UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q 

[x]QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 20172019
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 000-54755 
 CĪON Investment Corporation 
 (Exact name of registrant as specified in its charter) 
 
Maryland 45-3058280
(State or other jurisdiction of
incorporation or organization)
 
(I.R.S. Employer
Identification No.)
   
3 Park Avenue, 36th Floor
New York, New York
 10016
(Address of principal executive offices) (Zip Code)
 (212) 418-4700 
 (Registrant’s telephone number, including area code) 
   
 Not applicable 
 (Former name, former address and former fiscal year, if changed since last report) 
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading symbol(s)Name of each exchange on which registered
NoneNot applicableNot applicable
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 [x] No [ ]
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted 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 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, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.


 Large accelerated filer [ ]Accelerated filer [ ]
 
Non-accelerated filer [x](Do not check if a smaller reporting company)
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 [x]
The number of shares of the registrant’s common stock, $0.001 par value, outstanding as of November 8, 20172019 was 114,398,359.113,772,046.


CĪON INVESTMENT CORPORATION
FORM 10-Q
TABLE OF CONTENTS
  Page
 
PART I - FINANCIAL INFORMATION
 
 
Item 1. Financial Statements
1
 
Consolidated Balance Sheets
1
 
Consolidated Statements of Operations
2
 
Consolidated Statements of Changes in Net Assets
3
 
Consolidated Statements of Cash Flows
4
 
Consolidated Schedules of Investments
5
 
Notes to Consolidated Financial Statements
1923
 
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
4852
 
Item 3. Quantitative and Qualitative Disclosures About Market Risk
6366
 
Item 4. Controls and Procedures
6467
 
PART II – OTHER INFORMATION
 
 
Item 1. Legal Proceedings
6568
 
Item 1A. Risk Factors
6568
 
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
6568
 
Item 3. Defaults Upon Senior Securities
6568
 
Item 4. Mine Safety Disclosures
6568
 
Item 5. Other Information
6568
 
Item 6. Exhibits
6669
 
Signatures
6872



PART I – FINANCIAL INFORMATION
Item 1. Financial Statements
CĪON Investment Corporation
Consolidated Balance Sheets
(in thousands, except share and per share amounts)
 September 30,
2017		 
December 31,
2016
 September 30, 2019 December 31, 2018
 (unaudited)   (unaudited)  
Assets
Investments, at fair value (amortized cost of $1,688,414 and $1,096,948, respectively) $1,691,855
 $1,089,478
Derivative asset (cost of $0 and $229, respectively) —
 46
Investments, at fair value:    
Non-controlled, non-affiliated investments (amortized cost of $1,813,662 and $1,866,316, respectively) $1,739,057
 $1,823,338
Non-controlled, affiliated investments (amortized cost of $51,816 and $50,447, respectively) 36,097
 41,972
Total investments, at fair value (amortized cost of $1,865,478 and $1,916,763, respectively) 1,775,154
 1,865,310
Cash 21,915
 15,046
 10,147
 17,579
Restricted cash —
 2,000
Due from counterparty(1) 3,620
 143,335
Interest receivable on investments 8,886
 6,689
 17,853
 17,596
Receivable due on investments sold 12,147
 —
 2,283
 5,787
Receivable due on total return swap(1) —
 4,187
Prepaid expenses and other assets 1,030
 282
 541
 189
Total assets $1,739,453
 $1,261,063
 $1,805,978
 $1,906,461
Liabilities and Shareholders' Equity
Liabilities    
Payable for investments purchased $55,706
 $15,837
Financing arrangements (net of unamortized debt issuance costs of $5,736 and $3,212, respectively) 625,385
 221,211
Accounts payable and accrued expenses 1,267
 1,476
Interest payable 1,977
 864
Commissions payable for common stock purchased —
 2
Accrued management fees 7,821
 5,781
Accrued administrative services expense 83
 682
Due to CIG - offering costs 27
 45
Unrealized depreciation on total return swap(1) —
 15,402
Total liabilities 692,266
 261,300
     
Commitments and contingencies (Note 4 and Note 11)    
     
Shareholders' Equity    
Common stock, $0.001 par value; 500,000,000 shares authorized;    
114,440,741 and 109,787,557 shares issued and outstanding, respectively 114
 110
Capital in excess of par value 1,064,037
 1,021,280
Undistributed net investment income 4,314
 1,428
Accumulated net realized loss from investments (4,983) —
Accumulated net unrealized appreciation (depreciation) on investments 3,441
 (7,653)
Accumulated net realized loss from total return swap(1) (19,736) —
Accumulated net unrealized depreciation on total return swap(1) —
 (15,402)
Total shareholders' equity 1,047,187
 999,763
Total liabilities and shareholders' equity $1,739,453
 $1,261,063
Net asset value per share of common stock at end of period $9.15
 $9.11
(1) See Note 7 for a discussion of the Company’s total return swap agreement.
Liabilities and Shareholders' Equity
Liabilities    
Financing arrangements (net of unamortized debt issuance costs of $5,145 and $5,927, respectively) $837,397
 $892,615
Payable for investments purchased 4,419
 16,851
Accounts payable and accrued expenses 1,039
 939
Interest payable 3,197
 3,960
Accrued management fees 9,029
 9,308
Accrued subordinated incentive fee on income 4,983
 2,604
Accrued administrative services expense 453
 913
Total liabilities 860,517
 927,190
     
Commitments and contingencies (Note 4 and Note 10)    
     
Shareholders' Equity    
Common stock, $0.001 par value; 500,000,000 shares authorized;    
113,381,782 and 112,709,239 shares issued and outstanding, respectively 113
 113
Capital in excess of par value 1,054,913
 1,048,693
Accumulated distributable losses (109,565) (69,535)
Total shareholders' equity 945,461
 979,271
Total liabilities and shareholders' equity $1,805,978
 $1,906,461
Net asset value per share of common stock at end of period $8.34
 $8.69
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Statements of Operations
(in thousands, except share and per share amounts)
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2017
2016 2017 2016
  (unaudited) (unaudited) (unaudited) (unaudited)
Investment income        
Interest income $37,212
 $18,579
 $99,117
 $53,385
Fee and other income 1,166
 154
 2,651
 449
Total investment income 38,378
 18,733
 101,768
 53,834
Operating expenses        
Management fees 7,820
 5,187
 21,724
 14,311
Administrative services expense 433
 425
 1,204
 1,151
General and administrative(1) 1,803
 1,892
 5,220
 4,944
Interest expense 6,920
 534
 15,543
 761
Total operating expenses 16,976
 8,038
 43,691
 21,167
Recoupment of expense support from CIG(2) —
 —
 —
 667
Net operating expenses 16,976
 8,038
 43,691
 21,834
Net investment income 21,402
 10,695
 58,077
 32,000
Realized and unrealized (losses) gains        
Net realized (loss) gain on investments (2,800) 379
 (5,142) 1,078
Net realized gain on foreign currency 12

—
 159
 —
Net change in unrealized appreciation on investments 1,700
 14,948
 11,094
 16,587
Net realized gain (loss) on total return swap(3) 67
 8,188
 (13,789) 23,799
Net change in unrealized appreciation on total return swap(3) —
 9,527
 15,402
 16,826
Total net realized and unrealized (losses) gains (1,021) 33,042
 7,724
 58,290
Net increase in net assets resulting from operations $20,381
 $43,737
 $65,801
 $90,290
Per share information—basic and diluted        
Net increase in net assets per share resulting from operations $0.18
 $0.41
 $0.59
 $0.86
Weighted average shares of common stock outstanding 112,954,234
 106,581,390
 111,504,552
 105,130,208
(1)  See Note 10 for details of the Company's general and administrative expenses.
(2)  See Note 4 for a discussion of expense support from CIG and recoupment of expense support.
(3)  See Note 7 for a discussion of the Company's total return swap agreement.
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2019
2018 2019 2018
  (unaudited) (unaudited) (unaudited) (unaudited)
Investment income        
Interest income:        
     Non-controlled, non-affiliated investments $46,568
 $53,718
 $142,237
 $137,237
     Non-controlled, affiliated investments 460
 295
 1,442
 680
          Total interest income 47,028
 54,013
 143,679
 137,917
Non-cash dividend income:        
     Non-controlled, non-affiliated investments 158
 —
 338
 —
     Non-controlled, affiliated investments
 497
 —
 3,534
 —
          Total non-cash dividend income 655
 —
 3,872
 —
Fee and other income 2,092
 404
 2,914
 1,285
Total investment income 49,775
 54,417
 150,465
 139,202
Operating expenses        
Management fees 9,029
 9,164
 27,597
 25,705
Administrative services expense 453
 500
 1,433
 1,492
Subordinated incentive fee on income 4,983
 5,573
 14,475
 5,573
General and administrative 1,155
 1,407
 3,741
 4,993
Interest expense 12,493
 12,901
 38,357
 32,670
Total operating expenses 28,113
 29,545
 85,603
 70,433
Net investment income 21,662
 24,872
 64,862
 68,769
Realized and unrealized (losses) gains        
Net realized (loss) gain on:        
     Non-controlled, non-affiliated investments (311) 525
 (3,510) (7,007)
     Non-controlled, affiliated investments —
 —
 —
 —
     Foreign currency (5) (12) (140) (3)
Net realized (losses) gains (316) 513
 (3,650) (7,010)
Net change in unrealized depreciation on:        
     Non-controlled, non-affiliated investments (19,821) (9,620) (31,628) (7,349)
     Non-controlled, affiliated investments (3,747) (408) (7,243) (1,302)
Net change in unrealized depreciation (23,568) (10,028) (38,871) (8,651)
Net realized and unrealized losses (23,884) (9,515) (42,521) (15,661)
Net (decrease) increase in net assets resulting from operations $(2,222) $15,357
 $22,341
 $53,108
Per share information—basic and diluted        
Net (decrease) increase in net assets per share resulting from operations $(0.02) $0.14
 $0.20
 $0.46
Weighted average shares of common stock outstanding 113,729,902
 113,490,567
 113,698,608
 114,385,478
See accompanying notes to consolidated financial statements.



CĪON Investment Corporation
Consolidated Statements of Changes in Net Assets
(in thousands, except share and per share amounts)
  Nine Months Ended
September 30,
  2017 2016
  (unaudited) (unaudited)
Changes in net assets from operations:    
Net investment income $58,077
 $32,000
Net realized (loss) gain on investments (5,142) 1,078
Net realized gain on foreign currency 159
 —
Net change in unrealized appreciation on investments 11,094
 16,587
Net realized (loss) gain on total return swap(1) (13,789) 23,799
Net change in unrealized appreciation on total return swap(1) 15,402
 16,826
Net increase in net assets resulting from operations 65,801
 90,290
Changes in net assets from shareholders' distributions:(2)    
Net investment income (55,191) (31,744)
Net realized gain on total return swap    
Net interest and other income from TRS portfolio (3,661) (22,386)
Net gain on TRS loan sales(3) (2,286) (2,443)
Net realized gain on investments and foreign currency —
 (1,078)
Net decrease in net assets from shareholders' distributions (61,138) (57,651)
Changes in net assets from capital share transactions:    
Issuance of common stock, net of issuance costs of $1,713 and $1,739, respectively 43,227
 19,278
Reinvestment of shareholders' distributions 29,701
 29,179
Repurchase of common stock (30,167) (12,231)
Net increase in net assets resulting from capital share transactions 42,761
 36,226
     
Total increase in net assets 47,424
 68,865
Net assets at beginning of period 999,763
 904,326
Net assets at end of period $1,047,187
 $973,191
     
Net asset value per share of common stock at end of period $9.15
 $9.02
Shares of common stock outstanding at end of period 114,440,741
 107,920,075
     
Undistributed net investment income at end of period $4,314
 $256
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2019 2018 2019 2018
  (unaudited) (unaudited) (unaudited) (unaudited)
Changes in net assets from operations:        
Net investment income $21,662
 $24,872
 $64,862
 $68,769
Net realized (loss) gain on investments (311) 525
 (3,510) (7,007)
Net realized loss on foreign currency (5) (12) (140) (3)
Net change in unrealized depreciation on investments (23,568) (10,028) (38,871) (8,651)
Net (decrease) increase in net assets from operations (2,222) 15,357
 22,341
 53,108
Changes in net assets from shareholders' distributions:        
Distributions to shareholders (20,798) (20,776) (62,371) (62,782)
Net decrease in net assets from shareholders' distributions (20,798) (20,776) (62,371) (62,782)
Changes in net assets from capital share transactions:        
Issuance of common stock, net of issuance costs of $0, $0, $296 and $708, respectively —
 1
 6,220
 18,461
Reinvestment of shareholders' distributions 8,562
 9,624
 26,849
 29,251
Repurchase of common stock (8,562) (41,631) (26,849) (81,535)
Net (decrease) increase in net assets from capital share transactions —
 (32,006) 6,220
 (33,823)
         
Total decrease in net assets (23,020) (37,425) (33,810) (43,497)
Net assets at beginning of period 968,481
 1,052,619
 979,271
 1,058,691
Net assets at end of period $945,461
 $1,015,194
 $945,461
 $1,015,194
         
Net asset value per share of common stock at end of period $8.34
 $9.06
 $8.34
 $9.06
Shares of common stock outstanding at end of period 113,381,782
 112,035,367
 113,381,782
 112,035,367
(1)See Note 7 for a discussion of the Company’s total return swap agreement.
(2)This table presents changes in net assets from shareholders' distributions on a GAAP basis. See Note 5 for a discussion of the sources of distributions paid by the Company.
(3)During the nine months ended September 30, 2017 and 2016, the Company realized losses on TRS loans of $19,736 and $1,030, respectively, which are not currently deductible on a tax-basis. 
See accompanying notes to consolidated financial statements.



CĪON Investment Corporation
Consolidated Statements of Cash Flows
(in thousands)
 Nine Months Ended
September 30,		 Nine Months Ended
September 30,
 2017
2016 2019
2018
 (unaudited) (unaudited) (unaudited) (unaudited)
Operating activities:        
Net increase in net assets resulting from operations $65,801
 $90,290
 $22,341
 $53,108
Adjustments to reconcile net increase in net assets resulting from operations to net cash used in    
operating activities:    
Adjustments to reconcile net increase in net assets resulting from operations to net cash provided by (used in) operating activities:    
Net accretion of discount on investments (6,799) (1,442) (10,058) (13,903)
Proceeds from principal repayment of investments 403,098
 126,908
 285,698
 535,081
Purchase of investments (1,139,000) (450,390) (379,489) (1,003,789)
Paid-in-kind interest (1,704) (596) (5,312) (1,045)
Increase in short term investments, net (70,312) (37,879)
(Increase) decrease in short term investments, net (10,523) 106,503
Proceeds from sale of investments 218,395
 14,462
 167,432
 161,230
Net realized loss (gain) on investments 5,142
 (1,078) 3,510
 7,007
Net unrealized appreciation on investments (11,094) (16,587)
Net unrealized appreciation on total return swap(1) (15,402) (16,826)
Amortization of deferred financing costs 1,272
 258
(Increase) decrease in due from counterparty(1) 139,715
 82,981
Net unrealized depreciation on investments 38,871
 8,651
Amortization of debt issuance costs 2,210
 2,363
(Increase) decrease in due from counterparty —
 (2,321)
(Increase) decrease in interest receivable on investments (2,254) (170) (230) (1,765)
(Increase) decrease in receivable due on investments sold (12,147) (16) 3,504
 15,879
(Increase) decrease in receivable due on total return swap(1) 4,187
 881
(Increase) decrease in prepaid expenses and other assets (812) (197) (352) (1,608)
Increase (decrease) in payable for investments purchased 39,869
 (9,800) (12,432) (1,281)
Increase (decrease) in accounts payable and accrued expenses (209) 949
 100
 (421)
Increase (decrease) in interest payable 1,113
 272
 (763) 1,231
Increase (decrease) in accrued management fees 2,040
 756
 (279) 1,343
Increase (decrease) in accrued administrative services expense (599) (192) (460) (356)
Increase (decrease) in accrued recoupment of expense support from CIG(2) —
 (480)
Increase (decrease) in due to CIG - offering costs (18) (16) —
 (4)
Net cash used in operating activities (379,718) (217,912)
Increase (decrease) in subordinated incentive fee on income payable 2,379
 2,351
Net cash provided by (used in) operating activities 106,147
 (131,746)
    
Financing activities:        
Gross proceeds from issuance of common stock 44,940
 26,476
 6,516
 19,169
Commissions and dealer manager fees paid (1,715) (2,213) (296) (708)
Repurchase of common stock (30,167) (12,231) (26,849) (81,535)
Shareholders' distributions paid(3) (31,437) (28,472)
Borrowings under financing arrangements(4) 406,698
 242,423
Repayment of financing arrangements —
 (18,000)
Shareholders' distributions paid (35,522) (33,531)
Borrowings under financing arrangements 223,500
 213,077
Repayments of financing arrangements (279,500) (25,000)
Debt issuance costs paid (3,732) (3,322) (1,428) (543)
Net cash provided by financing activities 384,587
 204,661
Net increase (decrease) in cash and restricted cash 4,869
 (13,251)
Net cash (used in) provided by financing activities (113,579) 90,929
Net decrease in cash and restricted cash (7,432) (40,817)
Cash and restricted cash, beginning of period 17,046
 41,741
 17,579
 56,354
Cash and restricted cash, end of period $21,915
 $28,490
 $10,147
 $15,537
    
Supplemental disclosure of cash flow information:        
Cash paid for interest $13,075
 $232
 $36,895
 $29,065
Supplemental non-cash financing activities:        
Reinvestment of shareholders' distributions(3) $29,701
 $29,179
Reinvestment of shareholders' distributions $26,849
 $29,251
Restructuring of portfolio investment $9,903
 $—
(1)See Note 7 for a discussion of the Company’s total return swap agreement.
(2)See Note 4 for a discussion of expense support from CIG and recoupment of expense support.
(3)See Note 5 for a discussion of the sources of distributions paid by the Company.
(4)See Note 8 for a discussion of the Company’s financing arrangements.
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Senior Secured First Lien Debt - 103.1%          
AbelConn, LLC / Atrenne Computing Solutions, LLC / Airco Industries, LLC, L+875, 1.00% LIBOR Floor, 7/17/2019 (j)(n)(p) 3 Month LIBOR Aerospace & Defense $19,291
 $19,031
 $19,243
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022 (o) Various Retail 14,611
 11,619
 9,950
Access CIG, LLC, L+500, 1.00% LIBOR Floor, 10/18/2021 (o) 1 Month LIBOR Services: Business 6,746
 6,788
 6,791
Accruent, LLC, L+475, 1.00% LIBOR Floor, 7/28/2023 3 Month LIBOR High Tech Industries 3,887
 3,822
 3,829
Accruent, LLC, 0.75% Unfunded, 7/28/2018 None High Tech Industries 2,866
 —
 (15)
Adams Publishing Group, LLC, L+700, 1.00% LIBOR Floor, 11/3/2020 (n) 3 Month LIBOR Media: Advertising, Printing & Publishing 4,396
 4,344
 4,352
Adams Publishing Group, LLC, 0.50% Unfunded, 6/2/2018 None Media: Advertising, Printing & Publishing 1,136
 —
 (11)
Advanced Integration Technology LP, L+475, 1.00% LIBOR Floor, 4/3/2023 (o) 1 Month LIBOR Aerospace & Defense 3,980
 4,014
 3,970
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020 (o) 3 Month LIBOR Media: Advertising, Printing & Publishing 7,580
 7,278
 6,936
Alvogen Pharma US, Inc., L+500, 1.00% LIBOR Floor, 4/1/2022 (o) 1 Month LIBOR Healthcare & Pharmaceuticals 8,313
 8,275
 8,296
American Clinical Solutions LLC, L+950, 1.00% LIBOR Floor, 6/11/2020 3 Month LIBOR Healthcare & Pharmaceuticals 8,834
 8,733
 8,547
American Dental Partners, Inc., L+475, 1.00% LIBOR Floor, 8/29/2021 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 10,694
 10,241
 10,641
American Energy - Marcellus, LLC, L+425, 1.00% LIBOR Floor, 8/4/2020 (r) 1 Month LIBOR Energy: Oil & Gas 4,033
 2,963
 3,014
American Media, Inc., L+900, 1.00% LIBOR Floor, 8/24/2020 (n) 3 Month LIBOR Media: Advertising, Printing & Publishing 16,148
 15,809
 16,552
American Media, Inc., 9.00% Unfunded, 8/24/2020 (e) None Media: Advertising, Printing & Publishing 154
 —
 4
American Media, Inc., 0.50% Unfunded, 8/24/2020 None Media: Advertising, Printing & Publishing 143
 —
 4
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021 (n)(o)(p) 1 Month LIBOR Telecommunications 21,617
 19,866
 20,968
AMPORTS, Inc., L+500, 1.00% LIBOR Floor, 5/19/2020 (j)(n)(p) 3 Month LIBOR Automotive 18,943
 18,661
 18,753
AMZ Holding Corp., L+500, 1.00% LIBOR Floor, 6/27/2022 1 Month LIBOR Chemicals, Plastics & Rubber 6,740
 6,644
 6,639
AP Exhaust Acquisition, LLC, L+500, 1.00% LIBOR Floor, 5/10/2024 (o) 3 Month LIBOR Automotive 5,627
 5,431
 5,514
ASG Technologies Group, Inc., L+475, 1.00% LIBOR Floor, 7/31/2024 (o) 1 Month LIBOR High Tech Industries 5,000
 4,975
 5,063
Associated Asphalt Partners, LLC, L+525, 1.00% LIBOR Floor, 4/5/2024 (o) 1 Month LIBOR Construction & Building 1,259
 1,254
 1,241
Avaya Inc., L+750, 1.00% LIBOR Floor, 1/24/2018 1 Month LIBOR Telecommunications 3,509
 3,497
 3,544
Avaya Inc., L+525, 1.00% LIBOR Floor, 5/29/2020 (o) 3 Month LIBOR Telecommunications 14,689
 11,941
 12,480
Azure Midstream Energy, LLC, L+650, 1.00% LIBOR Floor, 11/15/2018 (o) 1 Month LIBOR Energy: Oil & Gas 2,188
 2,117
 1,958
Bakemark Holdings, Inc., L+525, 1.00% LIBOR Floor, 8/14/2023 3 Month LIBOR Beverage, Food & Tobacco 2,314
 2,246
 2,245
Caraustar Industries, Inc., L+550, 1.00% LIBOR Floor, 3/14/2022 (o) 3 Month LIBOR Forest Products & Paper 5,591
 5,655
 5,598
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2021 (o) 1 Month LIBOR Services: Consumer 17,945
 17,978
 18,034
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 (n)(p) 6 Month LIBOR Media: Diversified & Production 50,000
 49,070
 49,625
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 15,000
 14,721
 14,963
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 7,500
 7,500
 7,463
CF Entertainment Inc., L+850, 1.00% LIBOR Floor, 1/27/2023 6 Month LIBOR Media: Diversified & Production 5,000
 4,813
 4,963
CF Entertainment Inc., 2.00% Unfunded, 1/28/2019 None Media: Diversified & Production 5,000
 —
 (38)
Charming Charlie, LLC, L+800, 1.00% LIBOR Floor, 12/24/2019 (r)(s) 3 Month LIBOR Retail 7,791
 4,388
 3,701
Command Alkon Inc., L+500, 1.00% LIBOR Floor, 9/1/2023 1 Month LIBOR High Tech Industries 7,560
 7,470
 7,408
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Senior Secured First Lien Debt - 150.0%          
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022(p) 1 Month LIBOR Retail $14,280
 $12,548
 $10,032
ACProducts, Inc., L+550, 0.00% LIBOR Floor, 2/15/2024(p) 1 Month LIBOR Construction & Building 4,938
 4,713
 4,937
Adams Publishing Group, LLC, L+750, 1.00% LIBOR Floor, 7/2/2023(o)(p) 3 Month LIBOR Media: Advertising, Printing & Publishing 14,043
 13,923
 13,973
Adams Publishing Group, LLC, 0.38% Unfunded, 7/2/2020(o) None Media: Advertising, Printing & Publishing 1,600
 —
 (8)
Adapt Laser Acquisition, Inc., L+800, 1.00% LIBOR Floor, 12/31/2023(o) 3 Month LIBOR Capital Equipment 11,820
 11,820
 11,229
Adapt Laser Acquisition, Inc., 0.50% Unfunded, 12/31/2023 None Capital Equipment 2,000
 —
 (100)
Aegis Toxicology Sciences Corp., L+550, 1.00% LIBOR Floor, 5/9/2025(p) 3 Month LIBOR Healthcare & Pharmaceuticals 9,900
 9,724
 9,467
AIS Holdco, LLC, L+500, 0.00% LIBOR Floor, 8/15/2025(p) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 5,417
 5,355
 5,146
Alchemy US Holdco 1, LLC, L+550, 10/10/2025(p) 1 Month LIBOR Construction & Building 7,850
 7,744
 7,771
Allen Media Broadcasting LLC, L+625, 1.00% LIBOR Floor, 7/3/2024(o)(q) 3 Month LIBOR Media: Diversified & Production 24,844
 24,223
 24,409
Allen Media, LLC, L+650, 1.00% LIBOR Floor, 8/30/2023(o)(p)(q)(r) 3 Month LIBOR Media: Diversified & Production 74,030
 72,513
 74,030
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020(p) 3 Month LIBOR Media: Advertising, Printing & Publishing 12,965
 12,527
 12,965
American Clinical Solutions LLC, 12.50%, 6/11/2020(t)(w) None Healthcare & Pharmaceuticals 9,339
 8,968
 6,817
American Media, LLC, L+750, 0.00% LIBOR Floor, 12/31/2023 3 Month LIBOR Media: Advertising, Printing & Publishing 1,574
 1,578
 1,559
American Media, LLC, 0.50% Unfunded, 12/31/2023 None Media: Advertising, Printing & Publishing 128
 (40) (1)
American Media, LLC, L+750, 0.00% LIBOR Floor, 12/31/2023(o) 3 Month LIBOR Media: Advertising, Printing & Publishing 18,875
 18,463
 18,686
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021(o)(p)(q)(r) 3 Month LIBOR Telecommunications 19,566
 18,527
 11,838
Analogic Corp., L+600, 1.00% LIBOR Floor, 6/21/2024(q)(r) 1 Month LIBOR Healthcare & Pharmaceuticals 29,700
 29,200
 29,403
Anthem Sports & Entertainment Inc., L+950, 1.00% LIBOR Floor, 9/9/2024 3 Month LIBOR Media: Diversified & Production 833
 833
 833
Anthem Sports & Entertainment Inc., 0.50% Unfunded, 9/9/2024 None Media: Diversified & Production 1,333
 —
 —
Anthem Sports & Entertainment Inc., L+950, 1.00% LIBOR Floor, 9/9/2024(o)(w) 3 Month LIBOR Media: Diversified & Production 16,693
 16,489
 16,526
AP Exhaust Acquisition, LLC, L+500, 1.00% LIBOR Floor, 5/10/2024(p)(q) 3 Month LIBOR Automotive 10,451
 9,934
 8,021
APCO Holdings, LLC, L+550, 0.00% LIBOR Floor, 6/9/2025(p) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 10,977
 10,882
 10,813
Ascent Resources - Marcellus, LLC, L+650, 1.00% LIBOR Floor, 3/30/2023 1 Month LIBOR Energy: Oil & Gas 712
 712
 690
Associated Asphalt Partners, LLC, L+525, 1.00% LIBOR Floor, 4/5/2024(p) 1 Month LIBOR Construction & Building 10,770
 10,623
 10,258
Avison Young (USA) Inc., L+500, 0.00% LIBOR Floor, 1/31/2026(h)(p) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 9,925
 9,739
 9,764
Bi-Lo, LLC, L+800, 1.00% LIBOR Floor, 5/31/2024(p)(q) 3 Month LIBOR Retail 12,930
 12,582
 12,412
Cadence Aerospace, LLC, L+650, 1.00% LIBOR Floor, 11/14/2023(q)(r) 1 Month LIBOR Aerospace & Defense 25,763
 25,563
 25,505
Cardinal US Holdings, Inc., L+500, 1.00% LIBOR Floor, 7/31/2023(p) 3 Month LIBOR Services: Business 8,330
 7,912
 8,273
CB URS Holdings Corp., L+575, 1.00% LIBOR Floor, 9/1/2024(p)(r) 1 Month LIBOR Transportation: Cargo 16,542
 16,455
 16,335
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2021(p)(r) 1 Month LIBOR Services: Consumer 24,467
 24,481
 23,856
Charming Charlie LLC, 20.00%, 5/15/2019(t)(u) None Retail 1,047
 1,047
 807
Charming Charlie LLC, L+1200, 1.00% LIBOR Floor, 4/24/2023(t)(u)(w) 1 Month LIBOR Retail 2,936
 2,619
 —
Charming Charlie LLC, L+1200, 1.00% LIBOR Floor, 4/24/2023(t)(u)(w) 1 Month LIBOR Retail 3,595
 1,912
 —
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Confie Seguros Holding II Co., L+550, 1.00% LIBOR Floor, 4/16/2022 (o) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 14,942
 14,832
 14,634
Covenant Surgical Partners, Inc., L+475, 0.00% LIBOR Floor, 10/4/2024 (i) 3 Month LIBOR Healthcare & Pharmaceuticals 1,874
 1,869
 1,888
Covenant Surgical Partners, Inc., 0.00% Unfunded, 10/4/2018 (e) None Healthcare & Pharmaceuticals 562
 (1) 4
CSP Technologies North America, LLC, L+525, 1.00% LIBOR Floor, 1/29/2022 (p) 3 Month LIBOR Chemicals, Plastics & Rubber 13,553
 13,307
 13,587
David's Bridal, Inc., L+400, 1.25% LIBOR Floor, 10/11/2019 (o) 3 Month LIBOR Retail 3,477
 2,990
 2,738
DBRS, Inc., L+525, 1.00% LIBOR Floor, 3/4/2022 (h)(o) 3 Month LIBOR Services: Business 5,922
 5,724
 5,878
Deluxe Entertainment Services Group Inc., L+550, 1.00% LIBOR Floor, 2/28/2020 (o) 3 Month LIBOR Media: Diversified & Production 9,865
 9,826
 9,933
DFC Global Facility Borrower II LLC, L+1075, 1.00% LIBOR Floor, 9/27/2022 1 Month LIBOR Services: Consumer 37,200
 36,901
 37,014
DFC Global Facility Borrower II LLC, 0.50% Unfunded, 9/27/2019 (e) None Services: Consumer 22,800
 —
 (114)
Dodge Data & Analytics, LLC / Skyline Data News and Analytics, LLC, L+875, 1.00% LIBOR Floor, 10/31/2019 (n) 3 Month LIBOR Construction & Building 10,012
 9,907
 9,849
DXP Enterprises, Inc., L+550, 1.00% LIBOR Floor, 8/29/2023 (h)(o) 1 Month LIBOR Energy: Oil & Gas 10,000
 9,901
 9,963
EagleTree-Carbide Acquisition Corp., L+475, 1.00% LIBOR Floor, 9/27/2024 (i) 3 Month LIBOR Consumer Goods: Durable 10,000
 9,900
 10,006
Eastman Kodak Company, L+625, 1.00% LIBOR Floor, 9/3/2019 (h)(o) 3 Month LIBOR Consumer Goods: Durable 1,996
 1,991
 1,972
Elemica, Inc., L+800, 1.00% LIBOR Floor, 7/7/2021 (n)(p) 1 Month LIBOR High Tech Industries 17,281
 16,928
 17,065
Elemica, Inc., 0.50% Unfunded, 7/7/2021 (e) None High Tech Industries 2,500
 (47) (31)
Emmis Operating Company, L+700, 1.00% LIBOR Floor, 4/18/2019 (o) 1 Month LIBOR Media: Broadcasting & Subscription 3,627
 3,439
 3,522
Entertainment Studios P&A LLC, 5.00%, 5/18/2037 None Media: Diversified & Production 15,000
 14,704
 21,216
Entertainment Studios P&A LLC, 15.00%, 9/1/2037 None Media: Diversified & Production 7,500
 7,352
 4,613
EnTrans International, LLC, L+750, 1.00% LIBOR Floor, 6/4/2020 3 Month LIBOR Capital Equipment 13,312
 10,366
 11,449
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021 (h)(o) 1 Month LIBOR High Tech Industries 10,236
 9,566
 9,705
Everi Payments Inc., L+450, 1.00% LIBOR Floor, 5/9/2024 (o) 1 Month LIBOR Hotel, Gaming & Leisure 4,183
 4,163
 4,223
F+W Media, Inc., L+1000, 1.50% LIBOR Floor, 5/24/2022 (n)(r)(s) 1 Month LIBOR Media: Diversified & Production 2,661
 2,665
 2,113
F+W Media, Inc., L+650, 1.50% LIBOR Floor, 5/24/2022 1 Month LIBOR Media: Diversified & Production 1,106
 1,106
 1,162
Forbes Media LLC, L+675, 1.00% LIBOR Floor, 9/12/2019 (j)(p) 1 Month LIBOR Media: Advertising, Printing & Publishing 15,000
 14,717
 14,888
Frontline Technologies Group Holding LLC, L+650, 1.00% LIBOR Floor, 9/18/2023 3 Month LIBOR High Tech Industries 2,755
 2,722
 2,722
Frontline Technologies Group Holding LLC, 1.00% Unfunded, 9/18/2019 (e) None High Tech Industries 540
 —
 (6)
FWR Holding Corp., L+600, 1.00% LIBOR Floor, 8/21/2023 1 Month LIBOR Hotel, Gaming & Leisure 1,062
 1,036
 1,035
Global Franchise Group, LLC, L+575, 1.00% LIBOR Floor, 12/18/2019 3 Month LIBOR Beverage, Food & Tobacco 2,166
 2,145
 2,145
GTCR-Ultra Acquisition, Inc., L+600, 1.00% LIBOR Floor, 8/1/2024 (e) 1 Month LIBOR Healthcare & Pharmaceuticals 5,432
 5,300
 5,323
Harland Clarke Holdings Corp., L+550, 1.00% LIBOR Floor, 2/9/2022 (o) 3 Month LIBOR Services: Business 14,724
 14,835
 14,830
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 4,862
 4,583
 4,011
Heartland Dental, LLC, L+475, 1.00% LIBOR Floor, 7/31/2023 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 4,000
 3,981
 4,030
Help/Systems Holdings, Inc., L+450, 1.00% LIBOR Floor, 10/8/2021 (o) 3 Month LIBOR Services: Business 11,939
 11,926
 12,018
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/21/2018 (n) 1 Month LIBOR Services: Business 7,806
 7,402
 7,201
Infogroup Inc., L+500, 1.00% LIBOR Floor, 4/3/2023 (o) 3 Month LIBOR Media: Advertising, Printing & Publishing 9,453
 9,487
 9,216
International Seaways, Inc., L+550, 1.00% LIBOR Floor, 6/22/2022 (h)(o) 1 Month LIBOR Transportation: Cargo 10,000
 9,807
 9,844
Intertain Group Ltd., L+650, 1.00% LIBOR Floor, 4/8/2022 (h)(n) 3 Month LIBOR Hotel, Gaming & Leisure 1,610
 1,586
 1,630
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
CHC Solutions Inc., 12.00%, 7/20/2023(w) None Healthcare & Pharmaceuticals 7,273
 7,273
 7,273
CircusTrix Holdings, LLC, L+550, 1.00% LIBOR Floor, 12/16/2021(q)(r) 1 Month LIBOR Hotel, Gaming & Leisure 23,942
 23,717
 23,463
CircusTrix Holdings, LLC, L+550, 1.00% LIBOR Floor, 12/16/2021 1 Month LIBOR Hotel, Gaming & Leisure 2,430
 2,430
 2,381
CircusTrix Holdings, LLC, 1.00% Unfunded, 12/27/2019 None Hotel, Gaming & Leisure 4,904
 —
 (98)
Country Fresh Holdings, LLC, L+500, 1.00% LIBOR Floor, 4/29/2023 3 Month LIBOR Beverage, Food & Tobacco 286
 274
 286
Country Fresh Holdings, LLC, 1.00% Unfunded, 4/29/2023 None Beverage, Food & Tobacco 735
 (29) —
Country Fresh Holdings, LLC, L+500, 1.00% LIBOR Floor, 4/29/2023 3 Month LIBOR Beverage, Food & Tobacco 414
 414
 414
Crown Subsea Communications Holdings, Inc., L+600, 0.00% LIBOR Floor, 11/2/2025(p) 1 Month LIBOR Capital Equipment 7,800
 7,658
 7,829
David's Bridal, Inc., L+750, 1.00% LIBOR Floor, 7/18/2023 1 Month LIBOR Retail 418
 342
 366
David's Bridal, Inc., L+800, 1.00% LIBOR Floor, 1/18/2024(t) 1 Month LIBOR Retail 1,673
 1,673
 795
Dayton Superior Corp., L+1400, 1.00% LIBOR Floor, 11/15/2021(p)(t)(w) 3 Month LIBOR Construction & Building 6,490
 5,941
 4,932
Deluxe Entertainment Services Group Inc., L+750, 1.50% LIBOR Floor, 9/18/2020(j) 1 Month LIBOR Media: Diversified & Production 2,851
 2,851
 3,136
Deluxe Entertainment Services Group Inc., 0.50% Unfunded, 10/30/2019 None Media: Diversified & Production 1,149
 —
 —
Deluxe Entertainment Services Group Inc., L+750, 1.50% LIBOR Floor, 7/30/2020(p)(aa) 3 Month LIBOR Media: Diversified & Production 10,000
 9,593
 21,075
Deluxe Entertainment Services Group Inc., L+550, 1.00% LIBOR Floor, 2/28/2020(j)(t)(aa) 3 Month LIBOR Media: Diversified & Production 25,213
 17,663
 4,475
DMT Solutions Global Corp., L+700, 0.00% LIBOR Floor, 7/2/2024(p)(r) 6 Month LIBOR Services: Business 18,750
 18,283
 18,258
Eagle Family Foods Group LLC, L+650, 1.00% LIBOR Floor, 6/14/2024(r) 3 Month LIBOR Beverage, Food & Tobacco 14,813
 14,544
 14,516
Entertainment Studios P&A LLC, 6.18%, 5/18/2037(l) None Media: Diversified & Production 17,244
 17,096
 16,813
Entertainment Studios P&A LLC, 5.00%, 5/18/2037(l) None Media: Diversified & Production —
 —
 2,622
EnTrans International, LLC, L+600, 0.00% LIBOR Floor, 11/1/2024(p)(r) 1 Month LIBOR Capital Equipment 28,313
 28,064
 27,746
ES Chappaquiddick LLC, 10.00%, 5/18/2022 None Media: Diversified & Production 965
 965
 989
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021(h)(p) 6 Month LIBOR High Tech Industries 10,104
 9,788
 8,222
Extreme Reach, Inc., L+750, 0.00% LIBOR Floor, 3/29/2024(q) 1 Month LIBOR Media: Diversified & Production 22,442
 22,335
 22,330
Extreme Reach, Inc., 0.50% Unfunded, 3/29/2024 None Media: Diversified & Production 1,744
 (4) (9)
F+W Media, Inc., L+650, 1.50% LIBOR Floor, 5/24/2022(t)(u)(w) 1 Month LIBOR Media: Diversified & Production 1,195
 1,168
 57
F+W Media, Inc., L+1000, 1.50% LIBOR Floor, 5/24/2022(o)(t)(u)(w) 1 Month LIBOR Media: Diversified & Production 3,393
 2,759
 —
Flavors Holdings Inc., L+575, 1.00% LIBOR Floor, 4/3/2020(o)(q) 3 Month LIBOR Consumer Goods: Non-Durable 13,388
 13,000
 12,384
Foundation Consumer Healthcare, LLC, L+550, 1.00% LIBOR Floor, 11/2/2023(o)(q)(r) 3 Month LIBOR Healthcare & Pharmaceuticals 37,620
 37,410
 37,620
Foundation Consumer Healthcare, LLC, 0.50% Unfunded, 11/2/2023 None Healthcare & Pharmaceuticals 4,211
 (22) —
Genesis Healthcare, Inc., L+600, 0.50% LIBOR Floor, 3/6/2023(h)(o)(r) 1 Month LIBOR Healthcare & Pharmaceuticals 35,000
 34,738
 34,300
Geo Parent Corp., L+550, 0.00% LIBOR Floor, 12/19/2025(p) 1 Month LIBOR Services: Business 14,925
 14,786
 14,888
Harland Clarke Holdings Corp., L+475, 1.00% LIBOR Floor, 11/3/2023(p)(r) 3 Month LIBOR Services: Business 13,390
 13,342
 10,495
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021(p) 3 Month LIBOR Healthcare & Pharmaceuticals 4,762
 4,625
 3,548
Homer City Generation, L.P., L+1100, 1.00% LIBOR Floor, 4/5/2023(o) 3 Month LIBOR Energy: Oil & Gas 14,481
 13,964
 13,857
HUMC Holdco, LLC, 9.00%, 6/26/2020 None Healthcare & Pharmaceuticals 10,000
 9,958
 9,950
Hummel Station LLC, L+600, 1.00% LIBOR Floor, 10/27/2022(p) 1 Month LIBOR Energy: Oil & Gas 9,786
 9,457
 8,452
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
iPipeline, Inc., L+625, 1.00% LIBOR Floor, 8/4/2022 1 Month LIBOR High Tech Industries 8,874
 8,684
 8,697
Ipsen, Inc., L+700, 1.00% LIBOR Floor, 9/30/2019 (j)(p) 1 Month LIBOR Capital Equipment 8,095
 8,021
 8,075
Ipsen International GmbH, L+800, 1.00% LIBOR Floor, 9/30/2019 (h)(j) 1 Month LIBOR Capital Equipment 1,295
 1,299
 1,295
Island Medical Management Holdings, LLC, L+550, 1.00% LIBOR Floor, 9/1/2022 (p) 3 Month LIBOR Healthcare & Pharmaceuticals 13,743
 13,569
 13,568
Island Medical Management Holdings, LLC, 1.00% Unfunded, 9/1/2022 (e) None Healthcare & Pharmaceuticals 1,188
 —
 (15)
ITC Service Group Acquisition LLC, L+950, 0.50% LIBOR Floor, 5/26/2021 (j)(p) 1 Month LIBOR High Tech Industries 11,250
 11,065
 11,109
Kingpin Intermediate Holdings LLC, L+425, 1.00% LIBOR Floor, 6/29/2024 (o) 3 Month LIBOR Hotel, Gaming & Leisure 9,975
 9,925
 10,044
KLO Intermediate Holdings, LLC, L+775, 1.25% LIBOR Floor, 4/7/2022 (p) 1 Month LIBOR Chemicals, Plastics & Rubber 4,412
 4,361
 4,357
KLO Intermediate Holdings, LLC, L+775, 1.25% LIBOR Floor, 4/7/2022 (p) 1 Month LIBOR Chemicals, Plastics & Rubber 7,621
 7,532
 7,526
KNB Holdings Corp., L+550, 1.00% LIBOR Floor, 4/26/2024 (o) 3 Month LIBOR Consumer Goods: Durable 16,000
 15,691
 15,920
Labvantage Solutions Inc., L+800, 1.00% LIBOR Floor, 12/29/2020 (p) 1 Month LIBOR High Tech Industries 4,688
 4,651
 4,734
Labvantage Solutions Ltd., E+800, 1.00% EURIBOR Floor, 12/29/2020 (h) 1 Month EURIBOR High Tech Industries €4,294
 4,790
 5,124
Lift Brands, Inc., L+800, 1.00% LIBOR Floor, 12/23/2019 (n) 3 Month LIBOR Services: Consumer 9,226
 9,143
 9,203
Logix Communications, LP, L+575, 1.00% LIBOR Floor, 8/9/2024 (i)(o) (u) Telecommunications 5,250
 5,198
 5,198
Lonestar Prospects, Ltd., 0.00% Unfunded, 12/31/2017 (e) None Energy: Oil & Gas 18,985
 (363) (380)
LTCG Holdings Corp., L+500, 1.00% LIBOR Floor, 6/6/2020 (o) 1 Month LIBOR Services: Business 5,911
 5,582
 5,793
MB2 Dental Solutions, LLC, L+475, 1.00% LIBOR Floor, 9/29/2023 3 Month LIBOR Healthcare & Pharmaceuticals 2,191
 2,163
 2,163
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022 (n) 1 Month LIBOR Services: Business 4,960
 4,777
 4,960
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022 1 Month LIBOR Services: Business 1,097
 1,097
 1,097
Ministry Brands, LLC, L+100, 1.00% LIBOR Floor, Unfunded, 2/22/2019 (e) 1 Month LIBOR Services: Business 2,795
 —
 —
Moss Holding Company, L+675, 1.00% LIBOR Floor, 4/17/2023 (n)(p) 3 Month LIBOR Services: Business 18,924
 18,607
 18,640
Moss Holding Company, 0.75% Unfunded, 5/7/2018 (e) None Services: Business 1,046
 —
 (16)
Moss Holding Company, 0.50% Unfunded, 4/17/2023 (e) None Services: Business 2,232
 —
 (33)
MSHC, Inc., L+425, 1.00% LIBOR Floor, 7/31/2023 3 Month LIBOR Services: Business 2,853
 2,839
 2,839
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 4/16/2020 (o) 3 Month LIBOR Metals & Mining 3,639
 3,548
 3,341
Nathan's Famous Inc., 10.00%, 3/15/2020 (h)(n) None Beverage, Food & Tobacco 6,000
 6,000
 6,311
Navex Global, Inc., L+425, 1.00% LIBOR Floor, 11/19/2021 (o) 1 Month LIBOR High Tech Industries 17,957
 18,010
 17,979
Nextech Systems, LLC, L+725, 1.00% LIBOR Floor, 6/22/2021 (j)(n) 1 Month LIBOR High Tech Industries 15,242
 14,747
 14,938
Opal Acquisition, Inc., L+400, 1.00% LIBOR Floor, 11/27/2020 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 10,235
 9,680
 9,682
Orbcomm Inc., 8.00%, 4/1/2024 (n) None Telecommunications 9,237
 9,237
 9,912
P.F. Chang's China Bistro, Inc., L+500, 1.00% LIBOR Floor, 9/1/2022 (i)(o) 1 Month LIBOR Beverage, Food & Tobacco 10,000
 9,700
 9,600
Paris Presents Inc., L+500, 1.00% LIBOR Floor, 12/31/2020 (p) 1 Month LIBOR Consumer Goods: Durable 8,954
 8,874
 8,954
PDI TA Holdings, Inc., L+475, 1.00% LIBOR Floor, 8/25/2023 (n) 3 Month LIBOR High Tech Industries 5,667
 5,554
 5,552
PDI TA Holdings, Inc., 0.50% Unfunded, 8/24/2018 (e) None High Tech Industries 1,283
 —
 (20)
Petroflow Energy Corp., L+800, 1.00% LIBOR Floor, 6/29/2019 (n)(r)(s) 1 Month LIBOR Energy: Oil & Gas 4,028
 3,863
 3,705
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Hyperion Materials & Technologies, Inc., L+550, 1.00% LIBOR Floor, 8/28/2026(o) 1 Month LIBOR Chemicals, Plastics & Rubber 10,000
 9,801
 9,850
Independent Pet Partners Intermediate Holdings, LLC, L+900, 1.00% LIBOR Floor, 11/19/2023 6 Month LIBOR Retail 12,094
 12,020
 11,882
Independent Pet Partners Intermediate Holdings, LLC, 1.00% Unfunded, 11/19/2023 None Retail 7,852
 (108) (137)
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/23/2020(o) 1 Month LIBOR Services: Business 7,330
 7,117
 7,549
InfoGroup Inc., L+500, 1.00% LIBOR Floor, 4/3/2023(p)(q)(r) 3 Month LIBOR Media: Advertising, Printing & Publishing 15,797
 15,783
 15,323
Instant Web, LLC, L+650, 0.00% LIBOR Floor, 12/15/2022(o)(q)(r) 1 Month LIBOR Media: Advertising, Printing & Publishing 37,835
 37,753
 36,699
Instant Web, LLC, L+650, 0.00% LIBOR Floor, 12/15/2022 1 Month LIBOR Media: Advertising, Printing & Publishing 433
 433
 420
Instant Web, LLC, 0.50% Unfunded, 12/15/2022 None Media: Advertising, Printing & Publishing 2,271
 —
 (68)
International Seaways, Inc., L+600, 1.00% LIBOR Floor, 6/22/2022(h)(p) 1 Month LIBOR Transportation: Cargo 8,922
 8,812
 8,949
Isagenix International, LLC, L+575, 1.00% LIBOR Floor, 6/14/2025(p) 3 Month LIBOR Beverage, Food & Tobacco 14,058
 13,938
 11,774
Island Medical Management Holdings, LLC, L+650, 1.00% LIBOR Floor, 9/1/2022(q) 1 Month LIBOR Healthcare & Pharmaceuticals 11,849
 11,750
 11,271
Jab Wireless, Inc., L+800, 0.00% LIBOR Floor, 5/2/2023(r) 3 Month LIBOR Telecommunications 19,750
 19,750
 19,750
Jackson Hewitt Tax Service Inc., L+625, 0.00% LIBOR Floor, 5/30/2023(r) 3 Month LIBOR Services: Consumer 17,550
 17,550
 17,550
Jenny C Acquisition, Inc., L+850, 0.00% LIBOR Floor, 10/1/2024(o) 3 Month LIBOR Services: Consumer 9,863
 9,773
 9,690
JP Intermediate B, LLC, L+550, 1.00% LIBOR Floor, 11/20/2025(p) 3 Month LIBOR Beverage, Food & Tobacco 16,365
 16,041
 14,278
KLO Intermediate Holdings, LLC, L+775, 1.50% LIBOR Floor, 4/7/2022(t) 1 Month LIBOR Chemicals, Plastics & Rubber 7,283
 7,023
 2,185
KLO Intermediate Holdings, LLC, L+775, 1.50% LIBOR Floor, 4/7/2022(t) 1 Month LIBOR Chemicals, Plastics & Rubber 4,311
 4,268
 1,293
KNB Holdings Corp., L+550, 1.00% LIBOR Floor, 4/26/2024(p)(r) 3 Month LIBOR Consumer Goods: Durable 8,348
 8,228
 7,503
Labvantage Solutions Inc., L+750, 1.00% LIBOR Floor, 12/29/2020(q) 1 Month LIBOR High Tech Industries 3,660
 3,647
 3,660
Labvantage Solutions Ltd., E+750, 1.00% EURIBOR Floor, 12/29/2020(h) 1 Month EURIBOR High Tech Industries €3,705
 4,149
 4,038
LAV Gear Holdings, Inc., L+550, 1.00% LIBOR Floor, 10/31/2024(o)(q) 3 Month LIBOR Services: Business 20,578
 20,288
 20,166
LAV Gear Holdings, Inc., L+550, 1.00% LIBOR Floor, 10/31/2024 3 Month LIBOR Services: Business 4,297
 4,237
 4,211
LD Intermediate Holdings, Inc., L+588, 1.00% LIBOR Floor, 12/9/2022(p) 3 Month LIBOR High Tech Industries 4,759
 4,489
 4,735
Lift Brands, Inc., L+700, 1.00% LIBOR Floor, 4/16/2023 3 Month LIBOR Services: Consumer 1,350
 1,350
 1,313
Lift Brands, Inc., 1.00% Unfunded, 4/16/2023 None Services: Consumer 3,650
 —
 (100)
Lift Brands, Inc., L+700, 1.00% LIBOR Floor, 4/16/2023(o)(q)(r) 3 Month LIBOR Services: Consumer 44,325
 43,600
 43,106
Longview Power, LLC, L+600, 1.00% LIBOR Floor, 4/13/2021(o)(q) 3 Month LIBOR Energy: Oil & Gas 17,791
 16,180
 14,277
Manna Pro Products, LLC, L+600, 0.00% LIBOR Floor, 12/8/2023(o) 1 Month LIBOR Retail 9,448
 9,448
 9,354
Manna Pro Products, LLC, 1.00% Unfunded, 12/8/2019 None Retail 5,528
 —
 (55)
Mimeo.com, Inc., L+700, 1.00% LIBOR Floor, 12/21/2023 3 Month LIBOR Services: Business 1,500
 1,500
 1,500
Mimeo.com, Inc., 1.00% Unfunded, 12/21/2023 None Services: Business 1,500
 —
 —
Mimeo.com, Inc., L+700, 1.00% LIBOR Floor, 12/21/2023(o)(r) 3 Month LIBOR Services: Business 22,655
 22,655
 22,655
Mimeo.com, Inc., 0.25% Unfunded, 12/21/2020 None Services: Business 10,000
 —
 —
Moss Holding Company, L+625, 1.00% LIBOR Floor, 4/17/2023(o)(q) 3 Month LIBOR Services: Business 20,299
 20,042
 19,893
Moss Holding Company, 0.50% Unfunded, 4/17/2023 None Services: Business 2,232
 —
 (45)
Moxie Patriot LLC, L+575, 1.00% LIBOR Floor, 12/19/2020(p) 3 Month LIBOR Energy: Oil & Gas 9,825
 9,815
 8,732
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Photonis Technologies SAS, L+750, 1.00% LIBOR Floor, 9/18/2019 (h)(o) 3 Month LIBOR Aerospace & Defense 6,397
 5,552
 5,598
Plano Molding Company, LLC, L+750, 1.00% LIBOR Floor, 5/12/2021 (n) 1 Month LIBOR Consumer Goods: Non-Durable 8,774
 8,687
 8,160
Practice Insight, LLC, L+500, 1.00% LIBOR Floor, 8/23/2022 (n) 1 Month LIBOR High Tech Industries 6,567
 6,405
 6,402
Project Leopard Holdings, Inc., L+550, 1.00% LIBOR Floor, 7/7/2023 (o) 3 Month LIBOR High Tech Industries 4,000
 3,991
 4,050
PSC Industrial Holdings Corp., L+475, 1.00% LIBOR Floor, 12/5/2020 (o) 3 Month LIBOR Services: Business 4,863
 4,649
 4,863
Radio One, Inc., L+400, 1.00% LIBOR Floor, 4/18/2023 (o) 3 Month LIBOR Media: Broadcasting & Subscription 2,973
 2,945
 2,928
Rimini Street, Inc., 15.00%, 6/24/2020 (s) None High Tech Industries 13,773
 13,539
 16,073
Robertshaw US Holding Corp., L+450, 0.00% LIBOR Floor, 8/10/2024 (o) 1 Month LIBOR Chemicals, Plastics & Rubber 3,155
 3,131
 3,186
Russell Investments US Institutional Holdco, Inc., L+425, 1.00% LIBOR Floor, 6/1/2023 (o) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 3,970
 4,022
 4,032
Sequoia Healthcare Management, LLC, 16.00%, 7/17/2019 (n)(s) None Healthcare & Pharmaceuticals 5,935
 5,885
 5,935
SFE Intermediate Holdco LLC, L+500, 1.00% LIBOR Floor, 7/31/2023 (n) 3 Month LIBOR Beverage, Food & Tobacco 4,782
 4,687
 4,686
SG Acquisition, Inc., L+500, 1.00% LIBOR Floor, 3/29/2024 (o) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 4,159
 4,121
 4,133
Shift PPC LLC, L+600, 1.00% LIBOR Floor, 12/22/2021 (p) 3 Month LIBOR High Tech Industries 4,878
 4,775
 4,878
SI Organization, Inc., L+475, 1.00% LIBOR Floor, 11/23/2019 (o) 3 Month LIBOR Services: Business 7,693
 7,785
 7,810
Southcross Holdings Borrower LP, 9.00%, 4/13/2023 (s) None Energy: Oil & Gas 179
 158
 156
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 1/21/2020 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,758
 12,692
 12,662
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 7/21/2020 (s) 3 Month LIBOR Healthcare & Pharmaceuticals 252
 250
 249
Sprint Industrial Holdings, LLC, L+575, 1.25% LIBOR Floor, 5/14/2019 (n) 3 Month LIBOR Energy: Oil & Gas 8,045
 7,656
 7,361
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022 (o) 3 Month LIBOR Services: Business 3,929
 3,821
 3,826
Studio Movie Grill Holdings, LLC, L+725, 1.00% LIBOR Floor, 9/30/2020 (e)(n) 3 Month LIBOR Hotel, Gaming & Leisure 16,925
 16,811
 16,925
Survey Sampling International, LLC, L+500, 1.00% LIBOR Floor, 12/16/2020 (o) 3 Month LIBOR Services: Business 7,820
 7,854
 7,703
Teladoc, Inc., L+725, 1.00% LIBOR Floor, 7/14/2022 (h) 1 Month LIBOR High Tech Industries 15,000
 14,855
 15,300
Teladoc, Inc., 0.50% Unfunded, 7/14/2020 (e)(h) None High Tech Industries 1,250
 (47) 25
Telestream Holdings Corp., L+677, 1.00% LIBOR Floor, 1/15/2020 (j)(n) 3 Month LIBOR High Tech Industries 8,662
 8,472
 8,402
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021 (n)(p) 3 Month LIBOR Capital Equipment 31,840
 31,671
 31,044
Tensar Corp., L+475, 1.00% LIBOR Floor, 7/9/2021 (o) 3 Month LIBOR Chemicals, Plastics & Rubber 13,236
 12,429
 12,475
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021 (h) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,935
 15,713
U.S. Renal Care, Inc., L+425, 1.00% LIBOR Floor, 12/30/2022 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 7,967
 7,780
 7,740
Vero Parent, Inc., L+500, 1.00% LIBOR Floor, 8/16/2024 (o) 3 Month LIBOR High Tech Industries 15,000
 14,851
 14,906
Vince, LLC, L+700, 1.00% LIBOR Floor, 11/27/2019 (h)(o) 3 Month LIBOR Retail 901
 864
 789
Visual Edge Technology, Inc., L+575, 1.00% LIBOR Floor, 8/31/2022 3 Month LIBOR Services: Business 12,469
 12,222
 12,220
Visual Edge Technology, Inc., L+575, 1.00% LIBOR Floor, 8/31/2022 3 Month LIBOR Services: Business 1,918
 1,871
 1,899
Visual Edge Technology, Inc., 0.75% Unfunded, 2/28/2019 (e) None Services: Business 2,878
 —
 (29)
WD Wolverine Holdings, LLC, L+550, 1.00% LIBOR Floor, 8/16/2022 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 14,319
 14,016
 13,961
Western Dental Services, Inc., L+525, 1.00% LIBOR Floor, 6/30/2023 (o) 1 Month LIBOR Healthcare & Pharmaceuticals 2,191
 2,170
 2,210
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
MRP Generation Holdings, LLC, L+700, 1.00% LIBOR Floor, 10/18/2022(p) 3 Month LIBOR Energy: Oil & Gas 2,197
 2,169
 2,181
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 10/17/2022(p)(t) 3 Month LIBOR Metals & Mining 3,574
 3,553
 1,376
NewsCycle Solutions, Inc., L+700, 1.00% LIBOR Floor, 12/29/2022(q)(r) 1 Month LIBOR Media: Advertising, Printing & Publishing 20,071
 19,921
 19,871
One Call Corp., L+525, 1.00% LIBOR Floor, 11/25/2022(p) 3 Month LIBOR Healthcare & Pharmaceuticals 7,944
 7,585
 6,196
Petroflow Energy Corp., L+800, 1.00% LIBOR Floor, 6/29/2019(o)(t)(u)(w) 1 Month LIBOR Energy: Oil & Gas 744
 215
 170
PFS Holding Corp., L+350, 1.00% LIBOR Floor, 1/31/2021 1 Month LIBOR Retail 3,105
 2,670
 2,034
PH Beauty Holdings III. Inc., L+500, 0.00% LIBOR Floor, 9/28/2025(p) 1 Month LIBOR Consumer Goods: Non-Durable 9,900
 9,812
 9,454
Pixelle Specialty Solutions LLC, L+600, 1.00% LIBOR Floor, 10/31/2024(p) 1 Month LIBOR Forest Products & Paper 24,837
 24,285
 24,605
Plano Molding Company, LLC, L+700, 1.00% LIBOR Floor, 5/12/2021(o) 1 Month LIBOR Consumer Goods: Non-Durable 6,025
 5,989
 5,694
Polymer Additives, Inc., L+600, 0.00% LIBOR Floor, 7/31/2025(o)(p) 3 Month LIBOR Chemicals, Plastics & Rubber 19,850
 19,500
 17,369
Polymer Process Holdings, Inc., L+600, 0.00% LIBOR Floor, 5/1/2026(p) 1 Month LIBOR Chemicals, Plastics & Rubber 24,938
 24,457
 24,563
Rhino Energy LLC, L+1000, 1.00% LIBOR Floor, 12/27/2020(r) 1 Month LIBOR Metals & Mining 9,481
 9,209
 9,386
SEK Holding Co LLC, L+1150, 0.00% LIBOR Floor, 3/14/2022(o)(w) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 15,279
 15,023
 14,974
Sequoia Healthcare Management, LLC, 12.75%, 8/21/2023(o)(q) None Healthcare & Pharmaceuticals 9,335
 9,258
 9,288
SIMR, LLC, L+900, 2.00% LIBOR Floor, 9/7/2023(o)(u) 1 Month LIBOR Healthcare & Pharmaceuticals 14,681
 14,433
 13,800
Smart & Final Inc., L+675, 0.00% LIBOR Floor, 6/20/2025(p) 1 Month LIBOR Retail 9,975
 9,093
 9,158
Sorenson Communications, LLC, L+650, 0.00% LIBOR Floor, 4/30/2024(p) 3 Month LIBOR Telecommunications 13,163
 12,672
 13,162
SOS Security Holdings LLC, L+650, 1.00% LIBOR Floor, 4/30/2025(o)(r) 3 Month LIBOR Services: Business 17,456
 17,285
 17,282
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 6/30/2021(o) 3 Month LIBOR Healthcare & Pharmaceuticals 12,684
 12,675
 12,526
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 6/30/2021(o)(w) 3 Month LIBOR Healthcare & Pharmaceuticals 318
 318
 314
Spinal USA, Inc. / Precision Medical Inc., 0.00% Unfunded, 12/31/2019(o)(s) None Healthcare & Pharmaceuticals 239
 —
 (3)
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 6/30/2021(o)(w) 3 Month LIBOR Healthcare & Pharmaceuticals 495
 495
 489
Stats Intermediate Holdings, LLC, L+525, 0.00% LIBOR Floor, 7/12/2026(p) 6 Month LIBOR High Tech Industries 10,000
 9,784
 9,800
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022(p) 1 Month LIBOR Services: Business 3,929
 3,861
 3,934
Teladoc, Inc., 0.50% Unfunded, 7/14/2020(h) None High Tech Industries 1,250
 (12)��—
Telestream Holdings Corp., L+645, 1.00% LIBOR Floor, 3/24/2022(k)(o) 1 Month LIBOR High Tech Industries 8,792
 8,678
 8,616
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021(o)(q) 3 Month LIBOR Capital Equipment 28,880
 28,556
 28,880
Tensar Corp., L+475, 1.00% LIBOR Floor, 7/9/2021(p) 3 Month LIBOR Chemicals, Plastics & Rubber 12,980
 12,579
 12,428
The Pasha Group, L+750, 1.00% LIBOR Floor, 1/26/2023(q) (z) Transportation: Cargo 6,078
 5,945
 6,123
The Pay-O-Matic Corp., L+900, 0.00% LIBOR Floor, 4/5/2021(g)(o) 3 Month LIBOR Services: Consumer 21,437
 21,319
 21,437
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021(h)(w) 1 Month LIBOR Healthcare & Pharmaceuticals 14,476
 14,440
 14,457
Volta Charging, LLC, 12.00%, 6/19/2024 None Media: Diversified & Production 10,000
 10,000
 10,000
Volta Charging, LLC, 0.00% Unfunded, 6/19/2021(s) None Media: Diversified & Production 12,000
 —
 —
Wok Holdings Inc., L+650, 0.00% LIBOR Floor, 3/1/2026(p) 3 Month LIBOR Beverage, Food & Tobacco 12,935
 12,765
 11,076
Woodstream Corp., L+600, 1.00% LIBOR Floor, 5/29/2022(r) 3 Month LIBOR Consumer Goods: Non-Durable 14,300
 14,300
 14,300
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Woodstream Corp., L+625, 1.00% LIBOR Floor, 5/29/2022 3 Month LIBOR Consumer Goods: Non-Durable 7,896
 7,862
 7,896
Woodstream Corp., 0.75% Unfunded, 5/29/2021 (e) None Consumer Goods: Non-Durable 1,553
 —
 —
Total Senior Secured First Lien Debt 
 
 
 1,069,271
 1,079,520
Senior Secured Second Lien Debt - 38.4%          
ABG Intermediate Holdings 2 LLC, L+775, 1.00% LIBOR Floor, 9/29/2025 (i)(n) 3 Month LIBOR Retail 6,475
 6,427
 6,556
Access CIG, LLC, L+875, 1.00% LIBOR Floor, 10/17/2022 (p) 1 Month LIBOR Services: Business 16,030
 15,512
 15,709
Accruent, LLC, L+875, 1.00% LIBOR Floor, 7/28/2024 3 Month LIBOR High Tech Industries 749
 717
 738
Accruent, LLC, 0.75% Unfunded, 7/28/2018 (e) None High Tech Industries 1,414
 —
 (7)
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021 (n)(p) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,231
 9,206
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2022 (n) 1 Month LIBOR Construction & Building 4,933
 4,894
 4,958
American Seafoods Group LLC, L+813, 1.00% LIBOR Floor, 2/21/2024 3 Month LIBOR Beverage, Food & Tobacco 18,233
 17,874
 17,869
Avalign Technologies, Inc., L+825, 1.00% LIBOR Floor, 7/15/2022 3 Month LIBOR Healthcare & Pharmaceuticals 5,500
 5,447
 5,445
Command Alkon Inc., L+900, 1.00% LIBOR Floor, 3/1/2024 1 Month LIBOR High Tech Industries 2,440
 2,404
 2,404
Confie Seguros Holding II Co., L+975, 1.25% LIBOR Floor, 5/8/2019 1 Month LIBOR Banking, Finance, Insurance & Real Estate 4,577
 4,471
 4,497
Conisus, LLC, L+875, 1.00% LIBOR Floor, 6/23/2021 3 Month LIBOR Healthcare & Pharmaceuticals 11,750
 9,868
 9,400
Drew Marine Group, Inc., L+700, 1.00% LIBOR Floor, 5/19/2021 (h)(n) 1 Month LIBOR Chemicals, Plastics & Rubber 9,500
 9,462
 9,500
EagleTree-Carbide Acquisition Corp., L+825, 1.00% LIBOR Floor, 8/28/2025 (i) 3 Month LIBOR Consumer Goods: Durable 20,000
 19,700
 19,800
Elements Behavioral Health, Inc., L+1200, 1.00% LIBOR Floor, 2/11/2020 (r)(s) 3 Month LIBOR Healthcare & Pharmaceuticals 6,287
 6,054
 4,841
Emerald 3 Ltd., L+700, 1.00% LIBOR Floor, 5/16/2022 (h)(n) 3 Month LIBOR Environmental Industries 3,000
 2,981
 2,813
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022 (h)(n) 1 Month LIBOR High Tech Industries 9,999
 7,158
 8,249
Flexera Software LLC, L+700, 1.00% LIBOR Floor, 4/2/2021 (p) 3 Month LIBOR High Tech Industries 9,385
 9,166
 9,421
Genex Holdings, Inc., L+775, 1.00% LIBOR Floor, 5/30/2022 (n)(p) 1 Month LIBOR Services: Business 11,410
 11,331
 11,324
GHX Ultimate Parent Corp., L+800, 1.00% LIBOR Floor, 6/30/2025 3 Month LIBOR Healthcare & Pharmaceuticals 13,926
 13,517
 13,508
Global Tel*Link Corp., L+775, 1.25% LIBOR Floor, 11/23/2020 (p) 3 Month LIBOR Telecommunications 9,500
 9,492
 9,488
GOBP Holdings, Inc., L+825, 1.00% LIBOR Floor, 10/21/2022 (o) 3 Month LIBOR Retail 4,000
 4,020
 4,045
Institutional Shareholder Services Inc., L+850, 1.00% LIBOR Floor, 4/30/2022 (n) 1 Month LIBOR Services: Business 10,648
 10,543
 10,648
Medical Solutions Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/16/2025 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,856
 9,950
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023 (n) 1 Month LIBOR Services: Business 7,000
 6,902
 7,000
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023 1 Month LIBOR Services: Business 292
 292
 292
Ministry Brands, LLC, L+100, 1.00% LIBOR Floor, Unfunded, 2/22/2019 (e) 1 Month LIBOR Services: Business 742
 —
 —
Mitchell International, Inc., L+750, 1.00% LIBOR Floor, 10/11/2021 (n)(o) 3 Month LIBOR High Tech Industries 14,909
 14,533
 15,105
MSHC, Inc., L+825, 1.00% LIBOR Floor, 7/31/2024 2 Month LIBOR Services: Business 2,081
 2,015
 2,013
Niacet Corp., E+875, 1.00% EURIBOR Floor, 8/1/2024 (h) 3 Month EURIBOR
 Chemicals, Plastics & Rubber €7,489
 7,938
 8,671
Onex Carestream Finance LP, L+850, 1.00% LIBOR Floor, 12/7/2019 (o) 3 Month LIBOR Healthcare & Pharmaceuticals 12,030
 11,014
 11,767
Onex TSG Holdings II Corp., L+850, 1.00% LIBOR Floor, 7/31/2023 (n)(o) 1 Month LIBOR Healthcare & Pharmaceuticals 12,249
 12,143
 12,180
Paris Presents Inc., L+875, 1.00% LIBOR Floor, 12/31/2021 (n) 1 Month LIBOR Consumer Goods: Durable 3,500
 3,435
 3,465
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Woodstream Corp., 0.50% Unfunded, 5/29/2021 None Consumer Goods: Non-Durable 559
 —
 —
Total Senior Secured First Lien Debt       1,473,789
 1,417,752
Senior Secured Second Lien Debt - 28.4%          
1A Smart Start LLC, L+825, 1.00% LIBOR Floor, 8/21/2022(o)(q) 1 Month LIBOR High Tech Industries 17,800
 17,547
 17,444
ABG Intermediate Holdings 2 LLC, L+775, 1.00% LIBOR Floor, 9/29/2025(o) 1 Month LIBOR Retail 3,000
 2,995
 3,006
Access CIG, LLC, L+775, 0.00% LIBOR Floor, 2/27/2026(q) 1 Month LIBOR Services: Business 17,250
 17,124
 17,250
Albany Molecular Research, Inc., L+700, 1.00% LIBOR Floor, 8/30/2025(o) 1 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,838
 9,906
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021(o)(q) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,309
 10,344
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2022(o) 1 Month LIBOR Construction & Building 5,180
 5,136
 5,128
Carestream Health, Inc., L+950, 1.00% LIBOR Floor, 6/7/2021(q) 1 Month LIBOR Healthcare & Pharmaceuticals 10,662
 10,662
 10,209
Country Fresh Holdings, LLC, L+850, 1.00% LIBOR Floor, 4/29/2024(w) 3 Month LIBOR Beverage, Food & Tobacco 1,974
 1,975
 1,974
EagleTree-Carbide Acquisition Corp., L+850, 1.00% LIBOR Floor, 8/28/2025(o)(q) 3 Month LIBOR Consumer Goods: Durable 23,000
 22,727
 22,655
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022(h)(q) 6 Month LIBOR High Tech Industries 9,999
 8,106
 3,025
Global Tel*Link Corp., L+825, 0.00% LIBOR Floor, 11/29/2026(q) 1 Month LIBOR Telecommunications 11,500
 11,309
 10,968
LSCS Holdings, Inc., L+825, 0.00% LIBOR Floor, 3/16/2026(o) 6 Month LIBOR Services: Business 11,891
 11,653
 11,831
Mayfield Agency Borrower Inc., L+850, 0.00% LIBOR Floor, 3/2/2026(o)(q)(r) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 20,000
 19,719
 20,200
Medical Solutions Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/16/2025(o) 1 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,874
 9,750
MedPlast Holdings, Inc., L+775, 0.00% LIBOR Floor, 7/2/2026(r) 3 Month LIBOR Healthcare & Pharmaceuticals 6,750
 6,690
 6,328
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023(o)(q) 2 Month LIBOR Services: Business 7,000
 6,928
 7,000
Niacet Corp., E+875, 1.00% EURIBOR Floor, 8/1/2024(h) 1 Month EURIBOR Chemicals, Plastics & Rubber €7,489
 7,977
 8,081
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023(o) 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,417
 12,150
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023(o) 3 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,778
 14,775
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022(p)(t) 1 Month LIBOR Retail 4,998
 4,312
 —
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022(o) 3 Month LIBOR Telecommunications 3,000
 2,932
 1,050
PT Intermediate Holdings III, LLC, L+800, 1.00% LIBOR Floor, 12/8/2025(q) 1 Month LIBOR Services: Business 9,375
 9,305
 9,469
Securus Technologies Holdings, Inc., L+825, 1.00% LIBOR Floor, 11/1/2025(q) 1 Month LIBOR Telecommunications 2,942
 2,916
 2,592
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023(o)(q) 1 Month LIBOR Services: Business 10,000
 9,910
 9,600
TexOak Petro Holdings LLC, 8.00%, 12/29/2019(t)(u)(w) None Energy: Oil & Gas 8,405
 2,592
 —
TMK Hawk Parent, Corp., L+800, 1.00% LIBOR Floor, 8/28/2025(o) 1 Month LIBOR Services: Business 13,393
 13,115
 12,991
TouchTunes Interactive Networks, Inc., L+825, 1.00% LIBOR Floor, 5/29/2022(q) 1 Month LIBOR Hotel, Gaming & Leisure 5,226
 5,195
 5,226
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022(o) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,675
 8,656
Zest Acquisition Corp., L+750, 1.00% LIBOR Floor, 3/13/2026(q) 3 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,868
 13,875
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023(o) 3 Month LIBOR High Tech Industries 3,173
 3,128
 3,173
Total Senior Secured Second Lien Debt       289,712
 268,656
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,379
 13,163
PDI TA Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/25/2024 1 Month LIBOR High Tech Industries 2,500
 2,447
 2,447
PDI TA Holdings, Inc., 0.50% Unfunded, 8/24/2018 (e) None High Tech Industries 550
 —
 (12)
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021 (o) 3 Month LIBOR Chemicals, Plastics & Rubber 3,469
 3,458
 3,469
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023 (n) 1 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,719
 14,738
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022 (o) 1 Month LIBOR Retail 4,998
 4,680
 4,273
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022 (n) 1 Month LIBOR Telecommunications 3,000
 2,892
 2,895
PSC Industrial Holdings Corp., L+825, 1.00% LIBOR Floor, 12/5/2021 (n) 1 Month LIBOR Services: Business 10,000
 9,862
 10,000
Robertshaw US Holding Corp., L+900, 0.00% LIBOR Floor, 2/10/2025 1 Month LIBOR Chemicals, Plastics & Rubber 5,000
 4,855
 4,994
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 (o)(p) 3 Month LIBOR Telecommunications 5,500
 5,478
 5,514
Securus Technologies Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/20/2025 (i)(p) 1 Month LIBOR Telecommunications 2,942
 2,913
 2,968
SMG, L+825, 1.00% LIBOR Floor, 2/27/2021 (n) 1 Month LIBOR Hotel, Gaming & Leisure 6,142
 6,142
 6,126
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023 (n)(o) 3 Month LIBOR Services: Business 10,000
 9,879
 9,000
Survey Sampling International, LLC, L+900, 1.00% LIBOR Floor, 12/16/2021 (n) 3 Month LIBOR Services: Business 5,000
 4,931
 4,950
TexOak Petro Holdings LLC, 8.00%, 12/29/2019 (r)(s) None Energy: Oil & Gas 7,137
 2,360
 —
TMK Hawk Parent, Corp., L+800, 1.00% LIBOR Floor, 8/28/2025 (n) 3 Month LIBOR Services: Business 13,393
 13,061
 13,058
TouchTunes Interactive Networks, Inc., L+825, 1.00% LIBOR Floor, 5/29/2022 (p) 3 Month LIBOR Hotel, Gaming & Leisure 6,000
 5,949
 6,007
U.S. Anesthesia Partners, Inc., L+725, 1.00% LIBOR Floor, 6/23/2025 1 Month LIBOR Healthcare & Pharmaceuticals 10,235
 10,085
 10,081
U.S. Renal Care, Inc., L+800, 1.00% LIBOR Floor, 12/29/2023 (n) 3 Month LIBOR Healthcare & Pharmaceuticals 5,000
 4,917
 4,875
Wand Intermediate I LP, L+725, 1.00% LIBOR Floor, 9/19/2022 (n) 3 Month LIBOR Automotive 16,000
 15,875
 16,080
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022 (n) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,577
 11,990
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023 (n) 3 Month LIBOR High Tech Industries 5,000
 4,932
 4,988
Total Senior Secured Second Lien Debt       404,788
 402,459
Collateralized Securities and Structured Products - Debt - 2.7%          
Deutsche Bank AG Frankfurt CRAFT 2014-1 Class Credit Linked Note, L+965, 5/15/2019 (h) 3 Month LIBOR Diversified Financials 4,304
 4,304
 4,200
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022 (h) 3 Month LIBOR Diversified Financials 15,500
 15,500
 14,993
Ivy Hill Middle Market Credit Fund VII, Ltd. Class E Notes, L+565, 10/20/2025 (g)(h) 3 Month LIBOR Diversified Financials 2,000
 1,887
 1,931
NXT Capital CLO 2014-1, LLC Class E Notes, L+550, 4/23/2026 (g)(h) 3 Month LIBOR Diversified Financials 7,500
 7,127
 7,160
Total Collateralized Securities and Structured Products - Debt       28,818
 28,284
Collateralized Securities and Structured Products - Equity - 2.8%          
Anchorage Capital CLO 2012-1, Ltd. Subordinated Notes, 2.82% Estimated Yield, 1/13/2025 (h) (f) Diversified Financials 4,000
 2,621
 2,244
APIDOS CLO XVI Subordinated Notes, 11.84% Estimated Yield, 1/19/2025 (h) (f) Diversified Financials 9,000
 4,140
 3,569
CENT CLO 19 Ltd. Subordinated Notes, 6.47% Estimated Yield, 10/29/2025 (h) (f) Diversified Financials 2,000
 1,305
 1,087
Galaxy XV CLO Ltd. Class A Subordinated Notes, 4.60% Estimated Yield, 4/15/2025 (h) (f) Diversified Financials 4,000
 2,356
 2,189
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Collateralized Securities and Structured Products - Debt - 1.1%          
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022(h) 3 Month LIBOR Diversified Financials 10,051
 10,051
 9,950
Total Collateralized Securities and Structured Products - Debt       10,051
 9,950
Collateralized Securities and Structured Products - Equity - 1.6%          
APIDOS CLO XVI Subordinated Notes, 6.39% Estimated Yield, 1/19/2025(h) (f) Diversified Financials 9,000
 3,697
 2,681
CENT CLO 19 Ltd. Subordinated Notes, 37.72% Estimated Yield, 10/29/2025(h) (f) Diversified Financials 2,000
 1,163
 1,037
Galaxy XV CLO Ltd. Class A Subordinated Notes, 6.78% Estimated Yield, 4/15/2025(h) (f) Diversified Financials 4,000
 2,272
 1,746
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 11.84% Estimated Yield, 2/2/2026(h) (f) Diversified Financials 10,000
 9,371
 9,517
Total Collateralized Securities and Structured Products - Equity       16,503
 14,981
Equity - 4.3%          
Anthem Sports and Entertainment Inc., Class A Preferred Stock Warrants(s)   Media: Diversified & Production 769 Units
 205
 201
Anthem Sports and Entertainment Inc., Class B Preferred Stock Warrants(s)   Media: Diversified & Production 135 Units
 —
 —
Anthem Sports and Entertainment Inc., Common Stock Warrants(s)   Media: Diversified & Production 2,508 Units
 —
 —
Ascent Resources - Marcellus, LLC, Common Shares(s)   Energy: Oil & Gas 511,255 Units
 1,642
 1,150
Ascent Resources - Marcellus, LLC, Warrants(s)   Energy: Oil & Gas 132,367 Units
 13
 4
Avaya Holdings Corp., Common Stock(i)(p)(s)   Telecommunications 321,260 Units
 5,285
 3,286
Charming Charlie LLC, Common Stock(s)(u)   Retail 30,046,243 Units
 1,302
 —
CHC Medical Partners, Inc., Series C Preferred Stock, 12% Dividend(v)   Healthcare & Pharmaceuticals 2,727,273 Units
 5,004
 5,029
Conisus Holdings, Inc., Common Stock(s)(u)   Healthcare & Pharmaceuticals 4,914,556 Units
 200
 1,542
Conisus Holdings, Inc., Series B Preferred Stock, 12% Dividend(u)(v)   Healthcare & Pharmaceuticals 12,677,833 Units
 12,734
 12,637
Country Fresh Holdings, LLC, Common Stock(s)
   Beverage, Food & Tobacco 2,985 Units
 5,249
 3,135
David's Bridal, Inc., Common Stock(s)
   Retail 32,296 Units
 580
 —
F+W Media, Inc., Common Stock(s)(u)   Media: Diversified & Production 31,211 Units
 —
 —
HDNet Holdco LLC, Preferred Unit Call Option(s)   Media: Diversified & Production 0.67 Units
 —
 —
Independent Pet Partners Intermediate Holdings, LLC, Class A Preferred Units(s)
   Retail 1,000,000 Units
 1,000
 990
Independent Pet Partners Intermediate Holdings, LLC, Warrants(s)
   Retail 155,880 Units
 —
 5
Mooregate ITC Acquisition, LLC, Class A Units(s)
   High Tech Industries 500 Units
 563
 173
Mount Logan Capital Inc., Common Stock(h)(i)(s)(u)
   Banking, Finance, Insurance & Real Estate 7,842,273 Units
 3,335
 2,665
NS NWN Acquisition, LLC, Voting Units(s)   High Tech Industries 346 Units
 393
 514
NS NWN Acquisition, LLC, Class A Preferred Units(s)
   High Tech Industries 111 Units
 111
 332
NSG Co-Invest (Bermuda) LP, Partnership Interests(h)(s)   Consumer Goods: Durable 1,575 Units
 1,000
 653
Rhino Energy LLC, Warrants(s)   Metals & Mining 170,972 Units
 280
 70
SIMR Parent, LLC, Class B Common Units(s)(u)   Healthcare & Pharmaceuticals 7,500,000 Units
 7,500
 4,419
Spinal USA, Inc. / Precision Medical Inc., Warrants(s)   Healthcare & Pharmaceuticals 14,181,915 Units
 5,806
 3,120
Tenere Inc., Warrants(s)   Capital Equipment N/A
 161
 830
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 20172019
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(m) 
Fair
Value(c)
Ivy Hill Middle Market Credit Fund VII, Ltd. Subordinated Notes, 10.40% Estimated Yield, 10/20/2025 (h) (f) Diversified Financials 2,000
 1,581
 1,479
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 10.35% Estimated Yield, 2/2/2026 (e)(h) (f) Diversified Financials 10,000
 9,857
 9,662
Ivy Hill Middle Market Credit Fund IX, Ltd. Subordinated Notes, 14.21% Estimated Yield, 10/18/2025 (h) (f) Diversified Financials 8,146
 5,933
 5,885
Ivy Hill Middle Market Credit Fund X, Ltd., 10.06% Estimated Yield, 7/24/2027 (h) (f) Diversified Financials 4,760
 3,744
 3,473
Total Collateralized Securities and Structured Products - Equity       31,537
 29,588
Unsecured Debt - 0.7%          
Visual Edge Technology, Inc., 12.50%, 8/31/2024 None Services: Business 7,519
 7,333
 7,331
Total Unsecured Debt       7,333
 7,331
Equity - 0.4%          
Commerce Topco, LLC (q)   Healthcare & Pharmaceuticals 87 Units
 85
 85
Commerce Parent, Inc. (q)   Healthcare & Pharmaceuticals 87 Units
 87
 87
F+W Media, Inc. (q)   Media: Diversified & Production 31,211 Units
 —
 —
Mooregate ITC Acquisition, LLC, Class A Units (q)   High Tech Industries 500 Units
 563
 450
NS NWN Acquisition, LLC (q)   High Tech Industries 404 Units
 393
 450
NSG Co-Invest (Bermuda) LP (h)(q)   Consumer Goods: Durable 1,575 Units
 1,000
 875
Spinal USA, Inc. / Precision Medical Inc., Warrants (q)   Healthcare & Pharmaceuticals 1,551,569 Units
 853
 853
Southcross Holdings LP, Class A-II Units (q)   Energy: Oil & Gas 188 Units
 75
 127
Southcross Holdings GP, LLC, Units (q)   Energy: Oil & Gas 188 Units
 —
 —
Speed Commerce Investment Part, LLC (q)   High Tech Industries 629 Units
 2,640
 900
Tenere Inc. Warrant (q)   Capital Equipment N/A
 161
 36
TexOak Petro Holdings LLC (q)   Energy: Oil & Gas 60,000 Units
 —
 —
Total Equity       5,857
 3,863
Short Term Investments - 13.5%(k)          
First American Treasury Obligations Fund, Class Z Shares, 0.89% (l)       140,810
 140,810
Total Short Term Investments       140,810
 140,810
TOTAL INVESTMENTS - 161.6%       $1,688,414
 1,691,855
LIABILITIES IN EXCESS OF OTHER ASSETS - (61.6%)         (644,668)
NET ASSETS - 100%         $1,047,187
Portfolio Company(a)   Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
TexOak Petro Holdings LLC, Membership Interests(s)(u)   Energy: Oil & Gas 60,000 Units —
 —
Total Equity       52,363
 40,755
Short Term Investments - 2.4%(m)          
First American Treasury Obligations Fund, Class Z Shares, 1.85%(n)       23,060
 23,060
Total Short Term Investments       23,060
 23,060
TOTAL INVESTMENTS - 187.8%       $1,865,478
 1,775,154
LIABILITIES IN EXCESS OF OTHER ASSETS - (87.8%)         (829,693)
NET ASSETS - 100%         $945,461
a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the Investment Company Act of 1940, as amended, or the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. The Company does not control and is not an affiliate of any of the portfolio companies in its investment portfolio. Unless specifically identified in note s.w. below, investments do not contain a paid-in-kind, or PIK, interest provision.
b.The 1, 2, 3, and 6 month London Interbank Offered Rate, or LIBOR, rates were 1.24%2.02%, 1.27%2.07%, 1.34%2.09%, and 1.51%2.06%, respectively, as of September 30, 2017.2019.  The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of September 30, 2017,2019, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to September 30, 2017.2019. The 31 month Euro Interbank Offered Rate, or EURIBOR, rate was (0.38%(0.51%) as of September 30, 2017.2019.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9)8) using significant unobservable inputs unless otherwise noted.
d.Denominated in U.S. dollars unless otherwise noted.
e.As discussed in Note 11, on September 30, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $2,156, $1,111 and $992 to Studio Movie Grill Holdings, LLC, Ivy Hill Middle Market Credit Fund VIII, Ltd. and    GTCR-Ultra Acquisition, Inc., respectively. On November 9, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $22,800, $18,985, $3,278, $2,500, $1,865, $1,608, $1,553, $1,250, $1,188, $1,151, $1,111, $992, $815, $540, $459, $157, and $154 to DFC Global Facility Borrower II LLC, Lonestar Prospects, Ltd., Moss Holding Company, Elemica Holdings, Inc., Ministry Brands, LLC, Studio Movie Grill Holdings, LLC, Woodstream Corp., Teledoc, Inc., Island Medical Management Holdings, LLC, Visual Edge Technology, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., GTCR-Ultra Acquisition, Inc., PDI TA Holdings, Inc., Frontline Technologies Group Holdings LLC, Covenant Surgical Partners, Inc., Accruent, LLC, and American Media, Inc., respectively.
See accompanying notes to consolidated financial statements.



CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2017
(in thousands)
f.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
g.Ivy Hill Middle Market Credit Fund VII Class E Notes and NXT Capital CLO 2014-1 Class E Notes were rated Ba2 on Moody's credit scale as of September 30, 2017.
h.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of September 30, 2017, 89.4% of the Company’s total assets represented qualifying assets.
i.Position or a portion thereof unsettled as of September 30, 2017.
j.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional amounts as a result of an arrangement between the Company and other lenders in the syndication in exchange for lower payment priority.
k.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.7-day effective yield as of September 30, 2017.
m.Represents amortized cost for debt securities and cost for equity investments.
n.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street Funding, LLC, or 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPMorgan Chase Bank, National Association, or JPM, as of September 30, 2017 (see Note 8).
o.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Flatiron Funding II, LLC, or Flatiron Funding II, and was pledged as collateral supporting the amounts outstanding under the credit facility with Citibank N.A., or Citibank, as of September 30, 2017 (see Note 8).
p.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, LLC, or Murray Hill Funding II, and was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS AG, or UBS, as of September 30, 2017 (see Note 8).
q.Non-income producing security.
r.Investment or a portion thereof was on non-accrual status as of September 30, 2017.
s.For the nine months ended September 30, 2017, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
Charming Charlie, LLC(t) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $369
 $—
 $369
Elements Behavioral Health, Inc.(t) Senior Secured Second Lien Debt — 13.00% 13.00% $—
 $365
 $365
F+W Media, Inc.(t) Senior Secured First Lien Debt 1.50% 10.00% 11.50% $19
 $93
 $112
Petroflow Energy Corp.(t)
 Senior Secured First Lien Debt 3.00% 6.00% 9.00% $99
 $187
 $286
Rimini Street, Inc. Senior Secured First Lien Debt 12.00% 3.00% 15.00% $1,469
 $403
 $1,872
Sequoia Healthcare Management, LLC
 Senior Secured First Lien Debt 12.00% 4.00% 16.00% $531
 $211
 $742
Southcross Holdings Borrower LP Senior Secured First Lien Debt 3.50% 5.50% 9.00% $6
 $7
 $13
Spinal USA, Inc. / Precision Medical Inc.
 Senior Secured First Lien Debt — 10.50% 10.50% $—
 $124
 $124
TexOak Petro Holdings LLC(t)
 Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $314
 $314
t.The PIK interest portion of the investment was on non-accrual status as of September 30, 2017.
u.As of November 9, 2017, no interest rate option had been elected as the entire position remained unsettled.
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2016
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Senior Secured First Lien Debt - 49.0%          
AbelConn, LLC / Atrenne Computing Solutions, LLC / Airco Industries, LLC, L+850, 1.00% LIBOR Floor, 7/17/2019(j) 3 Month LIBOR 
Aerospace & Defense

 $22,112
 $21,702
 $21,780
Adams Publishing Group, LLC, L+700, 1.00% LIBOR Floor, 11/3/2020(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 3,892
 3,818
 3,833
American Clinical Solutions LLC, L+950, 1.00% LIBOR Floor, 6/11/2020 3 Month LIBOR Healthcare & Pharmaceuticals 9,034
 8,908
 8,492
American Media, Inc., L+750, 1.00% LIBOR Floor, 8/24/2020(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 11,467
 11,150
 11,123
American Media, Inc., 0.50% Unfunded, 8/24/2020(e) None Media: Advertising, Printing & Publishing 505
 (15) (15)
American Media, Inc., 7.50%, 8/24/2020(e) None Media: Advertising, Printing & Publishing 206
 (6) (6)
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021(n) 3 Month LIBOR Telecommunications 19,248
 17,475
 18,863
AMPORTS, Inc., L+500, 1.00% LIBOR Floor, 5/19/2020(j) 3 Month LIBOR Automotive 19,100
 18,743
 18,718
Blue Ribbon, LLC, L+400, 1.00% LIBOR Floor, 11/15/2021(i) 3 Month LIBOR Beverage, Food & Tobacco 9,975
 9,975
 9,972
CF Entertainment Inc., L+1100, 1.00% LIBOR Floor, 6/26/2020(n) 3 Month LIBOR Media: Diversified & Production 17,094
 17,057
 17,094
Dodge Data & Analytics, LLC / Skyline Data News and Analytics, LLC, L+875, 1.00% LIBOR Floor, 10/31/2019(n) 3 Month LIBOR Construction & Building 10,387
 10,241
 10,218
ECI Acquisition Holdings, Inc., L+625, 1.00% LIBOR Floor, 3/11/2019(n) 3 Month LIBOR High Tech Industries 8,517
 8,493
 8,517
Elemica, Inc., L+800, 1.00% LIBOR Floor, 7/7/2021(n) 1 Month LIBOR High Tech Industries 17,413
 17,005
 16,977
Elemica, Inc., 0.50% Unfunded, 7/7/2021(e) None High Tech Industries 2,500
 (57) (62)
EnTrans International, LLC, L+750, 1.00% LIBOR Floor, 6/4/2020 3 Month LIBOR Capital Equipment 13,594
 9,977
 10,331
F+W Media, Inc., L+950, 1.25% LIBOR Floor, 6/30/2019(n) 3 Month LIBOR Media: Diversified & Production 7,280
 7,092
 6,006
Forbes Media LLC, L+675, 1.00% LIBOR Floor, 9/12/2019(j) 1 Month LIBOR Media: Advertising, Printing & Publishing 15,000
 14,621
 14,400
Ignite Restaurant Group, Inc., L+700, 1.00% LIBOR Floor, 2/13/2019(n) 3 Month LIBOR Beverage, Food & Tobacco 10,482
 10,400
 10,167
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/21/2018(n) 1 Month LIBOR Services: Business 8,214
 7,550
 7,372
Infogroup Inc., L+550, 1.50% LIBOR Floor, 5/26/2018(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 15,578
 15,277
 15,451
InterGen N.V., L+450, 1.00% LIBOR Floor, 6/12/2020(h)(i) 3 Month LIBOR Energy: Electricity 1,182
 1,156
 1,153
Intertain Group Ltd., L+650, 1.00% LIBOR Floor, 4/8/2022(h)(n) 3 Month LIBOR Hotel, Gaming & Leisure 1,765
 1,736
 1,780
Ipsen International GmbH, L+800, 1.00% LIBOR Floor, 9/30/2019(h)(j) 1 Month LIBOR Capital Equipment 1,422
 1,429
 1,429
Ipsen, Inc., L+700, 1.00% LIBOR Floor, 9/30/2019(j) 1 Month LIBOR Capital Equipment 8,095
 8,002
 8,035
ITC Service Group Acquisition LLC, L+950, 0.50% LIBOR Floor, 5/26/2021(j) 1 Month LIBOR High Tech Industries 11,250
 11,035
 11,081
KPC Health Care, Inc., L+925, 1.00% LIBOR Floor, 8/28/2020(n) 3 Month LIBOR Healthcare & Pharmaceuticals 7,544
 7,401
 7,809
Labvantage Solutions Inc., L+800, 1.00% LIBOR Floor, 12/29/2020(n) 3 Month LIBOR High Tech Industries 4,875
 4,829
 4,863
Labvantage Solutions Ltd., E+800, 1.00% EURIBOR Floor, 12/29/2020(h) 3 Month EURIBOR High Tech Industries €4,495
 5,005
 4,728
Lift Brands, Inc., L+800, 1.00% LIBOR Floor, 12/23/2019(n) 3 Month LIBOR Services: Consumer 9,548
 9,438
 9,477
Ministry Brands, LLC, L+500, 1.00% LIBOR Floor, 12/2/2022(e) 3 Month LIBOR Services: Business 9,994
 9,587
 9,894
Nathan's Famous Inc., 10.00%, 3/15/2020(h)(n) None Beverage, Food & Tobacco 6,000
 6,000
 6,540
Nextech Systems, LLC, L+725, 1.00% LIBOR Floor, 6/22/2021(j)(n) 1 Month LIBOR High Tech Industries 15,642
 15,062
 15,330
NWN Acquisition Holding Company LLC, L+1000, 1.00% LIBOR Floor, 10/16/2020(j) 3 Month LIBOR High Tech Industries 13,717
 13,357
 13,271
Pacific Coast Holding Investment LLC, L+970, 2.00% LIBOR Floor, 2/14/2017 1 Month LIBOR Healthcare & Pharmaceuticals 5,250
 5,242
 5,250
Petroflow Energy Corporation, L+800, 1.00% LIBOR Floor, 6/29/2019(q) 3 Month LIBOR Energy: Oil & Gas 4,895
 4,618
 4,601
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2016
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Plano Molding Company, LLC, L+700, 1.00% LIBOR Floor, 5/12/2021(n) 2 Month LIBOR Consumer Goods: Non-Durable 8,840
 8,772
 8,611
Rimini Street, Inc., 15.00%, 6/24/2020(m)(q) None High Tech Industries 19,822
 19,556
 19,426
Sequoia Healthcare Management, LLC, 16.00%, 7/17/2019(n)(q) None Healthcare & Pharmaceuticals 6,511
 6,405
 6,397
Shift PPC LLC, L+600, 1.00% LIBOR Floor, 12/22/2021 3 Month LIBOR High Tech Industries 9,500
 9,266
 9,265
SmartBear Software Inc., L+750, 1.00% LIBOR Floor, 12/30/2020(n) 3 Month LIBOR High Tech Industries 18,588
 18,271
 18,727
Southcross Holdings Borrower LP, 9.00%, 4/13/2023(q) None Energy: Oil & Gas 172
 151
 135
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 1/21/2020(n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,281
 12,194
 12,158
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 7/21/2020(q) 3 Month LIBOR Healthcare & Pharmaceuticals 128
 126
 127
Sprint Industrial Holdings, LLC, L+575, 1.25% LIBOR Floor, 5/14/2019(n) 3 Month LIBOR Energy: Oil & Gas 7,306
 6,849
 5,406
Studio Movie Grill Holdings, LLC, L+725, 1.00% LIBOR Floor, 9/30/2020(e)(n) 1 Month LIBOR Hotel, Gaming & Leisure 15,143
 15,004
 15,143
Telestream Holdings Corp., L+677, 1.00% LIBOR Floor, 1/15/2020(j)(n) 3 Month LIBOR High Tech Industries 7,154
 7,027
 7,011
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021 3 Month LIBOR Capital Equipment 32,000
 31,219
 31,199
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021(h) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,925
 14,925
WD Wolverine Holdings, LLC, L+550, 1.00% LIBOR Floor, 10/17/2023(i) 1 Month LIBOR Healthcare & Pharmaceuticals 2,000
 1,960
 1,946
Worley Claims Services, LLC, L+800, 1.00% LIBOR Floor, 10/31/2020(n) 1 Month LIBOR Services: Business 20,115
 19,925
 20,015
Zywave Inc., L+500, 1.00% LIBOR Floor, 11/17/2022 3 Month LIBOR High Tech Industries 5,000
 4,951
 4,950
Total Senior Secured First Lien Debt      
 489,904
 489,913
Senior Secured Second Lien Debt - 43.4%      
  
  
ABG Intermediate Holdings 2 LLC, L+850, 1.00% LIBOR Floor, 5/27/2022(e)(m)(n) 3 Month LIBOR Retail 18,666
 18,365
 18,852
Access CIG, LLC, L+875, 1.00% LIBOR Floor, 10/17/2022(m) 3 Month LIBOR Services: Business 16,030
 15,460
 15,549
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021(n) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,205
 9,568
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2021(n) 3 Month LIBOR Construction & Building 4,933
 4,889
 4,983
AmWINS Group, LLC, L+850, 1.00% LIBOR Floor, 9/4/2020(n) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 3,825
 3,852
 3,878
Confie Seguros Holding II Co., L+900, 1.25% LIBOR Floor, 5/8/2019 1 Month LIBOR Banking, Finance, Insurance & Real Estate 13,827
 13,365
 13,758
Conisus, LLC, L+875, 1.00% LIBOR Floor, 6/23/2021 3 Month LIBOR Healthcare & Pharmaceuticals 11,750
 9,604
 9,517
Drew Marine Group, Inc., L+700, 1.00% LIBOR Floor, 5/19/2021(h) 3 Month LIBOR Chemicals, Plastics & Rubber 9,500
 9,460
 9,120
EISI LLC, L+850, 1.00% LIBOR Floor, 9/23/2020(m)(n) 3 Month LIBOR High Tech Industries 20,000
 19,761
 19,400
Elements Behavioral Health, Inc., L+1200, 1.00% LIBOR Floor, 2/11/2020(q) 3 Month LIBOR Healthcare & Pharmaceuticals 5,701
 5,668
 4,561
Emerald 3 Ltd., L+700, 1.00% LIBOR Floor, 5/16/2022(h)(n) 3 Month LIBOR Environmental Industries 3,000
 2,978
 2,595
Flexera Software LLC, L+700, 1.00% LIBOR Floor, 4/2/2021 1 Month LIBOR High Tech Industries 9,385
 9,128
 9,291
Genex Holdings, Inc., L+775, 1.00% LIBOR Floor, 5/30/2022(n) 1 Month LIBOR Services: Business 11,410
 11,331
 11,011
Global Tel*Link Corp., L+775, 1.25% LIBOR Floor, 11/23/2020 3 Month LIBOR Telecommunications 9,500
 9,488
 9,254
Infiltrator Water Technologies, LLC, L+875, 1.00% LIBOR Floor, 5/26/2023(n) 3 Month LIBOR Construction & Building 13,917
 13,732
 13,986
Institutional Shareholder Services Inc., L+850, 1.00% LIBOR Floor, 4/30/2022(i)(n) 2 Month LIBOR Services: Business 10,648
 10,534
 10,542
Mergermarket USA, Inc., L+650, 1.00% LIBOR Floor, 2/4/2022(n) 3 Month LIBOR Services: Business 3,380
 3,328
 3,304
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023(e) 3 Month LIBOR Services: Business 5,488
 5,385
 5,406
Mississippi Sand, LLC, L+1000, 1.00% LIBOR Floor, 11/21/2019 3 Month LIBOR Metals & Mining 13,196
 10,899
 11,349
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2016
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Mitchell International, Inc., L+750, 1.00% LIBOR Floor, 10/11/2021(m)(n) 1 Month LIBOR High Tech Industries 14,909
 14,476
 14,825
MSC.Software Corp., L+750, 1.00% LIBOR Floor, 6/1/2021(m) 3 Month LIBOR High Tech Industries 15,000
 14,832
 15,019
MWI Holdings, Inc., L+925, 1.00% LIBOR Floor, 12/28/2020(n) 3 Month LIBOR Construction & Building 10,000
 9,773
 9,950
Navex Global, Inc., L+875, 1.00% LIBOR Floor, 11/18/2022(m)(n) 12 Month LIBOR High Tech Industries 16,245
 16,031
 15,920
Onex TSG Holdings II Corp., L+850, 1.00% LIBOR Floor, 7/31/2023(n) 3 Month LIBOR Healthcare & Pharmaceuticals 12,249
 12,136
 12,065
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023(n) 2 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,378
 13,095
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021(m) 3 Month LIBOR Chemicals, Plastics & Rubber 3,469
 3,478
 3,396
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023(n) 1 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,729
 14,737
PetVet Care Centers, LLC, L+850, 1.00% LIBOR Floor, 6/17/2021 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,097
 13,095
Pike Corp., L+850, 1.00% LIBOR Floor, 6/22/2022(n) 1 Month LIBOR Energy: Electricity 12,500
 12,354
 12,562
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022 3 Month LIBOR Telecommunications 3,000
 2,882
 2,895
PSC Industrial Holdings Corp., L+825, 1.00% LIBOR Floor, 12/5/2021(n) 3 Month LIBOR Services: Business 10,000
 9,842
 9,450
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 3 Month LIBOR Telecommunications 4,500
 4,479
 4,399
SMG, L+825, 1.00% LIBOR Floor, 2/27/2021(n) 3 Month LIBOR Hotel, Gaming & Leisure 6,142
 6,142
 6,126
Sterling Midco Holdings, Inc., L+775, 1.00% LIBOR Floor, 6/19/2023(n) 3 Month LIBOR Services: Business 10,462
 10,432
 10,226
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023(n) 3 Month LIBOR Services: Business 10,000
 9,869
 9,400
Survey Sampling International, LLC, L+900, 1.00% LIBOR Floor, 12/16/2021(m) 3 Month LIBOR Services: Business 15,000
 14,763
 14,700
Telecommunications Management, LLC, L+800, 1.00% LIBOR Floor, 10/30/2020(n) 3 Month LIBOR Media: Broadcasting & Subscription 1,606
 1,573
 1,564
TexOak Petro Holdings LLC, 8.00%, 12/29/2019(q) None Energy: Oil & Gas 6,728
 1,549
 2,590
TMK Hawk Parent, Corp., L+750, 1.00% LIBOR Floor, 10/1/2022(n) 3 Month LIBOR Beverage, Food & Tobacco 15,000
 14,880
 14,925
TouchTunes Interactive Networks, Inc., L+825, 1.00% LIBOR Floor, 5/29/2022 3 Month LIBOR Hotel, Gaming & Leisure 6,000
 5,943
 5,925
U.S. Renal Care, Inc., L+800, 1.00% LIBOR Floor, 12/29/2023(n) 3 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,819
 8,900
Wand Intermediate I LP, L+725, 1.00% LIBOR Floor, 9/19/2022(n) 3 Month LIBOR Automotive 16,000
 15,881
 15,680
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022(n) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,544
 12,054
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023 3 Month LIBOR High Tech Industries 5,000
 4,926
 4,925
Total Senior Secured Second Lien Debt      
 437,240
 434,347
Collateralized Securities and Structured Products - Debt - 3.8%    
  
  
Deutsche Bank AG Frankfurt CRAFT 2013-1A Class Credit Linked Note, L+925, 4/17/2020(h) 3 Month LIBOR Diversified Financials 2,000
 2,022
 1,980
Deutsche Bank AG Frankfurt CRAFT 2013-1X Class Credit Linked Note, L+925, 4/17/2020(h) 3 Month LIBOR Diversified Financials 610
 616
 604
Deutsche Bank AG Frankfurt CRAFT 2014-1 Class Credit Linked Note, L+965, 5/15/2019(h) 3 Month LIBOR Diversified Financials 5,400
 5,400
 5,292
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022(h) 3 Month LIBOR Diversified Financials 15,500
 15,500
 14,880
Great Lakes CLO 2014-1, Ltd. Class E Notes, L+525, 4/15/2025(g)(h) 3 Month LIBOR Diversified Financials 5,000
 4,615
 4,484
Ivy Hill Middle Market Credit Fund VII, Ltd. Class E Notes, L+565, 10/20/2025(g)(h) 3 Month LIBOR Diversified Financials 2,000
 1,879
 1,799
JFIN CLO 2014, Ltd. Class E Notes, L+500, 4/20/2025(g)(h) 3 Month LIBOR Diversified Financials 2,500
 2,345
 2,303
NXT Capital CLO 2014-1, LLC Class E Notes, L+550, 4/23/2026(g)(h) 3 Month LIBOR Diversified Financials 7,500
 7,094
 6,772
Total Collateralized Securities and Structured Products - Debt    
 39,471
 38,114
See accompanying notes to consolidated financial statements.



CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2016
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(d)
 Cost(p) 
Fair
Value(c)
Collateralized Securities and Structured Products - Equity - 3.5%        
  
Anchorage Capital CLO 2012-1, Ltd. Subordinated Notes, 4.57% Estimated Yield, 1/13/2025(h) (f) Diversified Financials 4,000 2,882
 2,622
APIDOS CLO XVI Subordinated Notes, 3.28% Estimated Yield, 1/19/2025(h) (f) Diversified Financials 9,000 4,704
 3,099
CENT CLO 19 Ltd. Subordinated Notes, 8.68% Estimated Yield, 10/29/2025(h) (f) Diversified Financials 2,000 1,330
 1,182
Dryden XXIII Senior Loan Fund Subordinated Notes, 1.40% Estimated Yield, 7/17/2023(h) (f) Diversified Financials 9,250 4,726
 4,135
Galaxy XV CLO Ltd. Class A Subordinated Notes, 8.72% Estimated Yield, 4/15/2025(h) (f) Diversified Financials 4,000 2,424
 2,323
Ivy Hill Middle Market Credit Fund VII, Ltd. Subordinated Notes, 8.80% Estimated Yield, 10/20/2025(h) (f) Diversified Financials 2,000 1,654
 1,478
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 10.35% Estimated Yield, 2/2/2026(e)(h) (f) Diversified Financials 10,000 9,940
 9,773
Ivy Hill Middle Market Credit Fund IX, Ltd. Subordinated Notes, 14.59% Estimated Yield, 10/18/2025(h) (f) Diversified Financials 8,146 6,106
 6,239
Ivy Hill Middle Market Credit Fund X, Ltd. Subordinated Notes, 11.50% Estimated Yield, 7/24/2027(h) (f) Diversified Financials 4,760 3,947
 3,797
Total Collateralized Securities and Structured Products - Equity     37,713
 34,648
Unsecured Debt -  1.7%      
  
American Tire Distributors, Inc., 10.25%, 3/1/2022 None Automotive 5,000 4,871
 4,794
Flex Acquisition Company, Inc., L+700, 1.00% LIBOR Floor, 12/29/2017 1 Month LIBOR Containers, Packaging & Glass 3,833 3,814
 3,845
Radio One, Inc., 9.25%, 2/15/2020 None Media: Broadcasting & Subscription 9,000 8,605
 8,212
Total Unsecured Debt     17,290
 16,851
Equity - 0.5%        
Mooregate ITC Acquisition, LLC, Class A Units(o) 
 High Tech Industries 500 Units 563
 538
NS NWN Acquisition, LLC(o) 
 High Tech Industries 346 Units 393
 337
NSG Co-Invest (Bermuda), LP(h)(o) 
 Consumer Goods: Durable 1,575 Units 1,000
 1,000
Southcross Holdings GP, LLC, Units(o) 
 Energy: Oil & Gas 188 Units —
 —
Southcross Holdings LP, Class A-II Units(o) 
 Energy: Oil & Gas 188 Units 75
 71
Speed Commerce Investment Part, LLC(o) 
 High Tech Industries 629 Units 2,640
 3,000
Tenere Inc. Warrant(o) 
 Capital Equipment N/A 161
 161
TexOak Petro Holdings, LLC(o) 
 Energy: Oil & Gas 60,000 Units —
 —
Total Equity     4,832
 5,107
Short Term Investments - 7.1%(k)        
First American Treasury Obligations Fund, Class Z Shares, 0.39%(l)
     70,498
 70,498
Total Short Term Investments     70,498
 70,498
TOTAL INVESTMENTS - 109.0%     $1,096,948
 1,089,478
LIABILITIES IN EXCESS OF OTHER ASSETS - (9.0%)       (89,715)
NET ASSETS - 100%       $999,763

See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2016
(in thousands)
Counterparty Instrument Maturity Date Notional Amount (d) Cost(p) Fair Value(c)
Derivative Asset - 0.0%          
Credit Default Swap          
JPMorgan Chase Bank, N.A.
 Deutsche Bank AG Credit Default Swap 3/20/2017 €22,000
 $229
 $46
Derivative Liability - (1.5%)          
Total Return Swap          
Citibank, N.A. See Note 7 2/18/2017 $407,847
 N/A
 $(15,402)

a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note h. below. The Company does not control and is not an affiliate of any of the portfolio companies in its investment portfolio. Unless specifically identified in note q. below, investments do not contain a PIK interest provision.
b.The 1, 2, 3 and 12 month LIBOR rates were 0.77%, 0.82%, 1.00% and 1.69%, respectively, as of December 31, 2016.  The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2016, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2016. The 3 month EURIBOR rate was (0.34%) as of December 31, 2016.
c.Fair value determined in good faith by the Company’s board of directors (see Note 9) using significant unobservable inputs unless otherwise noted.
d.e.Denominated in U.S. dollars unless otherwise noted.
e.As discussed in Note 11, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $1,119, $711, $2,500, $1,111, $5,274 and $4,127 as of December 31, 2016 to ABG Intermediate Holdings 2 LLC, American Media, Inc., Elemica Holdings, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., Ministry Brands, LLC and Studio Movie Grill Holdings, LLC, respectively. As of March 9, 2017, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $1,119, $415, $10,000, $2,500, $1,111 and $4,127 to ABG Intermediate Holdings 2 LLC, American Media, Inc., CF Entertainment Inc., Elemica Holdings, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd. and Studio Movie Grill Holdings, LLC, respectively.
f.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
g.Great Lakes CLO 2014-1 Class E Notes, Ivy Hill Middle Market Credit Fund VII Class E NotesAs a result of an arrangement between the Company and NXT Capital CLO 2014-1 Class E Notes were rated Ba2 on Moody's credit scale asthe other lenders in the syndication, the Company is entitled to less interest than the stated interest rate of December 31, 2016. JFIN CLO 2014 Class E Notes were rated BB on S&P's credit scale as of December 31, 2016.this loan, which is reflected in this schedule, in exchange for a higher payment priority.
h.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of September 30, 2019, 93.3% of the Company’s total assets represented qualifying assets.     
i.Fair value determined using level 1 inputs.
j.Position or a portion thereof unsettled as of September 30, 2019.
k.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional amounts as a result of an arrangement between the Company and the other lenders in the syndication in exchange for a lower payment priority.
l.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional residual amounts.
m.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
n.7-day effective yield as of September 30, 2019.
o.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street Funding, LLC, or 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPMorgan Chase Bank, National Association, or JPM, as of September 30, 2019 (see Note 7).
p.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Flatiron Funding II, LLC, or Flatiron Funding II, and was pledged as collateral supporting the amounts outstanding under the credit facility with Citibank N.A., or Citibank, as of September 30, 2019 (see Note 7).
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2019
(in thousands)
q.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, LLC, or Murray Hill Funding II, and was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS AG, or UBS, as of September 30, 2019 (see Note 7).
r.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 33rd Street Funding, LLC, or 33rd Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with Morgan Stanley N.A., or MS, as of September 30, 2019 (see Note 7).
s.Non-income producing security.
t.Investment was on non-accrual status as of September 30, 2019.
u.Investment determined to be an affiliated investment as defined in the 1940 Act as the Company owns between 5% and 25% of the portfolio company’s outstanding voting securities but does not control the portfolio company. Fair value as of December 31, 2018 and September 30, 2019, along with transactions during the nine months ended September 30, 2019 in these affiliated investments are as follows:
    Nine Months Ended September 30, 2019   Nine Months Ended September 30, 2019
Non-Controlled, Affiliated Investments 
Fair Value at
December 31, 2018
 
Gross
Additions
(Cost)(1)
 
Gross
Reductions
(Cost)(2)
 
Net Unrealized
(Loss) Gain
 
Fair Value at
September 30, 2019
 
Net Realized
Gain (Loss)
 
Interest
Income(3)
 Dividend Income
  Charming Charlie, LLC                
    First Lien Term Loan B1 $1,021
 $—
 $—
 $(1,021) $—
 $—
 $—
 $—
    First Lien Term Loan B2 1,249
 —
 —
 (1,249) —
 —
 —
 —
    Vendor Payment Financing Facility 157
 890
 —
 (240) 807
 —
 37
 —
    Common Stock —
 —
 —
 —
 —
 —
 —
 —
  Conisus Holdings, Inc.                
    Series B Preferred Stock 10,903
 3,534
 —
 (1,800) 12,637
 —
 —
 3,534
    Common Stock 197
 —
 —
 1,345
 1,542
 —
 —
 —
  F+W Media, Inc.                
    First Lien Term Loan B-1 1,137
 51
 —
 (1,131) 57
 —
 50
 —
    First Lien Term Loan B-2 161
 —
 —
 (161) —
 —
 —
 —
    First Lien DIP Term Loan —
 521
 (521) —
 —
 —
 100
 —
    Common Stock —
 —
 —
 —
 —
 —
 —
 —
Mount Logan Capital Inc.                
    Common Stock 2,645
 —
 —
 20
 2,665
 —
 —
 —
  SIMR, LLC                
    First Lien Term Loan 14,757
 32
 (619) (370) 13,800
 —
 1,346
 —
  SIMR Parent, LLC                
    Class B Common Units 7,382
 —
 —
 (2,963) 4,419
 —
 —
 —
  Petroflow Energy Corp.                
    First Lien Term Loan 2,363
 (128) (2,392) 327
 170
 —
 (91) —
  TexOak Petro Holdings LLC                
    Second Lien Term Loan —
 —
 —
 —
 —
 —
 —
 —
    Membership Interests —
 —
 —
 —
 —
 —
 —
 —
Totals $41,972
 $4,900
 $(3,532) $(7,243) $36,097
 $—
 $1,442
 $3,534
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments (unaudited)
September 30, 2019
(in thousands)
v.For the nine months ended September 30, 2019, non-cash dividend income of $3,534 and $338 was recorded on the Company's investment in Conisus Holdings, Inc. and CHC Medical Partners, Inc., respectively.
w.For the nine months ended September 30, 2019, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
American Clinical Solutions LLC(t) Senior Secured First Lien Debt
 10.50% 2.00% 12.50% $—
 $—
 $—
Anthem Sports & Entertainment Inc. Senior Secured First Lien Debt 8.85% 2.75% 11.60% $176
 $28
 $204
Charming Charlie LLC(t) Senior Secured First Lien Debt
 7.05% 5.00% 12.05% $—
 $—
 $—
Charming Charlie LLC(t) Senior Secured First Lien Debt
 3.05% 9.00% 12.05% $—
 $—
 $—
CHC Solutions Inc. Senior Secured First Lien Debt 8.00% 4.00% 12.00% $437
 $218
 $655
Country Fresh Holdings, LLC Senior Secured Second Lien Debt — 10.60% 10.60% $—
 $90
 $90
Dayton Superior Corp.(t) Senior Secured First Lien Debt
 10.10% 6.00% 16.10% $346
 $94
 $440
F+W Media, Inc.(t) Senior Secured First Lien Debt — 12.12% 12.12% $—
 $—
 $—
F+W Media, Inc.(t) Senior Secured First Lien Debt
 — 8.55% 8.55% $—
 $51
 $51
F+W Media, Inc.(y) Senior Secured First Lien Debt
 — 12.33% 12.33% $7
 $13
 $20
Petroflow Energy Corp.(t) Senior Secured First Lien Debt
 3.00% 7.11% 10.11% $—
 $—
 $—
SEK Holding Co LLC Senior Secured First Lien Debt
 10.05% 3.50% 13.55% $950
 $296
 $1,246
Spinal USA, Inc. / Precision Medical Inc. Senior Secured First Lien Debt
 — 11.78% 11.78% $—
 $21
 $21
Sprint Industrial Holdings, LLC(y) Senior Secured First Lien Debt
 8.08% 1.00% 9.08% $273
 $101
 $374
TexOak Petro Holdings LLC(t) Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $—
 $—
Therapure Biopharma Inc.(x) Senior Secured First Lien Debt
 10.86% — 10.86% $1,286
 $363
 $1,649
x.Default interest was paid-in-kind.
y.Prior to September 30, 2019, the Company exited this investment.
z.As of September 30, 2019, the index rate for $2,882 and $3,196 was the 1 month LIBOR and the 3 month LIBOR, respectively.
aa.On July 31, 2019, certain lenders of Deluxe Entertainment Services Group Inc., or Deluxe, agreed to fund a $73,000 priming facility as part of a Prepackaged Chapter 11 Reorganization Plan, or the Plan. Pursuant to the Plan, on November 6, 2019, (i) the holders of the original senior secured term loan received in exchange approximately 65% of Deluxe’s equity and (ii) the holders of the senior secured priming delayed draw term loan received in exchange approximately 35% of Deluxe's equity and a second lien term loan.
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Senior Secured First Lien Debt - 149.4%          
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022(q) 3 Month LIBOR Retail $14,411
 $12,124
 $9,718
Achilles Acquisition LLC, L+400, 0.00% LIBOR Floor, 10/11/2025 1 Month LIBOR High Tech Industries 739
 739
 730
Achilles Acquisition LLC, 1.00% Unfunded, 1/11/2020 None High Tech Industries 43
 —
 (1)
Adams Publishing Group, LLC, L+750, 1.00% LIBOR Floor, 7/2/2023(p)(r) 3 Month LIBOR Media: Advertising, Printing & Publishing 17,034
 16,854
 16,864
Adams Publishing Group, LLC, 0.38% Unfunded, 7/2/2020(p) None Media: Advertising, Printing & Publishing 2,069
 —
 (21)
Adapt Laser Acquisition, Inc., L+800, 1.00% LIBOR Floor, 12/31/2023 3 Month LIBOR Capital Equipment 12,000
 12,000
 12,000
Adapt Laser Acquisition, Inc., L+800, 1.00% LIBOR Floor, 12/31/2023 3 Month LIBOR Capital Equipment 500
 500
 500
Adapt Laser Acquisition, Inc., 0.50% Unfunded, 12/31/2023 None Capital Equipment 1,500
 —
 —
Aegis Toxicology Sciences Corp., L+550, 1.00% LIBOR Floor, 5/9/2025(q) 3 Month LIBOR Healthcare & Pharmaceuticals 9,975
 9,780
 9,526
AIS Holdco, LLC, L+500, 0.00% LIBOR Floor, 8/15/2025(q) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 5,521
 5,451
 5,438
Alchemy US Holdco 1, LLC, L+550, 10/10/2025(q) 1 Month LIBOR Construction & Building 8,000
 7,882
 7,680
Allen Media, LLC, L+650, 1.00% LIBOR Floor, 8/30/2023(p)(r)(s) 3 Month LIBOR Media: Diversified & Production 80,000
 78,115
 77,700
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020(q) 3 Month LIBOR Media: Advertising, Printing & Publishing 13,272
 12,459
 11,912
American Clinical Solutions LLC, 12.50%, 6/11/2020(u)(w) None Healthcare & Pharmaceuticals 9,293
 8,968
 7,435
American Media, Inc., L+800, 1.00% LIBOR Floor, 8/24/2020(p) 3 Month LIBOR Media: Advertising, Printing & Publishing 18,503
 18,451
 19,428
American Media, Inc., 0.50% Unfunded, 8/24/2020 None Media: Advertising, Printing & Publishing 1,778
 (22) 89
American Teleconferencing Services, Ltd., L+650, 1.00% LIBOR Floor, 12/8/2021(p)(q)(r)(s) 3 Month LIBOR Telecommunications 20,152
 18,779
 15,114
Analogic Corp., L+600, 1.00% LIBOR Floor, 6/21/2024(s) 1 Month LIBOR Healthcare & Pharmaceuticals 29,925
 29,368
 29,626
AP Exhaust Acquisition, LLC, L+500, 1.00% LIBOR Floor, 5/10/2024(q)(r) 3 Month LIBOR Automotive 10,544
 9,955
 9,595
APCO Holdings, LLC, L+550, 0.00% LIBOR Floor, 6/9/2025(q) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 11,427
 11,317
 11,313
Ascent Resources - Marcellus, LLC, L+650, 1.00% LIBOR Floor, 3/30/2023 1 Month LIBOR Energy: Oil & Gas 712
 712
 714
Associated Asphalt Partners, LLC, L+525, 1.00% LIBOR Floor, 4/5/2024(q) 1 Month LIBOR Construction & Building 10,833
 10,666
 10,494
Bi-Lo, LLC, L+800, 1.00% LIBOR Floor, 5/31/2024(k)(r) 3 Month LIBOR Retail 2,000
 1,950
 1,917
Cadence Aerospace, LLC, L+650, 1.00% LIBOR Floor, 11/14/2023(r)(s) 3 Month LIBOR Aerospace & Defense 25,960
 25,732
 25,440
Canam Construction Inc., L+500, 1.00% LIBOR Floor, 7/1/2024 1 Month LIBOR Construction & Building 4,975
 4,963
 4,875
Cardinal US Holdings, Inc., L+500, 1.00% LIBOR Floor, 7/31/2023(q) 3 Month LIBOR Services: Business 8,394
 7,905
 8,268
CB URS Holdings Corp., L+525, 1.00% LIBOR Floor, 9/1/2024(q)(s) 1 Month LIBOR Transportation: Cargo 14,437
 14,371
 14,149
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2021(q)(s) 1 Month LIBOR Services: Consumer 24,660
 24,682
 24,167
Charming Charlie LLC, L+1000, 1.00% LIBOR Floor, 4/24/2023(u)(v)(w) 3 Month LIBOR Retail 3,288
 1,912
 1,249
Charming Charlie LLC, L+1000, 1.00% LIBOR Floor, 4/24/2023(u)(v)(w) 3 Month LIBOR Retail 2,686
 2,619
 1,021
Charming Charlie LLC, 20.00%, 5/15/2019(v) None Retail 157
 157
 157
Charming Charlie LLC, 2.50% Unfunded, 5/15/2019(v) None Retail 1,938
 —
 —
CHC Solutions Inc., 12.00%, 7/20/2023(w) None Healthcare & Pharmaceuticals 7,057
 7,057
 7,057
CircusTrix Holdings, LLC, L+550, 1.00% LIBOR Floor, 12/16/2021(r)(s) 1 Month LIBOR Hotel, Gaming & Leisure 25,900
 25,609
 25,382
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
CircusTrix Holdings, LLC, 1.00% Unfunded, 12/27/2019 None Hotel, Gaming & Leisure 5,573
 —
 (111)
Confie Seguros Holding II Co., L+475, 1.00% LIBOR Floor, 4/16/2022(q) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 15,371
 15,285
 15,227
Country Fresh Holdings, LLC, L+500, 1.00% LIBOR Floor, 3/31/2023(s) 3 Month LIBOR Beverage, Food & Tobacco 9,859
 9,716
 8,133
Covenant Surgical Partners, Inc., L+450, 0.00% LIBOR Floor, 10/4/2024(q) 3 Month LIBOR Healthcare & Pharmaceuticals 917
 915
 903
Crown Subsea Communications Holdings, Inc., L+600, 0.00% LIBOR Floor, 11/2/2025(q) 1 Month LIBOR Capital Equipment 8,000
 7,843
 7,720
David's Bridal, Inc., L+400, 1.25% LIBOR Floor, 10/11/2019(q)(u) 1 Month LIBOR Retail 3,406
 3,137
 1,822
Dayton Superior Corp., L+1400, 1.00% LIBOR Floor, 11/15/2021(q)(w) 3 Month LIBOR Construction & Building 6,398
 5,929
 5,358
DBRS, Inc., L+525, 1.00% LIBOR Floor, 3/4/2022(i)(q) 3 Month LIBOR Services: Business 5,846
 5,700
 5,803
Del Frisco's Restaurant Group, Inc., L+600, 0.00% LIBOR Floor, 6/27/2025(i)(p)(q) 1 Month LIBOR Retail 9,975
 9,911
 9,227
Deluxe Entertainment Services Group Inc., L+550, 1.00% LIBOR Floor, 2/28/2020(q) 3 Month LIBOR Media: Diversified & Production 16,071
 16,014
 14,223
DFC Global Facility Borrower II LLC, L+1075, 1.00% LIBOR Floor, 9/27/2022 1 Month LIBOR Services: Consumer 24,683
 24,570
 24,683
DFC Global Facility Borrower II LLC, 0.50% Unfunded, 9/27/2019 None Services: Consumer 5,317
 —
 —
DMT Solutions Global Corp., L+700, 0.00% LIBOR Floor, 7/2/2024(q)(s) 3 Month LIBOR Services: Business 19,500
 18,955
 18,720
Eagle Family Foods Group LLC, L+650, 1.00% LIBOR Floor, 6/14/2024(s) 3 Month LIBOR Beverage, Food & Tobacco 14,925
 14,615
 14,776
Eastman Kodak Company, L+625, 1.00% LIBOR Floor, 9/3/2019(i)(q) 3 Month LIBOR Consumer Goods: Durable 1,965
 1,963
 1,859
Elemica, Inc., L+700, 1.00% LIBOR Floor, 7/7/2021(p)(r) 1 Month LIBOR High Tech Industries 17,063
 16,810
 16,892
Elemica, Inc., 0.50% Unfunded, 7/7/2021 None High Tech Industries 2,500
 (32) (25)
Emmis Operating Company, L+750, 1.00% LIBOR Floor, 4/18/2019(q) 1 Month LIBOR Media: Broadcasting & Subscription 1,364
 1,339
 1,337
Entertainment Studios P&A LLC, 6.22%, 5/18/2037(m) None Media: Diversified & Production 17,465
 17,315
 17,115
Entertainment Studios P&A LLC, 5.00%, 5/18/2037(m) None Media: Diversified & Production —
 —
 2,864
EnTrans International, LLC, L+600, 0.00% LIBOR Floor, 11/1/2024(q)(s) 1 Month LIBOR Capital Equipment 30,000
 29,704
 29,850
Episerver Inc., E+600, 0.00% EURIBOR Floor, 10/9/2024 1 Month EURIBOR High Tech Industries €13,077
 14,700
 14,661
ES Chappaquiddick LLC, 10.00%, 5/18/2022 None Media: Diversified & Production 1,076
 1,076
 1,103
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021(i)(q) 1 Month LIBOR High Tech Industries 10,183
 9,729
 8,283
F+W Media, Inc., L+650, 1.50% LIBOR Floor, 5/24/2022(v)(w) 1 Month LIBOR Media: Diversified & Production 1,117
 1,117
 1,137
F+W Media, Inc., L+1000, 1.50% LIBOR Floor, 5/24/2022(p)(u)(v)(w) 1 Month LIBOR Media: Diversified & Production 3,058
 2,759
 161
Flavors Holdings Inc., L+575, 1.00% LIBOR Floor, 4/3/2020(p) 3 Month LIBOR Consumer Goods: Non-Durable 7,967
 7,485
 7,410
Foundation Consumer Healthcare, LLC, L+650, 1.00% LIBOR Floor, 11/2/2023(p)(r)(s) 3 Month LIBOR Healthcare & Pharmaceuticals 41,121
 40,858
 41,121
Foundation Consumer Healthcare, LLC, 0.50% Unfunded, 11/2/2023 None Healthcare & Pharmaceuticals 4,211
 (26) —
Genesis Healthcare, Inc., L+600, 0.50% LIBOR Floor, 3/6/2023(i)(p)(s) 1 Month LIBOR Healthcare & Pharmaceuticals 35,000
 34,695
 34,650
Geo Parent Corp., L+550, 0.00% LIBOR Floor, 12/19/2025(k) 2 Month LIBOR Services: Business 15,000
 14,850
 14,925
Global Tel*Link Corp., L+425, 0.00% LIBOR Floor, 11/29/2025(q) 3 Month LIBOR Telecommunications 4,000
 3,980
 3,895
Harland Clarke Holdings Corp., L+475, 1.00% LIBOR Floor, 11/3/2023(q)(s) 3 Month LIBOR Services: Business 14,022
 13,964
 12,602
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021(q) 3 Month LIBOR Healthcare & Pharmaceuticals 4,799
 4,608
 4,352
Homer City Generation, L.P., L+1100, 1.00% LIBOR Floor, 4/5/2023(p) 1 Month LIBOR Energy: Oil & Gas 9,151
 8,769
 8,785
Hummel Station LLC, L+600, 1.00% LIBOR Floor, 10/27/2022(q) 3 Month LIBOR Energy: Oil & Gas 9,860
 9,457
 9,515
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Infinity Sales Group, LLC, L+1050, 1.00% LIBOR Floor, 11/23/2020(p) 3 Month LIBOR Services: Business 7,873
 7,517
 7,676
InfoGroup Inc., L+500, 1.00% LIBOR Floor, 4/3/2023(q)(r)(s) 3 Month LIBOR Media: Advertising, Printing & Publishing 15,918
 15,904
 15,759
Instant Web, LLC, L+650, 0.00% LIBOR Floor, 12/15/2022(p)(r)(s) 1 Month LIBOR Media: Advertising, Printing & Publishing 39,189
 39,098
 38,797
Instant Web, LLC, 0.50% Unfunded, 12/15/2022 None Media: Advertising, Printing & Publishing 2,704
 —
 (27)
Intermedia Holdings, Inc., L+600, 1.00% LIBOR Floor, 7/21/2025(q) 1 Month LIBOR High Tech Industries 12,500
 12,383
 12,344
International Seaways, Inc., L+600, 1.00% LIBOR Floor, 6/22/2022(i)(q) 1 Month LIBOR Transportation: Cargo 9,499
 9,356
 9,404
Isagenix International, LLC, L+575, 1.00% LIBOR Floor, 6/14/2025(q) 3 Month LIBOR Beverage, Food & Tobacco 14,625
 14,488
 14,040
Island Medical Management Holdings, LLC, L+650, 1.00% LIBOR Floor, 9/1/2022(r) 1 Month LIBOR Healthcare & Pharmaceuticals 11,953
 11,833
 10,996
ITC Service Group Acquisition LLC, L+950, 0.50% LIBOR Floor, 5/26/2021(l)(p) 1 Month LIBOR High Tech Industries 11,250
 11,119
 11,025
Jab Wireless, Inc., L+800, 0.00% LIBOR Floor, 5/2/2023(s) 1 Month LIBOR Telecommunications 19,850
 19,850
 19,850
Jackson Hewitt Tax Service Inc., L+625, 0.00% LIBOR Floor, 5/30/2023(s) 1 Month LIBOR Services: Consumer 17,888
 17,888
 17,888
JP Intermediate B, LLC, L+550, 1.00% LIBOR Floor, 11/20/2025(q) 3 Month LIBOR Beverage, Food & Tobacco 15,000
 14,852
 14,438
Key Surgical LLC, L+475, 1.00% LIBOR Floor, 6/1/2023 3 Month LIBOR Healthcare & Pharmaceuticals 997
 979
 979
KLO Intermediate Holdings, LLC, L+775, 1.50% LIBOR Floor, 4/7/2022(r) 1 Month LIBOR Chemicals, Plastics & Rubber 7,122
 7,059
 6,694
KLO Intermediate Holdings, LLC, L+775, 1.50% LIBOR Floor, 4/7/2022(r) 1 Month LIBOR Chemicals, Plastics & Rubber 4,123
 4,087
 3,876
KNB Holdings Corp., L+550, 1.00% LIBOR Floor, 4/26/2024(q)(s) 3 Month LIBOR Consumer Goods: Durable 13,513
 13,294
 13,175
Labvantage Solutions Inc., L+750, 1.00% LIBOR Floor, 12/29/2020(r) 1 Month LIBOR High Tech Industries 4,078
 4,056
 4,037
Labvantage Solutions Ltd., E+750, 1.00% EURIBOR Floor, 12/29/2020(i) 1 Month EURIBOR High Tech Industries €4,065
 4,546
 4,616
Lannett Company, Inc., L+538, 1.00% LIBOR Floor, 11/25/2022(i)(q) 1 Month LIBOR Healthcare & Pharmaceuticals 6,974
 6,876
 5,754
LD Intermediate Holdings, Inc., L+588, 1.00% LIBOR Floor, 12/9/2022(q) 3 Month LIBOR High Tech Industries 4,954
 4,619
 4,496
Lift Brands, Inc., L+700, 1.00% LIBOR Floor, 4/16/2023(p)(r)(s) 3 Month LIBOR Services: Consumer 45,513
 44,641
 44,375
Lift Brands, Inc., 1.00% Unfunded, 4/16/2023 None Services: Consumer 4,150
 —
 (104)
Logix Holding Company, LLC, L+575, 1.00% LIBOR Floor, 12/22/2024(q) 1 Month LIBOR Telecommunications 4,988
 4,942
 4,950
Longview Power, LLC, L+600, 1.00% LIBOR Floor, 4/13/2021(p)(r) 3 Month LIBOR Energy: Oil & Gas 14,923
 13,057
 12,647
LTCG Holdings Corp., L+500, 1.00% LIBOR Floor, 6/6/2020(q) 1 Month LIBOR Services: Business 5,911
 5,727
 5,837
Mimeo.com, Inc., L+700, 1.00% LIBOR Floor, 12/21/2023(p)(s) 3 Month LIBOR Services: Business 43,000
 43,000
 43,000
Mimeo.com, Inc., 0.25% Unfunded, 12/21/2020 None Services: Business 10,000
 —
 —
Mimeo.com, Inc., 1.00% Unfunded, 12/21/2023 None Services: Business 3,000
 —
 —
Ministry Brands, LLC, L+400, 1.00% LIBOR Floor, 12/2/2022(r) 1 Month LIBOR Services: Business 11,992
 11,935
 11,992
Ministry Brands, LLC, L+100, 1.00% LIBOR Floor Unfunded, 10/18/2020 3 Month LIBOR Services: Business 2,924
 —
 —
Moss Holding Company, L+675, 1.00% LIBOR Floor, 4/17/2023(p)(r) 3 Month LIBOR Services: Business 18,687
 18,422
 18,407
Moss Holding Company, 0.50% Unfunded, 4/17/2023 None Services: Business 2,232
 —
 (33)
Moxie Patriot LLC, L+575, 1.00% LIBOR Floor, 12/19/2020(q) 3 Month LIBOR Energy: Oil & Gas 9,901
 9,886
 9,703
MRO Holdings, Inc., L+475, 1.00% LIBOR Floor, 10/25/2023(q) 3 Month LIBOR Aerospace & Defense 4,445
 4,408
 4,412
MRP Generation Holdings, LLC, L+700, 1.00% LIBOR Floor, 10/18/2022(q) 3 Month LIBOR Energy: Oil & Gas 2,214
 2,180
 2,137
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 10/17/2022(q) 3 Month LIBOR Metals & Mining 3,592
 3,543
 3,038
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
NewsCycle Solutions, Inc., L+700, 1.00% LIBOR Floor, 12/29/2022(r)(s) 1 Month LIBOR Media: Advertising, Printing & Publishing 20,884
 20,698
 20,466
One Call Corp., L+525, 1.00% LIBOR Floor, 11/25/2022(q) 1 Month LIBOR Healthcare & Pharmaceuticals 8,012
 7,579
 7,151
Orbcomm Inc., 8.00%, 4/1/2024(p) None Telecommunications 9,237
 9,237
 9,557
OTG Management, LLC, L+700, 1.00% LIBOR Floor, 8/26/2021 3 Month LIBOR Beverage, Food & Tobacco 267
 221
 250
OTG Management, LLC, 1.00% Unfunded, 4/10/2020 None Beverage, Food & Tobacco 514
 —
 (33)
P.F. Chang's China Bistro, Inc., L+500, 1.00% LIBOR Floor, 9/1/2022(q) 3 Month LIBOR Beverage, Food & Tobacco 14,837
 14,545
 14,837
PDI TA Holdings, Inc., L+450, 1.00% LIBOR Floor, 10/24/2024 3 Month LIBOR High Tech Industries 1,999
 1,970
 1,989
PDI TA Holdings, Inc., L+450, 1.00% LIBOR Floor, 10/24/2024 3 Month LIBOR High Tech Industries 877
 878
 873
PDI TA Holdings, Inc., 0.50% Unfunded, 10/24/2019 None High Tech Industries 104
 —
 (1)
Petroflow Energy Corp., L+800, 1.00% LIBOR Floor, 6/29/2019(p)(u)(v)(w) 1 Month LIBOR Energy: Oil & Gas 3,068
 2,734
 2,363
PFS Holding Corp., L+350, 1.00% LIBOR Floor, 1/31/2021 1 Month LIBOR Retail 3,129
 2,486
 1,721
PH Beauty Holdings III. Inc., L+500, 0.00% LIBOR Floor, 9/28/2025(q) 1 Month LIBOR Consumer Goods: Non-Durable 9,975
 9,877
 9,626
Photonis Technologies SAS, L+750, 1.00% LIBOR Floor, 9/18/2019(i)(q) 3 Month LIBOR Aerospace & Defense 6,397
 6,060
 5,965
Pixelle Specialty Solutions LLC, L+600, 1.00% LIBOR Floor, 10/31/2024(q) 1 Month LIBOR Forest Products & Paper 20,000
 19,511
 19,525
Plano Molding Company, LLC, L+750, 1.00% LIBOR Floor, 5/12/2021(p) 1 Month LIBOR Consumer Goods: Non-Durable 6,071
 6,020
 5,570
Polymer Additives, Inc., L+600, 0.00% LIBOR Floor, 7/31/2025(p)(q) 1 Month LIBOR Chemicals, Plastics & Rubber 20,000
 19,619
 18,500
Rhino Energy LLC, L+1000, 1.00% LIBOR Floor, 12/27/2020(s) 1 Month LIBOR Metals & Mining 7,262
 6,909
 7,189
Sequoia Healthcare Management, LLC, L+850, 1.75% LIBOR Floor, 8/21/2023(p)(r) 1 Month LIBOR Healthcare & Pharmaceuticals 9,851
 9,758
 9,753
SG Acquisition, Inc., L+500, 1.00% LIBOR Floor, 3/29/2024(q) 3 Month LIBOR Banking, Finance, Insurance & Real Estate 3,495
 3,469
 3,482
Shift PPC LLC, L+450, 1.00% LIBOR Floor, 12/22/2021(r) 6 Month LIBOR High Tech Industries 4,191
 4,119
 4,191
SIMR, LLC, L+900, 2.00% LIBOR Floor, 9/7/2023(p)(v) 1 Month LIBOR Healthcare & Pharmaceuticals 15,312
 15,020
 14,757
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 9/30/2020(p) 3 Month LIBOR Healthcare & Pharmaceuticals 12,776
 12,745
 12,648
Spinal USA, Inc. / Precision Medical Inc., L+950, 1.00% LIBOR Floor, 12/31/2021(p)(w) 3 Month LIBOR Healthcare & Pharmaceuticals 481
 480
 476
Sprint Industrial Holdings, LLC, L+575, 1.25% LIBOR Floor, 5/14/2019(p) 3 Month LIBOR Energy: Oil & Gas 7,940
 7,853
 7,582
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022(q) 3 Month LIBOR Services: Business 3,929
 3,845
 3,889
STL Parent Corp., L+700, 0.00% LIBOR Floor, 12/6/2022(r)(s) 1 Month LIBOR Capital Equipment 20,000
 19,306
 19,400
Studio Movie Grill Holdings, LLC, L+725, 1.00% LIBOR Floor, 9/30/2020(f)(p) 3 Month LIBOR Hotel, Gaming & Leisure 23,418
 23,352
 23,418
Teladoc, Inc., 0.50% Unfunded, 7/14/2020 None High Tech Industries 1,250
 (25) —
Telestream Holdings Corp., L+645, 1.00% LIBOR Floor, 3/24/2022(l)(p) 3 Month LIBOR High Tech Industries 8,460
 8,322
 8,207
Tenere Inc., L+1000, 1.00% LIBOR Floor, 12/23/2021(p)(r) 3 Month LIBOR Capital Equipment 30,080
 29,630
 29,328
Tensar Corp., L+475, 1.00% LIBOR Floor, 7/9/2021(q) 3 Month LIBOR Chemicals, Plastics & Rubber 12,980
 12,426
 12,753
The Pasha Group, L+750, 1.00% LIBOR Floor, 1/26/2023(r) 1 Month LIBOR Transportation: Cargo 7,018
 6,836
 7,061
The Pay-O-Matic Corp., L+900, 0.00% LIBOR Floor, 4/5/2021(h)(p) 3 Month LIBOR Services: Consumer 22,425
 22,241
 22,201
TherapeuticsMD, Inc., L+775, 1.50% LIBOR Floor, 5/1/2023(i)(s) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,865
 14,850
TherapeuticsMD, Inc., 0.00% Unfunded, 12/31/2019(i)(t) None Healthcare & Pharmaceuticals 10,000
 (88) (100)
TherapeuticsMD, Inc., 0.00% Unfunded, 5/31/2019(i)(t) None Healthcare & Pharmaceuticals 15,000
 (132) (150)
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
Therapure Biopharma Inc., L+875, 0.50% LIBOR Floor, 12/1/2021(i) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,952
 14,625
Vertex Aerospace Services Corp., L+475, 0.00% LIBOR Floor, 6/29/2025(q) 1 Month LIBOR Aerospace & Defense 9,913
 9,864
 9,838
Woodstream Corp., L+625, 1.00% LIBOR Floor, 5/29/2022(s) 3 Month LIBOR Consumer Goods: Non-Durable 14,542
 14,542
 14,542
Woodstream Corp., 0.50% Unfunded, 5/29/2021 None Consumer Goods: Non-Durable 559
 —
 —
Total Senior Secured First Lien Debt      
 1,492,034
 1,462,989
Senior Secured Second Lien Debt - 33.0%      
  
  
1A Smart Start LLC, L+825, 1.00% LIBOR Floor, 8/21/2022(p)(r) 1 Month LIBOR High Tech Industries 17,800
 17,494
 17,266
ABG Intermediate Holdings 2 LLC, L+775, 1.00% LIBOR Floor, 9/29/2025(p) 1 Month LIBOR Retail 9,897
 9,846
 9,749
Access CIG, LLC, L+775, 0.00% LIBOR Floor, 2/27/2026(r) 3 Month LIBOR Services: Business 17,250
 17,116
 17,099
ALM Media, LLC, L+800, 1.00% LIBOR Floor, 7/30/2021(p)(r) 3 Month LIBOR Media: Advertising, Printing & Publishing 10,344
 10,279
 8,353
American Residential Services LLC, L+800, 1.00% LIBOR Floor, 12/31/2022(p) 1 Month LIBOR Construction & Building 5,180
 5,150
 5,076
Argon Medical Devices Holdings, Inc., L+800, 0.00% LIBOR Floor, 1/23/2026(p) 1 Month LIBOR Healthcare & Pharmaceuticals 14,400
 14,329
 14,256
Carestream Health, Inc., L+950, 1.00% LIBOR Floor, 6/7/2021(r) 1 Month LIBOR Healthcare & Pharmaceuticals 10,662
 10,662
 10,502
Drew Marine Group, Inc., L+700, 1.00% LIBOR Floor, 5/19/2021(i)(p) 1 Month LIBOR Chemicals, Plastics & Rubber 9,500
 9,474
 9,512
EagleTree-Carbide Acquisition Corp., L+850, 1.00% LIBOR Floor, 8/28/2025(r) 3 Month LIBOR Consumer Goods: Durable 20,000
 19,734
 20,000
Emerald 3 Ltd., L+700, 1.00% LIBOR Floor, 5/16/2022(i)(p) 3 Month LIBOR Environmental Industries 3,000
 2,985
 2,955
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022(i)(r) 1 Month LIBOR High Tech Industries 9,999
 7,709
 5,550
Flexera Software LLC, L+725, 1.00% LIBOR Floor, 2/26/2026(r) 1 Month LIBOR High Tech Industries 3,462
 3,446
 3,423
Global Tel*Link Corp., L+825, 0.00% LIBOR Floor, 11/29/2026(r) 3 Month LIBOR Telecommunications 11,500
 11,300
 11,270
GOBP Holdings, Inc., L+725, 0.00% LIBOR Floor, 10/22/2026(r) 3 Month LIBOR Retail 5,000
 4,950
 4,969
LSCS Holdings, Inc., L+825, 0.00% LIBOR Floor, 3/16/2026(p) 1 Month LIBOR Services: Business 11,891
 11,640
 11,831
Mayfield Agency Borrower Inc., L+850, 0.00% LIBOR Floor, 3/2/2026(p)(r)(s) 1 Month LIBOR Banking, Finance, Insurance & Real Estate 20,000
 19,710
 19,812
Medical Solutions Holdings, Inc., L+825, 1.00% LIBOR Floor, 6/16/2025(p) 1 Month LIBOR Healthcare & Pharmaceuticals 10,000
 9,867
 9,925
MedPlast Holdings, Inc., L+775, 0.00% LIBOR Floor, 7/2/2026(s) 3 Month LIBOR Healthcare & Pharmaceuticals 6,750
 6,687
 6,581
Ministry Brands, LLC, L+925, 1.00% LIBOR Floor, 6/2/2023(p)(r) 1 Month LIBOR Services: Business 7,000
 6,918
 7,000
Niacet Corp., E+875, 1.00% EURIBOR Floor, 8/1/2024(i) 1 Month EURIBOR Chemicals, Plastics & Rubber €7,489
 7,955
 8,503
Patterson Medical Supply, Inc., L+850, 1.00% LIBOR Floor, 8/28/2023(p) 3 Month LIBOR Healthcare & Pharmaceuticals 13,500
 13,404
 12,352
PDI TA Holdings, Inc., L+850, 1.00% LIBOR Floor, 10/24/2025 3 Month LIBOR High Tech Industries 2,267
 2,224
 2,245
PDI TA Holdings, Inc., 0.50% Unfunded, 10/24/2019 None High Tech Industries 133
 —
 (1)
PetroChoice Holdings, Inc., L+875, 1.00% LIBOR Floor, 8/21/2023(p) 3 Month LIBOR Chemicals, Plastics & Rubber 15,000
 14,742
 14,737
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022(q)(u) 1 Month LIBOR Retail 4,998
 4,716
 900
Premiere Global Services, Inc., L+950, 1.00% LIBOR Floor, 6/6/2022(p) 3 Month LIBOR Telecommunications 3,000
 2,917
 2,100
PT Intermediate Holdings III, LLC, L+800, 1.00% LIBOR Floor, 12/8/2025(r) 3 Month LIBOR Services: Business 9,375
 9,295
 9,281
Securus Technologies Holdings, Inc., L+825, 1.00% LIBOR Floor, 11/1/2025(r) 1 Month LIBOR Telecommunications 2,942
 2,914
 2,847
SESAC Holdco II LLC, L+725, 1.00% LIBOR Floor, 2/23/2025(r) 1 Month LIBOR Media: Broadcasting & Subscription 250
 248
 241
STG-Fairway Acquisitions, Inc., L+925, 1.00% LIBOR Floor, 6/30/2023(p)(r) 3 Month LIBOR Services: Business 10,000
 9,898
 9,600
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a) Index Rate(b) Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
TexOak Petro Holdings LLC, 8.00%, 12/29/2019(u)(v)(w) None Energy: Oil & Gas 7,804
 2,592
 —
TMK Hawk Parent, Corp., L+800, 1.00% LIBOR Floor, 8/28/2025(p) 2 Month LIBOR Services: Business 13,393
 13,092
 12,991
TouchTunes Interactive Networks, Inc, L+825, 1.00% LIBOR Floor, 5/29/2022(r) 1 Month LIBOR Hotel, Gaming & Leisure 6,000
 5,958
 6,000
U.S. Renal Care, Inc., L+800, 1.00% LIBOR Floor, 12/29/2023(p) 3 Month LIBOR Healthcare & Pharmaceuticals 5,000
 4,931
 4,787
Wand Intermediate I LP, L+725, 1.00% LIBOR Floor, 9/19/2022(p) 2 Month LIBOR Automotive 15,050
 14,971
 15,050
Winebow Holdings, Inc., L+750, 1.00% LIBOR Floor, 1/2/2022(p) 1 Month LIBOR Beverage, Food & Tobacco 12,823
 12,636
 7,053
Zest Acquisition Corp., L+750, 1.00% LIBOR Floor, 3/13/2026(r) 1 Month LIBOR Healthcare & Pharmaceuticals 15,000
 14,863
 14,550
Zywave Inc., L+900, 1.00% LIBOR Floor, 11/17/2023(p) 3 Month LIBOR High Tech Industries 5,000
 4,943
 5,000
Total Senior Secured Second Lien Debt      
 341,595
 323,365
Collateralized Securities and Structured Products - Debt - 1.6%    
  
  
Deutsche Bank AG Frankfurt CRAFT 2015-2 Class Credit Linked Note, L+925, 1/16/2022(i) 3 Month LIBOR Diversified Financials 15,193
 15,193
 15,193
Total Collateralized Securities and Structured Products - Debt       15,193
 15,193
Collateralized Securities and Structured Products - Equity - 1.5%          
APIDOS CLO XVI Subordinated Notes, 0.02% Estimated Yield, 1/19/2025(i) (g) Diversified Financials 9,000
 3,799
 2,488
CENT CLO 19 Ltd. Subordinated Notes, 16.86% Estimated Yield, 10/29/2025(i) (g) Diversified Financials 2,000
 1,163
 1,026
Galaxy XV CLO Ltd. Class A Subordinated Notes, 9.02% Estimated Yield, 4/15/2025(i) (g) Diversified Financials 4,000
 2,334
 1,889
Ivy Hill Middle Market Credit Fund VIII, Ltd. Subordinated Loan, 11.84% Estimated Yield, 2/2/2026(f)(i) (g) Diversified Financials 10,000
 9,498
 9,424
Total Collateralized Securities and Structured Products - Equity       16,794
 14,827
Equity - 3.7%          
Ascent Resources - Marcellus, LLC, Common Shares(t)   Energy: Oil & Gas 511,255 Units 1,642
 1,457
Ascent Resources - Marcellus, LLC, Warrants(t)   Energy: Oil & Gas 132,367 Units 13
 4
Avaya Holdings Corp., Common Stock(j)(q)(t)   Telecommunications 321,260 Units 5,285
 4,678
Charming Charlie LLC, Common Stock(t)(v)   Retail 30,046,243 Units 1,302
 —
CHC Medical Partners, Inc., Series C Preferred Stock, 12% Dividend   Healthcare & Pharmaceuticals 1,818,182 Units 3,000
 3,236
Conisus Holdings, Inc., Series B Preferred Stock, 12% Dividend(u)(v)   Healthcare & Pharmaceuticals 12,677,833 Units 9,200
 10,903
Conisus Holdings, Inc., Common Stock(t)(v)   Healthcare & Pharmaceuticals 4,914,556 Units 200
 197
F+W Media, Inc., Common Stock(t)(v)   Media: Diversified & Production 31,211 Units —
 —
Mooregate ITC Acquisition, LLC, Class A Units(t)   High Tech Industries 500 Units 563
 90
Mount Logan Capital Inc., Common Stock(i)(j)(v)   Banking, Finance, Insurance & Real Estate 7,842,273 Units 3,335
 2,645
NS NWN Acquisition, LLC, Voting Units(t)   High Tech Industries 404 Units 393
 730
NSG Co-Invest (Bermuda) LP, Partnership Interests(i)(t)   Consumer Goods: Durable 1,575 Units 1,000
 675
Rhino Energy LLC, Warrants(t)   Metals & Mining 170,972 Units 280
 106
SIMR Parent, LLC, Class B Common Units(t)(v)   Healthcare & Pharmaceuticals 7,500,000 Units 7,500
 7,382
Spinal USA, Inc. / Precision Medical Inc., Warrants(p)(t)   Healthcare & Pharmaceuticals 9,317,237 Units 4,736
 4,100
Tenere Inc., Warrant(t)   Capital Equipment N/A 161
 196
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
Portfolio Company(a)   Industry 
Principal/
Par Amount/
Units(e)
 Cost(d) 
Fair
Value(c)
TexOak Petro Holdings LLC, Membership Interests(t)(v)   Energy: Oil & Gas 60,000 Units —
 —
Total Equity       38,610
 36,399
Short Term Investments - 1.3%(n)          
First American Treasury Obligations Fund, Class Z Shares, 2.36%(o)     12,537
 12,537
Total Short Term Investments     12,537
 12,537
TOTAL INVESTMENTS - 190.5%     $1,916,763
 1,865,310
LIABILITIES IN EXCESS OF OTHER ASSETS - (90.5%)       (886,039)
NET ASSETS - 100%       $979,271
a.All of the Company’s investments are issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note i. below. Unless specifically identified in note w. below, investments do not contain a PIK interest provision.
b.The 1, 2, 3 and 6 month LIBOR rates were 2.52%, 2.62%, 2.80% and 2.87%, respectively, as of December 31, 2018.  The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2018, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2018. The 1 month EURIBOR rate was (0.41%) as of December 31, 2018.
c.Fair value determined in good faith by the Company’s board of directors (see Note 8) using significant unobservable inputs unless otherwise noted.
d.Represents amortized cost for debt securities and cost for equity investments.
e.Denominated in U.S. dollars unless otherwise noted.
f.As of December 31, 2018, the Company was committed, upon the satisfaction of certain conditions, to fund additional amounts in connection with this investment. See Note 10 for additional information.
g.The CLO subordinated notes are considered equity positions in the CLO vehicles and are not rated. Equity investments are entitled to recurring distributions, which are generally equal to the remaining cash flow of the payments made by the underlying vehicle's securities less contractual payments to debt holders and expenses. The estimated yield indicated is based upon a current projection of the amount and timing of these recurring distributions and the estimated amount of repayment of principal upon termination. Such projections are periodically reviewed and adjusted, and the estimated yield may not ultimately be realized.
h.As a result of an arrangement between the Company and the other lenders in the syndication, the Company is entitled to less interest than the stated interest rate of this loan, which is reflected in this schedule, in exchange for a higher payment priority.
i.The investment or a portion thereof is not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of December 31, 2016, 90.5%2018, 90.7% of the Company’s total assets represented qualifying assets.    In addition, as described in Note 7, the Company calculates its compliance with the qualifying asset test on a “look through” basis by treating each loan underlying the total return swap as either a qualifying asset or non-qualifying asset based on whether the obligor is an eligible portfolio company. On this basis, 89.1% of the Company’s total assets represented qualifying assets as of December 31, 2016.
i.j.Fair value determined using level 1 inputs.
k.Position or a portion thereof unsettled as of December 31, 2016.2018.
j.l.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional amounts as a result of an arrangement between the Company and other lenders in the syndication in exchange for a lower payment priority.
k.m.In addition to the interest earned based on the stated interest rate of this loan, which is the amount reflected in this schedule, the Company may be entitled to receive additional residual amounts.
n.Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
l.o.7-day effective yield as of December 31, 2016.2018.
m.Investment or a portion thereof was pledged as collateral supporting the amounts outstanding, if any, under the revolving credit facility with East West Bank as of December 31, 2016 (see Note 8).
n.p.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 34th Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with JPM as of December 31, 20162018 (see Note 8)7).
o.q.Non-income producing security.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Flatiron Funding II, and was pledged as collateral supporting the amounts outstanding under the credit facility with Citibank as of December 31, 2018 (see Note 7).
p.r.Represents amortized cost for debt investments, cost for equity investmentsInvestment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, Murray Hill Funding II, and premium paid for derivatives.was pledged as collateral supporting the amounts outstanding under the repurchase agreement with UBS as of December 31, 2018 (see Note 7).

s.Investment or a portion thereof held within the Company’s wholly-owned consolidated subsidiary, 33rd Street, and was pledged as collateral supporting the amounts outstanding under the credit facility with MS as of December 31, 2018 (see Note 7).
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 20162018
(in thousands)
q.t.Non-income producing security.
u.Investment was on non-accrual status as of December 31, 2018.
v.Investment determined to be an affiliated investment as defined in the 1940 Act as the Company owns between 5% and 25% of the portfolio company’s outstanding voting securities but does not control the portfolio company. Fair value as of December 31, 2017 and 2018, along with transactions during the year ended December 31, 2018 in these affiliated investments are as follows:
    Year Ended December 31, 2018   Year Ended December 31, 2018
Non-Controlled, Affiliated Investments 
Fair Value at
December 31, 2017
 
Gross
Additions
(Cost)(1)
 
Gross
Reductions
(Cost)(2)
 
Net
Unrealized
(Loss) Gain
 
Fair Value at
December 31, 2018
 
Net Realized
Gain (Loss)
 
Interest
Income(3)
  Charming Charlie, LLC              
    First Lien Term Loan B1 $—
 $2,619
 $—
 $(1,598) $1,021
 $—
 $99
    First Lien Term Loan B2 —
 1,912
 —
 (663) 1,249
 —
 191
    Vendor Payment Financing Facility —
 157
 —
 —
 157
 —
 44
    Common Stock —
 1,302
 —
 (1,302) —
 —
 —
  Conisus Holdings, Inc.              
    Series B Preferred Stock 9,300
 —
 —
 1,603
 10,903
 —
 —
    Common Stock 175
 —
 —
 22
 197
 —
 —
  F+W Media, Inc.              
    First Lien Term Loan B-1 1,169
 103
 (100) (35) 1,137
 —
 95
    First Lien Term Loan B-2 1,498
 16
 —
 (1,353) 161
 —
 39
    Common Stock —
 —
 —
 —
 —
 —
 —
Mount Logan Capital Inc.              
    Common Stock —
 3,335
 —
 (690) 2,645
 —
 —
  SIMR, LLC              
    First Lien Term Loan —
 15,020
 —
 (263) 14,757
 —
 580
  SIMR Parent, LLC              
    Class B Common Units —
 7,500
 —
 (118) 7,382
 —
  
  Petroflow Energy Corp.              
    First Lien Term Loan 3,391
 63
 (902) (189) 2,363
 —
 199
  TexOak Petro Holdings LLC              
    Second Lien Term Loan —
 —
 —
 —
 —
 —
 —
    Membership Interests —
 —
 —
 —
 —
 —
 —
Totals $15,533
 $32,027
 $(1,002) $(4,586) $41,972
 $—
 $1,247
(1)Gross additions include increases in the cost basis of investments resulting from new portfolio investments, PIK interest, the amortization of unearned income, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company into this category from a different category.
(2)Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investment repayments or sales, the exchange of one or more existing securities for one or more new securities and the movement of an existing portfolio company out of this category into a different category.
(3)Includes PIK interest income.
See accompanying notes to consolidated financial statements.


CĪON Investment Corporation
Consolidated Schedule of Investments
December 31, 2018
(in thousands)
w.For the year ended December 31, 2016,2018, the following investments contain a PIK interest provision whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities:
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
Elements Behavioral Health, Inc. Senior Secured Second Lien Debt — 13.00% 13.00% $—
 $700
 $700
Petroflow Energy Corp. Senior Secured First Lien Debt 3.00% 6.00% 9.00% $14
 $99
 $113
Rimini Street, Inc. Senior Secured First Lien Debt 12.00% 3.00% 15.00% $1,286
 $164
 $1,450
Sequoia Healthcare Management, LLC Senior Secured First Lien Debt 12.00% 4.00% 16.00% $206
 $68
 $274
Smile Brands Group, Inc.(r) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $187
 $34
 $221
Southcross Holdings Borrower LP(s) Senior Secured First Lien Debt 3.50% 5.50% 9.00% $2
 $6
 $8
Spinal USA, Inc. / Precision Medical Inc. Senior Secured First Lien Debt — 10.50% 10.50% $—
 $3
 $3
TexOak Petro Holdings LLC Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $181
 $181
    Interest Rate Interest Amount
Portfolio Company Investment Type Cash PIK All-in-Rate Cash PIK Total
American Clinical Solutions LLC(u) Senior Secured First Lien Debt
 10.50% 2.00% 12.50% $326
 $168
 $494
Charming Charlie LLC(u) Senior Secured First Lien Debt
 6.00% 5.00% 11.00% $98
 $—
 $98
Charming Charlie LLC(u) Senior Secured First Lien Debt
 2.00% 9.00% 11.00% $54
 $—
 $54
CHC Solutions Inc. Senior Secured First Lien Debt 8.00% 4.00% 12.00% $258
 $129
 $387
Dayton Superior Corp. Senior Secured First Lien Debt
 9.00% 6.00% 15.00% $578
 $194
 $772
F+W Media, Inc.(u) Senior Secured First Lien Debt
 — 11.50% 11.50% $—
 $24
 $24
F+W Media, Inc. Senior Secured First Lien Debt
 — 8.00% 8.00% $—
 $95
 $95
Lonestar Prospects, Ltd.(x) Senior Secured First Lien Debt
 9.50% 1.00% 10.50% $190
 $27
 $217
Petroflow Energy Corp.(u) Senior Secured First Lien Debt
 3.00% 6.00% 9.00% $70
 $—
 $70
Rimini Street, Inc.(x) Senior Secured First Lien Debt
 12.00% 3.00% 15.00% $1,228
 $278
 $1,506
Sequoia Healthcare Management, LLC(x) Senior Secured First Lien Debt
 12.00% 4.00% 16.00% $370
 $171
 $541
Spinal USA, Inc. / Precision Medical Inc. Senior Secured First Lien Debt
 — 10.50% 10.50% $—
 $40
 $40
TexOak Petro Holdings LLC(u) Senior Secured Second Lien Debt — 8.00% 8.00% $—
 $—
 $—
Visual Edge Technology, Inc.(x) Subordinated Note — 12.50% 12.50% $—
 $224
 $224
r.Outstanding principal and accrued interest of the underlying loan was fully repaid on August 17, 2016.
s.x.Prior to December 31, 2016, the underlying loan was assigned to2018, the Company and removed from the TRS.exited this investment.

See accompanying notes to consolidated financial statements.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)


Note 1. Organization and Principal Business
CĪON Investment Corporation, or the Company, was incorporated under the general corporation laws of the State of Maryland on August 9, 2011. On December 17, 2012, the Company successfully raised gross proceeds from unaffiliated outside investors of at least $2,500, or the minimum offering requirement, and commenced operations. The Company is an externally managed, non-diversified closed-end management investment company that has elected to be regulated as a business development company, or BDC, under the 1940 Act. The Company elected to be treated for federal income tax purposes as a regulated investment company, or RIC, as defined under Subchapter M of the Internal Revenue Code of 1986, as amended, or the Code.
The Company’s investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. The Company’s portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a lesser extent, collateralized securities, structured products and other similar securities, unsecured debt, including corporate bonds and long-term subordinated loans, referred to as mezzanine loans, and equity, of private and thinly tradedthinly-traded U.S. middle-market companies.
The Company is managed by CION Investment Management, LLC, or CIM, a registered investment adviser and an affiliate of the Company. Pursuant to an investment advisory agreement with the Company, CIM oversees the management of the Company’s activities and is responsible for making investment decisions for the Company’s investment portfolio. The Company and CIM previously engaged Apollo Investment Management, L.P., or AIM, a subsidiary of Apollo Global Management, LLC, or, together with its subsidiaries, Apollo, a leading global alternative investment manager, to act as the Company’s investment sub-adviser.  On November 1, 2016,5, 2019, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of the investment sub-advisoryadvisory agreement with AIMCIM for a period of twelve months commencing December 17, 2016.2019. The Company and CIM previously engaged Apollo Investment Management, L.P., or AIM, a subsidiary of Apollo Global Management, Inc., or, together with its subsidiaries, Apollo, a leading global alternative investment manager, to act as the Company’s investment sub-adviser.
On July 11, 2017, the members of CIM entered into a third amended and restated limited liability company agreement of CIM, or the Third Amended CIM LLC Agreement, with AIM for the purpose of creating a joint venture between AIM and CION Investment Group, LLC, or CIG.CIG, an affiliate of the Company. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, will shareshares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which will ultimately resultresults in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, the Company’s independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017. Although the investment sub-advisory agreement and AIM's engagement as the Company’s investment sub-adviser were terminated, AIM continuesAIM's investment professionals continue to perform identicalcertain services for CIM and the Company, including, without limitation, identifying investment opportunities for approval by CIM.CIM's investment committee. AIM willis not be paid a separate fee in exchange for such services, but will beis entitled to receive distributions as a member of CIM as described above.
On December 4, 2017, the members of CIM entered into a fourth amended and restated limited liability company agreement of CIM, or the Fourth Amended CIM LLC Agreement. Under the Fourth Amended CIM LLC Agreement, AIM's investment professionals perform certain services for CIM, which include, among other services, (i) assistance with identifying and providing information about potential investment opportunities for approval by CIM’s investment committee; and (ii) providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. All of the Company's investment decisions are the sole responsibility of, and are made at the sole discretion of, CIM's investment committee, which consists entirely of CIG senior personnel.
Note 2. Summary of Significant Accounting Policies
Basis of Presentation and Consolidation
The accompanying unaudited consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles, or GAAP, for interim financial information and pursuant to the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. For a more complete discussion of significant accounting policies and certain other information, the Company’s interim unaudited consolidated financial statements should be read in conjunction with its audited consolidated financial statements as of December 31, 20162018 and for the year then ended included in the Company’s Annual Report on Form 10-K. Operating results for interim periods are not necessarily indicative of the results that may be expected for the full year ending December 31, 2017.2019. The consolidated balance sheet and the consolidated schedule of investments as of December 31, 20162018 are derived from the 20162018 audited consolidated financial statements and include the accounts of the Company’s wholly-owned subsidiaries.
CĪON Investment Corporation
The Company is considered an investment company as defined Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in Accounting Standards Update Topic 946, Financial Services - Investment Companies, or ASU 946. Accordingly, the required disclosures as outlined in ASU 946 are included in the Company’s consolidated financial statements.thousands, except share and per share amounts)

The Company evaluates subsequent events through the date that the consolidated financial statements are issued.
Reclassification
Unamortized original issue discounts, or OID, and market discounts/premiums received upon the early repayment of debt investments have been reclassified from net realized gains on investments to interest income. As a result, prior year amounts have been reclassified to conform to the current presentation.
Recently Announced Accounting Standards

In May 2014,March 2017, the Financial Accounting Standards Board, or the FASB, issued ASU 2014-09, Revenue from Contracts with Customers, or ASU 2014-09, which establishes a comprehensive and converged standard on revenue recognition to enable financial statement users to better understand and consistently analyze an entity’s revenue across industries, transactions and geographies. The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. As such, ASU 2014-09 could impact the timing of revenue recognition. ASU 2014-09 also requires improved disclosures to help users of financial statements better understand the nature, amount, timing and uncertainty of revenue that is recognized. ASU 2014-09 will apply to all entities. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date, or ASU 2015-14, which amended the effective date of ASU 2014-09. ASU 2015-14 defers the effective date of ASU 2014-09 to interim reporting periods within annual reporting periods beginning after December 15, 2017 and early adoption is permitted, but not before the original effective date. The adoption of this guidance will not have a material impact on the Company’s consolidated financial statements.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force), or ASU 2016-15, which intends to reduce diversity in practice in how certain cash receipts and payments are classified in the statement of cash flows, including debt prepayment or extinguishment costs, the settlement of contingent liabilities arising from a business combination, proceeds from insurance settlements and distributions from certain equity method investments. ASU 2016-15 is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted. The adoption of this guidance may impact the presentation of cash flows, but will not otherwise have a material impact on the Company's consolidated balance sheets or statements of operations.

In January 2017, the FASB issued ASU 2017-01, Business Combinations: Clarifying the Definition of a Business, or ASU 2017-01, which clarifies the definition of a business with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. ASU 2017-01 is expected to reduce the number of transactions that need to be further evaluated as businesses. ASU 2017-01 is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted for certain types of transactions. The Company will apply this guidance to its assessment of applicable transactions consummated after the adoption date.
In March 2017, the FASB, issued ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities, or ASU 2017-08, which shortens the amortization period for the premium on certain purchased callable debt securities to the earliest call date. ASU 2017-08 is effective for fiscal years beginning after December 15, 2019, and interim periods within fiscal years beginning after December 15, 2020. Early adoption is permitted, including adoption during an interim period. If the Company early adopts the amendments during an interim period, any adjustments will be reflected as of the beginning of the fiscal year that includes such interim period. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements.

In August 2018, the FASB issued ASU 2018-13, Changes to the Disclosure Requirements for Fair Value Measurement, or ASU 2018-13, which modifies the disclosure requirements for fair value measurements in Topic 820 by removing, modifying, or adding certain disclosures. ASU 2018-13 is effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements.
Cash and Cash Equivalents
Cash and cash equivalents include cash in banks and highly liquid investments with original maturity dates of three months or less. The Company’s cash and cash equivalents are held principally at one financial institution and at times may exceed insured limits. The Company periodically evaluates the creditworthiness of this institution and has not experienced any losses on such deposits.
Foreign Currency Translations
The accounting records of the Company are maintained in U.S. dollars. All assets and liabilities denominated in foreign currencies are translated tointo U.S. dollars based on the foreign exchange rate on the date of valuation. The Company does not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Changes in the relationship of foreign currencies to the U.S. dollar can significantly affect the value of these investments and therefore the earnings of the Company.
Short Term Investments
Short term investments include an investment in a U.S. Treasury obligations fund, which seeks to provide current income and daily liquidity by purchasing U.S. Treasury securities and repurchase agreements that are collateralized by such securities. The Company had $140,810$23,060 and $70,498$12,537 of such investments at September 30, 20172019 and December 31, 2016,2018, respectively, which are included in investments, at fair value on the accompanying consolidated balance sheets and on the consolidated schedules of investments.
Offering and Organizational Costs
Offering costs include,included, among other things, legal fees and other costs pertaining to the preparation of the Company’s registration statements in connection with the continuous public offerings of the Company’s shares. Certain initial offering costs that were funded by CIG on behalf of the Company were submitted by CIG for reimbursement upon meeting the minimum offering requirement on December 17, 2012. These costs were capitalized and amortized over a twelve month period as an adjustment to capital in excess of par value. All other offering costs arewere expensed as incurred by the Company. The Company's follow-on continuous public offering ended on January 25, 2019.
Organizational costs include, among other things, the cost of organizing the Company as a Maryland corporation, including the cost of legal services
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and other fees pertaining to the organization of the Company. All organizational costs were funded by CIG and its affiliates and there was no liability for these organizational costs to the Company until CIG and its affiliates submitted such costs for reimbursement.per share amounts)

Income Taxes
The Company elected to be treated for federal income tax purposes as a RIC under Subchapter M of the Code. To qualify and maintain qualification as a RIC, the Company must, among other things, meet certain source of income and asset diversification requirements and distribute to shareholders, for each taxable year, at least 90% of the Company’s “investment company taxable income”, which is generally equal to the sum of the Company’s net ordinary income plus the excess, if any, of realized net short-term capital gains over realized net long-term capital losses. If the Company continues to qualify as a RIC and continues to satisfy the annual distribution requirement, the Company will not be subject to corporate level federal income taxes on any income that the Company distributes to its shareholders. The Company intends to make distributions in an amount sufficient to maintain RIC status each year and to avoid any federal income taxes on income. The Company will also be subject to nondeductible federal excise taxes if the Company does not distribute at least 98.0% of net ordinary income, 98.2% of capital gains, if any, and any recognized and undistributed income from prior years for which it paid no federal income taxes. 
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Two of the Company’s wholly-owned consolidated subsidiaries, View ITC, LLC and View Rise, LLC, or collectively the Taxable Subsidiaries, have elected to be treated as taxable entities for U.S. federal income tax purposes. TheAs a result, the Taxable Subsidiaries are not consolidated with the Company for income tax purposes and may generate income tax expense or benefit, and the related tax assets and liabilities, as a result of its ownership of certain portfolio investments. The income tax expense or benefit, if any, and the related tax assets and liabilities, where material, are reflected in the Company’s consolidated financial statements. There were no deferred tax assets or liabilities as of September 30, 2017.2019.
Book/tax differences relating to permanent differences are reclassified among the Company’s capital accounts, as appropriate. Additionally, the tax character of distributions is determined in accordance with income tax regulations that may differ from GAAP (see Note 5).
Uncertainty in Income Taxes
The Company evaluates its tax positions to determine if the tax positions taken meet the minimum recognition threshold for the purposes of measuring and recognizing tax liabilities in the consolidated financial statements. Recognition of a tax benefit or liability with respect to an uncertain tax position is required only when the position is “more likely than not” to be sustained assuming examination by the taxing authorities. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the consolidated statements of operations. The Company did not have any uncertain tax positions during the periods presented herein. 
The Company is subject to examination by U.S. federal, New York State, New York City and Maryland income tax jurisdictions for 2013, 2014, 2015, 2016, 2017, and 2016.2018.
Use of Estimates
The preparation of the consolidated financial statements in conformity with GAAP requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may materially differ from those estimates.
Valuation of Portfolio Investments
The fair value of the Company’s investments is determined quarterly in good faith by the Company’s board of directors pursuant to its consistently applied valuation procedures and valuation process in accordance with Accounting Standards Codification Topic 820, Fair Value Measurements and Disclosure, or ASC 820. ASC 820 defines fair value as the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 also establishes a three-tier fair value hierarchy that prioritizes and ranks the level of market price observability of inputs used in measuring investments at fair value. Inputs used to measure these fair values are classified into the following hierarchy:
Level 1 -Quoted prices in active markets for identical assets or liabilities, accessible by the Company at the measurement date.
Level 2 -Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.
Level 3 -Unobservable inputs for the asset or liability. The inputs used in the determination of fair value may require significant management judgment or estimation. Such information may be the result of consensus pricing information or broker quotes that include a disclaimer that the broker would not be held to such a price in an actual transaction. The non-binding nature of consensus pricing and/or quotes accompanied by the disclaimer would result in classification as a Level 3 asset, assuming no additional corroborating evidence.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

Market price observability is affected by a number of factors, including the type of investment and the characteristics specific to the investment. Investments with readily available active quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value.
Based on the observability of the inputs used in the valuation techniques, the Company is required to provide disclosures on fair value measurements according to the fair value hierarchy. The level in the fair value hierarchy for each fair value measurement has been determined based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each investment. The level assigned to the investment valuations may not be indicative of the risk or liquidity associated with investing in such investments. Because of the inherent uncertainties of valuation, the values reflected in the financial statements may differ materially from the value that would be received upon an actual sale of such investments. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses that the Company ultimately realizes on these investments to materially differ from the valuations currently assigned.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The Company’s investments, excluding short term investments, consist primarily of debt securities that are traded on a private over-the-counter market for institutional investments. CIM attempts to obtain market quotations from at least two brokers or dealers for each investment (if available, otherwise from a principal market maker or a primary market dealer or other independent pricing service). CIM utilizes mid-market pricing to determine fair value unless a different point within the range is more representative. Because of the private nature of this marketplace (meaning actual transactions are not publicly reported) and the non-binding nature of consensus pricing and/or quotes, the Company believes that these valuation inputs result in Level 3 classification within the fair value hierarchy.
Notwithstanding the foregoing, if in the reasonable judgment of CIM, the price of any investment held by the Company and determined in the manner described above does not accurately reflect the fair value of such investment, CIM will value such investment at a price that reflects such investment’s fair value and report such change in the valuation to the board of directors or its designee as soon as practicable. Investments that carry certain restrictions on sale will typically be valued at a discount from the public market value of the investment.

Any investments that are not publicly traded or for which a market price is not otherwise readily available are valued at a price that reflects its fair value. With respect to such investments, if CIM is unable to obtain market quotations, the investments are reviewed and valued using one or more of the following types of analyses:
i.Market comparable statistics and public trading multiples discounted for illiquidity, minority ownership and other factors for companies with similar characteristics.
ii.Valuations implied by third-party investments in the applicable portfolio companies.
iii.Discounted cash flow analysis, including a terminal value or exit multiple.
Determination of fair value involves subjective judgments and estimates. Accordingly, these notes to the Company’s consolidated financial statements refer to the uncertainty with respect to the possible effect of such valuations, and any change in such valuations, on the Company’s consolidated financial statements. Below is a description of factors that the Company’s board of directors may consider when valuing the Company’s equity and debt investments where a market price is not readily available:
the size and scope of a portfolio company and its specific strengths and weaknesses;
prevailing interest rates for like securities;
expected volatility in future interest rates;
leverage;
call features, put features and other relevant terms of the debt;
the borrower’s ability to adequately service its debt;
the fair market value of the portfolio company in relation to the face amount of its outstanding debt;
the quality of collateral securing the Company’s debt investments;
multiples of earnings before interest, taxes, depreciation and amortization, or EBITDA, cash flows, net income, revenues or, in some cases, book value or liquidation value; and
other factors deemed applicable.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

All of these factors may be subject to adjustment based upon the particular circumstances of a portfolio company or the Company’s actual investment position. For example, adjustments to EBITDA may take into account compensation to previous owners, or acquisition, recapitalization, and restructuring expenses or other related or non-recurring items. The choice of analyses and the weight assigned to such factors may vary across investments and may change within an investment if events occur that warrant such a change.
The discounted cash flow model deemed appropriate by CIM is prepared for the applicable investments and reviewed by the Company’s valuation committee consistingdesignated members of senior management.CIM’s management team. Such models are prepared at least quarterly or on an as needed basis. The model uses the estimated cash flow projections for the underlying investments and an appropriate discount rate is determined based on the latest financial information available for the borrower, prevailing market trends, comparable analysis and other inputs. The model, key assumptions, inputs, and results are reviewed by the Company’s valuation committeedesignated members of CIM’s management team with final approval from the board of directors.
Consistent with the Company’s valuation policy, the Company evaluates the source of inputs, including any markets in which the Company’s investments are trading, in determining fair value.
The Company periodically benchmarks the broker quotes from the brokers or dealers against the actual prices at which the Company purchases and sells its investments. Based on the results of the benchmark analysis and the experience of the Company’s management in purchasing and selling these investments, the Company believes that these quotes are reliable indicators of fair value. The Company may also use other methods to determine fair value for securities for which it cannot obtain market quotations through brokers or dealers, including the use of an independent valuation firm. The Company’s valuation committeeDesignated members of CIM’s management team and the Company's board of directors review and approve the valuation determinations made with respect to these investments in a manner consistent with the Company’s valuation process.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The value of the total return swap, or TRS, was primarily based on the increase or decrease in the value of the loans underlying the TRS, as determined by the Company. The loans underlying the TRS were valued in the same manner as loans owned by the Company. As in all cases, the level in the fair value hierarchy for each instrument is determined based on the lowest level of inputs that are significant to the fair value measurement. The Company classified the TRS as Level 3 within the fair value hierarchy based on the lowest level of significant inputs. For additional information on the TRS, see Note 7.

Revenue Recognition
Securities transactions are accounted for on the trade date. The Company records interest and dividend income on an accrual basis beginning on the trade settlement date or the ex-dividend date, respectively, to the extent that the Company expects to collect such amounts.  For investments in equity tranches of collateralized loan obligations, the Company records income based on the effective interest rate determined using the amortized cost and estimated cash flows, which is updated periodically. Loan origination fees, original issue discounts,OID, and market discounts/premiums are recorded and such amounts are amortized as adjustments to interest income over the respective term of the loan using the effective interest rate method. The Company recordsUpon the prepayment of a loan or security, prepayment premiums, on loans and debt securitiesany unamortized loan origination fees, OID, or market discounts/premiums are recorded as interest income when it receives such amounts. In addition, the Company may generate revenue in the form of commitment, amendment, structuring or diligence fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with investments are recognized when earned.income.
The Company may have investments in its investment portfolio that contain a PIK interest provision. PIK interest is accrued as interest income if the portfolio company valuation indicates that such PIK interest is collectible and recorded as interest receivable up to the interest payment date. On the interest payment dates, the Company will capitalize the accrued interest receivable attributable to PIK as additional principal due from the borrower. Additional PIK securities typically have the same terms, including maturity dates and interest rates, as the original securities. In order to maintain RIC status, substantially all of this income must be paid out to shareholders in the form of distributions, even if the Company has not collected any cash. For additional information on investments that contain a PIK interest provision, see the consolidated schedules of investments as of September 30, 20172019 and December 31, 2016.2018.
Loans and debt securities, including those that are individually identified as being impaired under Accounting Standards Codification 310, Receivables, or ASC 310, are generally placed on non-accrual status immediately if, in the opinion of management, principal or interest is not likely to be paid, in accordance with the terms of the debt agreement, or when principal or interest is past due 90 days or more. Interest accrued but not collected at the date a loan or security is placed on non-accrual status is reversed against interest income. Interest income is recognized on non-accrual loans or debt securities only to the extent received in cash. However, where there is doubt regarding the ultimate collectibility of principal, cash receipts, whether designated as principal or interest, are thereafter applied to reduce the carrying value of the loan or debt security. Loans or securities are restored to accrual status only when interest and principal payments are brought current and future payments are reasonably assured.

Dividend income on preferred equity securities is recorded on an accrual basis to the extent that such amounts are payable by the portfolio company and are expected to be collected. Dividend income on common equity securities is recorded on the record date for private portfolio companies or on the ex-dividend date for publicly-traded portfolio companies.

The Company may receive fees for capital structuring services that are fixed based on contractual terms, are normally paid at the closing of the investments, are generally non-recurring and non-refundable and are recognized as revenue when earned upon closing of the investment. The services that CIM provides vary by investment, but generally include reviewing existing credit facilities, arranging bank financing, arranging equity financing, structuring financing from multiple lenders, structuring financing from multiple equity investors, restructuring existing loans, raising equity and debt capital, and providing general financial advice, which concludes upon closing of the investment. In certain instances where the Company is invited to participate as a co-lender in a transaction and does not provide significant services in connection with the investment, a portion of loan fees paid to the Company in such situations will be deferred and amortized over the estimated life of the loan. 
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

Other income includes amendment fees that are fixed based on contractual terms and are generally non-recurring and non-refundable and are recognized as revenue when earned upon closing of the transaction. Other income also includes fees for managerial assistance and other consulting services, loan guarantees, commitments, and other services rendered by the Company to its portfolio companies. Such fees are fixed based on contractual terms and are recognized as income when earned.
Net Realized Gains or Losses and Net Change in Unrealized Appreciation or Depreciation
Gains or losses on the sale of investments are calculated by using the weighted-average method. The Company measures realized gains or losses by the difference between the net proceeds from the repayment or sale and the weighted-average amortized cost of the investment, without regard to unrealized appreciation or depreciation previously recognized, but considering unamortized upfront fees and prepayment penalties.fees. Net change in unrealized appreciation or depreciation reflects the change in portfolio investment values during the reporting period, including any reversal of previously recorded unrealized appreciation or depreciation when gains or losses are realized.
Derivative Instrument
The Company recognizes all derivative instruments as assets or liabilities at fair value in its consolidated financial statements. Derivative contracts entered into by the Company are not designated as hedging instruments, and as a result, the Company presents changes in fair value through current period earnings.
Derivative instruments are measured in terms of the notional contract amount and derive their value based upon one or more underlying instruments. Derivative instruments are subject to various risks similar to non-derivative instruments including market, credit, liquidity and operational risks. For additional information on the Company's derivative instruments, see Note 7.
Capital Gains Incentive Fee
Pursuant to the terms of the investment advisory agreement the Company entered into with CIM, the incentive fee on capital gains earned on liquidated investments of the Company’s investment portfolio during operations is determined and payable in arrears as of the end of each calendar year. Such fee equals 20% of the Company’s incentive fee capital gains (i.e., the Company’s realized capital gains on a cumulative basis from inception, calculated as of the end of each calendar year, computed net of all realized capital losses and unrealized capital depreciation on a cumulative basis), less the aggregate amount of any previously paid capital gains incentive fees. On a cumulative basis and to the extent that all realized capital losses and unrealized capital depreciation exceed realized capital gains as well as the aggregate realized net capital gains for which a fee has previously been paid, the Company would not be required to pay CIM a capital gains incentive fee. On a quarterly basis, the Company accrues for the capital gains incentive fee by calculating such fee as if it were due and payable as of the end of such period.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

CIM did not take any incentive fees with respect to the Company’s TRS. For purposes of computing the capital gains incentive fee, CIM became entitled to a capital gains incentive fee upon the termination of the TRS, at which point all gains and losses of the underlying loans constituting the reference assets of the TRS were realized. However, realized losses exceeded realized gains on the underlying loans, resulting in no capital gains incentive fees on the TRS. Any net unrealized gains on the TRS were reflected in total assets on the Company’s consolidated balance sheets and included in the computation of the base management fee. Any net unrealized losses on the TRS were reflected in total liabilities on the Company’s consolidated balance sheets and excluded in the computation of the base management fee.

While the investment advisory agreement with CIM neither includes nor contemplates the inclusion of unrealized gains in the calculation of the capital gains incentive fee, pursuant to an interpretation of the American Institute for Certified Public Accountants, or AICPA, Technical Practice Aid for investment companies, the Company accrues capital gains incentive fees on unrealized gains. This accrual reflects the incentive fees that would be payable to CIM if the Company’s entire investment portfolio was liquidated at its fair value as of the balance sheet date even though CIM is not entitled to an incentive fee with respect to unrealized gains unless and until such gains are actually realized.
Net (Decrease) Increase in Net Assets per Share
Net (decrease) increase in net assets per share is calculated based upon the daily weighted average number of shares of common stock outstanding during the reporting period.
Distributions
Distributions to shareholders are recorded as of the record date. The amount paid as a distribution is declared by the Company's co-chief executive officers and ratified by the board of directors on a quarterly basis. Net realized capital gains, if any, are distributed at least annually.
Note 3. Share Transactions
The Company’s initial continuous public offering commenced on July 2, 2012 and ended on December 31, 2015. The Company’s follow-on continuous public offering commenced on January 25, 2016 and will continue until no later thanended on January 25, 2019.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

The following table summarizes transactions with respect to shares of the Company’s common stock during the nine months ended September 30, 20172019 and 2016:2018:
Nine Months Ended
September 30,		Nine Months Ended
September 30,
2017 20162019 2018
Shares Amount Shares AmountShares Amount Shares Amount
Gross shares/proceeds from the offering4,718,559
 $44,940
 2,173,945
 $21,017
696,264
 $6,516
 2,003,534
 $19,169
Reinvestment of distributions3,251,250
 29,701
 3,328,161
 29,179
3,129,083
 26,849
 3,210,927
 29,251
Total gross shares/proceeds7,969,809
 74,641
 5,502,106
 50,196
3,825,347
 33,365
 5,214,461
 48,420
Sales commissions and dealer manager fees—
 (1,713) —
 (1,739)—
 (296) —
 (708)
Net shares/proceeds7,969,809
 72,928
 5,502,106
 48,457
3,825,347
 33,069
 5,214,461
 47,712
Share repurchase program(3,316,625) (30,167) (1,396,392) (12,231)(3,152,804) (26,849) (8,960,845) (81,535)
Net shares/proceeds from share transactions4,653,184
 $42,761
 4,105,714
 $36,226
Net shares/proceeds from (for) share transactions672,543
 $6,220
 (3,746,384) $(33,823)
During the nine months ended September 30, 20172019 and 2016,2018, the Company sold 7,969,8093,825,347 and 5,502,1065,214,461 shares, respectively, at an average price per share of $9.37$8.72 and $9.12,$9.29, respectively.
Since commencing its initial continuous public offering on July 2, 2012 and through September 30, 2017,2019, the Company sold 114,440,741113,381,782 shares of common stock for net proceeds of $1,162,041$1,155,287 at an average price per share of $10.15.$10.19. The net proceeds include gross proceeds received from reinvested shareholder distributions of $114,174,$189,713, for which the Company issued 12,532,91421,025,378 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $55,581,$189,713, for which the Company repurchased 6,143,71721,135,341 shares of common stock.
During the period from October 1, 20172019 to November 8, 2017,2019, the Company sold 658,050 shares of common stock pursuant to its follow-on continuous public offering for gross proceeds of $6,302 at an average price per share of $9.58. The Company also received gross proceeds of $3,824$3,226 from reinvested shareholder distributions, for which the Company issued 417,698 shares of common stock, and paid $10,240 for shares of common stock tendered for repurchase, for which the Company repurchased 1,118,130390,264 shares of common stock.
Since commencing its initial continuous public offering on July 2, 2012 and through November 8, 2017,2019, the Company sold 114,398,359113,772,046 shares of common stock for net proceeds of $1,161,927$1,158,515 at an average price per share of $10.16.$10.18. The net proceeds include gross proceeds received from reinvested shareholder distributions of $117,998,$192,939, for which the Company issued 12,950,61221,415,642 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $65,821,$189,713, for which the Company repurchased 7,261,84721,135,341 shares of common stock.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

To ensure that the offering price per share, net of sales commissions and dealer manager fees, equaled or exceeded the net asset value per share on each subscription closing date and distribution reinvestment date, certain of the Company’s directors increased the offering price per share of common stock on certain dates. Due to a decline in the Company’s net asset value per share to an amount more than 2.5% below the Company’s then-current net offering price, certain of the Company’s directors decreased the offering price per share of common stock on certain dates.effective January 2, 2019 and January 9, 2019 from $9.50 to $9.45 and from $9.45 to $9.40, respectively. 
The changes to our offering price per share since the commencement of our initial continuous public offering and the associated approval and effective dates of such changes were as follows:  
Approval DateEffective DateNew Offering Price Per Share
December 28, 2012January 2, 2013$10.04
January 31, 2013February 1, 2013$10.13
March 14, 2013March 18, 2013$10.19
May 15, 2013May 16, 2013$10.24
August 15, 2013August 16, 2013$10.32
February 4, 2014February 5, 2014$10.45
October 6, 2015October 7, 2015$10.20
November 24, 2015November 25, 2015$10.05
December 22, 2015December 23, 2015$9.95
March 8, 2016March 9, 2016$9.40
March 15, 2016March 16, 2016$9.45
March 22, 2016March 23, 2016$9.50
March 29, 2016March 30, 2016$9.55
April 5, 2016April 6, 2016$9.60
April 26, 2016April 27, 2016$9.65
May 3, 2016May 4, 2016$9.70
May 10, 2016May 11, 2016$9.75
May 31, 2016June 1, 2016$9.80
July 19, 2016July 20, 2016$9.85
July 26, 2016July 27, 2016$9.90
August 9, 2016August 10, 2016$9.95
August 23, 2016August 24, 2016$10.00
October 4, 2016October 5, 2016$10.05
October 11, 2016October 12, 2016$10.10
January 3, 2017January 4, 2017$9.57(1)
January 24, 2017January 25, 2017$9.60
March 7, 2017March 8, 2017$9.65
August 22, 2017August 23, 2017$9.70
(1)On December 28, 2016, the Company entered into an amended and restated follow-on dealer manager agreement pursuant to which, among other things, the dealer manager fee was reduced to up to 2% and selling commissions were reduced to up to 3%. As a result, the Company adjusted its public offering price from $10.10 per share to $9.57 per share in order to maintain its net offering price of $9.09 per share (net of selling commissions and dealer manager fees).
Share Repurchase Program
Beginning in the first quarter of 2014, the Company began offering, and onOn a quarterly basis, thereafter itthe Company offers, and intends to continue offering, to repurchase shares on such terms as may be determined by the Company’s board of directors in its complete and absolute discretion unless, in the judgment of the independent directors of the Company’s board of directors, such repurchases would not be in the best interests of the Company’s shareholders or would violate applicable law.
The Company currently limits the number of shares to be repurchased during any calendar year to the number of shares it can repurchase with the proceeds it receives from the issuance of shares pursuant to its fifth amended and restated distribution reinvestment plan. At the discretion of the Company’s board of directors, it may also use cash on hand, cash available from borrowings and cash from liquidation of investments as of the end of the applicable period to repurchase shares. In addition, the Company limits the number of shares to be repurchased in any calendar year to 15% of the weighted average number of shares outstanding in the prior calendar year, or 3.75% in each quarter, though the actual number of shares that it offers to repurchase may be less in light of the limitations noted above. The Company currently offers to repurchase such shares at a price equal to the estimated net asset value per share on each date of repurchase.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

On November 2, 2015, the Company amended the terms of the quarterly share repurchase program, effective as of the Company’s quarterly repurchase offer for the fourth quarter of 2015, which commenced in November 2015 and was completed in January 2016. Under the amended share repurchase program, the Company offered to repurchase shares of common stock at a price per share of $8.96, which was (i) not less than the net asset value per share immediately prior to January 4, 2016 and (ii) not more than 2.5% greater than the net asset value per share as of such date.

On January 22, 2016, the Company further amended the terms of the quarterly share repurchase program, effective as of the Company’s quarterly repurchase offer for the first quarter of 2016, which commenced in February 2016 and was completed in April 2016. Under the further amended share repurchase program, the Company offered to repurchase shares of common stock at a price equal to 90% of the public offering price in effect on each date of repurchase.
On December 8, 2016, the Company further amended the terms of the quarterly share repurchase program, effective as of the Company's quarterly repurchase offer for the fourth quarter of 2016, which commenced in November 2016 and was completed in January 2017. Under the further amended share repurchase program, the Company will offer to repurchase shares of common stock at a price equal to the estimated net asset value per share determined on each date of repurchase.
Any periodic repurchase offers are subject in part to the Company’s available cash and compliance with the BDC and RIC qualification and diversification rules promulgated under the 1940 Act and the Code, respectively. While the Company conducts quarterly tender offers as described above, it is not required to do so and may suspend or terminate the share repurchase program at any time, upon 30 days’ notice.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

The following table summarizes the share repurchases completed during the year ended December 31, 2018 and the nine months ended September 30, 2017:2019:
Three Months Ended Repurchase Date Shares Repurchased Percentage of Shares Tendered That Were Repurchased Repurchase Price Per Share Aggregate Consideration for Repurchased Shares
March 31, 2017 January 4, 2017 814,223
 100% 9.05
 $7,370
June 30, 2017 April 5, 2017 1,137,234
 100% 9.12
 10,372
September 30, 2017 July 5, 2017 1,365,168
 100% 9.10
 12,425
   Total   3,316,625
     $30,167
Three Months Ended Repurchase Date Shares Repurchased Percentage of Shares Tendered That Were Repurchased Repurchase Price Per Share Aggregate Consideration for Repurchased Shares
2018          
March 31, 2018 January 3, 2018 2,014,536
 100% $9.12
 $18,379
June 30, 2018 April 4, 2018 2,352,580
 100% 9.15
 21,525
September 30, 2018 July 5, 2018 2,507,596
 100% 9.06
 22,724
 September 26, 2018 2,086,133
 100% 9.06
 18,907
December 31, 2018 December 26, 2018 1,759,845
 63% 8.81
 15,508
    Total for the year ended December 31, 201810,720,690
     $97,043
           
2019          
March 31, 2019 March 27, 2019 1,078,856
 30% $8.68
 $9,361
June 30, 2019 June 26, 2019 1,038,641
 15% 8.59
 8,926
September 30, 2019 September 25, 2019 1,035,307
 15% 8.27
 8,562
    Total for the nine months ended September 30, 20193,152,804
     $26,849
Note 4. Transactions with Related Parties
For the three and nine months ended September 30, 20172019 and 2016,2018, fees and other expenses incurred by the Company related to CIM and its affiliates were as follows:
 Three Months Ended
September 30,		 Nine Months Ended
September 30,		 Three Months Ended
September 30,		 Nine Months Ended
September 30,
Entity Capacity Description 2017 2016 2017 2016 Capacity Description 2019 2018 2019 2018
CION Securities, LLC Dealer manager Dealer manager fees(1) $290
 $331
 $782
 $588
 Dealer manager Dealer manager fees(1) $—
 $—
 $121
 $323
CIM Investment adviser Management fees(2) 7,820
 5,187
 21,724
 14,311
 Investment adviser Management fees(2) 9,029
 9,164
 27,597
 25,705
CIM Investment adviser Incentive fees(2) 4,983
 5,573
 14,475
 5,573
CIM Administrative services provider Administrative services expense(2) 453
 500
 1,433
 1,031
ICON Capital, LLC Administrative services provider Administrative services expense(2) 433
 425
 1,204
 1,151
 Administrative services provider Administrative services expense(2) —
 —
 —
 461
CIG Sponsor Recoupment of expense support(2) —
 —
 —
 667
Apollo Investment Administration, L.P. Administrative services provider Transaction costs(2) 49
 —
 109
 —
 $8,543
 $5,943
 $23,710
 $16,717
 $14,514
 $15,237
 $43,735
 $33,093
(1)Amounts charged directly to equity.
(2)Amounts charged directly to operations.
On December 28, 2016, the Company entered into an amended and restated follow-on dealer manager agreement with CIM and CION Securities, LLC (formerly, ICON Securities, LLC), or CION Securities, in connection with the Company's follow-on continuous public offering.offering, which ended on January 25, 2019. Under the amended and restated dealer manager agreement, the dealer manager fee was reduced from up to 3% to up to 2% of gross offering proceeds and selling commissions to the selling dealers were reduced from up to 7% to up to 3% of gross offering proceeds. Such costs arewere charged against capital in excess of par value when incurred. Since commencing its initial continuous public offering on July 2, 2012 and through November 8, 2017,January 25, 2019, the Company paid or accrued sales commissions of $64,317$65,278 to the selling dealers and dealer manager fees of $31,878$32,628 to CION Securities.

CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

The Company has entered into an investment advisory agreement with CIM. On November 1, 2017,5, 2019, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of the investment advisory agreement for a period of twelve months commencing December 17, 2017.2019.  Pursuant to the investment advisory agreement, CIM is paid an annual base management fee equal to 2.0% of the average value of the Company’s gross assets, less cash and cash equivalents, and an incentive fee based on the Company’s performance, as described below. The base management fee is payable quarterly in arrears and is calculated based on the two most recently completed calendar quarters. The incentive fee consists of two parts. The first part, which is referred to as the subordinated incentive fee on income, is calculated and payable quarterly in arrears based on “pre-incentive fee net investment income” for the immediately preceding quarter and is subject to a hurdle rate, measured quarterly and expressed as a rate of return on adjusted capital, as defined in the investment advisory agreement, equal to 1.875% per quarter, or an annualized rate of 7.5%. For the three and nine months ended September 30, 2019, the Company recorded subordinated incentive fees on income of $4,983 and $14,475, respectively. For the three and nine months ended September 30, 2018, the Company recorded subordinated incentive fees on income of $5,573, which was payable as of September 30, 2018. The second part of the incentive fee, which is referred to as the capital gains incentive fee, on capital gains, is described in Note 2.

The Company accrues the capital gains incentive fee based on net realized gains and net unrealized appreciation; however, under the terms of the investment advisory agreement, the fee payable to CIM is based on net realized gains and unrealized depreciation and no such fee is payable with respect to unrealized appreciation unless and until such appreciation is actually realized. For the three and nine months ended September 30, 2017,2019 and 2018, the Company had no liability for and did not record any capital gains incentive fees.
With respect to the TRS, CIM became entitled to receive a capital gains incentive fee upon the termination of the TRS, at which point all net gains and losses of the underlying loans constituting the reference assets of the TRS were realized. See Note 2 for an additional discussion of CIM’s entitlement to receive payment of incentive fees and the Company’s accrual of the incentive fee on capital gains with respect to the TRS.

The Company entered into an administration agreement with CIM’s affiliate, ICON Capital, LLC, or ICON Capital, pursuant to which ICON Capital furnishes the Company with administrative services including accounting, investor relations and other administrative services necessary to conduct its day-to-day operations. On November 1, 2017, the board of directors of the Company, including a majority of the board of directors who are not interested persons, approved the renewal of the administration agreement for a period of twelve months commencing December 17, 2017. ICON Capital is reimbursed for administrative expenses it incurs on the Company’s behalf in performing its obligations, provided that such reimbursement will be for the lower of ICON Capital’s actual costs or the amount that the Company would be required to pay for comparable administrative services in the same geographic location. Such costs will be reasonably allocated to the Company on the basis of assets, revenues, time records or other reasonable methods. The Company will not reimburse ICON Capital for any services for which it receives a separate fee or for rent, depreciation, utilities, capital equipment or other administrative items allocated to a person with a controlling interest in ICON Capital. 

Under the terms of the investment advisory agreement, CIM and certain of its affiliates, which includes CIG, are entitled to receive reimbursement of up to 1.5% of the gross proceeds raised until all offering and organizational costs have been reimbursed. The Company’s payment of offering and organizational costs will not exceed 1.5% of the actual gross proceeds raised from the offerings (without giving effect to any potential expense support from CIG and its affiliates)affiliates, which includes CIM). If the Company sells the maximum number of shares at its latest public offering price of $9.70 per share, the Company estimates that it may incur up to approximately $29,894 of expenses. With respect to any reimbursements for offering and organizational costs, the Company will interpretinterprets the 1.5% limit based on actual gross proceeds raised at the time of such reimbursement.  In addition, the Company will not issue any of its shares or other securities for services or for property other than cash or securities except as a dividend or distribution to its security holders or in connection with a reorganization. 
From inception through December 31, 2012, CIG and its affiliates incurred offering, organizational and other pre-effective costs of $2,012. Of these costs, $1,812 represented offering and organizational costs, all of which have been submitted to the Company for reimbursement. The Company paid $450 in October 2013, $550 in March 2014, $592 in May 2014 and $420 in March 2015.  No additional material offering, organizational or other pre-effective costs have been incurred by CIG or its affiliates subsequent to December 31, 2012.
Reinvestment of shareholder distributions and share repurchases are excluded from the gross proceeds from the Company’s offerings for purposes of determining the total amount of offering and organizational costs that can be paid by the Company. As of September 30, 2017,2019, the Company raised gross offering proceeds of $1,103,448,$1,155,287, of which it can pay up to $16,552$17,329 in offering and organizational costs (which represents 1.5% of the actual gross offering proceeds raised). Through September 30, 2017,2019, the Company paid $9,876$10,702 of such costs, leaving an additional $6,676$6,627 that can be paid. As of November 8, 2017,

The Company entered into an administration agreement with CIM’s affiliate, ICON Capital, LLC, or ICON Capital, pursuant to which ICON Capital furnished the Company raised gross offering proceedswith administrative services including accounting, investor relations and other administrative services necessary to conduct its day-to-day operations. ICON Capital was reimbursed for administrative expenses it incurred on the Company’s behalf in performing its obligations, provided that such reimbursement was for the lower of $1,109,750,ICON Capital’s actual costs or the amount that the Company would have been required to pay for comparable administrative services in the same geographic location. Such costs were reasonably allocated to the Company on the basis of assets, revenues, time records or other reasonable methods. The Company did not reimburse ICON Capital for any services for which it can pay upreceived a separate fee or for rent, depreciation, utilities, capital equipment or other administrative items allocated to $16,646a person with a controlling interest in offering and organizational costs (which represents 1.5%ICON Capital.

On April 1, 2018, the Company entered into an administration agreement with CIM for the purpose of replacing ICON Capital with CIM as the Company's administrator pursuant to the terms of the actual gross offering proceeds raised). Throughadministration agreement. No other material terms of the administration agreement with ICON Capital were amended in connection with the administration agreement with CIM. On November 8, 2017,5, 2019, the board of directors of the Company, paid $9,914including a majority of the board of directors who are not interested persons, approved the renewal of the administration agreement with CIM for a period of twelve months commencing December 17, 2019.

On January 1, 2019, the Company entered into a servicing agreement with CIM’s affiliate, Apollo Investment Administration, L.P., or AIA, pursuant to which AIA furnishes the Company with administrative services including, but not limited to, loan and high yield trading services, trade and settlement support, and monthly valuation reports and support for all broker quoted investments. AIA is reimbursed for administrative expenses it incurs on the Company’s behalf in performing its obligations, provided that such reimbursement is reasonable, and costs leaving an additional $6,732 that canand expenses incurred are documented. The servicing agreement may be paid.terminated at any time, without the payment of any penalty, by either party, upon 60 days' written notice to the other party.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

On January 30, 2013, the Company entered into the expense support and conditional reimbursement agreement with CIG, whereby CIG agreed to provide expense support to the Company in an amount that is sufficient to: (1) ensure that no portion of the Company’s distributions to shareholders will be paid from its offering proceeds or borrowings, and/or (2) reduce the Company’s operating expenses until it has achieved economies of scale sufficient to ensure that it bears a reasonable level of expense in relation to its investment income. On December 13, 2013 and January 16, 2015, the Company and CIG amended the expense support and conditional reimbursement agreement to extend the termination date of such agreement from January 30, 2014 to January 30, 2015 and from January 30, 2015 to December 31, 2015, respectively. On December 16, 2015 and December 14, 2016, the Company further amended and restated the expense support and conditional reimbursement agreement for purposes of including AIM as a party to the agreement. On January 2, 2018, the Company entered into an expense support and conditional reimbursement agreement with CIM for purposes of, among other things, replacing CIG and extendingAIM with CIM as the expense support provider pursuant to the terms of the expense support and conditional reimbursement agreement. On December 26, 2018, the Company and CIM amended the expense support and conditional reimbursement agreement to extend the termination date of such agreement from December 31, 20162018 to December 31, 2017, respectively. Commencing with the quarter beginning January 1, 2016, CIG and AIM each agreed to provide expense support to the Company for 50% of its expenses as described above.
For the three and nine months ended September 30, 2017 and 2016, the Company did not receive any expense support from CIG or AIM.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

2019.
Pursuant to the expense support and conditional reimbursement agreement, the Company will have a conditional obligation to reimburse CIGCIM for any amounts funded by CIGCIM under such agreement (i) if expense support amounts funded by CIGCIM exceed operating expenses incurred during any fiscal quarter, (ii) if the sum of the Company’s net investment income for tax purposes, net capital gains and the amount of any dividends and other distributions paid to the Company on account of investments in portfolio companies (to the extent not included in net investment income or net capital gains for tax purposes) exceeds the distributions paid by the Company to shareholders, and (iii) during any fiscal quarter occurring within three years of the date on which CIGCIM funded such amount. Pursuant to the second amended and restated expense support and conditional reimbursement agreement, the Company will have a conditional obligation to reimburse CIG and AIM for any amounts funded by CIG and AIM under the same circumstances described above. The obligation to reimburse CIG and AIMCIM for any expense support provided by CIG and AIMCIM under such agreement is further conditioned by the following: (i) in the period in which reimbursement is sought, the ratio of operating expenses to average net assets, when considering the reimbursement, cannot exceed the ratio of operating expenses to average net assets, as defined, for the period when the expense support was provided; (ii) in the period when reimbursement is sought, the annualized distribution rate cannot fall below the annualized distribution rate for the period when the expense support was provided; and (iii) the expense support can only be reimbursed within three years from the date the expense support was provided.

Expense support, if any, will be determined as appropriate to meet the objectives of the expense support and conditional reimbursement agreement. During the three months ended September 30, 2016, the Company did not record an obligation to repay expense support from CIG or AIM. During the nine months ended September 30, 2016, the Company recorded an obligation to repay expense support from CIG of $667. The Company did not record any obligation to repay expense support from CIG or AIMCIM during the three or nine months ended September 30, 2017. During the three and nine months ended September 30, 2016, the Company repaid expense support to CIG of $548 and $1,147,2018 or 2019, respectively. The Company did not repay any expense support to CIG or AIMCIM during the three orand nine months ended September 30, 2017.2018 or 2019, respectively. The Company may or may not be requested to reimburse any future expense support provided by CIG or AIM.in the future.
The Company AIM, or CIGCIM may terminate the expense support and conditional reimbursement agreement at any time. CIG and AIM haveCIM has indicated that they expectit expects to continue such expense support until they believeto ensure that the Company has achieved economies of scale sufficient to ensure that it bears a reasonable level of expenses in relation to its income. If the Company terminates the investment advisory agreement with CIM, the Company may be required to repay CIG and AIM all unreimbursed expense support funded by CIG and AIMCIM within three years of the date of termination. There will be no acceleration or increase of such repayment obligation at termination of the investment advisory agreement with CIM. The specific amount of expense support provided by CIG and AIM,CIM, if any, will be determined at the end of each quarter. There can be no assurance that the expense support and conditional reimbursement agreement will remain in effect or that CIG and AIMCIM will support any portion of the Company’s expenses in future quarters.
As of September 30, 20172019 and December 31, 2016,2018, the total liability payable to CIM and its affiliates was $7,931$14,574 and $6,508,$12,825, respectively, which primarily related to fees earned by CIM during the three months ended September 30, 20172019 and December 31, 2016,2018, respectively.
Because CIM’s senior management team is comprised of substantially the same personnel as the senior management team of the Company’s affiliate, ICON Capital, which is the investment manager to certain equipment finance funds, or equipment funds, such members of senior management provide investment advisory and management services to the equipment funds in addition to the Company. In the event that CIM undertakes to provide investment advisory services to other clients in the future, it will strive to allocate investment opportunities in a fair and equitable manner consistent with the Company’s investment objective and strategies so that the Company will not be disadvantaged in relation to any other client of the investment adviser or its senior management team. However, it is currently possible that some investment opportunities will be provided to the equipment funds or other clients of CIM rather than to the Company.

Indemnifications
The investment advisory agreement, the administration agreement and the dealer manager agreement each provide certain indemnifications from the Company to the other relevant parties to such agreements.  The Company’s maximum exposure under these agreements is unknown. However, the Company has not experienced claims or losses pursuant to these agreements and believes the risk of loss related to such indemnifications to be remote.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

Note 5. Distributions
From February 1, 2014 through July 17, 2017, the Company’s board of directors authorized and declared on a monthly basis a weekly distribution amount per share of common stock. On July 18, 2017, the Company's board of directors authorized and declared on a quarterly basis a weekly distribution amount per share of common stock. Effective September 28, 2017, the Company's board of directors delegated to the Company's executive officersmanagement the authority to determine the amount, record dates, payment dates and other terms of distributions to shareholders, which will be ratified by the board of directors, each on a quarterly basis. Declared distributions are paid monthly.
During
The Company’s board of directors declared or ratified distributions for 52 and 39 record dates during the year ended December 31, 20162018 and the nine months ended September 30, 2017, the Company’s board of directors declared distributions for 52 and 39 record dates,2019, respectively. Declared distributions are paid monthly.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The following table presents cash distributions per share that were declared during the year ended December 31, 20162018 and the nine months ended September 30, 2017:2019:
  Distributions
Three Months Ended Per Share Amount
2016    
March 31, 2016 (thirteen record dates) $0.1829
 $19,004
June 30, 2016 (thirteen record dates) 0.1829
 19,167
September 30, 2016 (thirteen record dates) 0.1829
 19,480
December 31, 2016 (thirteen record dates) 0.1829
 19,808
Total distributions for the year ended December 31, 2016 $0.7316
 $77,459
     
2017    
March 31, 2017 (thirteen record dates) $0.1829
 $20,123
June 30, 2017 (thirteen record dates) 0.1829
 20,371
September 30, 2017 (thirteen record dates) 0.1829
 20,644
Total distributions for the nine months ended September 30, 2017 $0.5487
 $61,138
  Distributions
Three Months Ended Per Share Amount
2018    
March 31, 2018 (thirteen record dates) $0.1829
 $21,002
June 30, 2018 (thirteen record dates) 0.1829
 21,004
September 30, 2018 (thirteen record dates) 0.1829
 20,776
December 31, 2018 (thirteen record dates) 0.1829
 20,701
Total distributions for the year ended December 31, 2018 $0.7316
 $83,483
     
2019    
March 31, 2019 (thirteen record dates) $0.1829
 $20,772
June 30, 2019 (thirteen record dates) 0.1829
 20,801
September 30, 2019 (thirteen record dates) 0.1829
 20,798
Total distributions for the nine months ended September 30, 2019 $0.5487
 $62,371

On September 28, 2017,26, 2019, the Company’sCompany's co-chief executive officers declared regular weekly cash distributions of $0.014067 per share for October 20172019 through December 2017.2019. Each distribution was or will be paid monthly to shareholders of record as of the weekly record dates set forth below.
Record Date Payment Date Distribution Amount Per Share
October 3, 20171, 2019 November 1, 2017October 30, 2019 $0.014067
October 10, 20178, 2019 November 1, 2017October 30, 2019 $0.014067
October 17, 201715, 2019 November 1, 2017October 30, 2019 $0.014067
October 24, 201722, 2019 November 1, 2017October 30, 2019 $0.014067
October 31, 201729, 2019 November 1, 2017October 30, 2019 $0.014067
November 7, 20175, 2019 November 29, 201727, 2019 $0.014067
November 14, 201712, 2019 November 29, 201727, 2019 $0.014067
November 21, 201719, 2019 November 29, 201727, 2019 $0.014067
November 28, 201726, 2019 November 29, 201727, 2019 $0.014067
December 5, 20173, 2019 December 27, 2017January 2, 2020 $0.014067
December 12, 201710, 2019 December 27, 2017January 2, 2020 $0.014067
December 19, 201717, 2019 December 27, 2017January 2, 2020 $0.014067
December 26, 201724, 2019 January 2, 2020$0.014067
December 27, 201731, 2019January 2, 2020 $0.014067
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

The Company has adopted an “opt in” distribution reinvestment plan for shareholders. As a result, if the Company makes a distribution, shareholders will receive distributions in cash unless they specifically “opt in” to the fifth amended and restated distribution reinvestment plan so as to have their cash distributions reinvested in additional shares of the Company’s common stock.

On November 2, 2015, the Company further amended and restated its distribution reinvestment plan pursuant to the third amended and restated distribution reinvestment plan, or the Third Amended DRIP. The Third Amended DRIP was effective as of, and first applied to the reinvestment of cash distributions paid on or after, the closing of the Company’s initial continuous public offering on December 31, 2015. Under the Third Amended DRIP, cash distributions to participating shareholders were reinvested in additional shares of common stock at a purchase price determined by the Company’s board of directors or a committee thereof, in its sole discretion, that was (i) not less than the net asset value per share determined in good faith by the board of directors or a committee thereof, in their sole discretion, immediately prior to the payment of the distribution, or the NAV Per Share, and (ii) not more than 2.5% greater than the NAV Per Share as of such date. 

On January 22, 2016, the Company further amended and restated its distribution reinvestment plan pursuant to the fourth amended and restated distribution reinvestment plan, or the Fourth Amended DRIP.  The Fourth Amended DRIP became effective as of, and first applied to the reinvestment of cash distributions paid on, March 30, 2016. Under the Fourth Amended DRIP, cash distributions to participating shareholders were reinvested in additional shares of common stock at a purchase price equal to 90% of the public offering price per share in effect as of the date of issuance.
On December 8, 2016, the Company further amended and restated its distribution reinvestment plan pursuant to the fifth amended and restated distribution reinvestment plan, or the Fifth Amended DRIP. The Fifth Amended DRIP became effective as of, and first applied to the reinvestment of cash distributions paid on, February 1, 2017.  Under the Fifth Amended DRIP, cash distributions to participating shareholders will be reinvested in additional shares of common stock at a purchase price equal to the estimated net asset value per share of common stock as of the date of issuance.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The Company may fund its cash distributions to shareholders from any sources of funds available to the Company, including offering proceeds, borrowings, net investment income from operations, capital gains proceeds from the sale of assets, non-capital gains proceeds from the sale of assets, dividends or other distributions paid to it on account of preferred and common equity investments in portfolio companies and expense support from CIG and AIM,CIM, which is subject to recoupment.repayment by the Company within three years. The Company has not established limits on the amount of funds it may use from available sources to make distributions. Through December 31, 2014, a portion of the Company’s distributions resulted from expense support from CIG, and future distributions may result from expense support from CIG and AIM, each of which is subject to repayment by the Company within three years. For the yearsnine months ended September 30, 2019 and the year ended December 31, 2015 and 2016,2018, none of the Company's distributions resulted from expense support from CIG or AIM.CIM. The purpose of this arrangement is to avoid such distributions being characterized as a return of capital. Shareholders should understand that any such distributions are not based on the Company’s investment performance, and can only be sustained if the Company achieves positive investment performance in future periods and/or CIG and AIM continue to provideCIM provides such expense support. Shareholders should also understand that the Company’s future repayments of expense support will reduce the distributions that they would otherwise receive. There can be no assurance that the Company will achieve such performance in order to sustain these distributions, or be able to pay distributions at all. CIG and AIM haveCIM has no obligation to provide expense support to the Company in future periods.

The following table reflects the sources of cash distributions on a GAAP basis that the Company has declared on its shares of common stock during the nine months ended September 30, 20172019 and 2016:2018:
  Nine Months Ended
September 30,
  2017 2016
Source of Distribution Per Share Amount Percentage Per Share Amount Percentage
Net investment income $0.4953
 $55,191
 90.3% $0.3021
 $31,744
 55.1%
Net realized gain on total return swap            
   Net interest and other income from TRS portfolio 0.0329
 3,661
 6.0% 0.2131
 22,386
 38.8%
   Net gain on TRS loan sales(1) 0.0205
 2,286
 3.7% 0.0232
 2,443
 4.2%
Net realized gain on investments and foreign currency —
 —
 —
 0.0103
 1,078
 1.9%
Total distributions $0.5487
 $61,138
 100.0% $0.5487
 $57,651
 100.0%
  Nine Months Ended
September 30,
  2019 2018
Source of Distribution Per Share Amount Percentage Per Share Amount Percentage
Net investment income $0.5487
 $62,371
 100.0% $0.5487
 $62,782
 100.0%
Total distributions $0.5487
 $62,371
 100.0% $0.5487
 $62,782
 100.0%
(1)During the nine months ended September 30, 2017, the Company realized losses on TRS loans of $19,736 primarily due to the purchase of loans by Flatiron Funding II, LLC in connection with the TRS refinancing that were previously held in the TRS and are not currently deductible on a tax-basis. See Note 8 for an additional discussion regarding this purchase. During the nine months ended September 30, 2016, the Company realized losses on TRS loans of $1,030, which are not currently deductible on a tax-basis.
It is the Company's policy to comply with all requirements of the Code applicable to RICs and to distribute substantially all of its taxable income to its shareholders. In addition, by distributing during each calendar year substantially all of its net investment income, net realized capital gains and certain other amounts, if any, the Company intends not to be subject to corporate level federal income tax or federal excise taxes. Accordingly, no federal income tax provision was required.required for the year ended December 31, 2018.  
    
Income and capital gain distributions are determined in accordance with the Code and federal tax regulations, which may differ from amounts determined in accordance with GAAP. These book/tax differences, which could be material, are primarily due to differing treatments of income and gains on various investments held by the Company. Permanent book/tax differences result in reclassifications to capital in excess of par value, accumulated undistributed net investment income accumulated undistributed realized gain on investments, and accumulated undistributed realized gain on total return swap.investments. During 2016, permanent2018, book/tax differences were primarily due to differing treatments of income and gains on various investments held by the treatment of the TRS and non-deductible offering costs resulted in a net decrease in distributions in excess of net investment income, a net decrease in accumulated realized gains and a net decrease to capital in excess of par value. These reclassifications had no effect on net assets.Company.
The determination of the tax attributes of the Company’s distributions is made annually as of the end of the Company’s fiscal year based upon the Company’s taxable income for the full year and distributions paid for the full year. The tax characteristics of distributions to shareholders are reported to shareholders annually on Form 1099-DIV. Except for long term capital gains of $906, allAll distributions for 20162018 were characterized as ordinary income distributions for federal income tax purposes.
The tax components of accumulated earnings for the current year will be determined at year end. As of December 31, 2016,2018, the components of accumulated earningslosses on a tax basis were as follows:
December 31, 2016December 31, 2018
Undistributed ordinary income$3,847
$7,127
Undistributed long term capital gains924
Other accumulated losses(2,933)
Net unrealized depreciation on investments and total return swap(26,398)(73,729)
Total accumulated earnings$(21,627)
Total accumulated losses$(69,535)
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

As of September 30, 2017,2019, the aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost was $23,788;$24,881; the aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value was $47,854;$136,655; the net unrealized depreciation was $24,066;$111,774; and the aggregate cost of securities for Federal income tax purposes was $1,715,921.$1,886,928.

As of December 31, 2016,2018, the aggregate gross unrealized appreciation for all securities in which there was an excess of value over tax cost was $9,389;$11,059; the aggregate gross unrealized depreciation for all securities in which there was an excess of tax cost over value was $20,202;$84,788; the net unrealized depreciation was $10,813;$73,729; and the aggregate cost of securities for Federal income tax purposes was $1,100,291.$1,939,039.
Note 6. Investments
The composition of the Company’s investment portfolio as of September 30, 20172019 and December 31, 20162018 at amortized cost and fair value was as follows:
 September 30, 2017 December 31, 2016 September 30, 2019 December 31, 2018
 Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
 Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
 Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
 Cost(1) 
Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt $1,069,271
 $1,079,520
 69.6% $489,904
 $489,913
 48.1% $1,473,789
 $1,417,752
 80.9% $1,492,034
 $1,462,989
 79.0%
Senior secured second lien debt 404,788
 402,459
 26.0% 437,240
 434,347
 42.6% 289,712
 268,656
 15.3% 341,595
 323,365
 17.4%
Collateralized securities and structured products - debt 28,818
 28,284
 1.8% 39,471
 38,114
 3.7% 10,051
 9,950
 0.6% 15,193
 15,193
 0.8%
Collateralized securities and structured products - equity 31,537
 29,588
 1.9% 37,713
 34,648
 3.4% 16,503
 14,981
 0.9% 16,794
 14,827
 0.8%
Unsecured debt 7,333
 7,331
 0.5% 17,290
 16,851
 1.7%
Equity 5,857
 3,863
 0.2% 4,832
 5,107
 0.5% 52,363
 40,755
 2.3% 38,610
 36,399
 2.0%
Subtotal/total percentage 1,547,604
 1,551,045
 100.0% 1,026,450
 1,018,980
 100.0% 1,842,418
 1,752,094
 100.0% 1,904,226
 1,852,773
 100.0%
Short term investments(2) 140,810
 140,810
   70,498
 70,498
   23,060
 23,060
   12,537
 12,537
  
Total investments $1,688,414
 $1,691,855
   $1,096,948
 $1,089,478
   $1,865,478
 $1,775,154
   $1,916,763
 $1,865,310
  
(1)Cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, for debt investments and cost for equity investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

The following tables show the composition of the Company’s investment portfolio by industry classification and geographic dispersion, and the percentage, by fair value, of the total investment portfolio assets in such industries and geographies as of September 30, 20172019 and December 31, 2016:2018:
 September 30, 2017 December 31, 2016 September 30, 2019 December 31, 2018
Industry Classification 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
High Tech Industries
$229,022
 14.8% $217,339
 21.3%
Healthcare & Pharmaceuticals
222,843
 14.4% 118,337
 11.6% $295,681
 16.9% $325,180
 17.5%
Services: Business
209,615
 13.5% 126,869
 12.5% 217,200
 12.4% 218,888
 11.7%
Media: Diversified & Production
116,013
 7.5% 23,100
 2.3% 197,487
 11.3% 114,303
 6.2%
Media: Advertising, Printing & Publishing 129,763
 7.4% 131,620
 7.1%
Services: Consumer 116,852
 6.7% 133,210
 7.2%
Chemicals, Plastics & Rubber
89,142
 5.8% 27,253
 2.7% 90,544
 5.2% 74,575
 4.0%
Capital Equipment 76,414
 4.4% 98,994
 5.3%
Beverage, Food & Tobacco 66,109
 3.8% 73,494
 4.0%
High Tech Industries 63,732
 3.6% 126,620
 6.8%
Banking, Finance, Insurance & Real Estate 63,562
 3.6% 57,917
 3.1%
Telecommunications
72,967
 4.7% 35,411
 3.5% 62,646
 3.6% 74,261
 4.0%
Services: Consumer
64,137
 4.1% 9,477
 0.9%
Media: Advertising, Printing & Publishing
61,147
 3.9% 54,354
 5.3%
Consumer Goods: Durable
60,992
 3.9% 1,000
 0.1%
Diversified Financials
57,872
 3.7% 72,762
 7.1%
Beverage, Food & Tobacco
54,846
 3.5% 53,658
 5.3%
Capital Equipment
51,899
 3.3% 51,155
 5.0%
Hotel, Gaming & Leisure
45,990
 3.0% 28,974
 2.8%
Automotive
40,347
 2.6% 39,192
 3.9%
Retail
32,052
 2.1% 18,852
 1.9% 60,649
 3.5% 42,450
 2.3%
Aerospace & Defense
28,811
 1.9% 21,780
 2.1%
Banking, Finance, Insurance & Real Estate
27,296
 1.8% 17,636
 1.7%
Energy: Oil & Gas
25,904
 1.7% 12,803
 1.3% 49,513
 2.8% 54,907
 3.0%
Consumer Goods: Non-Durable
16,056
 1.0% 8,611
 0.8% 41,832
 2.4% 37,148
 2.0%
Construction & Building
16,048
 1.0% 39,137
 3.8% 33,026
 1.9% 33,483
 1.8%
Transportation: Cargo 9,844
 0.6% —
 —
 31,407
 1.8% 30,614
 1.7%
Media: Broadcasting & Subscription
6,450
 0.4% 9,776
 1.0%
Hotel, Gaming & Leisure 30,972
 1.8% 54,689
 3.0%
Consumer Goods: Durable 30,811
 1.7% 35,709
 1.9%
Aerospace & Defense 25,505
 1.4% 45,655
 2.5%
Diversified Financials 24,931
 1.4% 30,020
 1.6%
Forest Products & Paper
5,598
 0.4% —
 —
 24,605
 1.4% 19,525
 1.1%
Metals & Mining
3,341
 0.2% 11,349
 1.1% 10,832
 0.6% 10,333
 0.6%
Automotive 8,021
 0.4% 24,645
 1.3%
Environmental Industries
2,813
 0.2% 2,595
 0.3% —
 —
 2,955
 0.2%
Energy: Electricity —
 —
 13,715
 1.3%
Containers, Packaging & Glass —
 —
 3,845
 0.4%
Media: Broadcasting & Subscription —
 —
 1,578
 0.1%
Subtotal/total percentage 1,551,045
 100.0% 1,018,980
 100.0% 1,752,094
 100.0% 1,852,773
 100.0%
Short term investments 140,810
   70,498
   23,060
   12,537
  
Total investments $1,691,855
   $1,089,478
   $1,775,154
   $1,865,310
  
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

 September 30, 2017 December 31, 2016 September 30, 2019 December 31, 2018
Geographic Dispersion(1) 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
United States $1,407,912
 90.8% $916,260
 89.9% $1,665,124
 95.0% $1,740,168
 93.9%
Canada 29,071
 1.7% 27,122
 1.6%
Cayman Islands 31,519
 2.0% 43,234
 4.2% 14,981
 0.9% 14,827
 0.8%
Canada 30,747
 2.0% 16,705
 1.6%
Luxembourg 11,247
 0.6% 13,833
 0.7%
Germany 20,488
 1.3% 24,185
 2.4% 9,950
 0.6% 15,193
 0.8%
Marshall Islands 8,949
 0.5% 9,404
 0.5%
Netherlands 18,171
 1.2% 10,273
 1.0% 8,081
 0.5% 18,015
 1.0%
Luxembourg 17,954
 1.1% —
 —
Marshall Islands 9,844
 0.6% —
 —
Cyprus 4,038
 0.2% 4,616
 0.2%
Bermuda 653
 —
 675
 —
France 5,598
 0.4% —
 —
 —
 —
 5,965
 0.3%
Cyprus 5,124
 0.3% 4,728
 0.5%
United Kingdom 2,813
 0.2% 2,595
 0.3% —
 —
 2,955
 0.2%
Bermuda 875
 0.1% 1,000
 0.1%
Subtotal/total percentage 1,551,045
 100.0% 1,018,980
 100.0% 1,752,094
 100.0% 1,852,773
 100.0%
Short term investments 140,810
   70,498
   23,060
   12,537
  
Total investments $1,691,855
   $1,089,478
   $1,775,154
   $1,865,310
  
(1)The geographic dispersion is determined by the portfolio company's country of domicile.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

As of September 30, 2017,2019 and December 31, 2018, investments on non-accrual status represented 0.9%1.3% and 1.4%, respectively, of the Company's investment portfolio on a fair value basis. As of December 31, 2016, there were no investments on non-accrual status.

The Company does not “control” and is not an “affiliate” of any of its portfolio companies, each as defined in the 1940 Act. In general, under the 1940 Act, the Company would be presumed to “control” a portfolio company or issuer if the Company owned 25% or more of its voting securities and would be an “affiliate” of a portfolio company or issuer if the Company owned 5% or more of its voting securities.
The Company’s investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require the Company to provide funding when requested in accordance with the terms of the underlying agreements. As of September 30, 20172019 and December 31, 2016,2018, the Company’s unfunded commitments amounted to $75,833$64,885 and $25,096,$79,078, respectively. As of November 9, 2017,7, 2019, the Company’s unfunded commitments amounted to $83,077.$66,855. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company.  Refer to Note 1110 for further details on the Company’s unfunded commitments.
Note 7. Derivative Instruments
In the normal course of business and subject to the requirements of the 1940 Act, the Company enters into derivative instruments as part of its investment strategy.

Credit Default Swap

On October 14, 2016, the Company entered into a credit default swap with JPMorgan Chase Bank N.A. with a base notional amount of €22,000, to purchase protection with respect to Deutsche Bank AG exposure. As of December 31, 2016, the fair value of the credit default swap was $46, which is presented as derivative asset on the consolidated balance sheet. The swap terminated on March 20, 2017.

Total Return Swap

On December 17, 2012, the Company, through its wholly-owned consolidated subsidiary, Flatiron Funding, LLC, or Flatiron, entered into a TRS with Citibank, N.A., or Citibank.  Flatiron and Citibank amended the TRS on several occasions, most recently on February 18, 2017 to extend the termination or call date from February 18, 2017 to April 18, 2017. Prior to the call date, the maximum aggregate market value of the portfolio of loans subject to the TRS (determined at the time each such loan became subject to the TRS) was $800,000 and the interest rate payable by Flatiron to Citibank with respect to each loan included in the TRS was a spread of 1.40% per year over the floating rate index specified for each such loan, which would not be less than zero.  On April 18, 2017, the TRS expired in accordance with its terms. The agreements between Flatiron and Citibank, which collectively established the TRS, are referred to herein as the TRS Agreement.     

The value of the TRS was based on the increase or decrease in the value of the loans underlying the TRS, as determined by the Company. The loans underlying the TRS were valued in the same manner as loans owned by the Company.  As of December 31, 2016, the fair value of the TRS was ($15,402). The fair value of the TRS was reflected as unrealized depreciation on total return swap on the Company’s consolidated balance sheets. The change in value of the TRS was reflected in the Company’s consolidated statements of operations as net change in unrealized depreciation on total return swap. As of December 31, 2016, Flatiron had selected 51 underlying loans with a total notional amount of $407,847 and posted $143,335 in cash collateral held by Citibank (of which only $131,073 was required to be posted). As of September 30, 2017, Flatiron had posted $3,620 in cash collateral held by Citibank, which is reflected in due from counterparty on the Company`s consolidated balance sheets.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Receivable on total return swap is composed of any amounts due from Citibank that consist of earned but not yet collected net interest and fees and net gains on sales and principal repayments of the underlying loans of the TRS. As of December 31, 2016, the receivable on total return swap consisted of the following:
  December 31, 2016
Interest and other income from TRS portfolio $5,620
Interest and other expense from TRS portfolio (1,928)
Net gain on TRS loan sales 495
Receivable on total return swap $4,187

Realized gains and losses on the TRS are composed of any gains or losses on loans underlying the TRS as well as net interest and fees earned during the period. For the three and nine months ended September 30, 2017 and 2016, net realized gain (loss) on the TRS consisted of the following:
  Three Months Ended
September 30,		 Nine Months Ended
September 30,
  2017 2016 2017 2016
Interest and other income from TRS portfolio $67
 $9,426
 $6,610
 $32,693
Interest and other expense from TRS portfolio —
 (3,265) (2,949) (10,307)
Net gain (loss) on TRS loan sales —
 2,027
 (17,450) 1,413
Net realized gain (loss)(1) $67
 $8,188
 $(13,789) $23,799
(1)Net realized gain (loss) is reflected in net realized gain (loss) on total return swap on the Company's consolidated statements of operations.
On March 29, 2017, Flatiron Funding II, LLC, or Flatiron Funding II, a newly-formed, wholly-owned, consolidated, special purpose financing subsidiary of the Company, purchased certain loans underlying the TRS with a notional value of $363,860 in connection with the TRS refinancing. See Note 8 for additional information on Flatiron Funding II.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

The following is a summary of the underlying loans subject to the TRS as of December 31, 2016:
Underlying Loans(a) Index Rate(b) Industry 
Notional
Amount
 
Fair
Value(c)
 
Unrealized
Appreciation /
(Depreciation)
Senior Secured First Lien Debt          
Academy, Ltd., L+400, 1.00% LIBOR Floor, 7/1/2022 Various Retail $14,564
 $13,653
 $(911)
Access CIG, LLC, L+500, 1.00% LIBOR Floor, 10/18/2021 3 Month LIBOR Services: Business 6,751
 6,798
 47
ALM Media, LLC, L+450, 1.00% LIBOR Floor, 7/31/2020 3 Month LIBOR Media: Advertising, Printing & Publishing 7,679
 7,328
 (351)
Alvogen Pharma US, Inc., L+500, 1.00% LIBOR Floor, 4/1/2022 3 Month LIBOR Healthcare & Pharmaceuticals 9,430
 9,150
 (280)
American Dental Partners, Inc., L+475, 1.00% LIBOR Floor, 8/29/2021 3 Month LIBOR Healthcare & Pharmaceuticals 12,158
 12,219
 61
American Energy - Marcellus, LLC, L+425, 1.00% LIBOR Floor, 8/4/2020 3 Month LIBOR Energy: Oil & Gas 4,254
 2,370
 (1,884)
American Residential Services, LLC, L+450, 1.00% LIBOR Floor, 6/30/2021 3 Month LIBOR Construction & Building 14,067
 14,269
 202
Aquilex, LLC, L+400, 1.00% LIBOR Floor, 12/31/2020 3 Month LIBOR Chemicals, Plastics & Rubber 1,810
 1,778
 (32)
Avaya Inc., L+525, 1.00% LIBOR Floor, 5/29/2020 3 Month LIBOR Telecommunications 14,542
 12,798
 (1,744)
Azure Midstream Energy, LLC, L+650, 1.00% LIBOR Floor, 11/15/2018 1 Month LIBOR Energy: Oil & Gas 2,375
 2,200
 (175)
Caraustar Industries, Inc., L+675, 1.25% LIBOR Floor, 5/1/2019 3 Month LIBOR Forest Products & Paper 11,954
 12,521
 567
Central Security Group, Inc., L+563, 1.00% LIBOR Floor, 10/6/2020 1 Month LIBOR Services: Consumer 12,915
 13,058
 143
Charming Charlie, LLC, L+800, 1.00% LIBOR Floor, 12/24/2019 3 Month LIBOR Retail 7,723
 4,314
 (3,409)
CSP Technologies North America, LLC, L+600, 1.00% LIBOR Floor, 1/29/2022 3 Month LIBOR Chemicals, Plastics & Rubber 13,385
 13,590
 205
CT Technologies Intermediate Holdings, Inc., L+425, 1.00% LIBOR Floor, 12/1/2021 1 Month LIBOR Healthcare & Pharmaceuticals 14,681
 14,160
 (521)
David's Bridal, Inc., L+400, 1.25% LIBOR Floor, 10/11/2019 3 Month LIBOR Retail 3,339
 3,095
 (244)
DBRS, Inc., L+525, 1.00% LIBOR Floor, 3/4/2022(d) 3 Month LIBOR Services: Business 12,874
 12,094
 (780)
EIG Investors Corp., L+548, 1.00% LIBOR Floor, 11/9/2019(d) 3 Month LIBOR Services: Business 1,773
 1,772
 (1)
Emmis Operating Company, L+600, 1.00% LIBOR Floor, 6/10/2021 3 Month LIBOR Media: Broadcasting & Subscription 7,508
 7,075
 (433)
Evergreen Skills Lux S.À.R.L., L+475, 1.00% LIBOR Floor, 4/28/2021(d) 6 Month LIBOR High Tech Industries 7,174
 6,821
 (353)
Global Cash Access, Inc., L+525, 1.00% LIBOR Floor, 12/18/2020 2 Month LIBOR Hotel, Gaming & Leisure 10,483
 10,406
 (77)
Healogics, Inc., L+425, 1.00% LIBOR Floor, 7/1/2021 3 Month LIBOR Healthcare & Pharmaceuticals 4,829
 4,520
 (309)
IMG Worldwide Holdings, LLC, L+425, 1.00% LIBOR Floor, 5/6/2021 3 Month LIBOR Media: Diversified & Production 7,111
 7,277
 166
LTCG Holdings Corp., L+500, 1.00% LIBOR Floor, 6/6/2020 1 Month LIBOR Services: Business 5,882
 5,409
 (473)
Murray Energy Corp., L+725, 1.00% LIBOR Floor, 4/16/2020 3 Month LIBOR Metals & Mining 3,588
 3,528
 (60)
Navex Global, Inc, L+475, 1.00% LIBOR Floor, 11/19/2021 6 Month LIBOR High Tech Industries 13,597
 13,617
 20
Nielsen & Bainbridge, LLC, L+500, 1.00% LIBOR Floor, 8/15/2020 6 Month LIBOR Consumer Goods: Durable 15,843
 15,942
 99
Oasis Outsourcing Holdings, Inc., L+475, 1.00% LIBOR Floor, 12/26/2021 1 Month LIBOR Services: Business 9,319
 9,472
 153
Onex TSG Holdings II Corp., L+400, 1.00% LIBOR Floor, 7/29/2022 3 Month LIBOR Healthcare & Pharmaceuticals 3,408
 3,441
 33
Opal Acquisition, Inc., L+400, 1.00% LIBOR Floor, 11/27/2020 3 Month LIBOR Healthcare & Pharmaceuticals 10,236
 9,802
 (434)
Pelican Products, Inc., L+425, 1.00% LIBOR Floor, 4/10/2020 3 Month LIBOR Chemicals, Plastics & Rubber 2,493
 2,503
 10
Photonis Technologies SAS, L+750, 1.00% LIBOR Floor, 9/18/2019(d) 3 Month LIBOR Aerospace & Defense 6,337
 5,564
 (773)
PSC Industrial Holdings Corp., L+475, 1.00% LIBOR Floor, 12/5/2020 3 Month LIBOR Services: Business 4,851
 4,741
 (110)
Scientific Games International, Inc., L+500, 1.00% LIBOR Floor, 10/1/2021(d) Various Hotel, Gaming & Leisure 10,400
 10,665
 265
SESAC Holdco II LLC, L+425, 1.00% LIBOR Floor, 2/7/2019 1 Month LIBOR Media: Broadcasting & Subscription 2,935
 2,938
 3
SG Acquisition, Inc., L+525, 1.00% LIBOR Floor, 8/19/2021 3 Month LIBOR Banking, Finance, Insurance & Real Estate 11,414
 11,547
 133
SI Organization, Inc., L+475, 1.00% LIBOR Floor, 11/23/2019 3 Month LIBOR Services: Business 7,746
 7,866
 120
STG-Fairway Acquisitions, Inc., L+525, 1.00% LIBOR Floor, 6/30/2022 3 Month LIBOR Services: Business 3,845
 3,840
 (5)
Survey Sampling International, LLC, L+500, 1.00% LIBOR Floor, 12/16/2020 3 Month LIBOR Services: Business 7,781
 7,899
 118
TIBCO Software Inc., L+550, 1.00% LIBOR Floor, 12/4/2020 1 Month LIBOR High Tech Industries 16,827
 17,319
 492
Travel Leaders Group, LLC, L+600, 1.00% LIBOR Floor, 12/7/2020 1 Month LIBOR Services: Consumer 5,169
 5,176
 7
Vince, LLC, L+500, 1.00% LIBOR Floor, 11/27/2019(d) 3 Month LIBOR Retail 1,124
 1,093
 (31)
Western Dental Services, Inc., L+650, 1.00% LIBOR Floor, 11/1/2018 3 Month LIBOR Healthcare & Pharmaceuticals 5,573
 5,566
 (7)
Total Senior Secured First Lien Debt     351,747
 341,194
 (10,553)
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Underlying Loans(a) Index Rate(b) Industry 
Notional
Amount
 
Fair
Value(c)
 
Unrealized
Appreciation /
(Depreciation)
Senior Secured Second Lien Debt          
Asurion, LLC, L+750, 1.00% LIBOR Floor, 3/3/2021 1 Month LIBOR Services: Consumer 7,772
 8,044
 272
Evergreen Skills Lux S.À.R.L., L+825, 1.00% LIBOR Floor, 4/28/2022(d) 6 Month LIBOR High Tech Industries 9,798
 7,594
 (2,204)
GOBP Holdings, Inc., L+825, 1.00% LIBOR Floor, 10/21/2022 3 Month LIBOR Retail 3,940
 4,010
 70
Mergermarket USA, Inc., L+650, 1.00% LIBOR Floor, 2/4/2022 3 Month LIBOR Services: Business 6,965
 6,842
 (123)
Onex Carestream Finance LP, L+850, 1.00% LIBOR Floor, 12/7/2019 3 Month LIBOR Healthcare & Pharmaceuticals 13,600
 11,318
 (2,282)
Pelican Products, Inc., L+825, 1.00% LIBOR Floor, 4/11/2021 3 Month LIBOR Chemicals, Plastics & Rubber 8,050
 7,830
 (220)
PFS Holding Corp., L+725, 1.00% LIBOR Floor, 1/31/2022 1 Month LIBOR Retail 4,973
 4,636
 (337)
Securus Technologies Holdings, Inc., L+775, 1.25% LIBOR Floor, 4/30/2021 3 Month LIBOR Telecommunications 1,002
 977
 (25)
Total Senior Secured Second Lien Debt     56,100
 51,251
 (4,849)
Total     $407,847
 $392,445
 $(15,402)
(a)All of the underlying loans subject to the TRS were issued by eligible U.S. portfolio companies, as defined in the 1940 Act, except for investments specifically identified as non-qualifying per note (d) below. The Company did not control and was not an affiliate of any of the companies that were issuers of the underlying loans subject to the TRS.
(b)The 1, 2, 3, and 6 month LIBOR rates were 0.77%, 0.82%, 1.00% and 1.32%, respectively, as of December 31, 2016. The actual LIBOR rate for each loan listed may not be the applicable LIBOR rate as of December 31, 2016, as the loan may have been priced or repriced based on a LIBOR rate prior to or subsequent to December 31, 2016.
(c)Fair value determined in good faith by the Company’s board of directors (see Note 9) using significant unobservable inputs unless otherwise noted.
(d)All or a portion of the underlying loan subject to the TRS was not a qualifying asset under the 1940 Act. A business development company may not acquire any asset other than qualifying assets, unless, at the time the acquisition is made, qualifying assets represent at least 70% of the company’s total assets as defined under Section 55 of the 1940 Act. As of December 31, 2016, 90.5% of the Company’s total assets represented qualifying assets. In addition, as described in this Note 7, the Company calculated its compliance with the qualifying asset test on a “look through” basis by treating each loan underlying the TRS as either a qualifying asset or non-qualifying asset based on whether the obligor was an eligible portfolio company. On this basis, 89.1% of the Company’s total assets represented qualifying assets as of December 31, 2016.
(e)For the year ended December 31, 2016, the following underlying loans subject to the TRS contained a PIK interest provision whereby the issuer had either the option or the obligation to make interest payments with the issuance of additional securities:
    Interest Rate Interest Amount
Issuer of Underlying Loan Investment Type Cash PIK All-in-Rate Cash PIK Total
Smile Brands Group, Inc.(f) Senior Secured First Lien Debt 7.50% 1.50% 9.00% $233
 $41
 $274
Southcross Holdings Borrower LP(g) Senior Secured First Lien Debt 3.50% 5.50% 9.00% $1
 $1
 $2
(f)Outstanding principal and accrued interest of the underlying loan was fully repaid on August 17, 2016.
(g)Prior to December 31, 2016, the underlying loan was assigned to the Company and removed from the TRS.
Note 8.7. Financing Arrangements

The following table presents summary information with respect to the Company’s outstanding financing arrangements as of September 30, 2017:2019: 
Arrangement Type of Arrangement Rate Amount Outstanding Amount Available Maturity Date
Financing Arrangement Type of Financing Arrangement Rate Amount Outstanding Amount Available Maturity Date
Citibank Credit Facility Revolving Credit Facility L+2.00% $281,698
 $43,302
 March 29, 2019 Revolving Credit Facility L+2.00% $277,542
 $72,458
 March 30, 2022
JPM Credit Facility Term Loan Credit Facility L+3.50% 224,423
 577
 August 23, 2020 Term Loan Credit Facility L+3.00% 250,000
 25,000
 August 24, 2021
UBS Facility Repurchase Agreement L+3.50% 125,000
 —
 May 19, 2020 Repurchase Agreement L+3.50% 200,000
 —
 May 19, 2020
MS Credit Facility Revolving Credit Facility L+3.00% 115,000
 35,000
 December 19, 2022
 $842,542
 $132,458
 

Citibank Credit Facility
    
On March 29, 2017, Flatiron Funding II entered into a senior secured credit facility with Citibank. The senior secured credit facility with Citibank, or the Citibank Credit Facility, providesprovided for a revolving credit facility in an aggregate principal amount of $325,000, subject to compliance with a borrowing base. On March 29, 2017 and September 26, 2017, Flatiron Funding II drew down $231,698 and $50,000 of borrowings under the Citibank Credit Facility, respectively.

On July 11, 2017, Flatiron Funding II amended the Citibank Credit Facility, or the Amended Citibank Credit Facility, with Citibank to make certain immaterial administrative amendments as a result of the termination of AIM as the Company's investment sub-adviser as discussed in Note 1.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

On March 14, 2019, Flatiron Funding II further amended the Citibank Credit Facility, or the Second Amended Citibank Credit Facility, with Citibank to (i) increase the aggregate principal amount available for borrowings from $325,000 to $350,000, subject to compliance with a borrowing base, (ii) extend the reinvestment period for two years until March 29, 2021 and (iii) extend the maturity date until March 30, 2022.
As of December 31, 2018, the principal amount outstanding on the Amended Citibank Credit Facility was $298,542. As of September 30, 2019 and November 7, 2019, the principal amount outstanding on the Second Amended Citibank Credit Facility was $277,542 and $264,042, respectively.

Advances under the Second Amended Citibank Credit Facility bear interest at a floating rate equal to (1) the higher of (a) the Citibank prime rate, (b) the federal funds rate plus 1.5% or (c) the three-month LIBOR plus 1.0%, plus (2) a spread of (a) 2% per year during the period from and including March 29, 2017 and the earlier of March 29, 20192021 and the date the Second Amended Citibank Credit Facility matures, or (b) 3% per year during the period from the date the Second Amended Citibank Credit Facility matures until all obligations under the Second Amended Citibank Credit Facility have been paid in full. Interest is payable quarterly in arrears. All advances under the Second Amended Citibank Credit Facility will mature, and all accrued and unpaid interest thereunder will be due and payable, by no later than March 30, 2020.2022. Flatiron Funding II may prepay advances pursuant to the terms and conditions of the credit and security agreement, subject to a 0.75% or 0.50% premium ifagreement. Flatiron Funding II must repay 50% of advances under the amount of theSecond Amended Citibank Credit Facility is reduced or terminatedoutstanding on or prior to March 29, 2018 or March 29, 2019, respectively.2021 by September 15, 2021. In addition, Flatiron Funding II will be subject to a non-usage fee of 0.75% per year (subject to an increase to 2% in certain circumstances) on the amount, if any, of the aggregate principal amount available under the Second Amended Citibank Credit Facility that has not been borrowed. The non-usage fees, if any, are payable quarterly in arrears. Flatiron Funding II incurred certain customary costs and expenses in connection with obtaining and amending the Citibank Credit Facility.

The Company incurred debt issuance costs of $1,945$3,373 in connection with obtaining and amending the Citibank Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Second Amended Citibank Credit Facility, which is included in the Company’s consolidated balance sheet as of September 30, 2017sheets and will amortize to interest expense over the term of the Second Amended Citibank Credit Facility. At September 30, 2017,2019, the unamortized portion of the debt issuance costs was $1,615.$1,725.

Flatiron Funding II purchased loans and other corporate debt securities with a fair value of $354,967 on the closing date pursuant to master participation and assignment agreements between Flatiron Funding II and each of 15th Street Loan Funding LLC and 15th Street Loan Funding 2 LLC, each a special purpose subsidiary of Citibank. 15th Street Loan Funding LLC and 15th Street Loan Funding 2 LLC held loans and other corporate debt securities in connection with the TRS Agreementtotal return swap between Citibank and Flatiron.Flatiron Funding, LLC, which expired in accordance with its terms on April 18, 2017. Flatiron Funding II’s obligations to Citibank under the Second Amended Citibank Credit Facility are secured by a first priority security interest in all of the assets of Flatiron Funding II. The obligations of Flatiron Funding II under the Second Amended Citibank Credit Facility are non-recourse to the Company, and the Company’s exposure under the Second Amended Citibank Credit Facility is limited to the value of the Company’s investment in Flatiron Funding II. 

In connection with the Second Amended Citibank Credit Facility, Flatiron Funding II has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. FromAs of and for the inception of the Citibank Credit Facility on March 29, 2017 tonine months ended September 30, 2017,2019, Flatiron Funding II was in compliance with all covenants and reporting requirements.

For the three and nine months ended September 30, 20172019 and the period from March 29, 2017 through September 30, 2017,2018, the components of interest expense, average borrowings, and weighted average interest rate for the Second Amended Citibank Credit Facility were as follows:
 Three Months Ended
September 30,		 Nine Months Ended
September 30,
 Three Months Ended
September 30, 2017		 Period from March 29, 2017 to September 30, 2017 2019 2018 2019 2018
Stated interest expense $1,953
 $3,860
 $3,526
 $3,507
 $10,129
 $9,929
Amortization of deferred financing costs 174
 163
 508
 484
Non-usage fee 173
 356
 65
 22
 282
 24
Amortization of deferred financing costs 174
 330
Total interest expense $2,300
 $4,546
 $3,765
 $3,692
 $10,919
 $10,437
Weighted average interest rate(1) 3.54% 3.50% 4.43% 4.41% 4.67% 4.09%
Average borrowings $234,416
 $233,042
 $316,129
 $313,400
 $293,849
 $320,787
(1)Includes the stated interest expense and non-usage fee, if any, on the unused portion of the Second Amended Citibank Credit Facility and is annualized for periods covering less than one year.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

JPM Credit Facility

On August 26, 2016, 34th Street Funding, LLC, or 34th Street, a newly-formed, wholly-owned, consolidated, special purpose financing subsidiary of the Company, entered into a senior secured credit facility with JPMorgan Chase Bank, National Association, or JPM. The senior secured credit facility with JPM, or the JPM Credit Facility, provided for borrowings in an aggregate principal amount of $150,000, of which $25,000 may be funded as a revolving credit facility, each subject to conditions described in the JPM Credit Facility. On August 26, 2016, 34th Street drew down $57,000 of borrowings under the JPM Credit Facility. On August 21, 2018, 34th Street drew down $25,577 of additional borrowings under the Amended JPM Credit Facility (as defined below).

On September 30, 2016, and July 11, 2017, November 28, 2017 and May 23, 2018, 34th Street amended and restated the JPM Credit Facility, or the Amended JPM Credit Facility, with JPM. Under the Amended JPM Credit Facility entered into on September 30, 2016, the aggregate principal amount available for borrowings was increased from $150,000 to $225,000, of which $25,000 may be funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility. On September 30, 2016, 34th Street drew down $167,423 of additional borrowings under the Amended JPM Credit Facility, a portion of which was used to purchase the portfolio of loans from Credit Suisse Park View BDC, Inc. Under the Amended JPM Credit Facility entered into on July 11, 2017 and November 28, 2017, certain immaterial administrative amendments were made as a result of the termination of AIM as the Company's investment sub-adviser as discussed in Note 1. No other material terms of the JPM Credit Facility were revised in connection withUnder the Amended JPM Credit Facility.Facility entered into on May 23, 2018, the aggregate principal amount available for borrowings was increased from $225,000 to $275,000, of which $25,000 may be funded as a revolving credit facility, subject to conditions described in the Amended JPM Credit Facility, and the maturity date was extended to August 24, 2021.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
As of December 31, 2018 and September 30, 2017
(in thousands, except share and per share amounts)
2019, the principal amount outstanding on the Amended JPM Credit Facility was $250,000.

Advances under the Amended JPM Credit Facility bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.00% per year, which was reduced from 3.50% per year.under the Amended JPM Credit Facility entered into on May 23, 2018. Interest is payable quarterly in arrears. All advances under the Amended JPM Credit Facility will mature, and all accrued and unpaid interest thereunder will be due and payable, by no later than August 23, 2020.24, 2021. 34th Street may prepay advances pursuant to the terms and conditions of the Amended JPM Credit Facility, subject to a 1% premium in certain circumstances. In addition, 34th Street will be subject to a non-usage fee of 0.5% and 1.0% per year on the amount, if any, of the aggregate principal amount available under the Amended JPM Credit Facility that has not been borrowed during the period from the closing date and ending on, but excluding, MayAugust 23, 2017, or the Ramp-Up Period, and from the termination of the Ramp-Up Period2018, and ending on, but excluding, August 23, 2019, respectively.24, 2020. The non-usage fees, if any, are payable quarterly in arrears.

The Company contributed loans and other corporate debt securities to 34th Street in exchange for 100% of the membership interests of 34th Street, and may contribute additional loans and other corporate debt securities to 34th Street in the future. 34th Street’s obligations to JPM under the Amended JPM Credit Facility are secured by a first priority security interest in all of the assets of 34th Street. The obligations of 34th Street under the Amended JPM Credit Facility are non-recourse to the Company, and the Company’s exposure under the Amended JPM Credit Facility is limited to the value of the Company’s investment in 34th Street.  

In connection with the Amended JPM Credit Facility, 34th Street has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. As of and for the nine months ended September 30, 2017,2019, 34th Street was in compliance with all covenants and reporting requirements.

The Company incurred debt issuance costs of $3,515$4,052 in connection with obtaining and amending the JPM Credit Facility, which were recorded as a direct reduction to the outstanding balance of the Amended JPM Credit Facility, which is included in the Company’s consolidated balance sheetssheet as of September 30, 2019 and will amortize to interest expense over the term of the Amended JPM Credit Facility. At September 30, 2017,2019, the unamortized portion of the debt issuance costs was $2,554.$1,155.

For the three and nine months ended September 30, 2017,2019 and 2018, the components of interest expense, average borrowings, and weighted average interest rate for the Amended JPM Credit Facility were as follows:
 Three Months Ended
September 30,		 Nine Months Ended
September 30,
 Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 2019 2018 2019 2018
Stated interest expense $2,770
 $7,978
 $3,446
 $3,234
 $10,529
 $9,145
Amortization of deferred financing costs 222
 660
 154
 364
 612
 789
Non-usage fee 1
 3
 64
 64
 190
 93
Total interest expense $2,993
 $8,641
 $3,664
 $3,662
 $11,331
 $10,027
Weighted average interest rate(1) 4.74% 4.61% 5.49% 5.47% 5.65% 5.34%
Average borrowings $224,423
 $224,423
 $250,000
 $235,822
 $250,000
 $228,265
(1)Includes the stated interest expense and non-usage fee, if any, on the unused portion of the Amended JPM Credit Facility and is annualized for periods covering less than one year.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

UBS Facility

On May 19, 2017, the Company, through two newly-formed, wholly-owned, special-purpose financing subsidiaries, entered into a financing arrangement with UBS AG, London Branch, or UBS, pursuant to which up to $125,000 will bewas made available to the Company.

Pursuant to the financing arrangement, assets in the Company's portfolio may be contributed from time to time to Murray Hill Funding II, LLC, or Murray Hill Funding II, through Murray Hill Funding, LLC, or Murray Hill Funding, each a newly-formed, wholly-owned, special-purpose financing subsidiary of the Company. On May 19, 2017, the Company contributed assets to Murray Hill Funding II. The assets held by Murray Hill Funding II secure the obligations of Murray Hill Funding II under Class A Notes, or the Notes, issued by Murray Hill Funding II. Pursuant to an Indenture, dated May 19, 2017, between Murray Hill Funding II and U.S. Bank National Association, or U.S. Bank, as trustee, or the Indenture, the aggregate principal amount of Notes that may be issued by Murray Hill Funding II from time to time iswas $192,308. Murray Hill Funding purchased the Notes issued by Murray Hill Funding II at a purchase price equal to their par value. Murray Hill Funding makes capital contributions to Murray Hill Funding II to, among other things, maintain the value of the portfolio of assets held by Murray Hill Funding II.

Principal on the Notes will be due and payable on the stated maturity date of May 19, 2027. Pursuant to the Indenture, Murray Hill Funding II has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar transactions. The Indenture contains events of default customary for similar transactions, including, without limitation: (a) the failure to make principal payments on the Notes at their stated maturity or any earlier redemption date or to make interest payments on the Notes and such failure is not cured within three business days; (b) the failure to disburse amounts in accordance with the priority of payments and such failure is not cured within three business days; and (c) the occurrence of certain bankruptcy and insolvency events with respect to Murray Hill Funding II or Murray Hill Funding.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

Murray Hill Funding, in turn, has entered into a repurchase transaction with UBS, pursuant to the terms of a Global Master Repurchase Agreement and the related Annex and Master Confirmation thereto, each dated May 19, 2017, or collectively, the UBS Facility. Pursuant to the UBS Facility, on May 19, 2017 and June 19, 2017, UBS purchased Notes held by Murray Hill Funding for an aggregate purchase price equal to 65% of the principal amount of Notes purchased. Subject to certain conditions, the maximum principal amount of Notes that may be purchased under the UBS Facility iswas $192,308. Accordingly, the aggregate maximum amount payable to Murray Hill Funding under the UBS Facility willwould not exceed $125,000. Murray Hill Funding will repurchase the Notes sold to UBS under the UBS Facility by no later than May 19, 2020. The repurchase price paid by Murray Hill Funding to UBS will be equal to the purchase price paid by UBS for the repurchased Notes (giving effect to any reductions resulting from voluntary partial prepayment(s)). If the UBS Facility is accelerated prior to May 19, 2020 due to an event of default or a mandatory or voluntary full payment by Murray Hill Funding, then Murray Hill Funding must pay to UBS a fee equal to the present value of the spread portion of the financing fees that would have been payable to UBS from the date of acceleration through May 19, 2020 had the acceleration not occurred. The financing fee under the UBS Facility is equal to the three-month LIBOR plus a spread of up to 3.50% per year for the relevant period.

On December 1, 2017, Murray Hill Funding II amended and restated the Indenture, or the Amended Indenture, pursuant to which the aggregate principal amount of Notes that may be issued by Murray Hill Funding II was increased from $192,308 to $266,667. Murray Hill Funding will purchase the Notes to be issued by Murray Hill Funding II from time to time. On December 1, 2017, Murray Hill Funding entered into a First Amended and Restated Master Confirmation to the Global Master Repurchase Agreement, or the Amended Master Confirmation, which sets forth the terms of the repurchase transaction between Murray Hill Funding and UBS under the UBS Facility. As part of the Amended Master Confirmation, on December 15, 2017 and April 2, 2018, UBS purchased the increased aggregate principal amount of Notes held by Murray Hill Funding for an aggregate purchase price equal to 75% of the principal amount of Notes issued. As a result of the Amended Master Confirmation, the aggregate maximum amount payable to Murray Hill Funding and made available to the Company under the UBS Facility was increased from $125,000 to $200,000. No other material terms of the UBS Facility were revised in connection with the Amended UBS Facility.

UBS may require Murray Hill Funding to post cash collateral if, without limitation, the sum of the market value of the portfolio of assets and the cash and eligible investments held by Murray Hill Funding II, together with any posted cash collateral, is less than the required margin amount under the UBS Facility; provided, however, that Murray Hill Funding will not be required to post cash collateral with UBS until such market value has declined at least 10% from the initial market value of the portfolio assets.

The Company has no contractual obligation to post any such cash collateral or to make any payments to UBS on behalf of Murray Hill Funding. The Company may, but is not obligated to, increase its investment in Murray Hill Funding for the purpose of funding any cash collateral or payment obligations for which Murray Hill Funding becomes obligated in connection with the Amended UBS Facility. The Company’s exposure under the Amended UBS Facility is limited to the value of the Company’s investment in Murray Hill Funding.

Pursuant to the Amended UBS Facility, Murray Hill Funding has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar transactions. The Amended UBS Facility contains events of default customary for similar financing transactions, including, without limitation: (a) failure to transfer the Notes to UBS on the applicable purchase date or repurchase the Notes from UBS on the applicable repurchase date; (b) failure to pay certain fees and make-whole amounts when due; (c) failure to post cash collateral as required; (d) the occurrence of insolvency events with respect to Murray Hill Funding; and (e) the admission by Murray Hill Funding of its inability to, or its intention not to, perform any of its obligations under the Amended UBS Facility.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

Murray Hill Funding paid an upfront fee and incurred certain other customary costs and expenses totaling $1,786$2,637 in connection with obtaining the Amended UBS Facility, which were recorded as a direct reduction to the outstanding balance of the Amended UBS Facility, which is included in the Company’s consolidated balance sheets and will amortize to interest expense over the term of the Amended UBS Facility. At September 30, 2017,2019, the unamortized portion of the upfront fee and other expenses was $1,567.$596.

As of September 30, 2017,2019, Notes in the aggregate principal amount of $192,308$266,667 had been purchased by Murray Hill Funding from Murray Hill Funding II and subsequently sold to UBS under the Amended UBS Facility for aggregate proceeds of $125,000.$200,000. The carrying amount outstanding under the Amended UBS Facility approximates its fair value. The Company funded each purchase of Notes by Murray Hill Funding through a capital contribution to Murray Hill Funding. As of September 30, 2017,2019, the amount due at maturity under the Amended UBS Facility was $125,000.$200,000. The Notes issued by Murray Hill Funding II and purchased by Murray Hill Funding eliminate in consolidation on the Company’s consolidated financial statements.

As of September 30, 2017,2019, the fair value of assets held by Murray Hill Funding II was $248,916.$332,386.

For the period from May 19, 2017 throughthree and nine months ended September 30, 2017,2019 and 2018, the components of interest expense, average borrowings, and weighted average interest rate for the Amended UBS Facility were as follows:
 Three Months Ended
September 30,		 Nine Months Ended
September 30,
 Three Months Ended September 30, 2017 Period from May 19, 2017 to September 30, 2017 2019 2018 2019 2018
Stated interest expense $1,480
 $2,009
 $2,988
 $3,027
 $9,138
 $7,885
Amortization of deferred financing costs 147
 219
 237
 237
 703
 703
Total interest expense $1,627
 $2,228
 $3,225
 $3,264
 $9,841
 $8,588
Weighted average interest rate(1) 4.74% 4.72% 5.85% 5.92% 6.02% 5.55%
Average borrowings $125,000
 $113,519
 $200,000
 $200,000
 $200,000
 $187,500
(1)Includes the stated interest expense and non-usage fee, if any, on the unused portion of the Amended UBS Facility and is annualized for periods covering less than one year.
East West BankMS Credit Facility

On April 30, 2015, the CompanyDecember 19, 2017, 33rd Street entered into a senior secured credit facility, or the MS Credit Facility, with MS. The MS Credit Facility provided for a revolving credit facility or the EWB Credit Facility, with East West Bank, or EWB. The EWB Credit Facility provided for borrowings in an aggregate principal amount of up to $40,000,$200,000, subject to certain conditions, andcompliance with a borrowing base.
Advances under the Company was required to maintain $2,000 in a demand deposit account with EWB at all times. On April 27, 2017, the EWBMS Credit Facility expiredwill be available through December 19, 2020 and will bear interest at a floating rate equal to the three-month LIBOR, plus a spread of (i) 3.0% per year through December 19, 2020 and (ii) 3.5% per year thereafter through December 19, 2022. Interest is payable quarterly in accordance with its terms. Through the expiration date, the Company was in compliance with all covenants and reporting requirementsarrears. All advances under the EWBMS Credit Facility will mature, and all accrued and unpaid interest thereunder will be due and payable, by no later than December 19, 2022. In addition, 33rd Street will be subject to a non-usage fee of 0.75% per year that accrues for each day of an accrual period on the amount by which $200,000 exceeds the greater of (x) the aggregate principal amount, if any, of the advances outstanding on such day and (y) during the period from June 20, 2018 through December 19, 2020, 75% of $200,000 (or such smaller amount if the committed facility amount is reduced pursuant to the terms and conditions of the loan and servicing agreement). The non-usage fees, if any, are payable quarterly in arrears. 33rd Street incurred certain customary costs and expenses in connection with obtaining the MS Credit Facility.

On July 9, 2018, 33rd Street amended and restated the MS Credit Facility to make certain immaterial administrative amendments. 33rd Street further amended and restated the MS Credit Facility, or the Amended MS Credit Facility, with MS on December 18, 2018. Pursuant to the amendment, 33rd Street may prepay advances pursuant to the terms and conditions of the loan and servicing agreement subject to a 2% or 1% premium if the amount of the Amended MS Credit Facility is reduced or terminated on or prior to December 19, 2019 or December 19, 2020, respectively.

Pursuant to the terms of the loan and servicing agreement, on March 15, 2019, 33rd Street reduced the aggregate principal amount available for borrowings under the Amended MS Credit Facility from $200,000 to $150,000.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

In connection with the Amended MS Credit Facility, 33rd Street has made certain representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. The Amended MS Credit Facility contains customary events of default for similar financing transactions, including, without limitation: (a) the failure to make any payment when due and thereafter (other than with respect to payments of principal and interest), within one business day following the earlier of (i) 33rd Street becoming aware of such failure; or (ii) notice of such default is provided by MS; (b) the insolvency or bankruptcy of 33rd Street, the Company or CIM; (c) a change of control of 33rd Street shall have occurred or CIM ceases to be the investment advisor of the Company; (d) the failure by 33rd Street to make any payment when due in connection with any of its other indebtedness having an aggregate value of at least $500, or any other default by 33rd Street of any agreement related to such indebtedness; (e) any representation, warranty, condition or agreement of 33rd Street, the Company or CIM under the loan and servicing agreement is incorrect or not performed, which if capable of being cured, is not cured within 30 days; and (f) the failure to satisfy certain financial covenants, which if capable of being cured, is not cured within the time period specified in the loan and servicing agreement. Upon the occurrence and during the continuation of an event of default, MS may declare the outstanding advances and all other obligations under the Amended MS Credit Facility immediately due and payable.
The Company contributed loans and other corporate debt securities to 33rd Street in exchange for 100% of the membership interests of 33rd Street, and may contribute additional loans and other corporate debt securities to 33rd Street in the future. 33rd Street's obligations to MS under the Amended MS Credit Facility are secured by a first priority security interest in all of the assets of 33rd Street. The obligations of 33rd Street under the Amended MS Credit Facility are non-recourse to the Company, and the Company's exposure under the Amended MS Credit Facility is limited to the value of the Company's investment in 33rd Street. 33rd Street has appointed CIM to manage its portfolio.

On June 5, 2018, June 12, 2018 and June 28, 2018, 33rd Street drew down $25,000, $75,000 and $50,000 of borrowings under the MS Credit Facility, respectively. On May 8, 2019, May 23, 2019 and July 29, 2019, 33rd Street repaid $20,000, $5,000 and $10,000 of borrowings under the MS Credit Facility, respectively. As of September 30, 2019 and December 31, 2018, the principal amount outstanding on the Amended MS Credit Facility was $115,000 and $150,000, respectively. As of November 7, 2019, the principal amount outstanding on the Amended MS Credit Facility was $112,500.

33rd Street paid an upfront fee and incurred certain other customary costs and expenses totaling $2,591 in connection with obtaining and amending the MS Credit Facility, which the Company initially recorded as prepaid expenses and other assets on the Company’s consolidated balance sheets and will amortize to interest expense over the term of the Amended MS Credit Facility. On June 5, 2018, unamortized upfront fees were recorded as a direct reduction to the outstanding balance of the Amended MS Credit Facility, which is included in the Company’s consolidated balance sheet as of September 30, 2019. At September 30, 2019, the unamortized portion of the upfront fee and other expenses was $1,669.
For the three and nine months ended September 30, 20172019 and 2016,2018, the components of interest expense, average borrowings, and weighted average interest rate for the EWBAmended MS Credit Facility were as follows:
Three Months Ended
September 30,
 Nine Months Ended
September 30,		 Three Months Ended
September 30,		 Nine Months Ended
September 30,
2017 2016 2017 2016 2019 2018 2019 2018
Stated interest expense $1,648
 $2,057
 $5,712
 $2,373
Amortization of deferred financing costs 130
 130
 387
 387
Non-usage fee$—
 $46
 $65
 $147
 61
 96
 167
 858
Amortization of deferred financing costs—
 51
 63
 177
Stated interest expense—
 44
 —
 44
Total interest expense$—
 $141
 $128
 $368
 $1,839
 $2,283
 $6,266
 $3,618
Weighted average interest rate(1)—
 8.62% —
 18.25% 5.66% 5.61% 5.76% 7.26%
Average borrowings$—
 $4,109
 $—
 $1,380
 $118,043
 $150,000
 $134,560
 $58,700
(1)Includes the stated interest expense and non-usage fee, if any, on the unused portion of the Amended MS Credit Facility and is annualized for periods covering less than one year.
CĪON Investment Corporation
(1) Includes the stated interest expenseNotes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and non-usage fee on the unused portion of the EWB Credit Facility.per share amounts)

Note 9.8. Fair Value of Financial Instruments
 
The following table presents fair value measurements of the Company’s portfolio investments and TRS as of September 30, 20172019 and December 31, 2016,2018, according to the fair value hierarchy: 
 September 30, 2017 December 31, 2016
 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
Senior secured first lien debt$—
 $—
 $1,079,520
 $1,079,520
 $—
 $—
 $489,913
 $489,913
Senior secured second lien debt—
 —
 402,459
 402,459
 —
 —
 434,347
 434,347
Collateralized securities and structured products - debt—
 —
 28,284
 28,284
 —
 —
 38,114
 38,114
Collateralized securities and structured products - equity—
 —
 29,588
 29,588
 —
 —
 34,648
 34,648
Unsecured debt—
 —
 7,331
 7,331
 —
 —
 16,851
 16,851
Equity—
 —
 3,863
 3,863
 —
 —
 5,107
 5,107
Short term investments140,810
 —
 —
 140,810
 70,498
 —
 —
 70,498
Total Investments$140,810
 $—
 $1,551,045
 $1,691,855
 $70,498
 $—
 $1,018,980
 $1,089,478
Total return swap$—
 $—
 $—
 $—
 $—
 $—
 $(15,402) $(15,402)
Credit default swap—
 —
 —
 —
 —
 46
 —
 46
Total Derivatives$—
 $—
 $—
 $—
 $—
 $46
 $(15,402) $(15,356)
Total Investments and Derivatives$140,810
 $—
 $1,551,045
 $1,691,855
 $70,498
 $46
 $1,003,578
 $1,074,122
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)
 September 30, 2019 December 31, 2018
 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
Senior secured first lien debt$—
 $—
 $1,417,752
 $1,417,752
 $—
 $—
 $1,462,989
 $1,462,989
Senior secured second lien debt—
 —
 268,656
 268,656
 —
 —
 323,365
 323,365
Collateralized securities and structured products - debt—
 —
 9,950
 9,950
 —
 —
 15,193
 15,193
Collateralized securities and structured products - equity—
 —
 14,981
 14,981
 —
 —
 14,827
 14,827
Equity5,951
 —
 34,804
 40,755
 7,323
 —
 29,076
 36,399
Short term investments23,060
 —
 —
 23,060
 12,537
 —
 —
 12,537
Total Investments$29,011
 $—
 $1,746,143
 $1,775,154
 $19,860
 $—
 $1,845,450
 $1,865,310

The following tables provide a reconciliation of the beginning and ending balances for investments that use Level 3 inputs for the three and nine months ended September 30, 20172019 and 2016:2018:
 Three Months Ended
September 30, 2017
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, June 30, 2017$1,062,513
 $413,690
 $29,113
 $30,190
 $—
 $3,554
 $—
 $1,539,060
Investments purchased215,514
 61,505
 —
 —
 7,331
 853
 —
 285,203
Net realized (loss) gain(5,600) 2,805
 (5) —
 —
 —
 67
 (2,733)
Net change in unrealized appreciation (depreciation)5,400
 (3,079) 253
 (328) (2) (544) —
 1,700
Accretion of discount1,825
 690
 13
 —
 2
 —
 —
 2,530
Sales and principal repayments(200,132) (73,152) (1,090) (274) —
 —
 (67) (274,715)
Ending balance, September 30, 2017$1,079,520
 $402,459
 $28,284
 $29,588
 $7,331
 $3,863
 $—
 $1,551,045
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2017(1)$1,205
 $(1,434) $253
 $(328) $(2) $(544) $—
 $(850)
 Three Months Ended
September 30, 2019
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Equity Total
Beginning balance, June 30, 2019$1,452,981
 $291,549
 $13,305
 $15,414
 $39,333
 $1,812,582
Investments purchased93,322
 89
 —
 —
 1,931
 95,342
Net realized gain (loss)89
 26
 (426) —
 —
 (311)
Net change in unrealized (depreciation) appreciation(17,454) 1,134
 (1) (337) (6,460) (23,118)
Accretion of discount3,367
 356
 —
 —
 —
 3,723
Sales and principal repayments(114,553) (24,498) (2,928) (96) —
 (142,075)
Ending balance, September 30, 2019$1,417,752
 $268,656
 $9,950
 $14,981
 $34,804
 $1,746,143
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2019(1)$(15,950) $1,031
 $(1) $(337) $(6,460) $(21,717)
(1)Included in net change in unrealized (depreciation) appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.
 Nine Months Ended
September 30, 2017
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, December 31, 2016$489,913
 $434,347
 $38,114
 $34,648
 $16,851
 $5,107
 $(15,402) $1,003,578
Investments purchased951,502
 179,814
 —
 —
 8,420
 1,025
 —
 1,140,761
Net realized (loss) gain(8,883) 4,256
 2
 (451) 163
 —
 (13,789) (18,702)
Net change in unrealized appreciation (depreciation)10,240
 564
 823
 1,116
 437
 (2,269) 15,402
 26,313
Accretion of discount4,768
 1,940
 60
 —
 31
 —
 —
 6,799
Sales and principal repayments(368,020) (218,462) (10,715) (5,725) (18,571) —
 13,789
 (607,704)
Ending balance, September 30, 2017$1,079,520
 $402,459
 $28,284
 $29,588
 $7,331
 $3,863
 $—
 $1,551,045
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2017(1)$10,033
 $1,612
 $596
 $1,116
 $(2) $(2,269) $—
 $11,086
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.

CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)

 Three Months Ended
September 30, 2016
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, June 30, 2016$168,798
 $431,875
 $40,288
 $34,397
 $28,275
 $72
 $(27,601) $676,104
Investments purchased255,919
 40,108
 —
 —
 —
 5,540
 —
 301,567
Net realized gain153
 226
 —
 —
 —
 —
 8,188
 8,567
Net change in unrealized appreciation (depreciation)2,372
 8,736
 1,625
 848
 1,369
 (2) 9,527
 24,475
Accretion of discount339
 208
 27
 —
 32
 —
 —
 606
Sales and principal repayments(14,022) (21,721) (5,000) (856) —
 —
 (8,188) (49,787)
Ending balance, September 30, 2016$413,559
 $459,432
 $36,940
 $34,389
 $29,676
 $5,610
 $(18,074) $961,532
Change in net unrealized appreciation (depreciation) on investments still held as of September 30, 2016(1)$1,987
 $8,712
 $1,625
 $848
 $1,369
 $(2) $9,868
 $24,407
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.
 Nine Months Ended
September 30, 2016
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity 
Total Return
Swap
 Total
Beginning balance, December 31, 2015$104,187
 $453,713
 $41,663
 $24,604
 $26,740
 $—
 $(34,900) $616,007
Investments purchased337,712
 94,931
 —
 10,000
 2,704
 5,615
 —
 450,962
Net realized gain268
 799
 —
 —
 11
 —
 23,799
 24,877
Net change in unrealized appreciation (depreciation)991
 10,395
 195
 2,169
 2,842
 (5) 16,826
 33,413
Accretion of discount692
 574
 82
 —
 94
 —
 —
 1,442
Sales and principal repayments(30,291) (100,980) (5,000) (2,384) (2,715) —
 (23,799) (165,169)
Ending balance, September 30, 2016$413,559
 $459,432
 $36,940
 $34,389
 $29,676
 $5,610
 $(18,074) $961,532
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2016(1)$(421) $8,495
 $135
 $2,169
 $2,842
 $(5) $14,399
 $27,614
(1)Included in net change in unrealized appreciation on investments in the consolidated statements of operations except where related to the total return swap, which is included in net change in unrealized appreciation on total return swap.operations.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

 Nine Months Ended
September 30, 2019
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Equity Total
Beginning balance, December 31, 2018$1,462,989
 $323,365
 $15,193
 $14,827
 $29,076
 $1,845,450
Investments purchased(1)366,000
 14,769
 —
 —
 13,908
 394,677
Net realized (loss) gain(2,893) 13
 (475) —
 (155) (3,510)
Net change in unrealized (depreciation) appreciation(26,992) (2,826) (101) 445
 (8,025) (37,499)
Accretion of discount8,939
 1,119
 —
 —
 —
 10,058
Sales and principal repayments(1)(390,291) (67,784) (4,667) (291) —
 (463,033)
Ending balance, September 30, 2019$1,417,752
 $268,656
 $9,950
 $14,981
 $34,804
 $1,746,143
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2019(2)$(30,222) $(2,949) $(101) $445
 $(8,025) $(40,852)
(1)Includes non-cash restructured securities.
(2)Included in net change in unrealized (depreciation) appreciation on investments in the consolidated statements of operations.
 Three Months Ended
September 30, 2018
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Equity Total
Beginning balance, June 30, 2018$1,378,155
 $365,598
 $14,903
 $16,050
 $18,680
 $1,793,386
Investments purchased283,715
 2,982
 —
 —
 10,501
 297,198
Net realized gain455
 70
 —
 —
 —
 525
Net change in unrealized (depreciation) appreciation(9,488) (2,196) —
 378
 616
 (10,690)
Accretion of discount4,612
 486
 —
 —
 —
 5,098
Sales and principal repayments(261,480) (16,722) —
 (96) —
 (278,298)
Ending balance, September 30, 2018$1,395,969
 $350,218
 $14,903
 $16,332
 $29,797
 $1,807,219
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2018(1)$(4,934) $(2,062) $—
 $378
 $616
 $(6,002)
(1)Included in net change in unrealized (depreciation) appreciation on investments in the consolidated statements of operations.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

 Nine Months Ended
September 30, 2018
 Senior Secured First Lien Debt Senior Secured Second Lien Debt Collateralized Securities and Structured Products - Debt Collateralized Securities and Structured Products - Equity Unsecured Debt Equity Total
Beginning balance, December 31, 2017$1,100,336
 $333,944
 $25,289
 $18,525
 $7,639
 $16,277
 $1,502,010
Investments purchased892,550
 98,462
 —
 —
 —
 13,738
 1,004,750
Net realized (loss) gain(2,053) (5,112) —
 137
 21
 —
 (7,007)
Net change in unrealized (depreciation) appreciation(11,703) 928
 122
 731
 14
 (218) (10,126)
Accretion of discount12,326
 1,211
 362
 —
 4
 —
 13,903
Sales and principal repayments(595,487) (79,215) (10,870) (3,061) (7,678) —
 (696,311)
Ending balance, September 30, 2018$1,395,969
 $350,218
 $14,903
 $16,332
 $—
 $29,797
 $1,807,219
Change in net unrealized (depreciation) appreciation on investments still held as of September 30, 2018(1)$(9,235) $(4,144) $295
 $304
 $—
 $(218) $(12,998)
(1)Included in net change in unrealized (depreciation) appreciation on investments in the consolidated statements of operations.
Significant Unobservable Inputs
The valuation techniques and significant unobservable inputs used in recurring Level 3 fair value measurements of investments as of September 30, 20172019 and December 31, 20162018 were as follows:
 September 30, 2017 September 30, 2019
 Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1) Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1)
Senior secured first lien debt $697,598
 Discounted Cash Flow Discount Rates 5.7% - 51.9% 9.8% $984,871
 Discounted Cash Flow Discount Rates 5.0% — 19.9% 9.7%
 361,263
 Broker Quotes Broker Quotes N/A N/A 388,241
 Broker Quotes Broker Quotes N/A N/A
 20,659
 Market Comparable Approach EBITDA Multiple 3.50x - 9.00x 6.45x 40,129
 Market Comparable Approach EBITDA Multiple 3.50x — 9.00x 5.74x
   Revenue Multiple 0.75x - 1.00x 0.88x 3,478
 Revenue Multiple 0.60x N/A
 1,033
 Other(2) Other(2) N/A N/A
Senior secured second lien debt 204,912
 Broker Quotes Broker Quotes N/A N/A 151,841
 Discounted Cash Flow Discount Rates 9.9% — 13.9% 11.1%
 188,147
 Discounted Cash Flow Discount Rates 8.3% - 26.8% 10.4% 115,765
 Broker Quotes Broker Quotes N/A N/A
 9,400
 Market Comparable Approach EBITDA Multiple 7.50x - 8.50x 7.74x 1,050
 Market Comparable Approach EBITDA Multiple 7.62x N/A
Collateralized securities and structured products - debt 28,284
 Discounted Cash Flow Discount Rates 7.5% - 11.0% 9.9% 9,950
 Discounted Cash Flow Discount Rates 16.0% N/A
Collateralized securities and structured products - equity 29,588
 Discounted Cash Flow Discount Rates 14.0% - 15.0% 14.7% 14,981
 Discounted Cash Flow Discount Rates 12.5% — 16.0% 13.8%
Unsecured debt 7,331
 Discounted Cash Flow Discount Rates N/A 13.1%
Equity 3,827
 Market Comparable Approach EBITDA Multiple 4.75x - 20.00x 7.82x 13,864
 Market Comparable Approach EBITDA Multiple 5.50x — 9.75x 8.28x
 

 Revenue Multiple 0.50x - 0.75x 0.57x 7,399
 Revenue Multiple 0.30x — 4.00x 0.74x
 36
 Options Pricing Model Expected Volatility 31.0% - 32.0% 31.5% 12,637
 Discounted Cash Flow Discount Rates 12.1% N/A
 900
 Options Pricing Model Expected Volatility 31.5% — 89.2% 36.0%
 4
 Broker Quotes Broker Quotes N/A N/A
Total $1,551,045
  $1,746,143
 
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value based on expected outcome of proposed corporate transactions and/or other factors.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

 December 31, 2016 December 31, 2018
 Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1) Fair Value 
Valuation Techniques/
Methodologies
 
Unobservable
Inputs
 Range Weighted Average(1)
Senior secured first lien debt $417,736
 Discounted Cash Flow Discount Rates 6.0% - 21.3% 16.5% $959,417
 Discounted Cash Flow Discount Rates 3.0% - 32.5% 10.6%
 61,846
 Broker Quotes Broker Quotes N/A N/A 497,641
 Broker Quotes Broker Quotes N/A N/A
 10,331
 Market Comparable Approach EBITDA Multiple 4.00x - 6.00x 4.78x 2,270
 Market Comparable Approach EBITDA Multiple 4.00x - 5.00x 4.00x
 1,298
 Revenue Multiple 0.15x - 0.20x 0.18x
 2,363
 Other(2) Other(2) N/A N/A
Senior secured second lien debt 291,189
 Discounted Cash Flow Discount Rates 8.5% - 20.6% 10.5% 170,578
 Discounted Cash Flow Discount Rates 9.6% - 25.7% 11.9%
 129,219
 Broker Quotes Broker Quotes N/A N/A
 13,939
 Market Comparable Approach EBITDA Multiple 6.50x - 9.50x 8.09x 145,734
 Broker Quotes Broker Quotes N/A N/A
   Revenue Multiple 0.65x - 0.90x 0.65x 7,053
 Market Comparable Approach EBITDA Multiple 8.25x - 9.25x 8.79x
Collateralized securities and structured products - debt 38,114
 Discounted Cash Flow Discount Rates 7.8% - 11.0% 10.1% 15,193
 Discounted Cash Flow Discount Rates 11.0% N/A
Collateralized securities and structured products - equity 34,648
 Discounted Cash Flow Discount Rates 9.3% - 17.0% 13.8% 14,827
 Discounted Cash Flow Discount Rates 13.3% - 15.0% 13.9%
Unsecured debt 16,851
 Broker Quotes Broker Quotes N/A N/A
Equity 4,946
 Market Comparable Approach EBITDA Multiple 3.75x - 10.50x 7.23x 24,077
 Market Comparable Approach EBITDA Multiple 4.00x - 10.00x 7.96x
 161
 Options Pricing Model Expected Volatility N/A 36.2% 3,236
 Revenue Multiple 0.15x - 1.25x 1.00x
Total return swap (1,002) Discounted Cash Flow Discount Rates 5.1% - 14.6% 7.3%
 1,461
 Broker Quotes Broker Quotes N/A N/A
 (14,400) Broker Quotes Broker Quotes N/A N/A 302
 Options Pricing Model Expected Volatility 33.0% - 110.7% 56.7%
Total $1,003,578
  $1,845,450
   
(1)Weighted average amounts are based on the estimated fair values.
(2)Fair value based on expected outcome of proposed corporate transactions and/or other factors.

The significant unobservable inputs used in the fair value measurement of the Company’s senior secured first lien debt, senior secured second lien debt, collateralized securities and structured products, unsecured debt,and equity and total return swap are discount rates, EBITDA multiples, revenue multiples, broker quotes and expected volatility. A significant increase or decrease in discount rates would result in a significantly lower or higher fair value measurement, respectively. A significant increase or decrease in the EBITDA multiples, revenue multiples, expected proceeds from proposed corporate transactions, broker quotes and expected volatility would result in a significantly higher or lower fair value measurement, respectively.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

Note 10.9. General and Administrative Expense
General and administrative expense consisted of the following items for the three and nine months ended September 30, 20172019 and 2016:2018:
Three Months Ended
September 30,		 Nine Months Ended
September 30,		Three Months Ended
September 30,		 Nine Months Ended
September 30,
2017 2016 2017 20162019 2018 2019 2018
Valuation expense$463
 $125
 $989
 $350
Transfer agent expense321
 307
 947
 926
$325
 $310
 $928
 $956
Professional fees147
 680
 943
 1,284
131
 268
 801
 1,221
Dues and subscriptions223
 177
 630
 621
Valuation expense168
 179
 510
 550
Accounting and administrative costs191
 143
 394
 508
Director fees and expenses125
 69
 327
 207
119
 114
 359
 356
Insurance expense102
 105
 309
 271
108
 118
 312
 321
Printing and other related costs59
 177
 291
 520
Dues and subscriptions82
 182
 241
 584
Printing and marketing expense17
 26
 73
 172
Due diligence fees87
 120
 145
 401
—
 55
 61
 164
Other expenses276
 132
 639
 364
14
 12
 62
 161
Total general and administrative expense$1,803
 $1,892
 $5,220
 $4,944
$1,155
 $1,407
 $3,741
 $4,993

Note 11.10. Commitments and Contingencies
The Company entered into certain contracts with other parties that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not experienced claims or losses pursuant to these contracts and believes the risk of loss related to such indemnifications to be remote.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

As of September 30, 20172019 and December 31, 2016,2018, the Company’s unfunded commitments were as follows:
Unfunded Commitments September 30, 2017(1) December 31, 2016(1)
DFC Global Facility Borrower II LLC(2) $22,800
 $—
Lonestar Prospects, Ltd.(2) 18,985
 —
CF Entertainment Inc. 5,000
 —
Accruent, LLC(2) 4,238
 —
Ministry Brands, LLC(2) 3,537
 5,274
Moss Holding Company(2) 3,278
 —
Visual Edge Technology, Inc.(2) 2,878
 —
Elemica Holdings, Inc.(2) 2,500
 2,500
Studio Movie Grill Holdings, LLC(2) 2,156
 4,127
PDI TA Holdings, Inc.(2) 1,833
 —
Woodstream Corporation(2) 1,553
 —
Teledoc, Inc.(2) 1,250
 —
Island Medical Management Holdings, LLC(2) 1,188
 —
Adams Publishing Group, LLC 1,136
 —
Ivy Hill Middle Market Credit Fund VIII, Ltd.(2) 1,111
 1,111
GTCR-Ultra Acquisition, Inc.(2) 992
 —
Covenant Surgical Partners, Inc.(2) 562
 —
Frontline Technologies Group Holdings LLC(2) 540
 —
American Media, Inc.(2) 296
 711
Tennessee Merger Sub, Inc.(3) —
 10,254
ABG Intermediate Holdings 2 LLC —
 1,119
Total $75,833
 $25,096
Unfunded Commitments September 30, 2019(1) December 31, 2018(1)
Volta Charging, LLC
 $12,000
 $—
Mimeo.com, Inc. 11,500
 13,000
Independent Pet Partners Intermediate Holdings, LLC 7,852
 —
Manna Pro Products, LLC 5,528
 —
CircusTrix Holdings, LLC
 4,904
 5,573
Foundation Consumer Healthcare, LLC
 4,211
 4,211
Lift Brands, Inc.
 3,650
 4,150
Instant Web, LLC
 2,271
 2,704
Moss Holding Company
 2,232
 2,232
Adapt Laser Acquisition, Inc. 2,000
 1,500
Extreme Reach, Inc. 1,744
 —
Adams Publishing Group, LLC
 1,600
 2,069
Anthem Sports & Entertainment Inc. 1,333
 —
Teladoc, Inc.
 1,250
 1,250
Deluxe Entertainment Services Group, Inc. 1,149
 —
Country Fresh Holdings, LLC 735
 —
Woodstream Corp.
 559
 559
Spinal USA, Inc. / Precision Medical Inc.
 239
 —
American Media, Inc.
 128
 1,778
TherapeuticsMD, Inc. —
 25,000
DFC Global Facility Borrower II LLC
 —
 5,317
Ministry Brands, LLC
 —
 2,924
Elemica, Inc.
 —
 2,500
Charming Charlie, LLC
 —
 1,938
Ivy Hill Middle Market Credit Fund VIII, Ltd.
 —
 1,111
OTG Management, LLC
 —
 514
Studio Movie Grill Holdings, LLC
 —
 468
PDI TA Holdings, Inc.
 —
 237
Achilles Acquisition, LLC
 —
 43
Total $64,885
 $79,078
(1)Unless otherwise noted, the funding criteria for these unfunded commitments had not been met at the date indicated.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2017
(in thousands, except share and per share amounts)


(2)As of November 9, 2017, the Company's unfunded commitments were to portfolio companies DFC Global Facility Borrower II LLC, Lonestar Prospects, Ltd., Discovery DJ Holdings, LLC, Moss Holding Company, Elemica Holdings, Inc., Ministry Brands, LLC, Studio Movie Grill Holdings, LLC, Woodstream Corp., Teladoc, Inc., Island Medical Management Holdings, LLC, Visual Edge Technology, Inc., Ivy Hill Middle Market Credit Fund VIII, Ltd., VLS Recovery Services, LLC, GTCR-Ultra Acquisition, Inc., Pathway Partners Vet Management Company, LLC, PDI TA Holdings, Inc., Frontline Technologies Group Holdings LLC, Covenant Surgical Partners, Inc., Accruent, LLC and American Media, Inc., in the amount of $22,800, $18,985, $4,706, $3,278, $2,500, $1,865, $1,608, $1,553, $1,250, $1,188, $1,151, $1,111, $1,108, $992, $906, $815, $540, $459, $157 and $154, respectively. In addition, subsequent to September 30, 2017, the Company entered into unfunded commitments of $12,171 and $3,780 to Centene Corp. and Itron, Inc., respectively.
(3)
As of December 31, 2016, such commitment was subject to the execution of a definitive loan agreement and the consummation of the underlying corporate transaction, and conditional upon receipt of all necessary shareholder, regulatory and other applicable approvals. Prior to September 30, 2017, the unfunded commitment was terminated.
Unfunded commitments to provide funds to companies are not recorded on the Company’s consolidated balance sheets. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for the Company. The Company intends to use cash on hand, short-term investments, proceeds from borrowings, and other liquid assets to fund these commitments should the need arise. For information on the companies to which the Company is committed to fund additional amounts as of September 30, 20172019 and December 31, 2016,2018, refer to the table above and the consolidated schedules of investments. As of November 7, 2019, the Company was committed, upon the satisfaction of certain conditions, to fund an additional $66,855.
CĪON Investment Corporation
Notes to Consolidated Financial Statements(unaudited)
September 30, 2019
(in thousands, except share and per share amounts)

The Company will fund its unfunded commitments from the same sources it uses to fund its investment commitments that are funded at the time they are made (i.e., advances from its financing arrangements and/or cash flows from operations). The Company will not fund its unfunded commitments from future net proceeds generated by securities offerings.offerings, if any. The Company follows a process to manage its liquidity and ensure that it has available capital to fund its unfunded commitments. Specifically, the Company prepares detailed analyses of the level of its unfunded commitments relative to its then available liquidity on a daily basis. These analyses are reviewed and discussed on a weekly basis by the Company’s executive officers and senior members of CIM (including members of the investment committee) and are updated on a “real time” basis in order to ensure that the Company has adequate liquidity to satisfy its unfunded commitments.
Note 12.11. Fee Income
Fee income consists of commitment fees and amendment fees. The following table summarizes the Company’s fee income for the three and nine months ended September 30, 20172019 and 2016:2018:
Three Months Ended
September 30,		 Nine Months Ended
September 30,		Three Months Ended
September 30,		 Nine Months Ended
September 30,
2017 2016 2017 20162019 2018 2019 2018
Amendment fees$984
 $112
 $1,979
 $156
$1,381
 $271
 $1,825
 $815
Commitment fees182
 42
 672
 293
Capital structuring and other fees711
 133
 1,089
 470
Total$1,166
 $154
 $2,651
 $449
$2,092
 $404
 $2,914
 $1,285
For the three and nine months ended September 30, 2017 and 2016,Income from all fee incomefees was non-recurring.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

Note 13.12. Financial Highlights

The following is a schedule of financial highlights as of and for the nine months ended September 30, 20172019 and 2016:2018:
 Nine Months Ended
September 30,		 Nine Months Ended
September 30,
 2017 2016 2019 2018
Per share data:(1)        
Net asset value at beginning of period $9.11
 $8.71
 $8.69
 $9.14
Results of operations:        
Net investment income(2) 0.52
 0.30
 0.57
 0.60
Net realized gain and net change in unrealized appreciation on investments(3) 0.06
 0.17
Net realized gain and net change in unrealized appreciation on total return swap 0.01
 0.39
Net increase in net assets resulting from operations(3) 0.59
 0.86
Net realized and net change in unrealized losses(2) (0.37) (0.13)
Net increase in net assets resulting from operations(2) 0.20
 0.47
Shareholder distributions:        
Distributions from net investment income (0.50) (0.30) (0.55) (0.55)
Distributions from net realized gains (0.05) (0.25)
Net decrease in net assets from shareholders' distributions (0.55) (0.55) (0.55) (0.55)
Capital share transactions:        
Issuance of common stock above net asset value(4) —
 —
Repurchases of common stock(5) —
 —
Issuance of common stock above net asset value(3) —
 —
Repurchases of common stock(4) —
 —
Net increase in net assets resulting from capital share transactions —
 —
 —
 —
Net asset value at end of period $9.15
 $9.02
 $8.34
 $9.06
Shares of common stock outstanding at end of period 114,440,741
 107,920,075
 113,381,782
 112,035,367
Total investment return-net asset value(6) 6.68% 10.25%
Total investment return-net asset value(5) 2.29% 5.23%
Net assets at beginning of period $999,763
 $904,326
 $979,271
 $1,058,691
Net assets at end of period $1,047,187
 $973,191
 $945,461
 $1,015,194
Average net assets $1,020,019
 $922,031
 $974,988
 $1,044,899
Ratio/Supplemental data:        
Ratio of net investment income to average net assets(7) 5.69% 3.47%
Ratio of gross operating expenses to average net assets(8) 4.28% 2.37%
Ratio of expenses (before recoupment of expense support) to average net assets(9) 4.28% 2.30%
Ratio of net expense recoupments to average net assets(10) —
 0.07%
Ratio of net operating expenses to average net assets 4.28% 2.37%
Portfolio turnover rate(11) 46.07% 20.04%
Asset coverage ratio(12) 2.66
 2.85
Ratio of net investment income to average net assets(6) 6.65% 6.58%
Ratio of gross operating expenses to average net assets(6)(7) 8.78% 6.74%
Ratio of expenses to average net assets(6) 8.78% 6.74%
Portfolio turnover rate(8) 21.03% 41.65%
Asset coverage ratio(9) 2.12
 2.13
(1)The per share data for the nine months ended September 30, 20172019 and 20162018 was derived by using the weighted average shares of common stock outstanding during each period.
(2)Net investment income per share includes expense support recoupments to CIG of $0.01 per share for the nine months ended September 30, 2016.
(3)The amount shown for net realized gain and net change in unrealized appreciationlosses on investments is the balancing figure derived from the other figures in the schedule. The amount shown at this caption for a share outstanding throughout the period may not agree with the change in the aggregate gains and losses in portfolio securities for the period because of the timing of sales and repurchases of the Company’s shares in relation to fluctuating market values for the portfolio. As a result, net increase in net assets resulting from operations in this schedule may vary from the consolidated statements of operations.
(4)(3)The continuous issuance of shares of common stock may causehave caused an incremental increase in net asset value per share due to the sale of shares at the then prevailing public offering price and the receipt of net proceeds per share by the Company in excess of net asset value per share on each subscription closing date. The per share impact of the continuous issuance of shares of common stock was an increase to net asset value of less than $0.01 per share during the nine months ended September 30, 20172019 and 2016.2018.
CĪON Investment Corporation
Notes to Consolidated Financial Statements (unaudited)
September 30, 20172019
(in thousands, except share and per share amounts)

(5)(4)Repurchases of common stock may cause an incremental decrease in net asset value per share due to the repurchase of shares at a price in excess of net asset value per share on each repurchase date. The per share impact of repurchases of common stock was a decrease to net asset value of less than $0.01 per share during the nine months ended September 30, 20172019 and 2016.2018.
(6)(5)Total investment return-net asset value is a measure of the change in total value for shareholders who held the Company’s common stock at the beginning and end of the period, including distributions paid or payable during the period. Total investment return-net asset value is based on (i) the beginning period net asset value per share on the first day of the period, (ii) the net asset value per share on the last day of the period of (A) one share plus (B) any fractional shares issued in connection with the reinvestment of monthly distributions, and (iii) the value of distributions payable, if any, on the last day of the period. The total investment return-net asset value calculation assumes that monthly cash distributions are reinvested in accordance with the Company's distribution reinvestment plan then in effect as described in Note 5. The total investment return-net asset value does not consider the effect of the sales load from the sale of the Company’s common stock. The total investment return-net asset value includes the effect of the issuance of shares at a net offering price that is greater than net asset value per share, which causes an increase in net asset value per share. Total returns covering less than a full year are not annualized.
(7)(6)Excluding the impact of the recoupment of expense support by CIG during the period, the ratio of net investment income to average net assets would have been 5.69% and 3.54% for the nine months ended September 30, 2017 and 2016, respectively.Ratio is not annualized.
(8)(7)Ratio of gross operating expenses to average net assets does not include expense support provided by CIG, AIM and/or AIM,CIM, if any.
(9)The ratio of gross expense recoupments to CIG to average net assets for the nine months ended September 30, 2017 and 2016 was 0.00% and (0.07%), respectively.
(10)In order to record an obligation to reimburse CIG for expense support provided, the ratio of gross operating expenses to average net assets, when considering the recoupment, in the period in which recoupment is sought, cannot exceed the ratio of gross operating expenses to average net assets for the period when the expense support was provided. For purposes of this calculation, gross operating expenses include all expenses borne by the Company, except for offering and organizational costs, base management fees, incentive fees, administrative services expenses, other general and administrative expenses owed to CIM and its affiliates and interest expense. For the nine months ended September 30, 2017 and 2016, the ratio of gross operating expenses to average net assets, when considering recoupment of expense support to CIG, if any, was 0.46% and 0.43%, respectively.
(11)(8)Portfolio turnover rate is calculated using the lesser of year-to-date sales or purchases over the average of the invested assets at fair value, excluding short term investments, and is not annualized.
(12)(9)Asset coverage ratio is equal to (i) the sum of (a) net assets at the end of the period and (b) total senior securities outstanding at the end of the period (excluding unfunded commitments), divided by (ii) total senior securities outstanding at the end of the period. For purposes of the asset coverage ratio test applicable to the Company as a BDC, the Company treated the outstanding TRS notional amount at the end of the period, less the total amount of cash collateral posted by Flatiron under the TRS, as senior securities. 
Note 13. Subsequent Event

On October 2, 2019, the Company and BCP Special Opportunities Fund I, LP, or BCP, entered into a limited liability company agreement for purposes of forming, investing in and co-managing CION SOF Funding, LLC, or CION SOF, a joint venture, which will invest primarily in senior secured loans of U.S. middle-market companies. Pursuant to the limited liability company agreement, the Company and BCP committed to contribute to CION SOF up to $87,500 and $12,500, respectively. On October 2, 2019, the Company and BCP contributed a portfolio of loans to CION SOF representing membership equity of $31,289 and $4,470, respectively, in exchange for 87.5% and 12.5%, respectively, of the membership interests of CION SOF.  All portfolio and other material decisions regarding CION SOF must be submitted to its board of managers, which is comprised of four members, two of whom were selected by the Company and the other two were selected by BCP. Further, all portfolio and other material decisions require the affirmative vote of at least one board member from the Company and one board member from BCP.

Contemporaneously, CION SOF entered into a loan and servicing agreement with MS, which provides for a revolving loan facility to CION SOF in an aggregate principal amount of up to $75,000. CION SOF’s obligations to MS under the loan and servicing agreement are secured by a first priority security interest in all of the assets of CION SOF. The obligations of CION SOF under the loan and servicing agreement are non-recourse to the Company, and the Company's exposure under the loan and servicing agreement is limited to its investment in CION SOF.


Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
As used in this Quarterly Report on Form 10-Q, “we,” “us,” “our” or similar terms include CĪON Investment Corporation and its consolidated subsidiaries.
The following discussion should be read in conjunction with our unaudited consolidated financial statements and related notes appearing elsewhere in this Quarterly Report on Form 10-Q and the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2016.2018. In addition to historical information, the following discussion and other parts of this Quarterly Report on Form 10-Q contain forward-looking information that involves risks and uncertainties. Amounts and percentages presented herein may have been rounded for presentation and all dollar amounts, excluding share and per share amounts, are presented in thousands unless otherwise noted.
Forward-Looking Statements
Some of the statements within this Quarterly Report on Form 10-Q constitute forward-looking statements because they relate to future events or our future performance or financial condition. The forward-looking statements contained in this Quarterly Report on Form 10-Q may include statements as to:
our future operating results;
our business prospects and the prospects of our portfolio companies;
the impact of the investments that we expect to make;
the ability of our portfolio companies to achieve their objectives;
our current and expected financings and investments;
the adequacy of our cash resources, financing sources and working capital;
the use of borrowed money to finance a portion of our investments;
the timing of cash flows, if any, from the operations of our portfolio companies;
our contractual arrangements and relationships with third parties;
the actual and potential conflicts of interest with CIM and Apollo and their respective affiliates;
the ability of CIMCIM's and AIMAIM's investment professionals to locate suitable investments for us and the ability of CIM to monitor and administer our investments;
the ability of CIM and AIM and their respectiveits affiliates to attract and retain highly talented professionals;
the dependence of our future success on the general economy and its impact on the industries in which we invest;
the effects of a changing interest rate environment;
our ability to source favorable private investments;
our tax status;
the effect of changes to tax legislation and our tax position;
the tax status of the companies in which we invest; and
the timing and amount of distributions and dividends from the companies in which we invest.
In addition, words such as “anticipate,” “believe,” “expect” and “intend” indicate a forward-looking statement, although not all forward-looking statements include these words. The forward-looking statements contained in this Quarterly Report on Form 10-Q involve risks and uncertainties. Our actual results could differ materially from those implied or expressed in the forward-looking statements for any reason, including the factors set forth in “Risk Factors” in Item 1A of Part II of this Quarterly Report on Form 10-Q. Other factors that could cause actual results to differ materially include: 
changes in the economy;
risks associated with possible disruption in our operations or the economy generally due to terrorism or natural disasters; and
future changes in laws or regulations and conditions in our operating areas.
We have based the forward-looking statements on information available to us on the date of this Quarterly Report on Form 10-Q. Except as required by the federal securities laws, we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise. You are advised to review any additional disclosures that we may make directly to you or through reports that we in the future may file with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. The forward-looking statements contained in this Quarterly Report on Form 10-Q are excluded from the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.


Overview
We were incorporated under the general corporation laws of the State of Maryland on August 9, 2011 and commenced operations on December 17, 2012 upon raising proceeds of $2,500 from persons not affiliated with us, CIM or Apollo. We are an externally managed, non-diversified closed-end management investment company that has elected to be regulated as a BDC under the 1940 Act. We elected to be treated for federal income tax purposes as a RIC, as defined under Subchapter M of the Code.
Our investment objective is to generate current income and, to a lesser extent, capital appreciation for investors. Our portfolio is comprised primarily of investments in senior secured debt, including first lien loans, second lien loans and unitranche loans, and, to a lesser extent, collateralized securities, structured products and other similar securities, unsecured debt, including corporate bonds and long-term subordinated loans, referred to as mezzanine loans, and equity, of private and thinly traded U.S. middle-market companies. In connection with our debt investments, we may receive equity interests such as warrants or options as additional consideration. We may also purchase minorityequity interests in the form of common or preferred equitystock in our target companies, either in conjunction with one of our debt investments or through a co-investment with a financial sponsor.
We are managed by CIM, our affiliate and a registered investment adviser. Pursuant to an investment advisory agreement with us, CIM oversees the management of our activities and is responsible for making investment decisions for our portfolio. We and CIM previously engaged AIM to act as our investment sub-adviser. On November 1, 2017,5, 2019, our board of directors, including a majority of directors who are not interested persons, approved the renewal of the investment advisory agreement with CIM for a period of twelve months commencing December 17, 2017. On November 1, 2016,2019. We and CIM previously engaged AIM to act as our board of directors, including a majority of directors who are not interested persons, approved the renewal of the investment sub-advisory agreement with AIM for a period of twelve months commencing December 17, 2016.sub-adviser.
On July 11, 2017, the members of CIM entered into the Third Amended CIM LLC Agreement with AIM for the purpose of creating a joint venture between AIM and CIG. Under the Third Amended CIM LLC Agreement, AIM became a member of CIM and was issued a newly-created class of membership interests in CIM pursuant to which AIM, among other things, will shareshares in the profits, losses, distributions and expenses of CIM with the other members in accordance with the terms of the Third Amended CIM LLC Agreement, which will ultimately resultresults in CIG and AIM each owning a 50% economic interest in CIM.
On July 10, 2017, our independent directors unanimously approved the termination of the investment sub-advisory agreement with AIM, effective as of July 11, 2017.2017, as part of the new and ongoing relationship among us, CIM and AIM. Although the investment sub-advisory agreement and AIM's engagement as our investment sub-adviser were terminated, AIM continuesAIM's investment professionals continue to perform identicalcertain services for CIM and us, including, without limitation, identifying investment opportunities for approval by CIM.CIM's investment committee. AIM willis not be paid a separate fee in exchange for such services, but will beis entitled to receive distributions as a member of CIM as described above.
On December 4, 2017, the members of CIM entered into the Fourth Amended CIM LLC Agreement. Under the Fourth Amended CIM LLC Agreement, AIM's investment professionals perform certain services for CIM, which include, among other services, (i) assistance with identifying and providing information about potential investment opportunities for approval by CIM’s investment committee; and (ii) providing (a) trade and settlement support; (b) portfolio and cash reconciliation; (c) market pipeline information regarding syndicated deals, in each case, as reasonably requested by CIM; and (d) monthly valuation reports and support for all broker-quoted investments. All of our investment decisions are the sole responsibility of, and are made at the sole discretion of, CIM's investment committee, which consists entirely of CIG personnel.
We seek to meet our investment objective by utilizing the experienced management teamsteam of both CIM, and AIM, which includes theirits access to the relationships and human capital of Apollo, CIG and ICON Capital,its affiliates in sourcing, evaluating and structuring transactions, as well as monitoring and servicing our investments. We focus primarily on the senior secured debt of private and thinly-traded U.S. middle-market companies, which we define as companies that generally possess annual EBITDA of $50 million or less, with experienced management teams, significant free cash flow, strong competitive positions and potential for growth.
Revenue
We primarily generate revenue in the form of interest income on the debt securities that we hold and capital gains on debt or other equity interests that we acquire in portfolio companies. The majority of our senior debt investments bear interest at a floating rate. Interest on debt securities is generally payable quarterly or monthly. In some cases, some of our investments may provide for deferred interest payments or PIK interest. The principal amount of the debt securities and any accrued, but unpaid, interest generally will become due at the maturity date. In addition, we may generate revenue in the form of commitment, capital structuring, or diligence fees, monitoring fees, fees for providing managerial assistance and possibly consulting fees and performance-based fees. Any such fees generated in connection with our investments will be recognized when earned.
Operating Expenses

Our primary operating expenses are the payment of advisory fees under the investment advisory agreement and interest expense on our financing arrangements. Our investment advisory fee compensatesfees compensate CIM for its work in identifying, evaluating, negotiating, executing, monitoring and servicing our investments. We bear all other expenses of our operations and transactions.

Reclassification

Unamortized OID and market discounts/premiums received upon the early repayment of debt investments have been reclassified from net realized gains on investments to interest income. As a result, prior year amounts have been reclassified to conform to the current presentation.


Portfolio Investment Activity for the Three Months Ended September 30, 20172019 and 20162018
The following table summarizes our investment activity, excluding short term investments and PIK securities, for the three months ended September 30, 20172019 and 2016:2018:
 Three Months Ended
September 30,
 2017 2016 Three Months Ended
September 30,
Net Investment Activity Investment Portfolio Total Return Swap Total Investment Portfolio Total Return Swap Total 2019 2018
Purchases and drawdowns 
 
 
 
 
 
 
 
Senior secured first lien debt $215,196
 $—
 $215,196
 $255,919
 $211
 $256,130
 $93,089
 $283,449
Senior secured second lien debt 61,464
 —
 61,464
 40,108
 —
 40,108
 —
 2,981
Unsecured debt 7,331
 —
 7,331
 —
 —
 —
Equity 853
 —
 853
 5,540
 —
 5,540
 1,275
 10,500
Sales and principal repayments (274,648) —
 (274,648) (41,599) (245,657) (287,256) (142,075) (278,298)
Net portfolio activity $10,196
 $—
 $10,196
 $259,968
 $(245,446) $14,522
 $(47,711) $18,632
The following table summarizestables summarize the composition of our investment portfolio at amortized cost and fair value as of September 30, 2017:2019 and December 31, 2018:
 September 30, 2017 September 30, 2019
 Investments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Investments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt $1,069,271
 $1,079,520
 69.6% $1,473,789
 $1,417,752
 80.9%
Senior secured second lien debt 404,788
 402,459
 26.0% 289,712
 268,656
 15.3%
Collateralized securities and structured products - debt 28,818
 28,284
 1.8% 10,051
 9,950
 0.6%
Collateralized securities and structured products - equity 31,537
 29,588
 1.9% 16,503
 14,981
 0.9%
Unsecured debt 7,333
 7,331
 0.5%
Equity 5,857
 3,863
 0.2% 52,363
 40,755
 2.3%
Subtotal/total percentage 1,547,604
 1,551,045
 100.0% 1,842,418
 1,752,094
 100.0%
Short term investments(2) 140,810
 140,810
   23,060
 23,060
  
Total investments $1,688,414
 $1,691,855
   $1,865,478
 $1,775,154
  
Number of portfolio companiesNumber of portfolio companies   161
Number of portfolio companies   135
Average annual EBITDA of portfolio companiesAverage annual EBITDA of portfolio companies $82.9 million Average annual EBITDA of portfolio companies $81.6 million 
Median annual EBITDA of portfolio companiesMedian annual EBITDA of portfolio companies $49.0 million Median annual EBITDA of portfolio companies $56.0 million 
Purchased at a weighted average price of par     95.95%     96.63%
Gross annual portfolio yield based upon the purchase price(3)     9.15%     9.27%
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.


The following table summarizes the composition of our investment portfolio at amortized cost and fair value and our underlying TRS loans portfolio at notional amount and fair value as of December 31, 2016:
December 31, 2016
Investment Portfolio Total Return Swap TotalDecember 31, 2018
Investments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Notional Amount of Underlying TRS Loans Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Cost/Notional Amount(1) Fair Value PercentageInvestments Cost(1) 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt$489,904
 $489,913
 48.1% $351,747
 $341,194
 86.9% $841,651
 $831,107
 58.9%$1,492,034
 $1,462,989
 79.0%
Senior secured second lien debt437,240
 434,347
 42.6% 56,100
 51,251
 13.1% 493,340
 485,598
 34.4%341,595
 323,365
 17.4%
Collateralized securities and structured products - debt39,471
 38,114
 3.7% —
 —
 —
 39,471
 38,114
 2.7%15,193
 15,193
 0.8%
Collateralized securities and structured products - equity37,713
 34,648
 3.4% —
 —
 —
 37,713
 34,648
 2.5%16,794
 14,827
 0.8%
Unsecured debt17,290
 16,851
 1.7% —
 —
 —
 17,290
 16,851
 1.1%
Equity4,832
 5,107
 0.5% —
 —
 —
 4,832
 5,107
 0.4%38,610
 36,399
 2.0%
Subtotal/total percentage1,026,450
 1,018,980
 100.0% 407,847
 392,445
 100.0% 1,434,297
 1,411,425
 100.0%1,904,226
 1,852,773
 100.0%
Short term investments(2)70,498
 70,498
  
 —
 —
  
 70,498
 70,498
  
12,537
 12,537
  
Total investments$1,096,948
 $1,089,478
   $407,847
 $392,445
   $1,504,795
 $1,481,923
  $1,916,763
 $1,865,310
  
Number of portfolio companiesNumber of portfolio companies  
 103
     49
     141(3)
Number of portfolio companies  
 153
Average annual EBITDA of portfolio companiesAverage annual EBITDA of portfolio companies $49.9 million    $200.7 million    $94.7 million Average annual EBITDA of portfolio companies $79.0 million 
Median annual EBITDA of portfolio companiesMedian annual EBITDA of portfolio companies $42.7 million    $66.0 million    $50.4 million Median annual EBITDA of portfolio companies $56.0 million 
Purchased at a weighted average price of parPurchased at a weighted average price of par 95.87%     98.96%     96.73%Purchased at a weighted average price of par 97.35%
Gross annual portfolio yield based upon the purchase price(4) 9.99%     6.73%     9.07%
Gross annual portfolio yield based upon the purchase price(3)Gross annual portfolio yield based upon the purchase price(3) 9.83%
(1)Represents amortized cost for debt investments and cost for equity investments. Amortized cost represents the original cost adjusted for the amortization of premiums and/or accretion of discounts, as applicable, on our investments.
(2)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(3)The sum of investment portfolio and TRS portfolio companies does not equal the total number of portfolio companies. This is due to 11 portfolio companies being in both the investment and TRS portfolios.
(4)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
The following table summarizes the composition of our investment portfolio by the type of interest rate as of September 30, 2017,2019 and December 31, 2018, excluding short term investments of $140,810:$23,060 and $12,537, respectively:
 September 30, 2017 September 30, 2019 December 31, 2018
Interest Rate Allocation Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Floating interest rate investments $1,444,100
 $1,446,737
 93.3% $1,706,610
 $1,632,423
 93.2% $1,802,745
 $1,756,777
 94.8%
Fixed interest rate investments 66,474
 71,233
 4.6% 67,584
 62,169
 3.5% 34,109
 34,806
 1.9%
Other income producing investments 31,537
 29,588
 1.9% 33,599
 34,416
 2.0% 41,182
 39,180
 2.1%
Non-income producing equity 5,493
 3,487
 0.2% 34,625
 23,086
 1.3% 26,190
 22,010
 1.2%
Total investments $1,547,604
 $1,551,045
 100.0% $1,842,418
 $1,752,094
 100.0% $1,904,226
 $1,852,773
 100.0%


The following table summarizes the composition of our investment portfolio and our underlying TRS loans portfolio by the type of interest rate as of December 31, 2016, excluding short term investments of $70,498:
  December 31, 2016
  Investment Portfolio Total Return Swap Total
Interest Rate Allocation Investments Cost 
Investments Fair
Value
 
Percentage of
Investment
Portfolio
 Notional Amount of Underlying TRS Loans Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Cost/Notional Amount Fair Value Percentage
Floating interest rate investments $936,846
 $931,214
 91.4% $407,847
 $392,445
 100.0% $1,344,693
 $1,323,659
 93.8%
Fixed interest rate investments 47,059
 48,011
 4.7% —
 —
 —
 47,059
 48,011
 3.4%
Other income producing investments 37,713
 34,648
 3.4% —
 —
 —
 37,713
 34,648
 2.4%
Non-income producing equity 4,832
 5,107
 0.5% —
 —
 —
 4,832
 5,107
 0.4%
Total investments $1,026,450
 $1,018,980
 100.0% $407,847
 $392,445
 100.0% $1,434,297
 $1,411,425
 100.0%
The following table shows the composition of our investment portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of September 30, 2017:2019 and December 31, 2018:
  September 30, 2017
Industry Classification 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
High Tech Industries $229,022
 14.8%
Healthcare & Pharmaceuticals 222,843
 14.4%
Services: Business 209,615
 13.5%
Media: Diversified & Production 116,013
 7.5%
Chemicals, Plastics & Rubber 89,142
 5.8%
Telecommunications 72,967
 4.7%
Services: Consumer 64,137
 4.1%
Media: Advertising, Printing & Publishing 61,147
 3.9%
Consumer Goods: Durable 60,992
 3.9%
Diversified Financials 57,872
 3.7%
Beverage, Food & Tobacco 54,846
 3.5%
Capital Equipment 51,899
 3.3%
Hotel, Gaming & Leisure 45,990
 3.0%
Automotive 40,347
 2.6%
Retail 32,052
 2.1%
Aerospace & Defense 28,811
 1.9%
Banking, Finance, Insurance & Real Estate 27,296
 1.8%
Energy: Oil & Gas 25,904
 1.7%
Consumer Goods: Non-Durable 16,056
 1.0%
Construction & Building 16,048
 1.0%
Transportation: Cargo 9,844
 0.6%
Media: Broadcasting & Subscription 6,450
 0.4%
Forest Products & Paper 5,598
 0.4%
Metals & Mining 3,341
 0.2%
Environmental Industries 2,813
 0.2%
Subtotal/total percentage 1,551,045
 100.0%
Short term investments 140,810
  
Total investments $1,691,855
  


The following table shows the composition of our investment portfolio and our underlying TRS loans portfolio by industry classification and the percentage, by fair value, of the total assets in such industries as of December 31, 2016:
  December 31, 2016
  Investment Portfolio Total Return Swap Total
Industry Classification Investments Fair Value 
Percentage of
Investment Portfolio
 
Fair Value of
Underlying
TRS Loans
 
Percentage of
Underlying
TRS Loans
 Fair Value Percentage
High Tech Industries $217,339
 21.3% $45,351
 11.6% $262,690
 18.6%
Services: Business 126,869
 12.5% 66,733
 17.0% 193,602
 13.7%
Healthcare & Pharmaceuticals 118,337
 11.6% 70,176
 17.9% 188,513
 13.4%
Diversified Financials 72,762
 7.1% —
 —
 72,762
 5.2%
Media: Advertising, Printing & Publishing 54,354
 5.3% 7,328
 1.9% 61,682
 4.4%
Beverage, Food & Tobacco 53,658
 5.3% —
 —
 53,658
 3.8%
Construction & Building 39,137
 3.8% 14,269
 3.6% 53,406
 3.8%
Chemicals, Plastics & Rubber 27,253
 2.7% 25,701
 6.5% 52,954
 3.7%
Capital Equipment 51,155
 5.0% —
 —
 51,155
 3.6%
Hotel, Gaming & Leisure 28,974
 2.8% 21,071
 5.4% 50,045
 3.5%
Retail 18,852
 1.9% 30,801
 7.8% 49,653
 3.5%
Telecommunications 35,411
 3.5% 13,775
 3.5% 49,186
 3.5%
Automotive 39,192
 3.9% —
 —
 39,192
 2.8%
Services: Consumer 9,477
 0.9% 26,278
 6.7% 35,755
 2.5%
Media: Diversified & Production 23,100
 2.3% 7,277
 1.8% 30,377
 2.1%
Banking, Finance, Insurance & Real Estate 17,636
 1.7% 11,547
 2.9% 29,183
 2.1%
Aerospace & Defense 21,780
 2.1% 5,564
 1.4% 27,344
 1.9%
Media: Broadcasting & Subscription 9,776
 1.0% 10,013
 2.6% 19,789
 1.4%
Energy: Oil & Gas 12,803
 1.3% 4,570
 1.2% 17,373
 1.2%
Consumer Goods: Durable 1,000
 0.1% 15,942
 4.1% 16,942
 1.2%
Metals & Mining 11,349
 1.1% 3,528
 0.9% 14,877
 1.1%
Energy: Electricity 13,715
 1.3% —
 —
 13,715
 1.0%
Forest Products & Paper —
 —
 12,521
 3.2% 12,521
 0.9%
Consumer Goods: Non-Durable 8,611
 0.8% —
 —
 8,611
 0.6%
Containers, Packaging & Glass 3,845
 0.4% —
 —
 3,845
 0.3%
Environmental Industries 2,595
 0.3% —
 —
 2,595
 0.2%
Subtotal/total percentage 1,018,980
 100.0% 392,445
 100.0% 1,411,425
 100.0%
Short term investments 70,498
   —
   70,498
  
Total investments $1,089,478
   $392,445
   $1,481,923
  
We do not “control” and are not an “affiliate” of any of our portfolio companies, each as defined in the 1940 Act. In general, under the 1940 Act, we would be presumed to “control” a portfolio company or issuer if we owned 25% or more of its voting securities and would be an “affiliate” of a portfolio company or issuer if we owned 5% or more of its voting securities.
  September 30, 2019 December 31, 2018
Industry Classification 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
 
Investments at
Fair Value
 
Percentage of
Investment Portfolio
Healthcare & Pharmaceuticals $295,681
 16.9% $325,180
 17.5%
Services: Business 217,200
 12.4% 218,888
 11.7%
Media: Diversified & Production 197,487
 11.3% 114,303
 6.2%
Media: Advertising, Printing & Publishing 129,763
 7.4% 131,620
 7.1%
Services: Consumer 116,852
 6.7% 133,210
 7.2%
Chemicals, Plastics & Rubber 90,544
 5.2% 74,575
 4.0%
Capital Equipment 76,414
 4.4% 98,994
 5.3%
Beverage, Food & Tobacco 66,109
 3.8% 73,494
 4.0%
High Tech Industries 63,732
 3.6% 126,620
 6.8%
Banking, Finance, Insurance & Real Estate 63,562
 3.6% 57,917
 3.1%
Telecommunications 62,646
 3.6% 74,261
 4.0%
Retail 60,649
 3.5% 42,450
 2.3%
Energy: Oil & Gas 49,513
 2.8% 54,907
 3.0%
Consumer Goods: Non-Durable 41,832
 2.4% 37,148
 2.0%
Construction & Building 33,026
 1.9% 33,483
 1.8%
Transportation: Cargo 31,407
 1.8% 30,614
 1.7%
Hotel, Gaming & Leisure 30,972
 1.8% 54,689
 3.0%
Consumer Goods: Durable 30,811
 1.7% 35,709
 1.9%
Aerospace & Defense 25,505
 1.4% 45,655
 2.5%
Diversified Financials 24,931
 1.4% 30,020
 1.6%
Forest Products & Paper 24,605
 1.4% 19,525
 1.1%
Metals & Mining 10,832
 0.6% 10,333
 0.6%
Automotive 8,021
 0.4% 24,645
 1.3%
Environmental Industries —
 —
 2,955
 0.2%
Media: Broadcasting & Subscription —
 —
 1,578
 0.1%
Subtotal/total percentage 1,752,094
 100.0% 1,852,773
 100.0%
Short term investments 23,060
   12,537
  
Total investments $1,775,154
   $1,865,310
  
Our investment portfolio may contain senior secured investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreements. As of September 30, 20172019 and December 31, 2016,2018, our unfunded commitments amounted to$75,833 $64,885 and $25,096,$79,078, respectively. As of November 9, 2017,7, 2019, our unfunded commitments amounted to $83,077.to $66,855. Since these commitments may expire without being drawn upon, unfunded commitments do not necessarily represent future cash requirements or future earning assets for us. For additional informationRefer to the section “Commitments and Contingencies and Off-Balance Sheet Arrangements” for further details on our unfunded commitments, refer to Note 11 to our consolidated financial statements included in this report.commitments.
Investment Portfolio Asset Quality
CIM uses an investment rating system to characterize and monitor our expected level of returns on each investment in our portfolio. These ratings are just one of several factors that CIM uses to monitor our portfolio, are not in and of themselves determinative of fair value or revenue recognition and are presented for indicative purposes. CIM rates the credit risk of all investments on a scale of 1 to 5 no less frequently than quarterly. This system is intended primarily to reflect the underlying risk of a portfolio investment relative to our initial cost basis in respect of such portfolio investment (i.e., at the time of acquisition), although it may also take into account under certain circumstances the performance of the portfolio company’s business, the collateral coverage of the investment and other relevant factors.


The following is a description of the conditions associated with each investment rating used in this ratings system:
Investment Rating Description
1 Indicates the least amount of risk to our initial cost basis. The trends and risk factors for this investment since origination or acquisition are generally favorable, which may include the performance of the portfolio company or a potential exit.
2 Indicates a level of risk to our initial cost basis that is similar to the risk to our initial cost basis at the time of origination or acquisition. This portfolio company is generally performing in accordance with our analysis of its business and the full return of principal and interest or dividend is expected.
3 Indicates that the risk to our ability to recoup the cost of such investment has increased since origination or acquisition, but full return of principal and interest or dividend is expected. A portfolio company with an investment rating of 3 requires closer monitoring.
4 Indicates that the risk to our ability to recoup the cost of such investment has increased significantly since origination or acquisition, including as a result of factors such as declining performance and noncompliance with debt covenants, and we expect some loss of interest, dividend or capital appreciation, but still expect an overall positive internal rate of return on the investment.
5 Indicates that the risk to our ability to recoup the cost of such investment has increased materially since origination or acquisition and the portfolio company likely has materially declining performance. Loss of interest or dividend and some loss of principal investment is expected, which would result in an overall negative internal rate of return on the investment.
For investments rated 3, 4, or 5, CIM enhances its level of scrutiny over the monitoring of such portfolio company.
The following table summarizes the composition of our investment portfolio based on the 1 to 5 investment rating scale at fair value as of September 30, 2017,2019 and December 31, 2018, excluding short term investments of $140,810:$23,060 and $12,537, respectively:
  September 30, 2017
Investment Rating 
Investments
Fair Value
 
Percentage of
Investment Portfolio
1 $—
 —
2 1,282,461
 82.7%
3 207,746
 13.4%
4 53,223
 3.4%
5 7,615
 0.5%
  $1,551,045
 100.0%
The following table summarizes the composition of our investment portfolio and our underlying TRS loans portfolio based on the 1 to 5 investment rating scale at fair value as of December 31, 2016, excluding short term investments of $70,498:
 December 31, 2016
 Investment Portfolio Total Return Swap Total September 30, 2019 December 31, 2018
Investment Rating 
Investments
Fair Value
 
Percentage of
Investment Portfolio
 Fair Value of Underlying TRS Loans Percentage of Underlying TRS Loans Fair Value Percentage 
Investments
Fair Value
 
Percentage of
Investment Portfolio
 
Investments
Fair Value
 
Percentage of
Investment Portfolio
1 $—
 —
 $—
 —
 $—
 —
 $79,811
 4.6% $—
 —
2 963,477
 94.6% 342,620
 87.3% 1,306,097
 92.5% 1,426,545
 81.4% 1,642,270
 88.6%
3 50,942
 5.0% 34,657
 8.8% 85,599
 6.1% 207,893
 11.9% 181,118
 9.8%
4 4,561
 0.4% 12,798
 3.3% 17,359
 1.2% 22,038
 1.2% 26,412
 1.4%
5 —
 —
 2,370
 0.6% 2,370
 0.2% 15,807
 0.9% 2,973
 0.2%
 $1,018,980
 100.0% $392,445
 100.0% $1,411,425
 100.0% $1,752,094
 100.0% $1,852,773
 100.0%
The amount of the investment portfolio in each rating category may vary substantially from period to period resulting primarily from changes in the composition of such portfolio as a result of new investment, repayment and exit activities. In addition, changes in the rating of investments may be made to reflect our expectation of performance and changes in investment values.


Current Investment Portfolio

AsThe following table summarizes the composition of November 9, 2017, our investment portfolio excluding our short term investments, consisted of interests in 161 portfolio companies (72% in senior secured first lien debt, 24% in senior secured second lien debt, 1% in collateralized securities and structured products (comprised of 1% invested in rated debt, 1% invested in non-rated debt and 1% invested in non-rated equity of such securities and products), less than 1% in unsecured debt, and less than 1% in equity) with a totalat fair value of $1,568,392 with an average and median portfolio company annual EBITDA of $90.0 million and $50.0 million, respectively, at initial investment. Asas of November 9, 2017, investments in our portfolio, excluding our short term investments, were purchased at a weighted average price of 96.15% of par value. Our estimated gross annual portfolio yield was 9.14% based upon the purchase price of such investments. The estimated gross portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees. For the quarter ended September 30, 2017, our total investment return-net asset value was 6.68%. Total investment return-net asset value does not represent and may be higher than an actual investment return to shareholders because it excludes all sales commissions and dealer manager fees. Total investment return-net asset value is a measure of the change in total value for shareholders who held our common stock at the beginning and end of the period, including distributions paid or payable during the period, and is described further in Note 13 of our consolidated financial statements.7, 2019:
As of November 9, 2017, our only short term investment was an investment in a U.S. Treasury Obligations Fund of $123,448.
    
Investments Fair
Value
 
Percentage of
Investment
Portfolio
Senior secured first lien debt   $1,357,597
 78.3%
Senior secured second lien debt   252,256
 14.6%
Collateralized securities and structured products - debt   7,140
 0.4%
Collateralized securities and structured products - equity   29,068
 1.7%
Equity   86,483
 5.0%
Subtotal/total percentage   1,732,544
 100.0%
Short term investments(2)   27,399
  
Total investments 
 $1,759,943
  
Number of portfolio companies   136
Average annual EBITDA of portfolio companies $82.6 million 
Median annual EBITDA of portfolio companies $56.0 million 
Purchased at a weighted average price of par     97.01%
Gross annual portfolio yield based upon the purchase price(2)     9.24%
(1)Short term investments represent an investment in a fund that invests in highly liquid investments with average original maturity dates of three months or less.
(2)The gross annual portfolio yield does not represent and may be higher than an actual investment return to shareholders because it excludes our expenses and all sales commissions and dealer manager fees and does not consider the cost of leverage.
Results of Operations for the Three Months Ended September 30, 20172019 and 20162018
Our results of operations for the three months ended September 30, 20172019 and 20162018 were as follows:
Three Months Ended
September 30,		Three Months Ended
September 30,
2017 20162019 2018
Investment income$38,378
 $18,733
$49,775
 $54,417
Net operating expenses16,976
 8,038
28,113
 29,545
Net investment income21,402
 10,695
21,662
 24,872
Net realized (loss) gain on investments and foreign currency(2,788) 379
(316) 513
Net change in unrealized appreciation on investments1,700
 14,948
Net realized gain on total return swap67
 8,188
Net change in unrealized appreciation on total return swap—
 9,527
Net increase in net assets resulting from operations$20,381
 $43,737
Net change in unrealized depreciation on investments(23,568) (10,028)
Net (decrease) increase in net assets from operations$(2,222) $15,357
Investment Income
For the three months ended September 30, 20172019 and 2016,2018, we generated investment income of $38,378$49,775 and $18,733,$54,417, respectively, consisting primarily of interest income on investments in senior secured debt, and collateralized securities and structured products of 139 and unsecured debt of 176 and 108166 portfolio companies held during each respective period. Our average investment portfolio size, excluding our short term investments, and TRS, increased $703,397,decreased $21,547, from $841,656$1,807,085 for the three months ended September 30, 20162018 to $1,545,053$1,785,539 for the three months ended September 30, 2017, as we deployed the net proceeds from our financing arrangements and the net proceeds from our follow-on continuous public offering, which commenced on January 25, 2016. We expect our investment portfolio to continue to grow due to the anticipated equity available to us for investment from our follow-on continuous public offering and amounts available under our financing arrangements. As a result, we believe that reported investment income for2019. Additionally, during the three months ended September 30, 2017 and 2016 is not representative2018, we received $5,503 of our stabilized or future performance. Interest income earned by loans underlying the TRSnon-recurring prepayment premiums on certain investments, which was not included in investment income inreceived during the consolidated statements of operations, but rather it was recorded as part of net realized gain (loss) on total return swap. In lieu of extending the expiration date of the TRS beyond April 18, 2017, we entered into a traditional credit facility with Citibank on March 29, 2017.three months ended September 30, 2019.


Operating Expenses
The composition of our operating expenses for the three months ended September 30, 20172019 and 20162018 was as follows:
 Three Months Ended
September 30,
 2017 2016
Management fees$7,820
 $5,187
Administrative services expense433
 425
General and administrative1,803
 1,892
Interest expense6,920
 534
Total operating expenses16,976
 8,038
Recoupment of expense support from CIG—
 —
Net operating expenses$16,976
 $8,038


During the three months ended September 30, 2017, the increase in management fees was a direct result of the increase in our total assets less cash and cash equivalents, while the increase in interest expense was primarily the result of entering into new financing arrangements.
 Three Months Ended
September 30,
 2019 2018
Management fees$9,029
 $9,164
Administrative services expense453
 500
Subordinated incentive fee on income4,983
 5,573
General and administrative1,155
 1,407
Interest expense12,493
 12,901
Total operating expenses$28,113
 $29,545

The composition of our general and administrative expenses for the three months ended September 30, 20172019 and 20162018 was as follows:
 Three Months Ended
September 30,
 2017 2016
Valuation expense$463
 $125
Transfer agent expense321
 307
Dues and subscriptions223
 177
Professional fees147
 680
Director fees and expenses125
 69
Insurance expense102
 105
Due diligence fees87
 120
Printing and other related costs59
 177
Other expenses276
 132
Total general and administrative expense$1,803
 $1,892

Expense Support and Recoupment of Expense Support

For the three months ended September 30, 2017 and 2016, CIG and AIM did not provide any expense support or recoup any previously provided expense support. 
 Three Months Ended
September 30,
 2019 2018
Transfer agent expense$325
 $310
Accounting and administrative costs191
 143
Valuation expense168
 179
Professional fees131
 268
Director fees and expenses119
 114
Insurance expense108
 118
Dues and subscriptions82
 182
Printing and marketing expense17
 26
Due diligence fees—
 55
Other expenses14
 12
Total general and administrative expense$1,155
 $1,407
Net Investment Income
Our net investment income totaled $21,402$21,662 and $10,695$24,872 for the three months ended September 30, 20172019 and 2016,2018, respectively. The increasedecrease in net investment income was primarily due to an increasea decrease in investment income, partially offset by a decrease in our subordinated incentive fees and interest expense for the size of our investment portfolio relativethree months ended September 30, 2019 compared to our expenses as we continued to achieve economies of scale due to proceeds received from our follow-on continuous public offering and our financing arrangements.the three months ended September 30, 2018.
Net Realized (Loss) Gain on Investments and Foreign Currency
Our net realized (loss) gain on investments and foreign currency totaled ($2,788)316) and $379$513 for the three months ended September 30, 20172019 and 2016,2018, respectively. This change was mainly due to losses realized on certain investments, which were partially offset by an increasea decrease in sales and principal repayment activity during the three months ended September 30, 20172019 compared to the three months ended September 30, 2016.2018. During the three months ended September 30, 2017,2019, we received sale proceeds of $131,279 and principal repayments$19,108, compared to sales proceeds of $143,369, resulting in net realized losses of ($2,800). During$64,298 during the three months ended September 30, 2016, we received sale proceeds of $2,047 and principal repayments of $39,552, resulting in net realized gains of $379.2018.
Net Change in Unrealized AppreciationDepreciation on Investments
The net change in unrealized appreciationdepreciation on our investments totaled $1,700($23,568) and $14,948($10,028) for the three months ended September 30, 20172019 and 2016,2018, respectively. This change was driven primarily by a greater degree of credit spread tightening for middle market loansmark-to-market declines in loan pricing during the three months ended September 30, 2016 compared to the three months ended September 30, 2017 that positively impacted the fair value of certain investments.

Net Realized Gain on TRS
Our net realized gain on the TRS totaled $67 and $8,188 for the three months ended September 30, 2017 and 2016, respectively. The components of net realized gain on the TRS are summarized below:
 Three Months Ended
September 30,
 2017 2016
Interest and other income from TRS portfolio$67
 $9,426
Interest and other expense from TRS portfolio—
 (3,265)
Net gain on TRS loan sales—
 2,027
   Total$67
 $8,188
The net realized gain on TRS decreased primarily2019 due to lower LIBOR rates, reduced liquidity in the sale of a majority of loans underlyingloan market due to fund redemptions and increased volatility in the TRS to Flatiron Funding II on March 29, 2017 in connection with the refinancing of the TRS into a new credit facility.overall market.


Net Change in Unrealized Appreciation on TRS
The net change in unrealized appreciation on the TRS totaled $0 and $9,527 for the three months ended September 30, 2017 and 2016, respectively. This change was driven primarily by the sale of a majority of loans underlying the TRS to Flatiron Funding II on March 29, 2017 in connection with the refinancing of the TRS into a new credit facility.
Net(Decrease) Increase in Net Assets Resulting from Operations
For the three months ended September 30, 20172019 and 2016,2018, we recorded a net (decrease) increase in net assets resulting from operations of $20,381($2,222) and $43,737,$15,357, respectively, as a result of our operating activity for the respective periods.

Results of Operations for the Nine Months Ended September 30, 20172019 and 20162018
Our results of operations for the nine months ended September 30, 20172019 and 20162018 were as follows:
 Nine Months Ended
September 30,
 2017 2016
Investment income$101,768
 $53,834
Net operating expenses43,691
 21,834
Net investment income58,077
 32,000
Net realized (loss) gain on investments and foreign currency(4,983) 1,078
Net change in unrealized appreciation on investments11,094
 16,587
Net realized (loss) gain on total return swap(13,789) 23,799
Net change in unrealized appreciation on total return swap15,402
 16,826
Net increase in net assets resulting from operations$65,801
 $90,290
 Nine Months Ended
September 30,
 2019 2018
Investment income$150,465
 $139,202
Net operating expenses85,603
 70,433
Net investment income64,862
 68,769
Net realized loss on investments and foreign currency(3,650) (7,010)
Net change in unrealized depreciation on investments(38,871) (8,651)
Net increase in net assets from operations$22,341
 $53,108
Investment Income
For the nine months ended September 30, 20172019 and 2016,2018, we generated investment income of $101,768$150,465 and $53,834,$139,202, respectively, consisting primarily of interest income on investments in senior secured debt and collateralized securities and structured products of 164 and unsecured debt of 205 and 120 portfolio companies held during each respective period. Our average investment portfolio size, excluding our short term investments, and TRS, increased $469,756,$141,444, from $815,257$1,660,990 for the nine months ended September 30, 20162018 to $1,285,013$1,802,434 for the nine months ended September 30, 2017,2019, as we deployed the net proceeds from our financing arrangements and the net proceeds from our follow-on continuous public offering, which commencedended on January 25, 2016. We expect2019. During 2018, our investment portfolio to continuecontinued to grow due to the anticipated equity available to us for investment from our follow-on continuous public offering and amounts availableborrowed under our financing arrangements. As a result, we believe that reported investment income for the nine months ended September 30, 2017 and 20162018 is not representative of our stabilized or future performance. Interest income earned by loans underlying the TRS is not included in investment income in the consolidated statements of operations, but rather was recorded as part of net realized gain (loss) on total return swap. In lieu of extending the expiration date of the TRS beyond April 18, 2017, we entered into a traditional credit facility with Citibank on March 29, 2017.

Operating Expenses
The composition of our operating expenses for the nine months ended September 30, 20172019 and 20162018 was as follows:
Nine Months Ended
September 30,		Nine Months Ended
September 30,
2017 20162019 2018
Management fees$21,724
 $14,311
$27,597
 $25,705
Administrative services expense1,204
 1,151
1,433
 1,492
Subordinated incentive fee on income14,475
 5,573
General and administrative5,220
 4,944
3,741
 4,993
Interest expense15,543
 761
38,357
 32,670
Total operating expenses43,691
 21,167
$85,603
 $70,433
Recoupment of expense support from CIG—
 667
Net operating expenses$43,691
 $21,834

During the nine months ended September 30, 2017, the increase in management fees was a direct result of the increase in our total assets less cash and cash equivalents, while2019, the increase in interest expense was primarily the result of entering into newadditional borrowings on our existing financing arrangements.arrangements, which resulted in an increase in net assets and an increase in management fees. Subordinated incentive fees on income increased as a result of exceeding our hurdle rate of 1.875% for pre-incentive fee net investment income for the three months ended March 31, 2019 and June 30, 2019. For the same periods in 2018, we did not exceed our hurdle rate of 1.875% for pre-incentive fee net investment income.


The composition of our general and administrative expenses for the nine months ended September 30, 20172019 and 20162018 was as follows:
 Nine Months Ended
September 30,
 2017 2016
Valuation expense$989
 $350
Transfer agent expense947
 926
Professional fees943
 1,284
Dues and subscriptions630
 621
Director fees and expenses327
 207
Insurance expense309
 271
Printing and other related costs291
 520
Due diligence fees145
 401
Other expenses639
 364
Total general and administrative expense$5,220
 $4,944

Expense Support and Recoupment of Expense Support

For the nine months ended September 30, 2017, CIG and AIM did not provide any expense support or recoup any previously provided expense support. For the nine months ended September 30, 2016, CIG recouped $667 of expense support made during the three months ended December 31, 2014 in connection with the expense support and conditional reimbursement agreement. 

Recoupment of such support will be determined as appropriate to meet the objectives of the expense support and conditional reimbursement agreement. As a result, we may or may not be requested to reimburse CIG and AIM for any expense support that may be received from CIG and AIM in the future.
 Nine Months Ended
September 30,
 2019 2018
Transfer agent expense$928
 $956
Professional fees801
 1,221
Valuation expense510
 550
Accounting and administrative costs394
 508
Director fees and expenses359
 356
Insurance expense312
 321
Dues and subscriptions241
 584
Printing and marketing expense73
 172
Due diligence fees61
 164
Other expenses62
 161
Total general and administrative expense$3,741
 $4,993
Net Investment Income
Our net investment income totaled $58,077$64,862 and $32,000$68,769 for the nine months ended September 30, 20172019 and 2016,2018, respectively. The increasedecrease in net investment income was primarily due to an increase in subordinated incentive fees and interest expense, which were partially offset by an increase in investment income during the size of our investment portfolio relative to our expenses as we continued to achieve economies of scale due to proceeds received from our follow-on continuous public offering and our financing arrangements.nine months ended September 30, 2019.
Net Realized (Loss) GainLoss on Investments and Foreign Currency
Our net realized (loss) gainloss on investments and foreign currency totaled ($4,983)3,650) and $1,078($7,010) for the nine months ended September 30, 20172019 and 2016,2018, respectively. This change was mainly due todriven primarily by smaller realized losses realized on certain investments which were partially offset by an increase in sales and principal repayment activity during the nine months ended September 30, 20172019 as compared to the nine months ended September 30, 2016. During the nine months ended September 30, 2017, we received sale proceeds of $218,395 and principal repayments of $403,098, resulting in net realized losses of ($5,142). During the nine months ended September 30, 2016, we received sale proceeds of $14,462 and principal repayments of $126,908, resulting in net realized gains of $1,078.2018.

Net Change in Unrealized AppreciationDepreciation on Investments
The net change in unrealized appreciationdepreciation on our investments totaled $11,094($38,871) and $16,587($8,651) for the nine months ended September 30, 20172019 and 2016,2018, respectively. This change was driven primarily by a tightening of credit spreadsmark-to-market declines in loan pricing during the nine months ended September 30, 2017 as well as2019 due to lower LIBOR rates, reduced liquidity in the reversal of unrealized depreciation for certain investments that were realized duringloan market due to fund redemptions and increased volatility in the nine months ended September 30, 2017. 
Net Realized (Loss) Gain on TRS
Our net realized (loss) gain on the TRS totaled ($13,789) and $23,799 for the nine months ended September 30, 2017 and 2016, respectively. The components of net realized (loss) gain on the TRS are summarized below:
 Nine Months Ended
September 30,
 2017 2016
Interest and other income from TRS portfolio$6,610
 $32,693
Interest and other expense from TRS portfolio(2,949) (10,307)
Net (loss) gain on TRS loan sales(17,450) 1,413
   Total$(13,789) $23,799


Net Change in Unrealized Appreciation on TRS
The net change in unrealized appreciation on the TRS totaled $15,402 and $16,826 for the nine months ended September 30, 2017 and 2016, respectively. This change was driven primarily by a reversal of unrealized depreciation on the loans underlying the TRS upon the refinancing of the TRS.overall market.
Net Increase in Net Assets Resulting from Operations
For the nine months ended September 30, 20172019 and 2016,2018, we recorded a net increase in net assets resulting from operations of $65,801$22,341 and $90,290,$53,108, respectively, as a result of our operating activity for the respective periods.


Net Asset Value per Share, Annual Investment Return and Total Return Since Inception 
Our net asset value per share was $9.15$8.34 and $9.11$8.69 on September 30, 20172019 and December 31, 2016,2018, respectively. After considering (i) the overall changes in net asset value per share, (ii) paid distributions of approximately $0.5487 per share during the nine months ended September 30, 2017,2019, and (iii) the assumed reinvestment of those distributions in accordance with our distribution reinvestment plan then in effect, the total investment returnreturn-net asset value was 6.68%2.29% for the nine month period ended September 30, 2017.2019. Total investment return-net asset value does not represent and may be higher than an actual return to shareholders because it excludes all sales commissions and dealer manager fees. Total investment return-net asset value is a measure of the change in total value for shareholders who held our common stock at the beginning and end of the period, including distributions paid or payable during the period, and is described further in Note 1312 to our consolidated financial statements included in this report.
Initial shareholders who subscribed to the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $9.00 per share (public offering price net ofexcluding sales load) have seen an annualized return of 8.46%7.01% and a cumulative total return of 47.58%58.48% through September 30, 20172019 (see chart below). Initial shareholders who subscribed to the offering in December 2012 with an initial investment of $10,000 and an initial purchase price equal to $10.00 per share (the initial public offering price including sales load) have seen an annualized return of 6.10%5.37% and a cumulative total return of 32.82%42.63% through September 30, 2017.2019. Over the same time period, the S&P/LSTA Leveraged Loan Index, a primary measure of senior debt covering the U.S. leveraged loan market, which currently consists of approximately 1,000 credit facilities throughout numerous industries, recorded an annualized return of 4.14% and a cumulative total return of 21.45%31.71%. In addition, the BofA Merrill Lynch US High Yield Index, a primary measure of short-term US dollar denominated below investment grade corporate debt publicly issued in the US domestic market, recorded an annualized return of 6.01%5.60% and a cumulative total return of 32.27%44.74% over the same period.
capturea04.jpga10000chartq3a05.jpg
(1) Cumulative performance: December 17, 2012 to September 30, 2017


2019
The calculations for the Growth of $10,000 Initial Investment are based upon (i) an initial investment of $10,000 in our common stock at the beginning of the period, at a share price of $10.00 per share (including sales load) and $9.00 per share (excluding sales load), (ii) assumes reinvestment of monthly distributions in accordance with our distribution reinvestment plan then in effect, (iii) the sale of the entire investment position at the net asset value per share on the last day of the period, and (iv) the distributions declared and payable to shareholders, if any, on the last day of the period.


Financial Condition, Liquidity and Capital Resources

We generate cash primarily from the net proceeds from our follow-on continuous public offering and from cash flows from interest, fees and dividends earned from our investments as well as principal repayments and proceeds from sales of our investments. We also employ leverage to seek to enhance our returns as market conditions permit and at the discretion of CIM, but in no event will leverage employed exceed 50%CIM. On March 23, 2018, an amendment to Section 61(a) of the value1940 Act was signed into law to permit BDCs to reduce the minimum “asset coverage” ratio to 150% from 200% and, as a result, to potentially increase the ratio of our total assets,a BDC’s debt to equity to a maximum of 2-to-1 from a maximum of 1-to-1, so long as required bycertain approval and disclosure requirements are satisfied. We currently have not determined whether to seek to utilize such additional leverage. We generated cash from the 1940 Act. We are engaged in a follow-onnet proceeds from our continuous public offering of shares of our common stock.offerings. Our initial continuous public offering commenced on July 2, 2012 and ended on December 31, 2015. Our follow-on continuous public offering commenced on January 25, 2016 and will continue until no later thanended on January 25, 2019. We accept subscriptions on a continuous basis and issue shares at weekly closings at prices that, after deducting selling commissions and dealer manager fees, are at or above our net asset value per share.
We will sell our shares on a continuous basis at our latest public offering price of $9.70 per share; however, to the extent that our net asset value fluctuates, we will sell at a price necessary to ensure that shares are sold at a price, after deduction of selling commissions and dealer manager fees, that is above and within 2.5% of net asset value per share.
Since commencing our initial continuous public offering on July 2, 2012 and through September 30, 2017, we sold 114,440,741 shares of common stock for net proceeds of $1,162,041 at an average price per share of $10.15. The net proceeds include gross proceeds received from reinvested shareholder distributions of $114,174, for which we issued 12,532,914 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $55,581, for which we repurchased 6,143,717 shares of common stock. Since commencing our initial continuous public offering on July 2, 2012 and through September 30, 2017, sales commissions and dealer manager fees related to the sale of our common stock were $64,186 and $31,776, respectively.
As of November 8, 2017, we sold 114,398,359 shares of common stock for net proceeds of $1,161,927 at an average price per share of $10.16. The net proceeds include gross proceeds received from reinvested shareholder distributions of $117,998, for which we issued 12,950,612 shares of common stock, and gross proceeds paid for shares of common stock tendered for repurchase of $65,821, for which we repurchased 7,261,847 shares of common stock. Since commencing our initial continuous public offering on July 2, 2012 and through November 8, 2017, sales commissions and dealer manager fees related to the sale of our common stock were $64,317 and $31,878, respectively.
The net proceeds from our follow-on continuous public offering will be invested primarily in cash, cash equivalents, U.S. government securities, repurchase agreements and high-quality debt instruments maturing in one year or less prior to being invested in debt securities of private U.S. middle-market companies.
As of September 30, 20172019 and December 31, 2016,November 7, 2019, we had $140,810$23,060 and $70,498$27,399 in short term investments, respectively, invested in a fund that primarily invests in U.S. government securities.

Citibank Credit Facility

As of September 30, 20172019 and November 9, 2017,7, 2019, our outstanding borrowings under the Second Amended Citibank Credit Facility were $281,698$277,542 and $264,042, respectively, and the aggregate unfunded principal amount in connection with the Second Amended Citibank Credit Facility was $43,302.$72,458 and $85,958, respectively. For a detailed discussion of our Second Amended Citibank Credit Facility, refer to Note 87 to our consolidated financial statements included in this report.

JPM Credit Facility
As of September 30, 20172019 and November 9, 2017,7, 2019, our outstanding borrowings under the Amended JPM Credit Facility were $224,423$250,000 and the aggregate unfunded principal amount available in connection with the Amended JPM Credit Facility was $577.$25,000. For a detailed discussion of our Amended JPM Credit Facility, refer to Note 87 to our consolidated financial statements included in this report.

UBS Facility
As of September 30, 20172019 and November 9, 2017,7, 2019, our outstanding borrowings under the amended UBS Facility were $125,000$200,000 and no additional principal amount was available in connection withfor borrowing under the amended UBS Facility. For a detailed discussion of our amended UBS Facility, refer to Note 87 to our consolidated financial statements included in this report.
Unfunded CommitmentsMS Credit Facility
As of September 30, 20172019 and November 9, 2017,7, 2019, our outstanding borrowings under the Amended MS Credit Facility were $115,000 and $112,500, respectively, and the aggregate unfunded principal amount in connection with the Amended MS Credit Facility was $35,000 and $37,500, respectively. For a detailed discussion of our Amended MS Credit Facility, refer to Note 7 to our consolidated financial statements included in this report.

Unfunded Commitments
As of September 30, 2019 and November 7, 2019, our unfunded commitments amounted to $75,833 and $83,077,$64,885 and $66,855, respectively. For a detailed discussion of our unfunded commitments, refer to Note 11 to our consolidated financial statements included in this report.


RIC Status and Distributions
Prior to the refinancing of the TRS, our total investment portfolio includes loans and other securities on our consolidated balance sheets and loans underlying the TRS. Accordingly, we treat net interest and other income earned on all investments, including the loans underlying the TRS, as a component of investment company taxable income when determining our sources of distributions. The sources of our distributions for the nine months ended September 30, 2017 were as follows:
  Three Months Ended
September 30, 2017		 Nine Months Ended
September 30, 2017
  Investment Portfolio Total Return Swap Portfolio Total Investment Portfolio Percentage Investment Portfolio Total Return Swap Portfolio Total Investment Portfolio Percentage
Net investment income $20,577
 $67
 $20,644
 100.0% $55,191
 $3,661
 $58,852
 96.3%
Capital gains from the sale of assets(1)(2) —
 —
 —
 —
 —
 2,286
 2,286
 3.7%
Total $20,577
 $67
 $20,644
 100.0% $55,191
 $5,947
 $61,138
 100.0%
(1)For the three and nine months ended September 30, 2017, we estimate that we had no net capital gains classified as long-term. The final determination of the tax attributes of our distributions is made annually as of the end of the year.
(2)During the nine months ended September 30, 2017, the Company realized losses of $24,164 primarily in connection with the refinancing of the TRS, which are not currently deductible on a tax-basis.
For an additional discussion of our RIC status and distributions, refer to Note 2 and Note 5, respectively,10 to our consolidated financial statements included in this report.
Recent Accounting Pronouncements

See Note 2 to our consolidated financial statements included in this report for a discussion of certain recent accounting pronouncements that are applicable to us.
Critical Accounting Policies
Our consolidated financial statements are prepared in conformity with GAAP, which requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Critical accounting policies are those that require the application of management’s most difficult, subjective or complex judgments, often because of the need to make estimates about the effect of matters that are inherently uncertain and that may change in subsequent periods. In preparing the consolidated financial statements, we also utilize available information, including our past history, industry standards and the current economic environment, among other factors, in forming our estimates and judgments, giving due consideration to materiality. Actual results may differ from these estimates. In addition, other companies may utilize different estimates, which may impact the comparability of our results of operations to those of companies in similar businesses.


Valuation of Portfolio Investments
The value of our assets is determined quarterly and at such other times that an event occurs that materially affects the valuation. The valuation is made pursuant to Section 2(a)(41) of the 1940 Act, which requires that we value our assets as follows: (i) the market price for those securities for which a market quotation is readily available, and (ii) for all other securities and assets, at fair value, as determined in good faith by our board of directors. As a BDC, Section 2(a)(41) of the 1940 Act requires the board of directors to determine in good faith the fair value of portfolio securities for which a market price is not readily available, and it does so in conjunction with the application of our valuation procedures by CIM.
There is no single standard for determining fair value in good faith. As a result, determining fair value requires that judgment be applied to the specific facts and circumstances of each asset while employing a valuation process that is consistently followed. Determinations of fair value involve subjective judgments and estimates. Accordingly, the notes to our consolidated financial statements refer to the uncertainty with respect to the possible effect of such valuations, and any change in such valuations in our consolidated financial statements.
Valuation Methods
With respect to investments for which market quotations are not readily available, we undertake a multi-step valuation process each quarter, as described below:
our quarterly valuation process begins with each portfolio company or investment being initially valued by certain of CIM’s investment professionals and certain members of its management team, with such valuation taking into account information received from various sources, including independent valuation firms, and AIM, if applicable;
preliminary valuation conclusions are then documented and discussed with members of CIM’s valuation committee;management team;


designated members of CIM’s valuation committee reviewsmanagement team review the preliminary valuation, and, if applicable, deliversdeliver such preliminary valuation to an independent valuation firm for its review;
designated members of CIM’s valuation committee, or its designee,management team, and, if appropriate, the relevant investment professionals meet with the independent valuation firm to discuss the preliminary valuation;
designated members of CIM’s management team respond and supplement the preliminary valuation to reflect any comments provided by the independent valuation firm;
our audit committee meets with members of CIM’s management team and the independent valuation firmfirms to discuss the assistance provided and the results of the independent valuation firm’sfirms' review; and
our board of directors discusses the valuation and determines the fair value of each investment in our portfolio in good faith based on various statistical and other factors, including the input and recommendation of CIM, the audit committee and any third-party valuation firm, if applicable.
In addition to the foregoing, certain investments for which a market price is not readily available are evaluated on a quarterly basis by an independent valuation firm and certain other investments are on a rotational basis reviewed once over a twelve-month period by an independent valuation firm. Finally, certain investments are not evaluated by an independent valuation firm unless the net asset value and othercertain aspects of such investments in the aggregate exceedmeet certain thresholds.criteria.
Given the expected types of investments, excluding short term investments and stock of publicly traded companies that are classified as Level 1, management expects our portfolio holdings to be classified as Level 3. Due to the uncertainty inherent in the valuation process, particularly for Level 3 investments, such fair value estimates may differ significantly from the values that would have been used had an active market for the investments existed. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses that we ultimately realize on these investments to materially differ from the valuations currently assigned. Inputs used in the valuation process are subject to variability in the future and can result in materially different fair values.
For an additional discussion of our investment valuation process, refer to Note 2 to our consolidated financial statements included in this report.
Related Party Transactions

For a discussion of our relationship with related parties including CION Securities, CIM, ICON Capital, CIG, and AIMAIA and amounts incurred under agreements with such related parties, refer to Note 4 to our consolidated financial statements included in this report.


Contractual Obligations

On August 26, 2016, 34th Street entered into the JPM Credit Facility with JPM, as amended and restated on September 30, 2016, and July 11, 2017.2017, November 28, 2017 and May 23, 2018. See Note 87 to our consolidated financial statements for a more detailed description of the JPM Credit Facility.

On March 29, 2017, Flatiron Funding II entered into the Citibank Credit Facility with Citibank, as amended on July 11, 2017.2017 and March 14, 2019. See Note 87 to our consolidated financial statements for a more detailed description of the Citibank Credit Facility.

On May 19, 2017, Murray Hill Funding II entered into the UBS Facility with UBS.UBS, as amended on December 1, 2017. See Note 87 to our consolidated financial statements for a more detailed description of the UBS Facility.

On December 19, 2017, 33rd Street entered into the MS Credit Facility with MS, as amended on July 9, 2018 and December 18, 2018. See Note 7 to our consolidated financial statements for a more detailed description of the MS Credit Facility.
Commitments and Contingencies and Off-Balance Sheet Arrangements
Commitments and Contingencies
We have entered into certain contracts with other parties that contain a variety of indemnifications. Our maximum exposure under these arrangements is unknown. However, we have not experienced claims or losses pursuant to these contracts and believe the risk of loss related to such indemnifications to be remote.
Our investment portfolio may contain debt investments that are in the form of lines of credit, delayed draw term loans, revolving credit facilities, or other unfunded commitments, which may require us to provide funding when requested in accordance with the terms of the underlying agreement.agreements. For further details on such debt investments, refer to Note 1110 to our consolidated financial statements included in this report.
Off-Balance Sheet Arrangements
    
We currently have no off-balance sheet arrangements, except for those discussed in Note 1110 to our consolidated financial statements included in this report.


Item 3. Quantitative and Qualitative Disclosures About Market Risk
We are subject to financial market risks, including changes in interest rates. As of September 30, 2017, 93.3%2019, 93.2% of our investments paid variable interest rates. A rise in the general level of interest rates can be expected to lead to higher interest rates applicable to our debt investments, especially to the extent that we hold variable rate investments, and to declines in the value of any fixed rate investments we may hold. To the extent that a majority of our investments may be in variable rate investments, an increase in interest rates could make it easier for us to meet or exceed our incentive fee hurdle rate, as defined in our investment advisory agreement, and may result in a substantial increase in our net investment income, and also to the amount of incentive fees payable to CIM with respect to our pre-incentive fee net investment income.

Under the terms of the Amended JPM Credit Facility, advances currently bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.50%3.00% per year. Under the terms of the Second Amended Citibank Credit Facility, advances currently bear interest at a floating rate equal to the three-month LIBOR plus 2.0%2.00%. Pursuant to the terms of the amended UBS Facility, we currently pay a financing fee equal to the three-month LIBOR plus a spread of 3.50%. Under the terms of the Amended MS Credit Facility, advances currently bear interest at a floating rate equal to the three-month LIBOR, plus a spread of 3.00% per year. In addition, we may seek to further borrow funds in order to make additional investments. Our net investment income will be impacted, in part, by the difference between the rate at which we borrow funds and the rate at which we invest those funds. As a result, we would be subject to risks relating to changes in market interest rates. In periods of rising interest rates when we have debt outstanding, our cost of funds would increase, which could reduce our net investment income, especially to the extent we hold fixed rate investments. We expect that our long-term investments will be financed primarily with equity and long-term debt. Our interest rate risk management techniques may include various interest rate hedging activities to the extent permitted by the 1940 Act. Adverse developments resulting from changes in interest rates could have a material adverse effect on our business, financial condition and results of operations.

The following table shows the effect over a twelve month period of changes in interest rates on our net interest income, excluding short term investments, assuming no changes in our investment portfolio, the Second Amended Citibank Credit Facility, the Amended JPM Credit Facility, the amended UBS Facility or the UBSAmended MS Credit Facility in effect as of September 30, 2017:2019:
Change in Interest Rates Increase (Decrease) in Net Interest Income(1) Percentage Change in Net Interest Income
Basis Point Change in Interest Rates (Decrease) Increase in Net Interest Income(1) Percentage Change in Net Interest Income
Down 200 basis points $(7,669) (6.3)%
Down 100 basis points $1,290
 1.2 % (8,727) (7.2)%
Down 50 basis points (1,585) (1.5)% (4,393) (3.6)%
Current base interest rate —
 —
No change to current base rate (2.14% as of September 30, 2019) —
 —
Up 50 basis points 4,276
 4.0 % 4,503
 3.7 %
Up 100 basis points 8,560
 8.1 % 9,006
 7.4 %
Up 200 basis points 17,126
 16.1 % 18,012
 14.8 %
Up 300 basis points 25,693
 24.2 % 27,018
 22.2 %
(1)This table assumes no change in defaults or prepayments by portfolio companies over the next twelve months.
The interest rate sensitivity analysis presented above does not consider the potential impact of the changes in fair value of our fixed rate debt investments and the net asset value of our common stock in the event of sudden changes in interest rates. Approximately 4.6%3.5% of our investments paid fixed interest rates as of September 30, 2017.2019. Rising market interest rates will most likely lead to fair value declines for fixed interest rate investments and a decline in the net asset value of our common stock, while declining market interest rates will most likely lead to an increase in the fair value of fixed interest rate investments and an increase in the net asset value of our common stock.
In addition, we may have risk regarding portfolio valuation as discussed in Note 2 to our consolidated financial statements included in this report.


Item 4. Controls and Procedures
Evaluation of disclosure controls and procedures 
In connection with the preparation of this Quarterly Report on Form 10-Q for the three months ended September 30, 2017,2019, we carried out an evaluation, under the supervision and with the participation of our management, including our Co-Chief Executive Officers and our Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this report pursuant to Rule 13a-15(b) and Rule 15d-15(b) of the Securities Exchange Act of 1934, as amended. Based on the foregoing evaluation, the Co-Chief Executive Officers and the Chief Financial Officer concluded that our disclosure controls and procedures were effective.
In designing and evaluating our disclosure controls and procedures, we recognized that disclosure controls and procedures, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the disclosure controls and procedures are met.  Our disclosure controls and procedures have been designed to meet reasonable assurance standards. Disclosure controls and procedures cannot detect or prevent all error and fraud. Some inherent limitations in disclosure controls and procedures include costs of implementation, faulty decision-making, simple error and mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is based, in part, upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all anticipated and unanticipated future conditions. Over time, controls may become inadequate because of changes in conditions, or the degree of compliance with established policies or procedures.
Evaluation of internal control over financial reporting
There have been no changes in our internal control over financial reporting during the three months ended September 30, 20172019 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.


PART II - OTHER INFORMATION
Item 1. Legal Proceedings
We are not currently subject to any material legal proceedings, nor, to our knowledge, is any material legal proceeding threatened against us. From time to time, we may be party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of our rights under contracts with our portfolio companies and other third parties. While the outcome of these legal proceedings cannot be predicted with certainty, we do not expect that any such proceedings will have a material effect upon our financial condition or results of operations.
Item 1A. Risk Factors
There have been no material changes from the risk factors disclosed in “Item 1A. Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2016.2018.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Our registration statement on Form N-2, as amended, in connection with our follow-on continuous public offering was declared effective by the SEC on January 25, 2016 (SEC File No. 333-203683). Our follow-on continuous public offering commenced on January 25, 2016.2016 and ended on January 25, 2019.
We did not engage in any unregistered sales of equity securities during the three months ended September 30, 2017.2019.
The table below provides information concerning our repurchases of shares of our common stock during the three months ended September 30, 20172019 pursuant to our share repurchase program.
Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs Maximum Number of Shares That May Yet Be Purchased Under the Plans or Programs
July 1 to July 31, 2017 1,365,168
 $9.10
 1,365,168
 (1)
August 1 to August 31, 2017 —
 —
 —
 —
September 1 to September 30, 2017 —
 —
 —
 —
Total 1,365,168
 $9.10
 1,365,168
 (1)
Period Total Number of Shares Purchased Average Price Paid per Share Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs Maximum Number of Shares That May Yet Be Purchased Under the Plans or Programs
July 1 to July 31, 2019 —
 $—
 —
 —
August 1 to August 31, 2019 —
 —
 —
 —
September 1 to September 30, 2019 1,035,307
 8.27
 1,035,307
 (1)
Total 1,035,307
 $8.27
 1,035,307
 (1)
(1)A description of the maximum number of shares of our common stock that may be repurchased is set forth in a detailed discussion of the terms of our share repurchase program in Note 3 to our unaudited consolidated financial statements contained in this Quarterly Report on Form 10-Q.
Item 3. Defaults Upon Senior Securities
Not applicable.
Item 4. Mine Safety Disclosures
Not applicable.
Item 5. Other Information
Not applicable.



Item 6. Exhibits
Exhibit
Number
 Description of Document
2.1 
Purchase and Sale Agreement, dated as of September 30, 2016, by and between Park South Funding, LLC and Credit Suisse Alternative Capital, LLC (Incorporated by reference to Exhibit 2.1 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
3.1 
Articles of Amendment and Restatement of the Articles of Incorporation of CĪON Investment Corporation (Incorporated by reference to Exhibit (A)(2) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
3.2 
Second Articles of Amendment and Restatement of the Articles of Incorporation of CĪON Investment Corporation (Incorporated by reference to Exhibit 3.1 to Registrant’s Current Report on Form 8-K filed with the SEC on August 27, 2012 (File No. 814-00941)).
3.3 
Bylaws of CĪON Investment Corporation (Incorporated by reference to Exhibit (B) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
4.1 
Form of Follow-On Subscription Agreement (Incorporated by reference to Appendix A to Post-Effective Amendment No. 4 to Registrant’s Registration StatementFinal Prospectus on Form N-2497 filed with the SEC on April 26, 2017September 25, 2018 (File No. 333-203683)).
4.2 
Fifth Amended and Restated Distribution Reinvestment Plan of CĪON Investment Corporation (Incorporated by reference to Exhibit 4.1 to Registrant’s Current Report on Form 8-K filed with the SEC on December 8, 2016 (File No. 814-00941)).
10.1 
Investment Advisory Agreement by and between CĪON Investment Corporation and CION Investment Management, LLC (Incorporated by reference to Exhibit (G)(1) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.2 
Investment Sub-Advisory Agreement by and among CION Investment Management, LLC, CĪON Investment Corporation and Apollo Investment Management, L.P. (Incorporated by reference to Exhibit (G)(2) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.3
Administration Agreement by and between CĪON Investment Corporation and ICON Capital Corp. (Incorporated by reference to Exhibit (K)(2) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.4
Custody Agreement by and between CĪON Investment Corporation and U.S. Bank National Association (Incorporated by reference to Exhibit (J) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.510.3 
Escrow Agreement by and among CĪON Investment Corporation, UMB Bank, N.A., and ICON Securities Corp. (Incorporated by reference to Exhibit (K)(1) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.610.4 
Dealer ManagerAmended and Restated Expense Support and Conditional Reimbursement Agreement, by and among CĪON Investment Corporation, CION Investment Management, LLC and ICON Securities Corp. (Incorporated by reference to Exhibit (H)(1) to Pre-Effective Amendment No. 4 to Registrant’s Registration Statement on Form N-2 filed with the SEC on June 29, 2012 (File No. 333-178646)).
10.7
ISDA 2002 Master Agreement, together with the Schedule thereto and Credit Support Annex to such Schedule, each dated as of December 17, 2012,26, 2018, by and between Flatiron Funding,CĪON Investment Corporation and CION Investment Management, LLC and Citibank, N.A. (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 19, 201226, 2018 (File No. 814-00941)).
10.8
Thirteenth Amended and Restated Confirmation Letter Agreement, dated as of February 18, 2017, by and between Flatiron Funding, LLC and Citibank, N.A. (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on February 23, 2017 (File No. 814-00941)).
10.9
Third Amended and Restated Expense Support and Conditional Reimbursement Agreement, dated as of December 14, 2016, by and among CĪON Investment Corporation, Apollo Investment Management, L.P. and CION Investment Group, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on December 14, 2016 (File No. 814-00941)).
10.1010.5 
Amended and Restated Follow-On Dealer Manager Agreement, dated as of December 28, 2016, by and among CĪON Investment Corporation, CION Investment Management, LLC and CION Securities, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on January 4, 2017 (File No. 814-00941)).
10.1110.6 
Form of Follow-On Selected Dealer Agreement (Incorporated by reference to Exhibit (H)(4) to Registrant’s Registration Statement on Form N-2 filed with the SEC on April 28, 2015 (File No. 333-203683)).
10.12
Loan and Security Agreement, dated as of April 30, 2015, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 6, 2015 (File No. 814-00941)).
10.13
First Amendment to Loan and Security Agreement, dated as of January 28, 2016, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on February 3, 2016 (File No. 814-00941)).
10.14
Second Amendment to Loan and Security Agreement, dated as of April 21, 2016, by and between CĪON Investment Corporation and East West Bank (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 27, 2016 (File No. 814-00941)).
10.15
Custody Control Agreement, dated as of April 30, 2015, by and among CĪON Investment Corporation, East West Bank and U.S. Bank National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on May 6, 2015 (File No. 814-00941)).
10.16
Limited Liability Company Agreement of CION / Capitala Senior Loan Fund I, LLC, dated as of June 24, 2015, by and between CĪON Investment Corporation and Capitala Finance Corp. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on June 26, 2015 (File No. 814-00941)).



Exhibit
Number
Description of Document
10.17
Loan and Security Agreement, dated as of August 26, 2016, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.1810.7 
Sale and Contribution Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CĪON Investment Corporation (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.1910.8 
Master Participation Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CĪON Investment Corporation (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.20
Portfolio Management Agreement, dated as of August 26, 2016, by and between 34th Street Funding, LLC and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.21
Guarantee of CĪON Investment Corporation dated as of August 26, 2016 (Incorporated by reference to Exhibit 10.5 to Registrant’s Current Report on Form 8-K filed with the SEC on September 1, 2016 (File No. 814-00941)).
10.2210.9 
Amended and Restated Loan and Security Agreement, dated as of September 30, 2016, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.23
Release and Termination Agreement, dated as of September 30, 2016, by and among CĪON Investment Corporation, 34th Street Funding, LLC and JPMorgan Chase Bank, National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.2410.10 
Amended and Restated Portfolio Management Agreement, dated as of September 30, 2016, by and among 34th Street Funding, LLC, CION Investment Management, LLC and JPMorgan Chase Bank, National Association (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on October 4, 2016 (File No. 814-00941)).
10.2510.11 
Credit and Security Agreement, dated as of March 29, 2017, by and among Flatiron Funding II, LLC, CION Investment Management, LLC, CĪCÎON Investment Corporation, Citibank, N.A. and U.S. Bank National Association (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.2610.12
Second Amendment, dated as of March 14, 2019, to Credit and Security Agreement, dated as of March 29, 2017, by and among Flatiron Funding II, LLC, CION Investment Management, LLC, CĪON Investment Corporation, the Lenders from time to time party thereto, Citibank, N.A. and U.S. Bank National Association. (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on March 18, 2019 (File No. 814-00941)).



Exhibit
Number
Description of Document
10.13 
Account Control Agreement, dated as of March 29, 2017, by and among Flatiron Funding II, LLC, CION Investment Management, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.2 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.2710.14 
Master Participation and Assignment Agreement, dated as of March 29, 2017, by and between 15th Street Loan Funding LLC and Flatiron Funding II, LLC (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.2810.15 
Master Participation and Assignment Agreement, dated as of March 29, 2017, by and between 15th Street Loan Funding 2 LLC and Flatiron Funding II, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on April 4, 2017 (File No. 814-00941)).
10.2910.16 
Contribution Agreement, dated as of May 19, 2017, by and among CÎCĪON Investment Corporation, Murray Hill Funding, LLC and Murray Hill Funding II, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3010.17 
Amended and Restated Indenture, dated as of May 19,December 1, 2017, by and between Murray Hill Funding II, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.210.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on May 25,December 7, 2017 (File No. 814-00941)).
10.3110.18 
Murray Hill Funding II, LLC Class A Notes Due 2027 (Incorporated by reference to Exhibit 10.3 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3210.19 
Contribution Agreement, dated as of May 19, 2017, by and among UBS AG, London Branch, Murray Hill Funding II, LLC, U.S. Bank National Association, Murray Hill Funding, LLC and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.4 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3310.20 
October 2000 Version Global Master Repurchase Agreement, by and between UBS AG and Murray Hill Funding, LLC, together with the related Annex and Master Confirmation thereto, each dated as of May 19, 2017 (Incorporated by reference to Exhibit 10.5 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3410.21 
Collateral Management Agreement, dated as of May 19, 2017, by and between CION Investment Management, LLC and Murray Hill Funding II, LLC (Incorporated by reference to Exhibit 10.6 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.3510.22 
Collateral Administration Agreement, dated as of May 19, 2017, by and among Murray Hill Funding II, LLC, CION Investment Management, LLC and U.S. Bank National Association (Incorporated by reference to Exhibit 10.7 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2017 (File No. 814-00941)).
10.23
Murray Hill Funding II, LLC Class A Notes Due 2027 (Incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 7, 2017 (File No. 814-00941)).
10.24
First Amended and Restated Master Confirmation, dated as of December 1, 2017, to the October 2000 Version Global Master Repurchase Agreement, dated as of May 19, 2017, by and between UBS AG, London Branch and Murray Hill Funding, LLC (Incorporated by reference to Exhibit 10.3 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 7, 2017 (File No. 814-00941)).
10.25
Loan and Servicing Agreement, dated as of December 19, 2017, by and among 33rd Street Funding, LLC, CION Investment Management, LLC, Morgan Stanley Asset Funding Inc., Morgan Stanley Bank, N.A. and U.S. Bank National Association (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 22, 2017 (File No. 814-00941)).
10.26
Sale and Contribution Agreement, dated as of December 19, 2017, by and between 33rd Street Funding, LLC and CĪON Investment Corporation (Incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 22, 2017 (File No. 814-00941)).
10.27
Portfolio Management Agreement, dated as of December 19, 2017, by and between 33rd Street Funding, LLC and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.3 to the Registrant’s Current Report on Form 8-K filed with the SEC on December 22, 2017 (File No. 814-00941)).
10.28
Administration Agreement, dated as of April 1, 2018, by and between CĪON Investment Corporation and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K filed with the SEC on April 3, 2018 (File No. 814-00941)).



Exhibit
Number
Description of Document
10.29
Third Amendment to Amended and Restated Loan Agreement, dated as of May 23, 2018, by and among 34th Street Funding, LLC, JPMorgan Chase Bank, National Association, U.S. Bank National Association and CION Investment Management, LLC (Incorporated by reference to Exhibit 10.1 to Registrant’s Current Report on Form 8-K filed with the SEC on May 25, 2018 (File No. 814-00941)).
31.1 
Rule 13a-14(a)/15d-14(a) Certification of Co-Chief Executive Officer.
31.2 
Rule 13a-14(a)/15d-14(a) Certification of Co-Chief Executive Officer.
31.3 
Rule 13a-14(a)/15d-14(a) Certification of Chief Financial Officer.
32.1 
Certification of Co-Chief Executive Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2 
Certification of Co-Chief Executive Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.3 
Certification of Chief Financial Officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: November 13, 201712, 2019
CĪON Investment Corporation
(Registrant)
By: /s/ Michael A. Reisner
Michael A. Reisner
Co-Chief Executive Officer
(Principal Executive Officer)
By: /s/ Mark Gatto
Mark Gatto
Co-Chief Executive Officer
(Principal Executive Officer)
By: /s/ Keith S. Franz
Keith S. Franz
Chief Financial Officer
(Principal Financial and Accounting Officer)


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