.5       12.2       11.1  

ThermaSys Corp

  (g)(y)   Capital Goods   L+600   1.0%   12/28/23     6.7       7.2       6.7  

ThreeSixty Group

  (e)(g)(h)(i)   Retailing   L+700   1.0%   3/1/23     100.7       99.7       88.9  

Torrid Inc

  (g)   Retailing   L+675   1.0%   12/14/24     32.0       31.6       31.6  

Trace3 Inc

  (e)(g)(h)   Software & Services   L+675   1.0%   8/3/24     93.5       93.5       92.5  

Utility One Source LP

  (h)(x)   Capital Goods   L+550   1.0%   4/18/23     —         —         —    

Versatile Processing Group Inc

  (e)(g)   Materials   L+1,050   1.0%   12/30/20     99.6       99.5       99.6  

Vertiv Group Corp

  (g)(h)(k)(x)   Technology Hardware & Equipment   L+400   1.0%   11/30/23     11.7       11.2       11.1  

Virgin Pulse Inc

  (e)(g)(h)(i)   Software & Services   L+650   1.0%   5/22/25     137.6       136.6       136.9  

Vivint Inc

  (g)(h)(x)   Commercial & Professional Services   L+500   0.0%   4/1/24     23.7       23.6       22.7  

Warren Resources Inc

  (h)   Energy   L+1,000, 1.0% PIK (1.0% Max PIK)   1.0%   5/22/20     0.7       0.7       0.7  

Wheels Up Partners LLC

  (g)   Transportation   L+855   1.0%   1/26/21     11.8       11.8       11.8  

Wheels Up Partners LLC

  (g)   Transportation   L+855   1.0%   8/26/21     6.2       6.2       6.2  

 

See notes to unaudited consolidated financial statements.

 

7


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes    

Industry

  Rate(b)     Floor     Maturity     Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

Wheels Up Partners LLC

    (g)     Transportation     L+710       1.0%       6/30/24     $ 20.8     $ 20.8     $ 20.7  

Wheels Up Partners LLC

    (g)     Transportation     L+710       1.0%       11/1/24       8.6       8.6       8.5  

Wheels Up Partners LLC

    (g)     Transportation     L+710       1.0%       12/21/24       31.9       31.7       31.8  

Zeta Interactive Holdings Corp

    (e)(g)(h)     Software & Services     L+750       1.0%       7/29/22       14.1       14.1       14.2  

Zeta Interactive Holdings Corp

    (v)     Software & Services     L+750       1.0%       7/29/22       1.1       1.1       1.2  
             

 

 

   

 

 

 

Total Senior Secured Loans—First Lien

                4,086.9       4,000.9  

Unfunded Loan Commitments

                (157.6     (157.6
             

 

 

   

 

 

 

Net Senior Secured Loans—First Lien

                3,929.3       3,843.3  
             

 

 

   

 

 

 

Senior Secured Loans—Second Lien—28.0%

               

Abaco Systems, Inc

    (e)(g)     Capital Goods     L+1,050       1.0%       6/7/22       63.4       62.7       62.7  

Access CIG LLC

    (g)(x)     Software & Services     L+775       0.0%       2/27/26       0.6       0.6       0.6  

Advantage Sales & Marketing Inc

    (g)(x)     Commercial & Professional Services     L+650       1.0%       7/25/22       3.9       3.5       3.1  

Agro Merchants Global LP

    (g)     Transportation     L+800       1.0%       11/30/25       13.4       13.1       13.3  

Albany Molecular Research Inc

    (g)(x)     Pharmaceuticals, Biotechnology & Life Sciences     L+700       1.0%       8/30/24       8.3       8.3       8.3  

Amtek Global Technology Pte Ltd

    (j)(l)(z)     Automobiles & Components     E+500     0.0%       4/4/24     32.8       40.3       37.3  

Arena Energy LP

    (g)     Energy     L+1,300 PIK (L+1,300 Max PIK)     1.0%       1/24/21     $ 8.8       8.8       8.8  

athenahealth Inc

    (g)     Health Care Equipment & Services     L+850       0.0%       2/11/27       112.9       111.8       113.8  

Belk Inc

    (e)(g)     Retailing     10.5%         6/12/25       119.1       113.4       93.4  

Bellatrix Exploration Ltd

    (g)(l)     Energy     8.5%         9/11/23       6.4       6.0       5.8  

Byrider Finance LLC

    (f)(g)     Automobiles & Components     L+1,000, 0.5% PIK (4.0% Max PIK)       1.3%       8/22/20       17.9       17.9       17.7  

Chisholm Oil & Gas Operating LLC

    (g)     Energy     L+800       1.0%       3/21/24       16.0       16.0       15.7  

CommerceHub Inc

    (g)(h)     Software & Services     L+775       0.0%       5/21/26       69.3       67.4       68.0  

Culligan International Co

    (g)(h)     Household & Personal Products     L+850       1.0%       12/13/24       85.0       84.3       84.7  

EaglePicher Technologies LLC

    (g)(x)     Capital Goods     L+725       0.0%       3/8/26       3.0       3.0       2.9  

Emerald Performance Materials LLC

    (g)(x)     Materials     L+775       1.0%       8/1/22       2.1       2.1       2.1  

Excelitas Technologies Corp

    (g)(x)     Technology Hardware & Equipment     L+750       1.0%       12/1/25       8.4       8.6       8.5  

Gruden Acquisition Inc

    (g)(x)     Transportation     L+850       1.0%       8/18/23       10.0       9.7       10.0  

Integro Ltd/United States

    (g)     Insurance     L+925       0.0%       10/30/23       4.8       4.7       4.8  

Invictus

    (g)(x)     Materials     L+675       0.0%       3/30/26       3.4       3.4       3.3  

LBM Borrower LLC

    (g)(x)     Capital Goods     L+925       1.0%       8/20/23       21.3       21.2       20.8  

MedAssets Inc

    (e)(g)     Health Care Equipment & Services     L+975       1.0%       4/20/23       63.0       61.8       63.6  

Misys Ltd

    (g)(l)(x)     Software & Services     L+725       1.0%       6/13/25       5.7       5.7       5.7  

NBG Home

    (g)     Consumer Durables & Apparel     L+975       1.0%       9/30/24       34.2       33.8       33.2  

One Call Care Management Inc

    (e)(g)     Insurance     L+375, 6.0% PIK (6.0% Max PIK)       1.0%       4/11/24       30.9       30.6       26.7  

P2 Energy Solutions, Inc.

    (g)(x)     Software & Services     L+800       1.0%       4/30/21       71.3       70.6       70.0  

Paradigm Acquisition Corp

    (g)(x)     Health Care Equipment & Services     L+750       0.0%       10/26/26       2.4       2.4       2.4  

Peak 10 Holding Corp

    (g)(x)     Telecommunication Services     L+725       1.0%       8/1/25       0.2       0.2       0.2  

Petrochoice Holdings Inc

    (e)(g)     Capital Goods     L+875       1.0%       8/21/23       65.0       63.8       64.9  

Polyconcept North America Inc

    (g)     Consumer Durables & Apparel     L+1,000       1.0%       2/16/24       29.4       28.8       29.7  

Pure Fishing Inc

    (g)     Consumer Durables & Apparel     L+838       1.0%       12/31/26       81.1       80.3       76.4  

Rise Baking Company

    (g)(h)     Food, Beverage & Tobacco     L+800       1.0%       8/9/26       31.1       30.8       30.7  

Sequa Corp

    (g)(h)(x)     Materials     L+900       1.0%       4/28/22       22.0       21.9       21.2  

 

See notes to unaudited consolidated financial statements.

 

8


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor     Maturity   Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

SIRVA Worldwide Inc

  (g)(x)   Commercial & Professional Services   L+950     0.0%     8/3/26   $ 3.8     $ 3.5     $ 3.3  

SMG/PA

  (g)(x)   Consumer Services   L+700     0.0%     1/23/26     1.3       1.3       1.3  

Sorenson Communications LLC

  (f)   Telecommunication Services   11.5% PIK (11.5% Max PIK)     4/30/25     15.5       15.0       15.5  

Sparta Systems Inc

  (e)(g)   Software & Services   L+825     1.0%     7/27/25     35.1       34.6       30.5  

Vestcom International Inc

  (g)(h)   Consumer Services   L+825     1.0%     12/31/24     70.5       69.9       70.2  

WireCo WorldGroup Inc

  (g)(h)(x)   Capital Goods   L+900     1.0%     9/30/24     13.7       13.7       13.7  

Z Gallerie LLC

  (g)(y)   Retailing   12.0%     6/20/21     2.9       2.9       2.8  
             

 

 

   

 

 

 

Total Senior Secured Loans—Second Lien

                1,178.4       1,147.6  
             

 

 

   

 

 

 

Other Senior Secured Debt—6.8%

               

Advanced Lighting Technologies Inc

  (g)(n)(w)(z)   Materials   L+1,700 PIK (L+1,700 Max PIK)     1.0%     10/4/23     29.0       23.6       0.4  

Angelica Corp

  (t)   Health Care Equipment & Services   10.0% PIK (10.0% Max PIK)     12/30/22     41.7       41.2       32.7  

Artesyn Embedded Technologies Inc

  (g)(x)   Technology Hardware & Equipment   9.8%     10/15/20     21.0       20.7       21.3  

Black Swan Energy Ltd

  (e)(l)   Energy   9.0%     1/20/24     6.0       6.0       5.9  

Cleaver-Brooks Inc

  (g)(x)   Capital Goods   7.9%     3/1/23     9.4       9.4       9.0  

Enterprise Development Authority

  (g)(x)   Consumer Services   12.0%     7/15/24     3.6       3.7       3.9  

FourPoint Energy LLC

  (e)(f)(g)   Energy   9.0%     12/31/21     74.8       73.3       73.7  

Frontier Communications Corp

  (g)(l)(x)   Telecommunication Services   8.5%     4/1/26     6.3       6.1       6.1  

JW Aluminum Co

  (e)(g)(x)(y)   Materials   10.3%     6/1/26     36.5       36.5       38.5  

Lycra

  (g)(l)(x)   Consumer Durables & Apparel   7.5%     5/1/25     5.4       5.4       5.2  

Mood Media Corp

  (f)(g)(y)   Media   L+1,400 PIK (L+1,400 Max PIK)     0.0%     12/31/23     37.9       36.8       37.9  

MultiPlan Inc

  (g)(x)   Health Care Equipment & Services   7.1%     6/1/24     1.7       1.8       1.6  

PAREXEL International Corp

  (g)(x)   Pharmaceuticals, Biotechnology & Life Sciences   6.4%     9/1/25     0.1       0.1       0.1  

Pattonair Holdings Ltd

  (g)(l)(x)   Capital Goods   9.0%     11/1/22     8.3       8.4       8.5  

Ply Gem Holdings Inc

  (g)(x)   Capital Goods   8.0%     4/15/26     7.6       7.5       7.5  

Rockport (Relay)

  (g)(n)(w)   Consumer Durables & Apparel   15.0% PIK (15.0% Max PIK)     7/31/22     25.8       22.0       0.1  

Sungard Availability Services Capital Inc

  (g)   Software & Services   L+400, 2.5% PIK (2.5% Max PIK)     1.0%     11/3/22     2.0       2.0       2.0  

Sunnova Energy Corp

  (g)   Energy   9.5%     3/30/21     0.6       0.6       0.6  

Velvet Energy Ltd

  (g)(l)   Energy   9.0%     10/5/23     7.5       7.5       7.8  

Vivint Inc

  (g)(k)(x)   Commercial & Professional Services   7.9%     12/1/22     4.2       4.0       4.0  

Vivint Inc

  (g)(x)   Commercial & Professional Services   7.6%     9/1/23     12.6       12.9       10.2  
             

 

 

   

 

 

 

Total Other Senior Secured Debt

                329.5       277.0  
             

 

 

   

 

 

 

Subordinated Debt—9.6%

               

Akzo Nobel Specialty Chemicals

  (g)(l)(x)   Materials   8.0%     10/1/26     1.5       1.5       1.6  

Alion Science & Technology Corp

  (e)(g)   Capital Goods   11.0%     8/1/22     68.6       68.0       68.4  

Alion Science & Technology Corp

  (g)   Capital Goods   11.0%     8/31/22     22.2       21.9       22.1  

All Systems Holding LLC

  (g)   Commercial & Professional Services   10.0% PIK (10.0% Max PIK)     10/31/22     0.1       0.1       0.1  

athenahealth Inc

  (g)   Health Care Equipment & Services   L+1,125 PIK (L+1,125 Max PIK)     0.0%         56.5       56.5       57.2  

Byrider Finance LLC

  (g)   Automobiles & Components   20.0% PIK (20.0% Max PIK)     3/31/22     1.1       1.1       1.1  

ClubCorp Club Operations Inc

  (g)(x)   Consumer Services   8.5%     9/15/25     23.4       23.1       21.8  

DEI Sales Inc

  (e)(g)   Consumer Durables & Apparel   9.0%, 4.0% PIK (4.0% Max PIK)     2/28/23     71.8       71.2       71.4  

Diamond Resorts International Inc

  (g)(x)   Consumer Services   10.8%     9/1/24     1.2       1.1       1.1  

GFL Environmental Inc

  (g)(l)(x)   Commercial & Professional Services   8.5%     5/1/27     6.1       6.2       6.6  

 

See notes to unaudited consolidated financial statements.

 

9


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes    

Industry

  Rate(b)     Floor     Maturity     Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

Hilding Anders

    (g)(l)(n)(w)(z)     Consumer Durables & Apparel     13.0% PIK (13.0% Max PIK)         6/30/21     120.7     $ 129.3     $ 69.9  

Hilding Anders

    (g)(l)(n)(w)(z)     Consumer Durables & Apparel     12.0% PIK (12.0% Max PIK)         12/31/22       3.4       0.5       0.3  

Hilding Anders

    (g)(l)(n)(w)(z)     Consumer Durables & Apparel     12.0% PIK (12.0% Max PIK)         12/31/23       28.0       0.9       —    

Hilding Anders

    (g)(l)(n)(w)(z)     Consumer Durables & Apparel     18.0% PIK (18.0% Max PIK)         12/31/24       48.6       12.9       3.7  

Hub International Ltd

    (g)(x)     Insurance     7.0%         5/1/26     $ 3.7       3.7       3.8  

Imagine Communications Corp

    (g)     Media     12.5% PIK (12.5% Max PIK)         10/29/20       0.8       0.8       0.8  

Kenan Advantage Group Inc

    (g)(x)     Transportation     7.9%         7/31/23       5.1       5.1       4.6  

LifePoint Hospitals Inc

    (g)(x)     Health Care Equipment & Services     9.8%         12/1/26       8.4       8.4       8.9  

Logan’s Roadhouse Inc

    (g)(n)     Consumer Services         11/1/24       7.3       7.2       7.3  

Plastipak Holdings Inc

    (g)(x)     Materials     6.3%         10/15/25       1.0       1.0       0.9  

Quorum Health Corp

    (g)(x)     Health Care Equipment & Services     11.6%         4/15/23       4.0       4.0       3.5  

SRS Distribution Inc

    (g)(x)     Capital Goods     8.3%         7/1/26       7.0       6.9       6.8  

Team Health Inc

    (g)(x)     Health Care Equipment & Services     6.4%         2/1/25       2.8       2.6       2.2  

Versatile Processing Group Inc

    (e)(g)     Materials     13.0% PIK (13.0% Max PIK)         12/30/20       2.7       2.7       2.5  

Vertiv Group Corp

    (g)(x)     Technology Hardware & Equipment     9.3%         10/15/24       22.8       22.9       21.9  

Vivint Inc

    (g)(x)     Commercial & Professional Services     8.8%         12/1/20       4.9       4.8       4.7  

Z Gallerie LLC

    (g)(y)     Retailing     L+650       1.0%       6/20/22       1.8       1.5       1.4  
             

 

 

   

 

 

 

Total Subordinated Debt

                465.9       394.6  
             

 

 

   

 

 

 

 

Portfolio Company(a)

  Footnotes    

Industry

  Rate(b)   Floor     Maturity     Principal
Amount(c)/
Shares
    Amortized
Cost
    Fair
Value(d)
 

Asset Based Finance—17.6%

               

Abacus JV, Private Equity

    (g)(l)     Insurance           13,541,973     $ 13.5     $ 13.5  

Accelerator Investments Aggregator LP, Private Equity

    (g)(l)(n)     Diversified Financials           3,303,010       3.8       3.8  

Altavair NewCo, Private Equity

    (g)(l)(n)     Capital Goods           5,935,763       5.9       6.2  

Altus Power America Inc, Preferred Stock

    (r)     Energy   9.0%, 5.0% PIK (5.0% Max PIK)       10/3/23       1,107,723       1.1       1.1  

AMPLIT JV LP, Limited Partnership Interest

    (g)(l)(n)     Diversified Financials           N/A       5.4       1.2  

Australis Maritime, Common Stock

    (g)(l)(n)     Transportation           9,430,576       9.4       9.4  

Bank of Ireland

    (j)(l)     Banks   L+1,185     0.0%       12/4/27     $ 15.1       15.1       15.5  

Comet Aircraft S.a.r.l., Common Stock

    (g)(l)(z)     Capital Goods   11.8%       2/28/22       31,844,497       31.8       32.7  

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       1/30/25     $ 1.1       1.0       1.1  

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       4/30/25     $ 6.7       6.5       6.7  

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       9/3/25     $ 1.4       1.3       1.4  

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       9/29/25     $ 1.3       1.3       1.3  

Global Jet Capital LLC, Structured Mezzanine

    (f)(g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       12/4/25     $ 79.3       75.9       78.9  

Global Jet Capital LLC, Structured Mezzanine

    (f)(g)(l)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       12/4/25     $ 17.6       16.9       17.6  

Global Jet Capital LLC, Structured Mezzanine

    (f)(g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       12/9/25     $ 1.8       1.7       1.8  

Global Jet Capital LLC, Structured Mezzanine

    (f)(g)(l)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       12/9/25     $ 14.0       13.4       14.0  

Global Jet Capital LLC, Structured Mezzanine

    (f)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       1/29/26     $ 6.8       6.5       6.8  

Global Jet Capital LLC, Structured Mezzanine

    (f)(l)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       1/29/26     $ 1.5       1.5       1.5  

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services   15.0% PIK (15.0% Max PIK)       4/14/26     $ 17.0       16.3       16.9  

 

See notes to consolidated financial statements.

 

10


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes    

Industry

  Rate(b)     Floor     Maturity     Principal
Amount(c)/
Shares
    Amortized
Cost
    Fair
Value(d)
 

Global Jet Capital LLC, Structured Mezzanine

    (g)     Commercial & Professional Services     15.0% PIK (15.0% Max PIK)         12/2/26     $ 16.7     $ 15.9     $ 16.5  

Global Jet Capital LLC, Preferred Stock

    (f)(g)(n)     Commercial & Professional Services         $ 52.7       52.7       5.3  

Home Partners JV, Structured Mezzanine

    (g)(l)(y)     Real Estate     11.0% PIK (11.0% Max PIK)         3/25/29     $ 21.7       21.7       21.7  

Home Partners JV, Structured Mezzanine

    (l)(v)(y)     Real Estate     11.0% PIK (11.0% Max PIK)         3/25/29     $ 21.7       21.7       21.7  

Home Partners JV, Common Stock

    (g)(l)(n)(y)     Real Estate           10,859,445       10.9       10.9  

Home Partners JV, Private Equity

    (g)(l)(n)(x)(y)     Real Estate           585,960       0.6       0.2  

KKR Central Park Leasing Aggregator L.P., Partnership Interest

    (g)(l)     Capital Goods     31.2%         5/31/23       N/A       42.9       59.4  

KKR Zeno Aggregator LP (K2 Aviation)

    (g)(l)     Capital Goods           41,554,375       41.6       44.9  

LSF IX Java Investments Ltd, Term Loan

    (g)(l)     Diversified Financials     E+365       0.0%       12/3/19     56.4       60.9       64.1  

MP4 2013-2A Class Subord. B

    (f)(g)(l)     Diversified Financials     8.1%         7/25/29     $ 21.0       12.1       8.2  

NewStar Clarendon 2014-1A Class D

    (g)(l)     Diversified Financials     15.4%         1/25/27     $ 17.9       10.9       11.3  

Orchard Marine Limited, Class B Common Stock

    (g)(l)(n)(y)     Transportation           1,964       3.1       —    

Orchard Marine Limited, Series A Preferred Stock

    (g)(l)(n)(y)     Transportation           58,920       58.0       26.5  

Pretium Partners LLC, Structured Mezzanine

    (g)(l)     Real Estate     9.5%         5/29/25     $ 18.8       18.8       18.8  

Rampart CLO 2007 1A Class Subord.

    (g)(l)(n)     Diversified Financials         10/25/21     $ 10.0       0.2       0.5  

Star Mountain SMB Multi-Manager Credit Platform LP, Private Equity

    (l)(p)     Diversified Financials           N/A       2.5       2.5  

Toorak Capital LLC, Membership Interest

    (g)(l)(z)     Diversified Financials           N/A       156.4       185.7  

Wind River CLO Ltd. 2012 1A Class Subord. B

    (g)(l)     Diversified Financials         1/15/26     $ 42.5       19.4       13.9  
             

 

 

   

 

 

 

Total Asset Based Finance

                778.6       743.5  

Unfunded Commitments

                (21.7     (21.7
             

 

 

   

 

 

 

Net Asset Based Finance

                756.9       721.8  
             

 

 

   

 

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor     Maturity     Principal
Amount(c)
    Amortized
Cost
    Fair
Value(d)
 

Strategic Credit Opportunities, LLC—7.1%

               

Strategic Credit Opportunities Partners, LLC

  (g)(l)(z)   Diversified Financials         $ 294.0     $ 294.0     $ 293.0  
             

 

 

   

 

 

 

Total Strategic Credit Opportunities Partners

                294.0       293.0  
             

 

 

   

 

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor     Maturity     Number of
Shares
    Amortized
Cost
    Fair
Value(d)
 

Equity/Other—14.8%(m)

               

Advanced Lighting Technologies Inc, Common Stock

  (g)(n)(z)   Materials           484,607     $ 13.6     $ —    

Advanced Lighting Technologies Inc, Warrant

  (g)(n)(z)   Materials         10/4/27       112,292       3.0       —    

Alion Science & Technology Corp, Class A Membership Interest

  (g)(n)   Capital Goods           N/A       7.4       9.4  

All Systems Holding LLC, Common Stock

  (g)(n)   Commercial & Professional Services           586,763       0.6       0.8  

AltEn, LLC, Membership Units

  (n)(s)(y)   Energy           2,384       3.0       —    

 

See notes to unaudited consolidated financial statements.

 

11


Table of Contents

FS KKR Capital Corp.

Unaudited Consolidated Schedule of Investments (continued)

As of June 30, 2019

(in millions, except share amounts)

 

 

 

Portfolio Company(a)

  Footnotes  

Industry

  Rate(b)   Floor     Maturity     Number of
Shares
    Amortized
Cost
    Fair
Value(d)
 

Amtek Global Technology Pte Ltd, Ordinary Shares

  (j)(l)(n)(z)   Automobiles & Components           5,735,799,959     $ 30.7     $ 25.2  

Amtek Global Technology Pte Ltd, Trade Claim

  (j)(l)(n)(z)   Automobiles & Components           3,590,032       3.0       1.7  

Angelica Corp, Limited Partnership Interest

  (n)(t)   Health Care Equipment & Services           877,044       47.6       —    

Ap Plasman Inc, Warrant

  (g)(l)(n)   Capital Goods         5/25/26       6,985       2.5       —    

Ascent Resources Utica Holdings LLC / ARU Finance Corp, Common Stock

  (n)(o)   Energy           10,193       9.7       3.2  

Ascent Resources Utica Holdings LLC / ARU Finance Corp, Trade Claim

  (o)   Energy           86,607,143       19.4       27.4  

ASG Technologies, Common Stock

  (g)(n)(y)   Software & Services           1,689,767       36.4       98.1  

ASG Technologies, Warrant

  (g)(n)(y)   Software & Services         6/27/22       229,541       6.5       8.3  

Aspect Software Inc, Common Stock

  (g)(n)   Software & Services           161,261       0.3       0.3  

Aspect Software Inc, Warrant

  (g)(n)   Software & Services         1/15/24       161,008       —         —    

Belk Inc, Units

  (g)(n)   Retailing           1,642       7.8       3.1  

Bellatrix Exploration Ltd, Warrant

  (g)(l)(n)   Energy         9/11/23       127,489       —         —    

Brock Group LLC, Common Stock

  (g)(n)   Energy           183,826       3.7       2.0  

Byrider Finance LLC, Common Stock

  (g)(n)   Automobiles & Components           833       —         —    

Cengage Learning, Inc, Common Stock

  (g)(n)   Media           227,802       7.5       3.8  

Charlotte Russe Inc, Common Stock

  (g)(n)(y)   Retailing           22,575       12.5       —    

Chisholm Oil & Gas Operating LLC, Series A Units

  (n)(p)   Energy           75,000       0.1       —    

CSafe Global, Common Stock

  (g)(n)   Capital Goods           391,300       0.4       0.7  

CTI Foods Holding Co LLC, Common Stock

  (g)(n)   Food, Beverage & Tobacco           5,836       0.7       0.7  

DEI Sales Inc, Class A Units

  (g)(n)   Consumer Durables & Apparel           649,538       1.1       0.8  

DEI Sales Inc, Series I Units

  (g)(n)   Consumer Durables & Apparel           308,948       0.5       0.4  

DEI Sales Inc, Series II Units

  (n)(p)   Consumer Durables & Apparel           316,770       0.5       0.4  

Empire Today LLC, Common Stock

  (g)(n)   Retailing           375       1.1       1.6  

FourPoint Energy LLC, Common Stock, Class C—II—A Units

  (n)(p)   Energy           21,000       21.0       4.9  

FourPoint Energy LLC, Common Stock, Class D Units

  (n)(p)   Energy           3,937       2.6       0.9  

FourPoint Energy LLC, Common Stock, Class E—II Units

  (n)(p)   Energy           48,025       12.0       11.1  

FourPoint Energy LLC, Common Stock, Class E—III Units

  (n)(p)   Energy           70,875       17.7       16.4  

Genesys Telecommunications Laboratories Inc, Class A Shares

  (g)(n)   Technology Hardware & Equipment           40,529       —         —    

Genesys Telecommunications Laboratories Inc, Class A1—A5 Shares

  (g)(n)   Technology Hardware & Equipment           3,463,150       0.1       1.0  

Genesys Telecommunications Laboratories Inc, Ordinary Shares

  (g)(n)   Technology Hardware & Equipment           2,810,145       —         —    

Genesys Telecommunications Laboratories Inc, Preferred Stock

  (g)(n)   Technology Hardware & Equipment           1,050,465       —         —    

Harvey Industries Inc, Common Stock

  (g)(n)   Capital Goods           2,333,333       2.3       9.3  

Hilding Anders, ARLE PIK Interest

  (g)(l)(n)(w)(z)   Consumer Durables & Apparel   12.0% PIK (12.0% Max PIK)       12/31/22       4,300,103       —         —    

Hilding Anders, Class A Common Stock

  (g)(l)(n)(z)   Consumer Durables & Apparel           4,503,411       0.1       —    

Hilding Anders, Class B Common Stock

  (g)(l)(n)(z)   Consumer Durables & Apparel           574,791