Relatively long record of good performance relative to peers Diversified funding sources Low leverage High operating leverage due to internally managed operating structure A substantial proportion of the portfolio comprising illiquid investments, including equity in lower middle-market companies that could constrain financial flexibility in severely adverse markets Elevated nonaccrual ratio that compares unfavorably with some larger peers The stable outlook reflects Main Street Capital Corp.'s strong capital position, extensive record of good performance, and diverse funding sources. Over the next 12 months, we expect the company to operate with debt to adjusted total equity (ATE) of over 1x, an adequate cushion to the minimum 200% asset coverage ratio, and debt (excluding small business investment company (SBIC) debt) to reported equity
