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  <P STYLE="font: 13.5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>UNITED STATES </B></P>
  
  <P STYLE="font: 13.5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>SECURITIES AND EXCHANGE COMMISSION
  </B></P>
  
  <P STYLE="font: 12pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Washington, D.C. 20549 </B></P>
  
  <P STYLE="font: 18pt/normal Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: center"><B>FORM 10-Q </B></P>
  
  <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin-top: 9pt; text-align: left; margin-bottom: 0">(Mark One)</P>
  
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      <TD STYLE="width: 1px; font: 11pt/115% Calibri, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="width: 41px; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% MS Gothic, Helvetica, Sans-Serif">&#9746;</FONT></TD>
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 </B></FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">For the quarterly period ended
  September 30, 2019</P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">or</P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
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      <TD STYLE="width: 1px; line-height: 115%">&nbsp;</TD>
      <TD STYLE="width: 41px; line-height: 115%; text-align: center"><FONT STYLE="font: 10pt/115% MS Mincho,serif">&#9744;</FONT></TD>
      <TD STYLE="line-height: 115%; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 </B></FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: center">For the transition period to</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: center">Commission File Number 814-00098</P>
  
  <P STYLE="font: 24pt/normal Times New Roman, Times, Serif; margin: 9pt 0 0; text-align: center"><B>EQUUS TOTAL RETURN, INC. </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Exact name of registrant as specified
  in its charter) </B></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in">&nbsp;</P>
  
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      <TD STYLE="width: 50%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>Delaware</B></FONT></TD>
      <TD STYLE="width: 50%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>76-0345915</B></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD>
          <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(State or other jurisdiction of</B></P>
          <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin: 0 0 0.75pt; text-align: center"><B>incorporation or organization)</B></P></TD>
      <TD>
          <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(I.R.S. Employer</B></P>
          <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin: 0 0 0.75pt; text-align: center"><B>Identification No.)</B></P></TD></TR>
  <TR>
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top">
      <TD>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>700 Louisiana St., 48<SUP>th</SUP>
          Floor</B></P>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Houston, Texas</B></P></TD>
      <TD>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>77002</B></P></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 7.5pt/115% Times New Roman, Times, Serif"><B>(Address of principal executive offices)</B></FONT></TD>
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 7.5pt/115% Times New Roman, Times, Serif"><B>(Zip Code)</B></FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 7.5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Former Name, Former Address and
  Former Fiscal Year, if Changed Since Last Report)</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Registrant&rsquo;s telephone number,
  including area code: (713) 529-0900</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Securities registered pursuant to
  Section 12(b) of the Act:</B></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>
  
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  <TR>
      <TD STYLE="vertical-align: bottom; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B><U>Title of each class</U></B></FONT></TD>
      <TD STYLE="vertical-align: top">
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>Name of each exchange</B></P>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0 0 0.6pt; text-align: center"><B><U>on which registered</U></B></P></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>Common Stock</B></FONT></TD>
      <TD STYLE="font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><B>New York Stock Exchange</B></FONT></TD></TR>
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  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">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 </FONT><FONT STYLE="font: 10pt MS Mincho,serif">&#9746;
  </FONT><FONT STYLE="font: 10pt Times New Roman, Times, Serif">No </FONT><FONT STYLE="font-family: MS Mincho,serif">&#9744;</FONT></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Indicate
  by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant
  to Rule 405 of Regulation S-T (&sect;232.405 of this chapter) during the preceding 12 months (or for such shorter period that the
  registrant was required to submit such files). Yes </FONT><FONT STYLE="font-family: MS Mincho,serif">&#9744;</FONT> <FONT STYLE="font-family: Times New Roman, Times, Serif">No
  </FONT><FONT STYLE="font-family: MS Mincho,serif">&#9744;</FONT></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify">Indicate by check mark whether the registrant
  is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of &ldquo;accelerated filer and
  large accelerated filer&rdquo; in Rule 12b-2 of the Exchange Act.</P>
  
  <P STYLE="font: 8pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
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  <TR STYLE="vertical-align: top">
      <TD STYLE="width: 18%; font: 11pt/115% Calibri, Helvetica, Sans-Serif"><FONT STYLE="font: 8pt/115% Times New Roman, Times, Serif">Large accelerated filer </FONT><FONT STYLE="font: 8pt/115% MS Mincho,serif">&#9744;</FONT></TD>
      <TD STYLE="width: 15%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 8pt/115% Times New Roman, Times, Serif">Accelerated filer </FONT><FONT STYLE="font: 8pt/115% MS Mincho,serif">&#9744;</FONT></TD>
      <TD STYLE="width: 20%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 8pt/115% Times New Roman, Times, Serif">Non-accelerated filer </FONT><FONT STYLE="font: 8pt/115% MS Mincho,serif">&#9746;</FONT></TD>
      <TD STYLE="width: 24%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 8pt/115% Times New Roman, Times, Serif">Smaller Reporting Company </FONT><FONT STYLE="font: 8pt/115% MS Mincho,serif">&#9744;</FONT></TD>
      <TD STYLE="width: 23%; font: 11pt/115% Calibri, Helvetica, Sans-Serif; text-align: center"><FONT STYLE="font: 8pt/115% Times New Roman, Times, Serif">Emerging Growth Company </FONT><FONT STYLE="font: 8pt/115% MS Mincho,serif">&#9744;</FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">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&nbsp;13(a) of the Exchange Act.&nbsp;</FONT><FONT STYLE="font-family: MS Mincho,serif">&#9744;</FONT><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif">Indicate
  by check mark whether the registrant is a shell company. Yes </FONT><FONT STYLE="font-family: MS Mincho,serif">&#9744;</FONT> <FONT STYLE="font-family: Times New Roman, Times, Serif">No
  </FONT><FONT STYLE="font-family: MS Mincho,serif">&#9746;</FONT></P>
  
  <P STYLE="font: 5pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-indent: 24.5pt; text-align: justify">There were 13,518,146 shares of the
  registrant&rsquo;s common stock, $.001 par value, outstanding, as of November 13, 2019.</P>
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 5.3pt 0 0 30.25pt">&nbsp;</P>
  
  
  <!-- Field: Page; Sequence: 1 -->
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(A Delaware Corporation)</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><A NAME="TableOfContents"></A>INDEX</B></P>
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
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      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="text-align: center; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; line-height: 115%"><B>PAGE</B></FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a001">PART I. FINANCIAL INFORMATION</A></FONT></TD>
      <TD STYLE="vertical-align: bottom; line-height: 115%; text-align: center">&nbsp;</TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a002">Item 1. Unaudited Condensed Financial Statements</A></FONT></TD>
      <TD STYLE="vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">3</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a003">Condensed Balance Sheets</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">3</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><A HREF="#a004">Condensed Statements of Operations</A></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">4</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">
      <A HREF="#a005">Condensed Statements of Changes in Net Assets</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">5</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><A HREF="#a006">Condensed Statements of Cash Flows</A></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">6</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><A HREF="#a007">Supplemental Information&mdash;Selected Per Share Data and Ratios</A></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">7</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a008">Schedules of Investments</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">8</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 1in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a009">Notes to Condensed Financial Statements</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">12</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a010">Item 2. Management&rsquo;s Discussion and Analysis of Financial Condition and Results of Operations</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">27</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><A HREF="#a011">Item 3. Quantitative and Qualitative Disclosure about Market Risk</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">32</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: Black; line-height: 115%"><A HREF="#a012">Item 4. Controls and Procedures</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">32</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a013">PART II. OTHER INFORMATION</A></FONT></TD>
      <TD STYLE="vertical-align: bottom; line-height: 115%; text-align: center"></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: Black; line-height: 115%"><A HREF="#a014">Item 1. Legal Proceedings</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">33</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font: 10pt/115% Times New Roman, Times, Serif"><A HREF="#a015">Item 1A. Risk Factors</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">33</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; text-indent: 0.5in; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a016">Item 6. Exhibits</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">34</FONT></TD></TR>
  <TR STYLE="background-color: #CCEEFF">
      <TD STYLE="vertical-align: top; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="#a017">SIGNATURE</A></FONT></TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">35</FONT></TD></TR>
  <TR STYLE="background-color: white">
      <TD STYLE="vertical-align: top; line-height: 115%">&nbsp;</TD>
      <TD STYLE="white-space: nowrap; vertical-align: bottom; line-height: 115%; text-align: center">&nbsp;</TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
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  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><A NAME="a003"></A><B>CONDENSED</B> <B>BALANCE SHEETS</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)</B></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 5.75pt"><B><U><A NAME="a001"></A>Part I. Financial Information</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><A NAME="a002"></A><B><U>Item 1. Unaudited Condensed Financial Statements</U></B></P>
  
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  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-size: 10pt; font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 10pt; font-weight: bold; text-align: center">&nbsp;</TD><TD STYLE="font-size: 10pt; font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 10pt; font-weight: bold; text-align: center">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-size: 10pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">September 30, 2019</TD><TD STYLE="font-size: 10pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">December 31, 2018</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; text-align: left">(in thousands, except per share amounts)</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>Assets</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Investments in portfolio securities at fair value:</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="width: 56%; text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Control investments (cost at $7,050 and $10,050, respectively)</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">10,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">9,210</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Affiliate investments (cost at $350)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20,500</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-affiliate investments - related party (cost at $6,819 and $6,579, respectively)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,927</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,328</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-affiliate investments (cost at $977)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total investments in portfolio securities at fair value</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">42,904</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">35,015</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Temporary cash investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,991</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,981</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Cash and cash equivalents</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,783</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">7,425</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Restricted cash</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">270</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">270</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Accounts receivable from affiliates</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">561</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">561</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Accrued interest and dividend receivable</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">489</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">568</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Other assets</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">202</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">121</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">76,200</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">70,941</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Liabilities and net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">126</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">196</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable to related parties</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">59</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">269</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Borrowing under margin account</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,991</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,981</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">27,176</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">27,446</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Commitments and contingencies (see Note 2)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 1pt">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Net assets</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">49,024</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">43,495</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net assets consist of:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Common stock, par value</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">13</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">13</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capital in excess of par value</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">55,981</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">55,741</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Undistributed net investment losses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(31,940</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(29,327</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Undistributed net capital (losses) gains</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,738</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">9</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized appreciation of portfolio securities, net</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">29,600</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">19,310</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Unrealized depreciation of portfolio securities, net - related party</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1,892</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,251</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total net assets</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">49,024</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">43,495</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">Shares of common stock issued and outstanding, $.001 par value, 50,000 shares authorized</TD><TD STYLE="font-size: 11.5pt; padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; font-size: 11.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">Shares of preferred stock issued and outstanding, $.001 par value, 5,000 shares authorized</TD><TD STYLE="font-size: 11.5pt; padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; font-size: 11.5pt; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; font-size: 11.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">Net asset value per share</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">3.63</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">3.22</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">The accompanying notes are an integral part
  of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 3 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->3<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><A NAME="a004"></A>CONDENSED STATEMENTS OF
  OPERATIONS</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B></P>
  
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Three Months Ended September 30,</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Nine Months Ended September 30,</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">(in thousands, except per share amounts)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2018</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2018</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Investment income:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest and dividend income:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%; text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-affiliate investments - related party</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">81</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">76</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">161</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">225</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Non-affiliate investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">69</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total interest and dividend income</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">81</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">76</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">161</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">294</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest from temporary cash investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">9</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">9</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">35</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">21</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total investment income</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">90</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">85</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">196</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">315</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>Expenses:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Compensation expense</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">464</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">365</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">1,243</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">1,263</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Professional fees</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">193</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">206</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">764</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">1,011</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Director fees and expenses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">79</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">75</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">281</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">271</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;General and administrative expenses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">139</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">126</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">358</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">300</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Mailing, printing and other expenses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">34</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">31</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">129</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">98</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Taxes</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">5</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">17</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">8</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">4</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total expenses</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">916</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">807</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,809</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,964</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net investment loss</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(826</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(722</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,613</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,649</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net realized (loss) gain:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Affiliate investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,790</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Temporary cash investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">43</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">4</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized (loss) gain</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,747</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">4</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net unrealized appreciation of portfolio securities:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">29,600</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20,811</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">29,600</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20,811</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">27,600</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">17,812</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">19,310</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">14,498</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net change in net unrealized appreciation of portfolio securities</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,000</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,999</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10,290</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">6,313</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net unrealized depreciation of portfolio securities - related party:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1,892</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1,497</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1,892</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1,497</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1,719</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1,575</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,251</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1,036</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net change in net unrealized depreciation of portfolio securities - related party</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(173</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">78</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">359</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(461</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Net increase in net assets resulting from operations</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">1,011</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">2,358</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">5,289</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">3,207</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net increase in net assets resulting from operations per share:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">0.07</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">0.17</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">0.39</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">0.24</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Weighted average shares outstanding:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic and diluted</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <P STYLE="font: 9pt/211% Sans-Serif; margin: 0.25pt 11.45pt 0 146.85pt; text-indent: -126.1pt; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt/211% Times New Roman, Times, Serif; margin: 0.25pt 11.45pt 0 146.85pt; text-indent: -126.1pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/211% Times New Roman, Times, Serif; margin: 0.25pt 11.45pt 0 146.85pt; text-align: center; text-indent: -126.1pt">The
  accompanying notes are an integral part of these financial statements.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"></P>
  
  
  <!-- Field: Page; Sequence: 4 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->4<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><A NAME="a005"></A><B>CONDENSED STATEMENTS OF CHANGES IN NET ASSETS</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)</B></P>
  
  <P STYLE="font: 5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Common Stock</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Number of Shares</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Par Value</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Capital in Excess of Par Value</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Undistributed Net Investment Losses</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Undistributed Net Capital (Losses) Gains</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Unrealized Appreciation of Portfolio Securities, net</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Unrealized Depreciation of Portfolio Securities - Related Party</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Total Net Assets</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 36%">&nbsp;Balances at January 1, 2018</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left"></TD><TD STYLE="width: 5%; text-align: right">13,518</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">13</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">55,304</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">(25,772</TD><TD STYLE="width: 1%; text-align: left">)</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">14,498</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">(1,036</TD><TD STYLE="width: 1%; text-align: left">)</TD><TD STYLE="width: 1%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 5%; text-align: right">43,007</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">197</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">197</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net (decrease) increase in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(991</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1,364</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(319</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">56</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at March 31, 2018</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,501</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(26,763</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">2</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">15,862</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,355</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">43,260</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net increase (decrease) in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">79</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(936</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1,950</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(220</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">872</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;`</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at June 30, 2018</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,580</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(27,699</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">1</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">17,812</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,575</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">44,132</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">81</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">81</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net increase (decrease) in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(722</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,999</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">78</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,358</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;`</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at September 30, 2018</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,661</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(28,421</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">4</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">20,811</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,497</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">46,571</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;Balances at January 1, 2019</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">13,518</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">13</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">55,741</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">(29,327</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">9</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">19,310</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">(2,251</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">43,495</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net increase (decrease) in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(990</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3,501</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">456</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;`</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at March 31, 2019</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,821</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(30,317</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">19</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">22,811</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,795</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">46,552</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net increase (decrease) in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(797</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(2,767</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">4,789</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">76</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1,301</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;`</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at June 30, 2019</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,901</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(31,114</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(2,748</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">27,600</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,719</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">47,933</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;Net increase (decrease) in net assets resulting from operations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(826</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,000</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(173</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1,011</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt">&nbsp;</TD>
      <TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt">&nbsp;</TD>
      <TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 11.5pt; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;Balances at September 30, 2019</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">55,981</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(31,940</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(2,738</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">29,600</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(1,892</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">49,024</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 108.25pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">The accompanying notes are an integral
  part of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
  <!-- Field: Page; Sequence: 5 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->5<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><A NAME="a006"></A>CONDENSED STATEMENTS OF CASH
  FLOWS</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)</B></P>
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.15pt 0 0; text-align: center; color: Red"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-size: 10pt; font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-size: 10pt; font-weight: bold; text-align: center">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Nine Months Ended September 30,</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-size: 10pt; font-weight: bold; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>Reconciliation of increase in net assets resulting from operations to net cash</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;used in operating activities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="width: 56%; text-align: left">Net increase in net assets resulting from operations</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">5,289</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">3,207</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Adjustments to reconcile net increase in net assets resulting from operations to net cash used in operating activities:</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font-family: Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized loss (gain)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">2,747</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(4</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized appreciation of portfolio securities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(10,290</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(6,313</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net change in unrealized depreciation of portfolio securities - related party</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(359</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">461</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">240</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">357</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Dissolution of portfolio securities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">211</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Changes in operating assets and liabilities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchases of temporary cash investments, net</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">32</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">1,007</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable from affiliates</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">25</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued interest and dividend receivable</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(161</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(294</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(81</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(64</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable and accrued liabilities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(70</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(8</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable to related parties</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(210</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">30</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net cash used in operating activities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,652</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1,596</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Cash flows from financing activities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Borrowings under margin account</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">80,958</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">47,985</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Repayments under margin account</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(80,948</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(48,988</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net cash provided by (used in) financing activities</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(1,003</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net decrease in cash and cash equivalents</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,642</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,599</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Cash and cash equivalents and restricted cash at beginning of period</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">7,695</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10,975</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Cash and cash equivalents and restricted cash at end of period</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">5,053</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">8,376</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Non-cash operating and financing activities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued interest or dividends exchanged for portfolio securities - related party</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">240</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">225</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Supplemental disclosure of cash flow information:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest paid</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">8</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">4</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income taxes paid</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">26</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.15pt 0 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">The accompanying notes are an integral part
  of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"></P>
  
  
  <!-- Field: Page; Sequence: 6 -->
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      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><A NAME="a007"></A>SUPPLEMENTAL INFORMATION&mdash;SELECTED PER
  SHARE DATA AND RATIOS</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>&nbsp;</B>&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD><TD STYLE="font-size: 10pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Nine Months Ended September 30,</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 56%; text-align: left">Investment income</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">0.01</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">0.02</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 1pt">Expenses</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.21</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.22</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net investment loss</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(0.20</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(0.20</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net realized loss</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(0.20</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net change in unrealized appreciation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.76</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.47</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net change in unrealized depreciation - related party</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.03</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(0.03</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net increase in net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.39</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.24</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Capital transactions:</TD><TD STYLE="color: red">&nbsp;</TD>
      <TD STYLE="color: red; text-align: left">&nbsp;</TD><TD STYLE="color: red; text-align: right">&nbsp;</TD><TD STYLE="color: red; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;Share-based incentive compensation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.02</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.03</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 1pt">&nbsp;&nbsp;Dilutive effect of shares issued</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Increase in net assets resulting from capital transactions</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.02</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.03</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Net increase in net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.41</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">0.27</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Net assets at beginning of period</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3.22</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3.18</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Net assets at end of period, basic and diluted</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">3.63</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">3.45</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>Weighted average number of shares outstanding during period,</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;in thousands</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">13,518</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>Market price per share:</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Beginning of period</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">1.96</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">2.40</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;End of period</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">1.61</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">2.36</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Selected information and ratios:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ratio of expenses to average net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">6.07</TD><TD STYLE="text-align: left">%</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">6.62</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Ratio of net investment loss to average net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(5.65</TD><TD STYLE="text-align: left">%)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(5.92</TD><TD STYLE="text-align: left">%)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 24px">Ratio of net increase in net assets resulting from operations to average net assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">11.43</TD><TD STYLE="text-align: left">%</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">7.16</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-weight: 400; font-style: normal; text-align: left">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total return on market price <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-style: normal; font-weight: 400"><SUP>(1)</SUP></FONT></TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(17.86</TD><TD STYLE="text-align: left">%)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1.67</TD><TD STYLE="text-align: left">%)</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(1)</FONT></TD><TD>Total return = [(ending market price per share - beginning price per share) / beginning market price per share].</TD></TR></TABLE>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt">&nbsp;</P>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">The accompanying notes are an integral part of
  these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC. </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><A NAME="a008"></A><B>SCHEDULE OF INVESTMENTS </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>SEPTEMBER 30, 2019</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited) </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><I>(in thousands, except share data)</I></B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><I>&nbsp;</I></B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><I></I></B></P>
  
  <TABLE BORDER="0" CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; border-collapse: collapse; font: 7.5pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; width: 29%">Name and Location of</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: center; width: 9%; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; width: 7%; text-align: center; vertical-align: top">Date&nbsp;of&nbsp;Initial</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right; width: 29%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right; width: 7%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; width: 10%">&nbsp;Cost of&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; width: 6%">&nbsp;Fair&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Portfolio&nbsp;Company</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">Industry</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">Investment</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">Investment</TD>
      <TD STYLE="text-align: center; vertical-align: top; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">Principal</TD>
      <TD STYLE="text-align: center; vertical-align: top; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">Investment</TD>
      <TD STYLE="text-align: center; vertical-align: top; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">Value<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal"><B><SUP>(1)</SUP></B></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold">Control Investments:&nbsp;&nbsp;Majority-owned <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-style: normal"><B><SUP>(3)</SUP></B></FONT><B><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal">:</FONT></B></TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 9pt; font-weight: bold; text-align: center">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 9pt; font-weight: bold; text-align: center">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; border-top: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Equus Energy, LLC</P>
                                                                <P STYLE="margin-top: 0; margin-bottom: 0">Houston, TX</P></TD>
      <TD STYLE="text-align: center; border-top: Black 1pt solid; vertical-align: top">&nbsp;Energy&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;December 2011&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid">&nbsp;Member interest (100%)&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; text-align: right; border-top: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top: Black 1pt solid">&nbsp;7,050&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top: Black 1pt solid">10,500</TD></TR>
  <TR STYLE="vertical-align: top; background-color: White">
      <TD STYLE="text-align: left"><P STYLE="margin-top: 0; margin-bottom: 0"></P></TD>
      <TD STYLE="text-align: center; vertical-align: top"></TD>
      <TD STYLE="text-align: center; vertical-align: top"></TD>
      <TD></TD>
      <TD STYLE="text-align: center; vertical-align: top"></TD>
      <TD STYLE="font-size: 4pt; text-align: right">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top"></TD>
      <TD STYLE="text-align: right"></TD>
      <TD STYLE="text-align: center; vertical-align: top"></TD>
      <TD STYLE="text-align: right"></TD></TR>
  <TR STYLE="background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; vertical-align: bottom; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: left">Total Control Investments: Majority-owned (represents 16.2% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; vertical-align: top; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right"><B>&nbsp;</B></TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; vertical-align: bottom; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">7,050&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; vertical-align: bottom; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">10,500</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Affiliate Investments <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal"><B><SUP>(4)</SUP>:</B></FONT></TD>
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt"><P STYLE="margin-top: 0; margin-bottom: 0">PalletOne, Inc.</P>
                                                                   <P STYLE="margin-top: 0; margin-bottom: 0">Bartow, FL</P></TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt; text-align: center; vertical-align: top">&nbsp;Shipping products and services&nbsp;</TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt; text-align: center; vertical-align: top">&nbsp;October 2001&nbsp;</TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt">&nbsp;350,000&nbsp;shares&nbsp;of&nbsp;common stock (18.7%)&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; text-align: right; border-top-color: Black; border-top-width: 0.5pt">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top-color: Black; border-top-width: 0.5pt">350&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top-color: Black; border-top-width: 0.5pt">26,500</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: left">Total Affiliate Investments (represents 34.1% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right"><B>&nbsp;</B></TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right"><B>350&nbsp;&nbsp;</B></TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">26,500</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-bottom: Black 1pt solid">Non-Affiliate Investments - Related Party (less than 5% owned):</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD></TR>
  <TR STYLE="background-color: White">
      <TD STYLE="vertical-align: top"><P STYLE="margin-top: 0; margin-bottom: 0">MVC Capital, Inc.</P>
                                      <P STYLE="margin-top: 0; margin-bottom: 0">Purchase, NY</P></TD>
      <TD STYLE="text-align: center; vertical-align: top">Financial services</TD>
      <TD STYLE="text-align: center; vertical-align: top">May 2014</TD>
      <TD STYLE="vertical-align: top">553,557 shares of common stock (1.7%)</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; text-align: right">6,819&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; text-align: right">4,927</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid">Total Non-Affiliate Investments - Related Party (represents 7.1% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">6,819&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">4,927</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-bottom: Black 1pt solid">Non-Affiliate Investments (less than 5% owned):</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD><P STYLE="margin-top: 0; margin-bottom: 0">5<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-weight: normal; font-style: normal"><SUP>TH</SUP> Element Tracking, LLC</FONT></P>
                                                                   <P STYLE="margin-top: 0; margin-bottom: 0"><FONT STYLE="font: normal 7.5pt Times New Roman, Times, Serif">Boston, MA</FONT></P></TD>
      <TD STYLE="text-align: center; vertical-align: top">Business products and services</TD>
      <TD STYLE="text-align: center; vertical-align: top">January 2015</TD>
      <TD>14% promissory note due 5/18 <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-weight: normal; font-style: normal"><SUP>(2)</SUP></FONT></TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right">&nbsp;977&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right">&nbsp;977&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right">977</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid">Total Non-Affiliate Investments (represents 1.4% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: left"><B>&nbsp;</B></TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right"><B>977&nbsp;&nbsp;</B></TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">977</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Total Investment in Portfolio Securities</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">15,196&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">42,904</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Temporary Cash Investments</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; border-bottom: Black 1pt solid">&nbsp;</TD></TR>
  <TR STYLE="background-color: rgb(204,238,255)">
      <TD STYLE="vertical-align: top; text-align: left; border-bottom: Black 1pt solid">U.S. Treasury Bill</TD>
      <TD STYLE="text-align: center; border-bottom: Black 1pt solid; vertical-align: top">Government</TD>
      <TD STYLE="text-align: center; border-bottom: Black 1pt solid; vertical-align: top">  September 2019</TD>
      <TD STYLE="text-align: left; border-bottom: Black 1pt solid; vertical-align: top">UST 0% 10/19</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 1pt solid; text-align: right">26,991&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 1pt solid; text-align: right">26,991&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 1pt solid; text-align: right">26,991</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-bottom: Black 1pt solid">Total Temporary Cash Investments (represents 38.6% of total investments at fair value)</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: left"><B>&nbsp;</B></TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">26,991&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">26,991</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Total Investments</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">42,187&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top"><B>$</B></TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right">69,895</TD></TR>
  </TABLE>
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B><I></I></B></P>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(1)</FONT></TD><TD>See Note 3 to the financial statements, Valuation of Investments.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(2)</FONT></TD><TD>Non-income-producing. See notes 5 and 9 to the financial statements.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(3)</FONT></TD><TD>Majority owned investments are generally defined under the 1940 Act as companies in which we own more than 50% of the
                                                                                                       voting securities of the company.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(4)</FONT></TD><TD>Affiliate investments are generally defined under the 1940 Act as companies in which we own at least 5% but not more
                                                                                                       than 25% voting securities of the company.</TD></TR>
  </TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">The accompanying notes are an integral part
  of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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      <!-- Field: /Page -->
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>EQUUS TOTAL RETURN, INC. </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>SCHEDULE OF INVESTMENTS &ndash; (Continued)
  </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>SEPTEMBER 30, 2019</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited) </B></P>
  
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Except
  for our holding of shares of MVC Capital, Inc. (&ldquo;MVC&rdquo;), all of our portfolio securities are restricted from public
  sale without prior registration under the Securities Act of 1933 (hereafter, the &ldquo;Securities Act&rdquo;) or other relevant
  regulatory authority. We negotiate certain aspects of the method and timing of the disposition of our investment in each portfolio
  company, including registration rights and related costs.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As a business
  development company (&ldquo;BDC&rdquo;) regulated pursuant to the Investment Company Act of 1940 (&ldquo;1940 Act&rdquo;), we may
  invest up to 30% of our assets in non-qualifying portfolio investments, as permitted by the 1940 Act. Specifically, we may invest
  up to 30% of our assets in entities that are not considered &ldquo;eligible portfolio companies&rdquo; (as defined in the 1940
  Act), including companies located outside of the United States, entities that are operating pursuant to certain exceptions under
  the 1940 Act, and publicly-traded entities with a market capitalization exceeding $250 million. As of September 30, 2019, we held
  88.5% of our assets at fair value in securities of portfolio companies that constituted qualifying investments under the 1940 Act.
  As of September 30, 2019, except for our shares of MVC, all of our investments are in enterprises that are considered eligible
  portfolio companies under the 1940 Act. We provide significant managerial assistance to portfolio companies that comprise 86.2%
  of the total value of the investments in portfolio securities as of September 30, 2019.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We are
  classified as a &ldquo;non-diversified&rdquo; investment company under the 1940 Act, which means we are not limited in the proportion
  of our assets that may be invested in the securities of a single issuer. The value of one segment called &ldquo;Shipping products
  and services&rdquo; includes one portfolio company and was 54.1% of our net asset value, 31.8% of our total assets and 61.8% of
  our investments in portfolio company securities (at fair value) as of September 30, 2019. The value of one segment called &ldquo;Energy&rdquo;
  includes one portfolio company and was 21.4% of our net asset value, 13.8% of our total assets and 24.5% of our investments in
  portfolio company securities (at fair value) as of September 30, 2019. Changes in business or industry trends or in the financial
  condition, results of operations, or the market&rsquo;s assessment of any single portfolio company will affect the net asset value
  and the market price of our common stock to a greater extent than would be the case if we were a &ldquo;diversified&rdquo; company
  holding numerous investments.</P>
  
  <P STYLE="font: 6.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt">Our investments in portfolio securities consist
  of the following types of securities as of September 30, 2019 (in thousands):</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Type of Securities</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Cost</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value</TD><TD STYLE="font-weight: bold; font-style: normal; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; font-style: normal; text-align: center; border-bottom: Black 1pt solid">Fair Value as Percentage of <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 11pt; font-style: normal; font-weight: 700"><U>Net Assets</U></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="text-align: center">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: center">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: center">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: center">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 46%; text-align: left">Common stock</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 11%; text-align: right">7,169</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 11%; text-align: right">31,427</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 11%; text-align: right">64.1</TD><TD STYLE="width: 1%; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Limited liability company investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">7,050</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">10,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">21.4</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Secured and subordinated debt</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">977</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">977</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">2.0</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 1pt">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Total</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">15,196</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">42,904</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">87.5</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">%</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="margin: 0">&nbsp;</P>
  
  <P STYLE="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0.25pt 0 0; text-indent: 402.75pt"></P>
  
  <P STYLE="font: 4pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt; text-align: justify">The following is a summary by industry of the Fund&rsquo;s
  investments in portfolio securities as of September 30, 2019 (in thousands):</P>
  
  <P STYLE="font: 6.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Industry</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value</TD><TD STYLE="font-weight: bold; font-style: normal; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; font-style: normal; text-align: center; border-bottom: Black 1pt solid">Fair Value as Percentage of <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 11pt; font-style: normal; font-weight: 700"><U>Net Assets</U></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 56%; text-align: left">Shipping products and services</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 12%; text-align: right">26,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 12%; text-align: right">54.1</TD><TD STYLE="width: 1%; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>Energy</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">10,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">21.4</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Financial services</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,927</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">10.0</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Business products and services</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2.0</TD><TD STYLE="padding-bottom: 1pt; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">Total</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">42,904</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">87.5</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">%</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 3.7pt 20.2pt 0 73.8pt; text-align: center; text-indent: -0.05pt; color: Red"><B></B></P>
  
  <P STYLE="font: 12pt Times New Roman, Times, Serif; margin: 0.2pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">The accompanying notes are an integral part
  of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 9 -->
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      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><B>EQUUS
  TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><B>SCHEDULE OF INVESTMENTS</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><B>DECEMBER 31, 2018</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(in thousands, except share data</B><I>)</I></P>
  
  <P STYLE="font: 5.5pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 4.1pt 0 0 5.75pt"></P>
  
  <P STYLE="font: 11pt/125% Calibri, Helvetica, Sans-Serif; margin: 0.1pt 25.7pt 0 5.75pt"><FONT STYLE="font-family: Sans-Serif; font-size: 9pt; color: Red"><B></B></FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 7pt Times New Roman, Times, Serif; width: 100%; background-color: white; border-collapse: collapse">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: left; vertical-align: bottom">Name and location of</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">Date of Initial</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">Cost of</TD>
      <TD STYLE="text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: bottom">Fair</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 38%; text-align: left; vertical-align: bottom">Portfolio&nbsp;Company</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 6%; text-align: center; vertical-align: bottom">Industry</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 9%; text-align: center; vertical-align: bottom">Investment</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 18%; text-align: center; vertical-align: bottom">Investment</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 6%; text-align: center; vertical-align: bottom">Principal</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; width: 9%; text-align: center; vertical-align: bottom">Investment</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1pt solid; text-align: center; vertical-align: bottom">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; width: 11%; vertical-align: bottom">Value<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal"><B><U STYLE="text-decoration: none"><SUP STYLE="text-decoration: none">(1)</SUP></U></B></FONT></TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Control Investments:&nbsp;&nbsp;Majority-owned <FONT STYLE="font: normal 7pt Times New Roman, Times, Serif"><B><SUP>(3)</SUP></B></FONT><B><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal">:</FONT></B></TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 9pt; font-weight: bold; border-bottom: Black 1pt solid; text-align: center">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 9pt; font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font: bold 9pt Arial, Helvetica, Sans-Serif; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left"><P STYLE="margin-top: 0; margin-bottom: 0">Equus Energy, LLC</P>
                                   <P STYLE="margin-top: 0; margin-bottom: 0">Houston, TX</P></TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;Energy&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;December 2011&nbsp;</TD>
      <TD>&nbsp;Member interest (100%)&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;7,050&nbsp;&nbsp; </TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;9,000</TD></TR>
  <TR STYLE="vertical-align: top; background-color: White">
      <TD STYLE="text-align: left"><P STYLE="margin-top: 0; margin-bottom: 0">Equus Media Development Company, LLC</P>
                                   <P STYLE="margin-top: 0; margin-bottom: 0">Houston, TX</P></TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;Media&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;January 2007&nbsp;</TD>
      <TD>&nbsp;Member interest (100%)&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3,000&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;210</TD></TR>
  <TR STYLE="background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; vertical-align: bottom; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: left">Total Control Investments: Majority-owned (represents 14.9% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; vertical-align: top; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; vertical-align: top; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">&nbsp;&nbsp;&nbsp;10,050&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; vertical-align: top; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9,210</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-weight: bold">Affiliate Investments <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-style: normal"><B><SUP>(4)</SUP>:</B></FONT></TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt"><P STYLE="margin-top: 0; margin-bottom: 0">PalletOne, Inc.</P>
                                                                   <P STYLE="margin-top: 0; margin-bottom: 0">Bartow, FL</P></TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt; text-align: center; vertical-align: top">&nbsp;Shipping products and services&nbsp;</TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt; text-align: center; vertical-align: top">&nbsp;October 2001&nbsp;</TD>
      <TD STYLE="border-top-color: Black; border-top-width: 0.5pt">&nbsp;350,000&nbsp;shares&nbsp;of&nbsp;common stock (18.7%)&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; text-align: right; border-top-color: Black; border-top-width: 0.5pt; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top-color: Black; border-top-width: 0.5pt; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;350&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="text-align: right; border-top-color: Black; border-top-width: 0.5pt; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;20,500</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: left">Total Affiliate Investments (represents 33.1% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-size: 4pt; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;350&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;20,500</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-bottom: Black 1pt solid">Non-Affiliate Investments - Related Party (less than 5% owned):</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD></TR>
  <TR STYLE="background-color: White">
      <TD STYLE="vertical-align: top"><P STYLE="margin-top: 0; margin-bottom: 0">MVC Capital, Inc.</P>
                                      <P STYLE="margin-top: 0; margin-bottom: 0">Purchase, NY</P></TD>
      <TD STYLE="text-align: center; vertical-align: top">Financial services</TD>
      <TD STYLE="text-align: center; vertical-align: top">May 2014</TD>
      <TD STYLE="vertical-align: top">527,138 shares of common stock (1.7%)</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; text-align: right">&nbsp;&nbsp;6,579&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; text-align: right">&nbsp;&nbsp;&nbsp;4,328</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid">Total Non-Affiliate Investments - Related Party (represents 7.0% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;6,579&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;4,328</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-bottom: Black 0.5pt solid">Non-Affiliate Investments (less than 5% owned):</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255)">
      <TD STYLE="border-top: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">5<FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-weight: normal; font-style: normal"><SUP>TH</SUP> Element Tracking, LLC</FONT></P>
                                                                   <P STYLE="margin-top: 0; margin-bottom: 0"><FONT STYLE="font: normal 7.5pt Times New Roman, Times, Serif">Boston, MA</FONT></P></TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">Business products and services</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">January 2015</TD>
      <TD STYLE="border-top: Black 1pt solid">14% promissory note due 5/18 <FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 7.5pt; font-weight: normal; font-style: normal"><SUP>(2)</SUP></FONT></TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;977&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;977&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="border-top: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;977</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid">Total Non-Affiliate Investments (represents 1.5% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;977&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;977</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Total Investment in Portfolio Securities</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;17,956&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;35,015</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="font-weight: bold">Temporary Cash Investments</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: right; vertical-align: top">&nbsp;</TD></TR>
  <TR STYLE="background-color: rgb(204,238,255)">
      <TD STYLE="vertical-align: bottom; text-align: left">U.S. Treasury Bill</TD>
      <TD STYLE="text-align: center; vertical-align: top">Government</TD>
      <TD STYLE="text-align: center; vertical-align: top">December 2018</TD>
      <TD STYLE="vertical-align: bottom">UST 0% 1/19</TD>
      <TD STYLE="text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 0.5pt solid; text-align: right">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26,981&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 0.5pt solid; text-align: right">&nbsp;&nbsp;&nbsp;&nbsp;26,981&nbsp;&nbsp;</TD>
      <TD STYLE="text-align: center; vertical-align: top">$</TD>
      <TD STYLE="vertical-align: top; border-bottom: Black 0.5pt solid; text-align: right">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26,981</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD COLSPAN="4" STYLE="font-weight: bold; border-top: Black 1pt solid; border-bottom: Black 1pt solid">Total Temporary Cash Investments (represents 43.5% of total investments at fair value)</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; border-top: Black 1pt solid; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; border-top: Black 1pt solid; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;26,981&nbsp;&nbsp;</TD>
      <TD STYLE="border-top: Black 1pt solid; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; border-top: Black 1pt solid; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;26,981</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">Total Investments</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">&nbsp;</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;44,937&nbsp;&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: center; vertical-align: top">$</TD>
      <TD STYLE="font-weight: bold; border-bottom: Black 1pt solid; text-align: right; vertical-align: top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;61,996</TD></TR>
  </TABLE>
  <P STYLE="font: 11pt/125% Calibri, Helvetica, Sans-Serif; margin: 0.1pt 25.7pt 0 5.75pt">&nbsp;</P>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.85pt 0 0 5.75pt">
  
  
  
  
  </P>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(1)</FONT></TD><TD>See Note 3 to the financial statements, Valuation of Investments.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(2)</FONT></TD><TD>Non-income-producing. See notes 5 and 9 to the financial statements.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(3)</FONT></TD><TD>Majority owned investments are generally defined under the 1940 Act as companies in which we own more than 50% of the
                                                                                                       voting securities of the company.</TD></TR>
  </TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0">
  <TR STYLE="vertical-align: top">
  <TD STYLE="width: 0.25in"></TD><TD STYLE="width: 0.25in"><FONT STYLE="font-size: 7pt">(4)</FONT></TD><TD>Affiliate investments are generally defined under the 1940 Act as companies in which we own at least 5% but not more
                                                                                                       than 25% voting securities of the company.</TD></TR></TABLE>
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">The accompanying notes are an integral part
  of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 10 -->
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      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; text-align: center; margin-bottom: 0"><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; text-align: center; margin-bottom: 0"><B>SCHEDULE OF INVESTMENTS &ndash; (Continued)</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>DECEMBER 31, 2018</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(in thousands, except share data)</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Except
  for our holding of shares of MVC, substantially all of our portfolio securities are restricted from public sale without prior registration
  under the Securities Act or other relevant regulatory authority. We negotiate certain aspects of the method and timing of the disposition
  of our investment in each portfolio company, including registration rights and related costs.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As a BDC,
  we may invest up to 30% of our assets in non-qualifying portfolio investments, as permitted by the 1940 Act. Specifically, we may
  invest up to 30% of our assets in entities that are not considered &ldquo;eligible portfolio companies&rdquo; (as defined in the
  1940 Act), including companies located outside of the United States, entities that are operating pursuant to certain exceptions
  under the 1940 Act, and publicly-traded entities with a market capitalization exceeding $250 million. As of December 31, 2018,
  we had invested 87.5% of our assets in securities of portfolio companies that constituted qualifying investments under the 1940
  Act. As of December 31, 2018, except for our shares of MVC, all of our investments are in enterprises that are considered eligible
  portfolio companies under the 1940 Act. We provide significant managerial assistance to portfolio companies that comprise 84.6%
  of the total value of the investments in portfolio securities as of December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We are
  classified as a &ldquo;non-diversified&rdquo; investment company under the 1940 Act, which means we are not limited in the proportion
  of our assets that may be invested in the securities of a single issuer. The value of one segment called &ldquo;Shipping products
  and services&rdquo; includes one portfolio company and was 47.1% of our net asset value, 28.9% of our total assets and 58.5% of
  our investments in portfolio company securities (at fair value) as of December 31, 2018. The value of one segment called &ldquo;Energy&rdquo;
  includes one portfolio company and was 20.7% of our net asset value, 12.7% of our total assets and 25.7% of our investments in
  portfolio company securities (at fair value) as of December 31, 2018. Changes in business or industry trends or in the financial
  condition, results of operations, or the market&rsquo;s assessment of any single portfolio company will affect the net asset value
  and the market price of our common stock to a greater extent than would be the case if we were a &ldquo;diversified&rdquo; company
  holding numerous investments.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt">Our investments in portfolio securities consist of the
  following types of securities as of December 31, 2018 (in thousands):</P>
  
  <P STYLE="font: 6.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" ALIGN="CENTER" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Type of Securities</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Cost</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value</TD><TD STYLE="font-weight: bold; font-style: normal; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; font-style: normal; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Fair Value as Percentage of</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 11pt; font-style: normal"><B>Net Assets</B></FONT></P></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 46%; text-align: left">Common stock</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 11%; text-align: right">6,929</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 11%; text-align: right">24,828</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 5%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 11%; text-align: right">57.1</TD><TD STYLE="width: 1%; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Limited liability company investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">10,050</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">9,210</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">21.2</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Secured and subordinated debt</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD><TD STYLE="text-align: right; border-bottom: Black 1pt solid">977</TD><TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="text-align: left; border-bottom: Black 1pt solid">&nbsp;</TD><TD STYLE="text-align: right; border-bottom: Black 1pt solid">977</TD><TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="text-align: left; padding-bottom: 1pt; border-bottom: Black 1pt solid">&nbsp;</TD><TD STYLE="text-align: right; border-bottom: Black 1pt solid">2.2</TD><TD STYLE="text-align: left; border-bottom: Black 1pt solid">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Total</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">17,956</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">35,015</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">80.5</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: left">%</TD></TR>
  </TABLE>
  <P STYLE="font: 6.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"></P>
  
  <P STYLE="font: 4pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt; text-align: justify">The following is a summary by industry of the Fund&rsquo;s
  investments in portfolio securities as of December 31, 2018 (in thousands):</P>
  
  <P STYLE="font: 6.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"></P>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" ALIGN="CENTER" STYLE="border-collapse: collapse; width: 80%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Industry</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value</TD><TD STYLE="font-weight: bold; font-style: normal; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; font-style: normal; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Fair Value as Percentage of</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 11pt; font-style: normal"><B>Net Assets</B></FONT></P></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 56%; text-align: left">Shipping products and services</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 12%; text-align: right">20,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 12%; text-align: right">47.1</TD><TD STYLE="width: 1%; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>Energy</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">9,000</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20.7</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Financial services</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,328</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">9.9</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Business products and services</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">977</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">2.2</TD><TD STYLE="text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 1pt">Media</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">210</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">0.6</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 2.5pt">Total</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">35,015</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">80.5</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: left">%</TD></TR>
  </TABLE>
  <P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"></P>
  
  <P STYLE="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0 0 0 373.75pt; text-indent: 496pt">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 2.4pt 0 0; text-align: center">The accompanying notes are an integral
  part of these financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0; text-align: center"><A NAME="a009"></A><B>EQUUS TOTAL RETURN, INC.</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 171.85pt 0 171.9pt; text-align: center"><B>NOTES TO CONDENSED FINANCIAL
  STATEMENTS SEPTEMBER 30, 2019</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B>(Unaudited)</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(1)</B></TD><TD><B>Description of Business and Basis of Presentation</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Description
  of Business</B>&mdash;Equus Total Return, Inc. (&ldquo;we,&rdquo; &ldquo;us,&rdquo; &ldquo;our,&rdquo; &ldquo;Equus&rdquo; and
  the &ldquo;Fund&rdquo;), a Delaware corporation, was formed by Equus Investments II, L.P. (the &ldquo;Partnership&rdquo;) on August
  16, 1991. On July 1, 1992, the Partnership was reorganized and all of the assets and liabilities of the Partnership were transferred
  to the Fund in exchange for shares of common stock of the Fund. Our shares trade on the New York Stock Exchange under the symbol
  &lsquo;EQS&rsquo;. On August 11, 2006, our shareholders approved the change of the Fund&rsquo;s investment strategy to a total
  return investment objective. This strategy seeks to provide the highest total return, consisting of capital appreciation and current
  income. In connection with this strategic investment change, the shareholders also approved the change of name from Equus II Incorporated
  to Equus Total Return, Inc.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">So long
  as we remain an investment company and not an operating company as contemplated in our Plan of Reorganization described in Note
  6 below, we will attempt to maximize the return to our stockholders in the form of current investment income and long-term capital
  gains by investing in the debt and equity securities of companies with a total enterprise value of between $5.0 million and $75.0
  million, although we may engage in transactions with smaller or larger investee companies from time to time. We seek to invest
  primarily in companies pursuing growth either through acquisition or organically, leveraged buyouts, management buyouts and recapitalizations
  of existing businesses or special situations. Our income-producing investments may include debt securities including subordinate
  debt, debt convertible into common or preferred stock, or debt combined with warrants and common and preferred stock. Debt and
  preferred equity financing may also be used to create long-term capital appreciation through the exercise and sale of warrants
  received in connection with the financing. We seek to achieve capital appreciation by making investments in equity and equity-oriented
  securities issued by privately-owned companies (or smaller public companies) in transactions negotiated directly with such companies.
  Given market conditions over the past several years and the performance of our portfolio, our Management and Board of Directors
  believe it prudent to continue to review alternatives to refine and further clarify the current strategies.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We elected
  to be treated as a BDC under the 1940 Act. We currently qualify as a regulated investment company (&ldquo;RIC&rdquo;) for federal
  income tax purposes and, therefore, are not required to pay corporate income taxes on any income or gains that we distribute to
  our stockholders. We have certain wholly owned taxable subsidiaries (&ldquo;Taxable Subsidiaries&rdquo;) each of which holds one
  or more portfolio investments listed on our Schedules of Investments. The purpose of these Taxable Subsidiaries is to permit us
  to hold certain income-producing investments or portfolio companies organized as limited liability companies, or LLCs, (or other
  forms of pass-through entities) and still satisfy the RIC tax requirement that at least 90% of our gross revenue for income tax
  purposes must consist of investment income. Absent the Taxable Subsidiaries, a portion of the gross income of these income-producing
  investments or of any LLC (or other pass-through entity) portfolio investment, as the case may be, would flow through directly
  to us for the 90% test. To the extent that such income did not consist of investment income, it could jeopardize our ability to
  qualify as a RIC and, therefore, cause us to incur significant federal income taxes. The income of the LLCs (or other pass-through
  entities) owned by Taxable Subsidiaries is taxed to the Taxable Subsidiaries and does not flow through to us, thereby helping us
  preserve our RIC status and resultant tax advantages. We do not consolidate the Taxable Subsidiaries for income tax purposes and
  they may generate income tax expense because of the Taxable Subsidiaries&rsquo; ownership of the portfolio companies. We reflect
  any such income tax expense on our Statements of Operations.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Basis
  of Presentation</B>&mdash;In accordance with Article 6 of Regulation S-X under the Securities Act and the Securities Exchange Act
  of 1934, as amended (&ldquo;Exchange Act&rdquo;), we do not consolidate portfolio company investments, including those in which
  we have a controlling interest. Our interim unaudited financial statements were prepared in accordance with accounting principles
  generally accepted in the United States of America (&ldquo;GAAP&rdquo;), for interim financial information and in accordance with
  the requirements of reporting on Form 10-Q and Article 10 of Regulation S-X, under the Exchange Act. Accordingly, they are unaudited
  and exclude some disclosures required for annual financial statements. We believe that we have made all adjustments, consisting
  solely of normal recurring accruals, necessary for the fair presentation of these interim financial statements.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The
  results of operations for the three and nine months ended September 30, 2019 are not necessarily indicative of results that
  ultimately may be achieved for the remainder of the year. The interim unaudited financial statements and notes thereto should
  be read in conjunction with the financial statements and notes thereto included in the Fund&rsquo;s Annual Report on Form
  10-K for the fiscal year ended December 31, 2018, as filed with the Securities and Exchange Commission
  (&ldquo;SEC&rdquo;).</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(2)</B></TD><TD><B>Liquidity and Financing Arrangements</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Liquidity</B>&mdash;There
  are several factors that may materially affect our liquidity during the reasonably foreseeable future. We are evaluating the impact
  of current market conditions on our portfolio company valuations and their ability to provide current income. We have followed
  valuation techniques in a consistent manner; however, we are cognizant of current market conditions that might affect future valuations
  of portfolio securities. We believe that our operating cash flow and cash on hand will be sufficient to meet operating requirements
  and, to the extent we remain a BDC, to finance routine follow-on investments, if any from the date of this filing, through the
  next twelve months.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Cash
  and Cash Equivalents</B>&mdash;As of September 30, 2019, we had cash and cash equivalents of $4.8 million. We had $42.9 million
  of our net assets of $49.0 million invested in portfolio securities.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of December
  31, 2018, we had cash and cash equivalents of $7.4 million. We had $35.0 million of our net assets of $43.5 million invested in
  portfolio securities</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We exclude
  &ldquo;Restricted Cash and Temporary Cash Investments&rdquo; used for purposes of complying with RIC requirements from cash equivalents.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Restricted
  Cash and Temporary Cash Investments</B>&mdash;<FONT STYLE="letter-spacing: 0.85pt">As </FONT>of September 30, 2019, we had $27.3
  million of restricted cash and temporary cash investments, including primarily the proceeds of a quarter-end margin loan that we
  incurred to maintain the diversification requirements applicable to a RIC to maintain our pass-through tax treatment. Of this amount,
  $27.0 million was invested in U.S. Treasury bills and $0.3 million represented a required 1% brokerage margin deposit. These securities
  were held by a securities brokerage firm and pledged along with other assets to secure repayment of the margin loan. The U.S. Treasury
  bills matured on October 5, 2019 and we subsequently repaid this margin loan, plus interest.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of December
  31, 2018, we had $27.3 million of restricted cash and of temporary cash investments, including primarily the proceeds of a quarter-end
  margin loan that we incurred to maintain the diversification requirements applicable to a RIC. Of this amount, $27.0 million was
  invested in U.S. Treasury bills and $0.3 million represented a required 1% brokerage margin deposit. These securities were held
  by a securities brokerage firm and pledged along with other assets to secure repayment of the margin loan. The U.S. Treasury bills
  were sold on January 2, 2019 and we subsequently repaid this margin loan, plus interest.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Dividends</B>&mdash;So
  long as we remain a BDC, we will pay out net investment income and/or realized net capital gains, if any, on an annual basis as
  required under the 1940 Act.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Investment
  Commitments</B>&mdash;Under certain circumstances, we may be called on to make follow-on investments in certain portfolio companies.
  If we do not have sufficient funds to make follow-on investments, the portfolio company in need of the investment may be negatively
  impacted. Also, our equity interest in the estimated fair value of the portfolio company could be reduced.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt; text-align: justify">As of September 30, 2019, we had no outstanding commitments
  to our portfolio company investments.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>RIC
  Borrowings, Restricted Cash and Temporary Cash Investments</B>&mdash;We may periodically borrow sufficient funds to maintain the
  Fund&rsquo;s RIC status by utilizing a margin account with a securities brokerage firm. We cannot assure you that any such arrangement
  will be available in the future. If we are unable to borrow funds to make qualifying investments, we may no longer qualify as a
  RIC. We would then be subject to corporate income tax on the Fund&rsquo;s net investment income and realized capital gains, and
  distributions to stockholders would be subject to income tax as ordinary dividends. If we remain a BDC and do not become an operating
  company as described in Note 6 &ndash; Plan of Reorganization below, our failure to continue to qualify as a RIC could be materially
  adverse to us and our stockholders.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of September
  30, 2019, we borrowed $27.0 million to maintain our RIC status by utilizing a margin account with a securities brokerage firm.
  We collateralized such borrowings with restricted cash and temporary cash investments in U.S. Treasury bills of $27.3 million.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of December
  31, 2018, we borrowed $27.0 million to maintain our RIC status by utilizing a margin account with a securities brokerage firm.
  We collateralized such borrowings with restricted cash and temporary cash investments in U.S. Treasury bills of $27.3 million.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Certain
  Risks and Uncertainties</B>&mdash;Market and economic volatility which has become endemic in the past few years has
  constrained the availability of debt financing for small and medium-sized companies such as Equus and its portfolio
  companies. Such debt financing generally has shorter maturities, higher interest rates and fees, and more restrictive terms
  than debt facilities available in the past. In addition, during these years and continuing into 2019, the price of our common
  stock remained well below our net asset value, thereby making it undesirable to issue additional shares of our common stock
  below net asset value. Because of these challenges, our near-term strategies shifted from originating debt and equity
  investments to preserving liquidity necessary to meet our operational needs. Key initiatives that we have previously
  undertaken to provide necessary liquidity include monetizations, the suspension of dividends and the internalization of
  management. We are also evaluating potential opportunities that could enable us to effect a change to our business and become
  an operating company as described in Note 6 &ndash; <I>Plan of Reorganization</I> below. We believe we have sufficient
  liquidity to meet our operating requirements for the remainder of 2019 and 12 months from the date of this filing.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(3)</B></TD><TD><B>Significant Accounting Policies</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt; text-align: justify">The following is a summary of significant accounting
  policies followed by the Fund in the preparation of our financial statements:</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Use
  of Estimates</B>&mdash;The preparation of financial statements in accordance with GAAP requires us to make estimates and assumptions
  that affect the reported amounts and disclosures in the financial statements. Although we believe the estimates and assumptions
  used in preparing these financial statements and related notes are reasonable in light of known facts and circumstances, actual
  results could differ from those estimates.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Valuation
  of Investments</B>&mdash;For most of our investments, market quotations are not available. With respect to investments for which
  market quotations are not readily available or when such market quotations are deemed not to represent fair value, our Board has
  approved a multi-step valuation process each quarter, as described below:</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 36.5pt"></TD><TD STYLE="width: 22.5pt">1.</TD><TD>Each portfolio company or investment is reviewed by our investment professionals;</TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.2pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/98% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 36.5pt"></TD><TD STYLE="width: 22.5pt">2.</TD><TD STYLE="text-align: justify; padding-right: 36.35pt">With respect to investments with a fair value exceeding $2.5 million that
  have been held for more than one year, we engage independent valuation firms to assist our investment professionals. These independent
  valuation firms conduct independent valuations and make their own independent assessments;</TD></TR></TABLE>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/11.2pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 36.5pt"></TD><TD STYLE="width: 22.5pt">3.</TD><TD STYLE="padding-right: 15.1pt">Our Management produces a report that summarized each of our portfolio investments and recommends
  a fair value of each such investment as of the date of the report;</TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.35pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/98% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 36.5pt"></TD><TD STYLE="width: 22.5pt">4.</TD><TD STYLE="padding-right: 11.45pt">The Audit Committee of our Board reviews and discusses the preliminary valuation of our portfolio
  investments as recommended by Management in their report and any reports or recommendations of the independent valuation firms,
  and then approves and recommends the fair values of our investments so determined to our Board for final approval; and</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 36.5pt"></TD><TD STYLE="width: 22.5pt">5.</TD><TD STYLE="padding-right: 15.1pt">The Board discusses valuations and determines the fair value of each portfolio investment in
  good faith based on the input of our Management, the respective independent valuation firm, as applicable, and the Audit Committee.</TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.35pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the first twelve months after an investment is made, we rely on the original investment amount to determine the fair value unless
  significant developments have occurred during this twelve-month period which would indicate a material effect on the portfolio
  company (such as results of operations or changes in general market conditions).</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Investments
  are valued utilizing a yield analysis, enterprise value (&ldquo;EV&rdquo;) analysis, net asset value analysis, liquidation analysis,
  discounted cash flow analysis, or a combination of methods, as appropriate. The yield analysis uses loan spreads and other relevant
  information implied by market data involving identical or comparable assets or liabilities. Under the EV analysis, the EV of a
  portfolio company is first determined and allocated over the portfolio company&rsquo;s securities in order of their preference
  relative to one another (i.e., &ldquo;waterfall&rdquo; allocation). To determine the EV, we typically use a market multiples approach
  that considers relevant and applicable market trading data of guideline public companies, transaction metrics from precedent M&amp;A
  transactions and/or a discounted cash flow analysis. The net asset value analysis is used to derive a value of an underlying investment
  (such as real estate property) by dividing a relevant earnings stream by an appropriate capitalization rate. For this purpose,
  we consider capitalization rates for similar properties as may be obtained from guideline public companies and/or relevant transactions.
  The liquidation analysis is intended to approximate the net recovery value of an investment based on, among other things, assumptions
  regarding liquidation proceeds based on a hypothetical liquidation of a portfolio company&rsquo;s assets. The discounted cash flow
  analysis uses valuation techniques to convert future cash flows or earnings to a range of fair values from which a single estimate
  may be derived utilizing an appropriate discount rate. The measurement is based on the net present value indicated by current market
  expectations about those future amounts.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">In applying
  these methodologies, additional factors that we consider in fair value pricing our investments may include, as we deem relevant:
  security covenants, call protection provisions, and information rights; the nature and realizable value of any collateral; the
  portfolio company&rsquo;s ability to make payments; the principal markets in which the portfolio company does business; publicly
  available financial ratios of peer companies; the principal market; and enterprise values, among other factors. Also, any failure
  by a portfolio company to achieve its business plan or obtain and maintain its financing arrangements could result in increased
  volatility and result in a significant and rapid change in its value.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Our general
  intent is to hold our loans to maturity when appraising our privately held debt investments. As such, we believe that the fair
  value will not exceed the cost of the investment. However, in addition to the previously described analysis involving allocation
  of value to the debt instrument, we perform a yield analysis assuming a hypothetical current sale of the security to determine
  if a debt security has been impaired. The yield analysis considers changes in interest rates and changes in leverage levels of
  the portfolio company as compared to the market interest rates and leverage levels. Assuming the credit quality of the portfolio
  company remains stable, the Fund will use the value determined by the yield analysis as the fair value for that security if less
  than the cost of the investment.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We record
  unrealized depreciation on investments when we determine that the fair value of a security is less than its cost basis, and will
  record unrealized appreciation when we determine that the fair value is greater than its cost basis.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Fair
  Value Measurement</B>&mdash;Fair value is the price that would be received to sell an asset or paid to transfer a liability in
  an orderly transaction between market participants at the measurement date and sets out a fair value hierarchy. The fair value
  hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest
  priority to unobservable inputs (Level 3). Inputs are broadly defined as assumptions market participants would use in pricing an
  asset or liability. The three levels of the fair value hierarchy are described below:</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Level
  1</B>&mdash;Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability
  to access at the measurement date.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Level
  2</B>&mdash;Inputs other than quoted prices within Level 1 that are observable for the asset or liability, either directly or indirectly;
  and fair value is determined through the use of models or other valuation methodologies.</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Level
  3</B>&mdash;Inputs are unobservable for the asset or liability and include situations where there is little, if any, market activity
  for the asset or liability. The inputs into the determination of fair value are based upon the best information under the circumstances
  and may require significant management judgment or estimation.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">In certain
  cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment&rsquo;s
  level within the fair value hierarchy is 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 the investment.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Investments
  for which prices are not observable are generally private investments in the debt and equity securities of operating companies.
  A primary valuation method used to estimate the fair value of these Level 3 investments is the discounted cash flow method (although
  a liquidation analysis, option theoretical, or other methodology may be used when more appropriate). The discounted cash flow approach
  to determine fair value (or a range of fair values) involves applying an appropriate discount rate(s) to the estimated future cash
  flows using various relevant factors depending on investment type, including comparing the latest arm&rsquo;s length or market
  transactions involving the subject security to the selected benchmark credit spread, assumed growth rate (in cash flows), and capitalization
  rates/multiples (for determining terminal values of underlying portfolio companies). The valuation based on the inputs determined
  to be the most reasonable and probable is used as the fair value of the investment. In the case of our investment in Equus Energy,
  we also examine acreage values in comparable transactions and assess the impact upon the working interests held by Equus Energy.
  The determination of fair value using these methodologies may take into consideration a range of factors including, but not limited
  to, the price at which the investment was acquired, the nature of the investment, local market conditions, trading values on public
  exchanges for comparable securities, current and projected operating performance, financing transactions subsequent to the acquisition
  of the investment and anticipated financing transactions after the valuation date.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">To assess
  the reasonableness of the discounted cash flow approach, the fair value of equity securities, including warrants, in portfolio
  companies may also consider the market approach&mdash;that is, through analyzing and applying to the underlying portfolio companies,
  market valuation multiples of publicly-traded firms engaged in businesses similar to those of the portfolio companies. The market
  approach to determining the fair value of a portfolio company&rsquo;s equity security (or securities) will typically involve: (1)
  applying to the portfolio company&rsquo;s trailing twelve months (or current year projected) EBITDA a low to high range of enterprise
  value to EBITDA multiples that are derived from an analysis of publicly-traded comparable companies, in order to arrive at a range
  of enterprise values for the portfolio company; (2) subtracting from the range of calculated enterprise values the outstanding
  balances of any debt or equity securities that would be senior in right of payment to the equity securities we hold; and (3) multiplying
  the range of equity values derived therefrom by our ownership share of such equity tranche in order to arrive at a range of fair
  values for our equity security (or securities). Application of these valuation methodologies involves a significant degree of judgment
  by Management.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Due to
  the inherent uncertainty of determining the fair value of Level 3 investments that do not have a readily available market value,
  the fair value of the investments may differ significantly from the values that would have been used had a ready market existed
  for such investments and may differ materially from the values that may ultimately be received or settled. Further, such investments
  are generally subject to legal and other restrictions or otherwise are less liquid than publicly traded instruments. If we were
  required to liquidate a portfolio investment in a forced or liquidation sale, we might realize significantly less than the value
  at which such investment had previously been recorded. With respect to Level 3 investments, where sufficient market quotations
  are not readily available or for which no or an insufficient number of indicative prices from pricing services or brokers or dealers
  have been received, we undertake, on a quarterly basis, our valuation process as described above.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We assess
  the levels of the investments at each measurement date, and transfers between levels are recognized on the subsequent measurement
  date closest in time to the actual date of the event or change in circumstances that caused the transfer. There were no transfers
  among Level 1, 2 and 3 for the nine months ended September 30, 2019 and the year ended December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of Septem<FONT STYLE="letter-spacing: 0.15pt">ber
  </FONT>30, 2019, investments measured at fair value on a recurring basis are categorized in the tables below based on the lowest
  level of significant input to the valuations:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" ALIGN="CENTER" STYLE="border-collapse: collapse; width: 100%; font: normal 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="11" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value
      Measurements as of  September 30, 2019</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD COLSPAN="2" STYLE="font-weight: bold; font-style: italic; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Total</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Quoted Prices in Active Markets for Identical Assets</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 1)</P></TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Significant Other Observable Inputs</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 2)</P></TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Significant Unobservable Inputs</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 3)</P></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>Assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;&nbsp;Investments:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%; text-align: left; padding-left: 10pt">Control investments</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">10,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">10,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 10pt">Affiliate investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,500</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Non-affiliate investments - related party</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,927</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,927</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Non-affiliate investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Total investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">42,904</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,927</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">39,977</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Temporary cash investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,991</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,991</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="font-weight: bold; text-align: left; padding-bottom: 2.5pt"><B STYLE="font-style: normal; font-weight: normal">Total investments and temporary cash investments</B></TD><TD STYLE="font-weight: bold; padding-bottom: 2.5pt"><B>&nbsp;</B></TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left"><B STYLE="font-style: normal; font-weight: normal">$</B></TD><TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right"><B STYLE="font-style: normal; font-weight: normal">69,895</B></TD><TD STYLE="padding-bottom: 2.5pt; font-weight: bold; text-align: left"><B>&nbsp;</B></TD><TD STYLE="font-weight: bold; padding-bottom: 2.5pt"><B>&nbsp;</B></TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left"><B STYLE="font-style: normal; font-weight: normal">$</B></TD><TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right"><B STYLE="font-style: normal; font-weight: normal">31,918</B></TD><TD STYLE="padding-bottom: 2.5pt; font-weight: bold; text-align: left"><B>&nbsp;</B></TD><TD STYLE="font-weight: bold; padding-bottom: 2.5pt"><B>&nbsp;</B></TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left"><B STYLE="font-style: normal; font-weight: normal">$</B></TD><TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right"><B>&mdash;&nbsp;&nbsp;</B></TD><TD STYLE="padding-bottom: 2.5pt; font-weight: bold; text-align: left"><B>&nbsp;</B></TD><TD STYLE="font-weight: bold; padding-bottom: 2.5pt"><B>&nbsp;</B></TD>
      <TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: left"><B STYLE="font-style: normal; font-weight: normal">$</B></TD><TD STYLE="border-bottom: Black 2.5pt double; font-weight: bold; text-align: right"><B STYLE="font-style: normal; font-weight: normal">37,977</B></TD><TD STYLE="padding-bottom: 2.5pt; font-weight: bold; text-align: left"><B>&nbsp;</B></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 7.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.75pt; text-indent: 24.5pt; text-align: justify">As of December 31, 2018, investments
  measured at fair value on a recurring basis are categorized in the tables below based on the lowest level of significant input
  to the valuations:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.75pt; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.75pt; text-indent: 24.5pt"><FONT STYLE="font-family: Sans-Serif; font-size: 9pt; color: Red"><B></B></FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" ALIGN="CENTER" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="11" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value Measurements as of December 31, 2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD COLSPAN="2" STYLE="font-weight: bold; font-style: italic; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Total</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Quoted Prices in Active Markets for Identical Assets</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 1)</P></TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Significant Other Observable Inputs</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 2)</P></TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid"><P STYLE="margin-top: 0; margin-bottom: 0">Significant Unobservable Inputs</P>
                                                                                  <P STYLE="margin-top: 0; margin-bottom: 0">(Level 3)</P></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD>Assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;&nbsp;Investments:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%; text-align: left; padding-left: 10pt">Control investments</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">9,210</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">9,210</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 10pt">Affiliate investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">20,500</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Non-affiliate investments - related party</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,328</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,328</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Non-affiliate investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">977</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Total investments</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">35,015</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,328</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">30,687</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Temporary cash investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,981</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">26,981</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Total investments and temporary cash investments</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">61,996</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">31,309</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">30,687</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.75pt; text-indent: 24.5pt"><FONT STYLE="font: 9pt Sans-Serif; color: Red"><B></B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <!-- Field: Page; Sequence: 16 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 33%">&nbsp;</TD><TD STYLE="width: 34%; text-align: center"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->16<!-- Field: /Sequence --></TD><TD STYLE="width: 33%; text-align: right">&nbsp;</TD></TR></TABLE></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 1.9pt 0 0; text-align: center"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 7.75pt; text-indent: 24.5pt; text-align: justify">The following table provides a reconciliation
  of fair value changes during the nine months ended September 30, 2019 for all investments for which we determine fair value using
  unobservable (Level 3) factors:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.15pt 0 0; text-align: center; color: Red"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD COLSPAN="18" STYLE="padding-bottom: 1pt">Fair value measurements using significant unobservable inputs (Level 3)</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD COLSPAN="5" STYLE="font-weight: bold; font-style: italic; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Control Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Affiliate Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Non-affiliate Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Total</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%">Fair value as of January 1, 2019</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">9,210</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">20,500</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">977</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="text-align: right">$30,687</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Realized losses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(2,789</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: right">(2,789)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Change in unrealized appreciation</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">4,290</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">6,000</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: right">10,290</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Proceeds from sales/dispositions</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: right"></TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(211</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: right">(211)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">Fair value as of September 30, 2019</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">10,500</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">26,500</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">977</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right">$37,977</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.15pt 0 0; text-align: center; color: Red"></P>
  
  <P STYLE="font: 1pt Times New Roman, Times, Serif; margin: 0.2pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 6pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 7.75pt; text-indent: 24.5pt; text-align: justify">The following table provides
  a reconciliation of fair value changes during the nine months ended September 30, 2018 for all investments for which we determine
  fair value using unobservable (Level 3) factors:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 7.75pt; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.2pt 0 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD COLSPAN="18" STYLE="padding-bottom: 1pt">Fair value measurements using significant unobservable inputs (Level 3)</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD COLSPAN="5" STYLE="font-weight: bold; font-style: italic; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Control Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Affiliate Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Non-affiliate Investments</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Total</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%">Fair value as of January 1, 2018</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">8,212</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">16,686</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">977</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="text-align: right">$25,875</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Change in unrealized appreciation</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">2,499</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">3,814</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: right">6,313</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="padding-bottom: 2.5pt">Fair value as of September 30, 2018</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">10,711</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">20,500</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">977</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right">$32,188</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.2pt 0 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 1pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 5pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 7.7pt 0 7.75pt; text-align: justify; text-indent: 24.5pt">Our
  investment portfolio is not composed of homogeneous debt and equity securities that can be valued with a small number of inputs.
  Instead, the majority of our investment portfolio is composed of complex debt and equity securities with distinct contract terms
  and conditions. As such, our valuation of each investment in our portfolio is unique and complex, often factoring in numerous different
  inputs, including historical and forecasted financial and operational performance of the portfolio company, project cash flows,
  market multiples, comparable market transactions, the priority of our securities compared with those of other investors, credit
  risk, interest rates, independent valuations and reviews and other inputs.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 17 -->
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      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">The following table summarizes
  the significant non-observable inputs in the fair value measurements of our Level 3 investments by category of investment and valuation
  technique as of September 30, 2019:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; color: Red"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD>&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD>&nbsp;</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Range</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; font-style: italic; border-bottom: Black 1pt solid">(in thousands)</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Fair Value</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Valuation Techniques</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Unobservable Inputs</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Minimum</TD><TD STYLE="font-size: 8pt; font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-size: 8pt; font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Maximum</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 15%; text-align: left">Secured and subordinated debt</TD><TD STYLE="width: 2%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 13%; text-align: right">977</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 2%">&nbsp;</TD>
      <TD STYLE="width: 15%; text-align: center">Yield analysis</TD><TD STYLE="width: 2%">&nbsp;</TD>
      <TD STYLE="width: 15%; text-align: center">Discount for lack of marketability</TD><TD STYLE="width: 2%; font-size: 8pt">&nbsp;</TD>
      <TD STYLE="width: 1%; font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="width: 13%; font-size: 8pt; text-align: right">0</TD><TD STYLE="width: 1%; font-size: 8pt; text-align: left">%</TD><TD STYLE="width: 2%; font-size: 8pt">&nbsp;</TD>
      <TD STYLE="width: 1%; font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="width: 13%; font-size: 8pt; text-align: right">0</TD><TD STYLE="width: 1%; font-size: 8pt; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Common stock</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">26,500</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: center">Income/Market approach</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: center">EBITDA Multiple/Discount for lack of marketability/Control premium</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">10</TD><TD STYLE="font-size: 8pt; text-align: left">%</TD><TD STYLE="font-size: 8pt">&nbsp;</TD>
      <TD STYLE="font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="font-size: 8pt; text-align: right">32.5</TD><TD STYLE="font-size: 8pt; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Limited liability company investments</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">10,500</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="text-align: center; padding-bottom: 1pt"><P STYLE="margin-top: 0; margin-bottom: 0">Asset approach</P>
                                                          <P STYLE="margin-top: 0; margin-bottom: 0">Discounted cash flow; Guideline transaction method; Market approach</P></TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="text-align: center; padding-bottom: 1pt"><P STYLE="margin-top: 0; margin-bottom: 0">Recovery rate</P>
                                                          <P STYLE="margin-top: 0; margin-bottom: 0">Reserve adjustment factors</P></TD><TD STYLE="font-size: 8pt; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; font-size: 8pt; text-align: right">75</TD><TD STYLE="padding-bottom: 1pt; font-size: 8pt; text-align: left">%</TD><TD STYLE="font-size: 8pt; padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; font-size: 8pt; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; font-size: 8pt; text-align: right">100</TD><TD STYLE="padding-bottom: 1pt; font-size: 8pt; text-align: left">%</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: right; padding-bottom: 2.5pt">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">37,977</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="text-align: right; padding-bottom: 2.5pt">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="text-align: right; padding-bottom: 2.5pt">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; color: Red"></P>
  
  <P STYLE="font: 9pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 2pt/2pt Times New Roman, Times, Serif; margin: 0 0 0 102.25pt">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.45pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Because
  of the inherent uncertainty of the valuation of portfolio securities which do not have readily ascertainable market values, amounting
  to $38.0 million and $30.7 million as of September 30, 2019 and December 31, 2018, respectively, our fair value determinations
  may materially differ from the values that would have been used had a ready market existed for these securities. As of September
  30, 2019 and December 31, 2018, one of our portfolio investments, consisting of 553,557 and 527,138 common shares of MVC, respectively,
  was publicly listed on the NYSE.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We adjust
  our net asset value for the changes in the value of our publicly held securities, if applicable, and material changes in the value
  of private securities, generally determined on a quarterly basis or as announced in a press release, and report those amounts to
  Lipper Analytical Services, Inc. Our net asset value appears in various publications, including <I>Barron&rsquo;s</I> and <I>The
  Wall Street Journal</I>.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Investment
  Transactions</B>&mdash;Investment transactions are recorded on the accrual method. Realized gains and losses on investments sold
  are computed on a specific identification basis.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We classify
  our investments in accordance with the requirements of the 1940 Act. Under the 1940 Act, &ldquo;Control Investments&rdquo; are
  defined as investments in companies in which the Fund owns more than 25% of the voting securities or maintains greater than 50%
  of the board representation. Under the 1940 Act, &ldquo;Affiliate Investments&rdquo; are defined as those non-control investments
  in companies in which we own between 5% and 25% of the voting securities. Under the 1940 Act, &ldquo;Non-affiliate Investments&rdquo;
  are defined as investments that are neither Control Investments nor Affiliate Investments. See also Note 4 for discussion of related
  party investment transactions.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">As of September
  30, 2019, we had no outstanding commitments to our portfolio company investments; however, under certain circumstances, we may
  be called on to make follow-on investments in certain portfolio companies. If we do not have sufficient funds to make follow-on
  investments, the portfolio company in need of the investment may be negatively impacted. Also, our equity interest in the estimated
  fair value of the portfolio company could be reduced. Follow-on investments may include capital infusions which are expenditures
  made directly to the portfolio company to ensure that operations are completed, thereby allowing the portfolio company to generate
  cash flows to service their debt.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Interest
  Income Recognition</B>&mdash;We record interest income, adjusted for amortization of premium and accretion of discount, on an accrual
  basis to the extent that we expect to collect such amounts. We accrete or amortize discounts and premiums on securities purchased
  over the life of the respective security using the effective yield method. The amortized cost of investments represents the original
  cost adjusted for the accretion of discount and/or amortization of premium on debt securities. We stop accruing interest on investments
  when we determine that interest is no longer collectible. We may also impair the accrued interest when we determine that all or
  a portion of the current accrual is uncollectible. If we receive any cash after determining that interest is no longer collectible,
  we treat such cash as payment on the principal balance until the entire principal balance has been repaid, before we recognize
  any additional interest income. We will write off uncollectible interest upon the occurrence of a definitive event such as a sale,
  bankruptcy, or reorganization of the relevant portfolio interest.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin: 0.25pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Net
  Realized Gains or Losses and Net Change in Unrealized Appreciation or Depreciation</B>&mdash;Realized gains or losses are measured
  by the difference between the net proceeds from the sale or redemption of an investment or a financial instrument and the cost
  basis of the investment or financial instrument, without regard to unrealized appreciation or depreciation previously recognized,
  and includes investments written-off during the</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 18 -->
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify">period net of recoveries
  and realized gains or losses from in-kind redemptions. Net change in unrealized appreciation or depreciation reflects the net change
  in the fair value of the portfolio company investments and financial instruments and the reclassification of any prior period unrealized
  appreciation or depreciation on exited investments and financial instruments to realized gains or losses.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Payment
  in Kind Interest (PIK)&mdash;</B>We have loans in our portfolio that may pay PIK interest. We add PIK interest, if any, computed
  at the contractual rate specified in each loan agreement, to the principal balance of the loan and recorded as interest income.
  To maintain our status as a RIC, we must pay out to stockholders this non-cash source of income in the form of dividends even if
  we have not yet collected any cash in respect of such investments. To the extent we remain BDC and a RIC, we will continue to pay
  out net investment income and/or realized capital gains, if any, on an annual basis as required under the 1940 Act.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Share-Based
  Compensation</B>&mdash;We account for our share-based compensation using the fair value method, as prescribed by ASC 718, Compensation&mdash;Stock
  Compensation. Accordingly, for restricted stock awards, we measure the grant date fair value based upon the market price of our
  common stock on the date of the grant and amortize the fair value of the awards as share-based compensation expense over the requisite
  service period, which is generally the vesting term and account for forfeitures as they occur.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Earnings
  Per Share</B>&mdash;Basic and diluted per share calculations are computed utilizing the weighted-average number of shares of common
  stock outstanding for the period. In accordance with ASC 260, Earnings Per Share, the unvested shares of restricted stock awarded
  pursuant to our equity compensation plans are participating securities and, therefore, are included in the basic earnings per share
  calculation. As a result, for all periods presented, there is no difference between diluted earnings per share and basic earnings
  per share amounts.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Cash
  Flows</B>&mdash;For purposes of the Statements of Cash Flows, we consider all highly liquid temporary cash investments purchased
  with an original maturity of three months or less to be cash equivalents. We include our investing activities within cash flows
  from operations.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Taxes</B>&mdash;So
  long as we remain a BDC, we intend to comply with the requirements of the Internal Revenue Code necessary to qualify as a RIC and,
  as such, will not be subject to federal income taxes on otherwise taxable income (including net realized capital gains) which is
  distributed to stockholders. Therefore, no provision for federal income taxes is recorded in the financial statements. We borrow
  money from time to time to maintain our tax status under the Internal Revenue Code as a RIC. See Note 1 for discussion of Taxable
  Subsidiaries and see Note 2 for further discussion of the Fund&rsquo;s RIC borrowings.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">All corporations
  organized in the State of Delaware are required to file an Annual Report and to pay a franchise tax. As a result, we paid Delaware
  Franchise tax in the amount of $0.02 million for the year ended December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Texas margin
  tax applies to legal entities conducting business in Texas. The margin tax is based on our Texas sourced taxable margin. The tax
  is calculated by applying a tax rate to a base that considers both revenue and expenses and therefore has the characteristics of
  an income tax. As a result, we have no provision for margin tax expense for the nine months ended September 30, 2019, respectively,
  and we paid $3 thousand in state income tax for the year ended December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><B>Accounting Standards
  Recently Adopted</B>&mdash; In February 2016, the FASB issued ASU 2016-02, <I>Leases, </I>which requires lessees to recognize on
  the balance sheet a right of use asset, representing its right to use the underlying asset for the lease term, and a lease liability
  for all leases with terms greater than 12 months and the use of practical expedient for leases less than 12 months. The guidance
  also requires qualitative and quantitative disclosures designed to assess the amount, timing, and uncertainty of cash flows arising
  from leases. The standard requires the use of a modified retrospective transition approach, which includes a number of optional
  practical expedients that entities may elect to apply. The new guidance was adopted effective January 1, 2019. The adoption of
  ASU 2016-02 did not have an impact on our financial statements as we currently have no operating leases as our principal offices
  are under a month-to-month lease arrangement for annual periods beginning after December 15, 2018, and interim periods therein.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">In August 2018, the SEC
  adopted rules (the &quot;SEC Release&quot;) that require disclosure of changes in net assets within a registrant's Form 10Q filing
  on a quarter-to-date and year-to-date basis for both the current year and prior year comparative periods. The Company adopted the
  new requirement to present changes in net assets in interim financial statements within Form 10Q filings beginning January 1, 2019.
  The compliance date for the SEC Release was for all filings, as applicable, on or after November 5, 2018. The adoption of this
  rule did not have a material impact on the Company&rsquo;s condensed consolidated financial statements.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><B>Accounting Standards Not Yet Adopted</B>&mdash;
  In June 2016, the FASB issued ASU 2016-13, <I>Financial Instruments Credit Losses (Topic 326) </I>&mdash;<I>Measurement of Credit
  Losses on Financial Instruments</I>, which amends the financial instruments impairment guidance so that an entity is required
  to measure expected credit losses for financial assets based on historical experience, current conditions and reasonable and supportable
  forecasts. As such, an entity will use forward-looking information to estimate credit losses. ASU 2016-13 also amends the guidance
  in FASB ASC 325 - 40, <I>Investments Other, Beneficial Interests in Securitized Financial</I> <I>Assets</I>, related
  to the subsequent measurement of accretable yield recognized as interest income over the life of a beneficial interest in securitized
  financial assets under the effective yield method. We believe that the impact of the adoption of this standard will not have a
  material impact on our financial statements as we do not have any financial instruments that are subject to this standard.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">In August 2018, the FASB
  issued ASU 2018-13, <I>Fair Value Measurement (Topic 820)</I>, which is intended to improve fair value disclosure requirements
  by removing disclosures that are not cost-beneficial, clarifying disclosures&rsquo; specific requirements, and adding relevant
  disclosure requirements. The amendments take effect for all organizations for fiscal years, and interim periods within those fiscal
  years, beginning after December 15, 2019. Early adoption is permitted. We believe that the impact of the adoption of this standard
  will not have a material impact on our financial statements. .</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(4)</B></TD><TD><B>Related Party Transactions and Agreements</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Except
  as noted below, as compensation for services to the Fund, each Independent Director receives an annual fee of $40,000 paid quarterly
  in arrears, a fee of $2,000 for each meeting of the Board of Directors or committee thereof attended in person, a fee of $1,000
  for participation in each telephonic meeting of the Board or committee thereof, and reimbursement of all out-of-pocket expenses
  relating to attendance at such meetings. The chair of each of our standing committees (audit, compensation, and nominating and
  governance) also receives an annual fee of $50,000, payable quarterly in arrears. We may also pay other one-time or recurring fees
  to members of our Board of Directors in special circumstances. None of our interested directors receive annual fees for their service
  on the Board of Directors. </P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We may
  also pay other one-time or recurring fees to members of our Board of Directors in special circumstances. In respect of services
  provided to the Fund by members of the Board not in connection with their roles and duties as directors, the Fund pays a rate of
  $300 per hour for services. <FONT STYLE="letter-spacing: 0.05pt">For services provided to the Fund, w</FONT>e paid Kenneth I. Denos,
  P.C., a professional corporation owned by Kenneth I. Denos, a director of the Fund, <FONT STYLE="letter-spacing: -0.05pt">$0.07
  million</FONT> during each of the <FONT STYLE="letter-spacing: 0.05pt">three </FONT>months ended September 30, 2019 and 2018, respectively<FONT STYLE="letter-spacing: 0.05pt">,</FONT>
  <FONT STYLE="letter-spacing: -0.05pt">and </FONT>$0.3 million during each on the nine months ended September 30, 2019 and 2018,
  respectively.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(5)</B></TD><TD><B>Portfolio Securities</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the nine months ended September 30, 2019, we received dividends in the form of additional shares of $0.2 million relating to our
  shareholding in MVC.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Also during
  the nine months ended September 30, 2019, we dissolved Equus Media Development Company, LLC (&ldquo;EMDC&rdquo;), a wholly-owned
  subsidiary of the Fund and transferred EMDC&rsquo;s assets, consisting of approximately $211,000 in cash and various creative entertainment
  properties, to the Fund.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the nine months ended September 30, 2019, we recorded a net change in unrealized appreciation of $10.7 million, to a net unrealized
  appreciation of $27.7 million. Such change in unrealized appreciation resulted primarily from the following changes:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(i)</TD><TD STYLE="padding-right: 18.15pt">Increase in the fair value of our shareholding in MVC of $0.4 million due to an increase in
  the share price of MVC and the receipt of dividend payments in the form of additional shares of MVC during the period;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(ii)</TD><TD STYLE="padding-right: 41.2pt">Increase in fair value of our shareholding in PalletOne, Inc. of $6.0 million due to improved
  operating performance;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iii)</TD><TD STYLE="padding-right: 29.75pt">Transfer of unrealized depreciation to realized loss of our holdings in EMDC of $2.8 million
  in connection with the dissolution of EMDC and the transfer of its assets to the Fund; and</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iv)</TD><TD STYLE="padding-right: 15.1pt">Increase in the fair value
                                           of our holdings in Equus Energy, LLC of $1.5 million, principally due to increases in
                                           mineral acreage prices proximate to the company&rsquo;s leasehold interests and an increase
                                           <FONT STYLE="background-color: White">in the short- and long-term prices for crude oil
                                           during 2019.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.35pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the nine months ended September 30, 2018, we received dividends in the form of additional shares of $0.2 million relating to our
  shareholding in MVC.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the nine months ended September 30, 2018, we recorded a net change in unrealized appreciation of $5.9 million, to a net unrealized
  appreciation of $19.3 million. Such change in unrealized appreciation resulted primarily from the following changes:</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/11.2pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(i)</TD><TD STYLE="padding-right: 35.35pt">Decrease in the fair value of our shareholding in MVC of $0.5 million due to a decrease in the
  share price of MVC, offset by the receipt of dividend payments in the form of additional shares of MVC during the period;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(ii)</TD><TD STYLE="padding-right: 38.95pt">Increase in fair value of our shareholding in PalletOne, Inc. of $3.8 million due to improved
  operating performance, as well as promising acquisition and growth prospects; and</TD></TR></TABLE>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/11.2pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iii)</TD><TD STYLE="padding-right: 9pt">Increase in the fair value of our holdings in Equus Energy, LLC of $2.5 million, principally due
  to increases in mineral acreage prices proximate to the company&rsquo;s leasehold interests and a moderate increase in the short-
  and long-term prices for crude oil and natural gas.</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.4pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(6)</B></TD><TD><B>Plan of Reorganization</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Plan
  of Reorganization and Share Exchange with MVC Capital&mdash;</B>On May 14, 2014, we announced that the Fund intended to effect
  a reorganization pursuant to Section 2(a)(33) of the 1940 Act (hereinafter, the &ldquo;Plan of Reorganization&rdquo;). As a first
  step to consummating the Plan of Reorganization, we sold to MVC Capital, Inc. (&ldquo;MVC&rdquo;) 2,112,000 newly-issued shares
  of the Fund&rsquo;s common stock in exchange for 395,839 shares of MVC (such transaction is hereinafter referred to as the &ldquo;Share
  Exchange&rdquo;). MVC is a <FONT STYLE="letter-spacing: 0.55pt">BDC </FONT>traded on the NYSE that provides long-term debt and
  equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. The Share
  Exchange was calculated based on the Fund&rsquo;s and MVC&rsquo;s respective net asset value per share. At the time of the Share
  Exchange, the number of MVC shares received by Equus represented approximately 1.73% of MVC&rsquo;s total outstanding shares of
  common stock.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Pursuant
  to the terms of a Share Exchange Agreement, dated May 12, 2014, entered into by Equus and MVC which memorialized the Share Exchange,
  we intend to finalize the Plan of Reorganization by pursuing a merger or consolidation with MVC or an operating company, which
  operating company may be a subsidiary or portfolio company of MVC. Absent Equus merging or consolidating with/into MVC or a subsidiary
  thereof, our current intention is for Equus to (i) terminate its election to be classified as a BDC under the 1940 Act, and (ii)
  be restructured as a publicly-traded operating company focused on the energy, natural resources, technology, and/or financial services
  sector. While we are presently evaluating various opportunities that could enable us to complete our Plan of Reorganization, we
  cannot assure you that we will be able to do so within any particular time period or at all. Moreover, we cannot assure you that
  the terms of any such transaction that would embody <FONT STYLE="letter-spacing: -0.1pt">the transformation of Equus into an operating
  company </FONT>would be acceptable to us.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Authorization
  to Withdraw BDC Election&mdash;</B>On January 21, 2019, holders of a majority of the outstanding common stock of the Fund approved
  our cessation as a BDC under the 1940 Act and authorized our Board to cause the Fund&rsquo;s withdrawal of its election to be classified
  as a BDC, effective as of a date designated by the Board and our Chief Executive Officer. Although this authorization, which was
  given as a consequence of our Plan of Reorganization, expired on July 31, 2019, we expect to receive an additional authorization
  from our stockholders in the future. Notwithstanding any such authorization to withdraw our BDC election, we will not submit any
  such withdrawal unless and until Equus has entered into a definitive agreement to effect a &ldquo;Consolidation&rdquo;, as such
  term is defined in our Plan of Reorganization. Further, even if we are again authorized to withdraw our election as a BDC, we will
  require a subsequent affirmative vote from holders of a majority of our outstanding voting shares to enter into any such definitive
  agreement or change the nature of our business.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(7)</B></TD><TD><B>2016 Equity Incentive Plan</B></TD></TR></TABLE>
  
  <P STYLE="font: 12.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Share-Based
  Incentive Compensation&mdash;</B>On June 13, 2016, our shareholders approved the adoption of our 2016 Equity Incentive Plan (&ldquo;Incentive
  Plan&rdquo;). On January 10, 2017, the SEC issued an order approving the Incentive Plan and certain awards intended to be made
  thereunder. The Incentive Plan is intended to promote the interests of the Fund by encouraging officers, employees, and directors
  of the Fund and its affiliates to acquire or increase their equity interest in the Fund and to provide a means whereby they may
  develop a proprietary interest in the development and financial success of the Fund, to encourage them to remain with and devote
  their best efforts to the business of the Fund, thereby advancing the interests of the Fund and its stockholders. The Incentive
  Plan is also intended to enhance the ability of the Fund and its affiliates to attract and retain the services of individuals who
  are essential for the growth and profitability of the Fund. The Incentive Plan permits the award of restricted stock as well as
  common stock purchase options. The maximum number of shares of common stock that are subject to awards granted under the Incentive
  Plan is 2,434,728 shares. The term of the Incentive Plan will expire on June 13, 2026. On March 17, 2017, we granted awards of
  restricted stock under the Incentive Plan to certain of our directors and executive officers in the aggregate amount of 844,500
  shares. The awards are each subject to a vesting requirement over a 3-year period unless the recipient thereof is terminated or
  removed from their position as a director or executive officer without &ldquo;cause&rdquo;, or as a result of constructive termination,
  as such terms are defined in the respective award agreements entered into by each of the recipients and the Fund. As of September
  30, 2019, 280,000 shares of restricted stock which were granted pursuant to the Incentive Plan, remained unvested. We account for
  share-based compensation using the fair value method, as prescribed by ASC 718. Accordingly, for restricted stock awards, we measure
  the grant date fair value based upon the market price of our common stock on the date of the grant and amortize the fair value
  of the awards as share-based compensation expense over the requisite service period, which is generally the vesting term. We recorded
  compensation expense of $0.08 million for the <FONT STYLE="letter-spacing: 1pt">three </FONT>months ended September 30, 2019 and
  2018, <FONT STYLE="letter-spacing: 1pt">respectively and </FONT>$0.2 million and $0.4 million for the nine months ended September
  30, 2019 and 2018, respectively, in connection with these awards.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0"></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(8)</B></TD><TD><B>Equus Energy, LLC</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Equus Energy
  was formed in November 2011 as a wholly-owned subsidiary of the Fund to make investments in companies in the energy sector, with
  particular emphasis on income-producing oil &amp; gas properties. In December 2011, we contributed $250,000 to the capital of Equus
  Energy. On December 27, 2012, we invested an additional $6.8 million in Equus Energy for the purpose of additional working capital
  and to fund the purchase of $6.6 million in working interests, which presently comprise 141 producing and non-producing oil and
  gas wells. The working interests include associated development rights of approximately 21,520 acres situated on 11 separate properties
  in Texas and Oklahoma. The working interests range from a de minimus amount to 50% of the leasehold that includes these wells.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The wells
  are operated by a number of experienced operators, including Chevron USA, Inc., which has operating responsibility for all of Equus
  Energy&rsquo;s 40 well interests located in the Conger Field, a productive oil and gas field on the edge of the Permian Basin that
  has experienced successful gas and hydrocarbon extraction in multiple formations. Equus Energy, which holds a 50% working interest
  in each of these Conger Field wells, is working with Chevron in a recompletion program of existing Conger Field wells to the Wolfcamp
  formation, a zone containing oil as well as gas and natural gas liquids. Part of Equus Energy&rsquo;s acreage rights described
  above also includes a 50% working interest in possible new drilling to the base of the Canyon formation on 2,400 acres in the Conger
  Field. Also included in the interests acquired by Equus Energy are working interests of 7.5% and 2.5% in the Burnell and North
  Pettus Units, respectively, which collectively comprise approximately 13,000 acres located in the area known as the &ldquo;Eagle
  Ford Shale&rdquo; play.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Revenue
  and Income</B>&mdash;During the three months ended September 30, 2019, Equus Energy&rsquo;s revenue, operating revenue ($0.12
  million) less direct operating expenses ($0.2 million), and net loss were $0.1 million,($0.08) million, and ($0.2) million,
  respectively, as compared to revenue, operating revenue ($0.28 million) less direct operating expenses ($0.22 million), and net loss
  which $0.3 million, $0.06 million, and ($0.09) million, respectively, for the three months ended September 30, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Capital
  Expenditures</B>&mdash;During the three months ended <FONT STYLE="letter-spacing: -0.4pt">September </FONT>30, 2019 and September
  30, 2018, Equus Energy&rsquo;s investment, respectively, in capital expenditures for small repairs and improvements was not significant.
  The operators of the various working interest communicated their intent to wait until 2020, commensurate with an anticipated gradual
  rise in the price of crude oil, to commence new drilling and recompletion projects.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We do not
  consolidate Equus Energy or its wholly-owned subsidiaries and accordingly only the value of our investment in Equus Energy is included
  on our balance sheets. Our investment in Equus Energy is valued in accordance with our normal valuation procedures and is based
  in part on using a discounted cash flow analysis based on a reserve report prepared for Equus Energy by Lee Keeling &amp; Associates,
  Inc., an independent petroleum engineering firm, the transactions and values of comparable companies in this sector, and the estimated
  value of leasehold mineral interests associated with the acreage held by Equus Energy. A valuation of Equus Energy was performed
  by a third-party valuation firm, who recommended a value range of Equus Energy consistent with the fair value determined by our
  Management (See Schedule of Investments).</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">Below is summarized consolidated
  financial information for Equus Energy as of September 30, 2019 and December 31, 2018 and for the nine months September 30, 2019
  and 2018, respectively (in thousands):</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><U>EQUUS ENERGY, LLC</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><U>Unaudited Condensed Consolidated Balance
  Sheets</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">September 30,</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">December 31,</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold"></TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center"></TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD >Assets</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Current assets:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="width: 56%; text-align: left; padding-left: 10pt">Cash and cash equivalents</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">745</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">966</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Accounts receivable</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">70</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">127</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Other current assets</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">44</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">34</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Total current assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">859</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">1,127</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Oil and gas properties</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">8,011</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">8,008</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Less: accumulated depletion, depreciation and amortization</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(7,937</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(7,772</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Net oil and gas properties</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">74</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">236</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="2" STYLE="padding-bottom: 2.5pt">Total assets</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right; vertical-align: bottom">$933</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right"></TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right; vertical-align: bottom">$1,363</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right"></TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: center">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Liabilities and member's equity</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif">&nbsp;</TD>
      <TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: right">&nbsp;</TD><TD STYLE="font: 10pt Arial, Helvetica, Sans-Serif; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Current liabilities:</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Accounts payable and other</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">172</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">$</TD><TD STYLE="text-align: right">131</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Due to affiliate</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">561</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">561</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Total current liabilities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">733</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">692</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Asset retirement obligations</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">199</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">195</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="2">Total liabilities</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: right; vertical-align: bottom">932</TD><TD STYLE="text-align: right"></TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: right; vertical-align: bottom">887</TD><TD STYLE="text-align: right"></TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Total member's equity</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">476</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD COLSPAN="2" STYLE="padding-bottom: 2.5pt">Total liabilities and member's equity</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right; vertical-align: bottom">$933</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right"></TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: right; vertical-align: bottom">$1,363</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right"></TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0; text-align: right">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Revenue
  and direct operating expenses for the various oil and gas assets included in the unaudited condensed consolidated statements of
  operations below represent the net collective working and revenue interests acquired by Equus Energy. The revenue and direct operating
  expenses presented herein relate only to the interests in the producing oil and natural gas properties and do not represent all
  of the oil and natural gas operations of all of these properties. Direct operating expenses include lease operating expenses and
  production and other related taxes. General and administrative expenses, depletion, depreciation and amortization (&ldquo;DD&amp;A&rdquo;)
  of oil and gas properties and federal and state taxes have been excluded from direct operating expenses in the accompanying statements
  of operations because the allocation of certain expenses would be arbitrary and would not be indicative of what such costs would
  have been had Equus Energy been operated as a stand-alone entity. The statements of operations presented are not indicative of
  the financial condition or results of operations of Equus Energy on a go forward basis due to changes in the business and the omission
  of various operating expenses.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
  <!-- Field: Page; Sequence: 24 -->
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      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font-size: 10pt"><TR STYLE="vertical-align: top; text-align: left"><TD STYLE="width: 100%"><A HREF="#TableOfContents" TITLE="Table of Contents" STYLE="font-style: italic">Table of Contents</A>&nbsp;</TD></TR></TABLE></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><U>EQUUS ENERGY, LLC</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><U>Unaudited Condensed Consolidated Statements
  of Operations</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Three Months Ended September 30,</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="6" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Nine Months Ended September 30,</TD>
      <TD>&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2018</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD><TD>&nbsp;</TD>
      <TD COLSPAN="3" STYLE="text-align: right">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 40%; text-align: left">Operating revenue</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">120</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">278</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">481</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 3%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 10%; text-align: right">855</TD><TD STYLE="width: 1%; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left">Operating expenses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Direct operating expenses</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">200</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">216</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">593</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">610</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 10pt">General and administrative</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">38</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">52</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">194</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">205</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Depletion, depreciation, amortization and accretion</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">84</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">96</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">169</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">282</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 20pt">Total operating expenses</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">322</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">364</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">956</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">1,097</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Operating loss before income tax expense</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(202</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(86</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(475</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(242</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Income tax benefit (expense)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Net loss</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(202</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(86</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(475</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">(242</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">)</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0; text-align: center"><B><U>EQUUS ENERGY, LLC</U></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><B><U>Unaudited Condensed Consolidated Statements
  of Cash Flows</U></B></P>
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.25pt 0 0"></P>
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.25pt 0 0; text-align: center; color: Red"><B></B></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="7" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Nine Months Ended September 30,</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2019</TD><TD STYLE="font-weight: bold; padding-bottom: 1pt">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1pt solid; vertical-align: bottom">2018</TD></TR>
  <TR STYLE="vertical-align: bottom">
      <TD>&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="font-weight: bold; text-align: center">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Cash flows from operating activities:</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="width: 56%; text-align: left">Net loss</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">&nbsp;</TD><TD STYLE="width: 12%; text-align: right">(475</TD><TD STYLE="width: 1%; text-align: left">)</TD><TD STYLE="width: 8%">&nbsp;</TD>
      <TD STYLE="width: 1%; text-align: left">$</TD><TD STYLE="width: 12%; text-align: right">(242</TD><TD STYLE="width: 1%; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 10pt">Adjustments to reconcile net loss to</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 20pt">net cash (used in) provided by operating activities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 30pt">Depletion, depreciation, amortization and accretion</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">169</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">282</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 10pt">Changes in operating assets and liabilities:</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 20pt">Accounts receivable</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">57</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(41</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 20pt">Prepaid expenses and other current assets</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(10</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(1</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-left: 20pt">Accounts payable and other</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">41</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">72</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 20pt">Due to affiliate</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(25</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 30pt">Net cash (used in) provided by operating activities</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(218</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">45</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD>&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">&nbsp;</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Cash flows from investing activities:</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-left: 10pt">Investment in oil &amp; gas properties</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(3</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(140</TD><TD STYLE="text-align: left">)</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 10pt">Proceeds from sale of oil &amp; gas properties</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">&mdash;&nbsp;&nbsp;</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">200</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt; padding-left: 20pt">Net cash (used in) provided by investing activities</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">(3</TD><TD STYLE="padding-bottom: 1pt; text-align: left">)</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">60</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left">Net (decrease) increase in cash</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">(221</TD><TD STYLE="text-align: left">)</TD><TD>&nbsp;</TD>
      <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: right">105</TD><TD STYLE="text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="text-align: left; padding-bottom: 1pt">Cash and cash equivalents at beginning of period</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">966</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 1pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 1pt solid; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 1pt solid; text-align: right">307</TD><TD STYLE="padding-bottom: 1pt; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="text-align: left; padding-bottom: 2.5pt">Cash and cash equivalents at end of period</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">745</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD><TD STYLE="padding-bottom: 2.5pt">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 2.5pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 2.5pt double; text-align: right">412</TD><TD STYLE="padding-bottom: 2.5pt; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  
  
  <P STYLE="font: 9pt Sans-Serif; margin: 0.25pt 0 0; text-align: center; color: Red"><B></B></P>
  
  <P STYLE="font: 2pt/2pt Times New Roman, Times, Serif; margin: 0 0 0 376pt">&nbsp;</P>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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      <!-- Field: /Page -->
  
  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Critical
  Accounting Policies for Equus Energy&mdash;</B>Equus Energy and its wholly-owned subsidiary EQS Energy Holdings, Inc. (collectively,
  &ldquo;the Company&rdquo;) follow the Full Cost Method of Accounting for oil and gas properties. Under the full cost method, all
  costs associated with property acquisition, exploration, and development activities are capitalized. Capitalized costs include
  lease acquisitions, geological and geophysical work, delay rentals, costs of drilling, completing and equipping successful and
  unsuccessful oil and gas wells and related costs. Gains or losses are normally not recognized on the sale or other disposition
  of oil and gas properties. Gains or losses are normally reflected as an adjustment to the full cost pool.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The capitalized
  costs of oil and gas properties, plus estimated future development costs relating to proved reserves and estimated cost of dismantlement
  and abandonment, net of salvage value, are amortized on a unit-of-production method over the estimated productive life of the proved
  oil and gas reserves. Unevaluated oil and gas properties are excluded from this calculation. Depletion, depreciation, amortization
  and accretion expense for the Company&rsquo;s oil and gas properties totaled $0.08 million and $0.1 million for the three months
  ended September 30, 2019 and 2018, respectively and $0.2 million and $0.3 million for the nine months ended September 30, 2019
  and September 30, 2018, respectively .</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt; text-align: justify">Capitalized oil and gas property costs are limited to
  an amount (the ceiling limitation) equal to the sum of the following:</P>
  
  <P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 45pt">(a)</TD><TD STYLE="text-align: justify; padding-right: 5.7pt">As of September 30, 2019, the present value of estimated future net revenue
  from the projected production of proved oil and gas reserves, calculated at the simple arithmetic average, first-day-of-the-month
  prices during the twelve-month period before the balance sheet date (with consideration of price changes only to the extent provided
  by contractual arrangements) and a discount factor of 10%;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 4.5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 45pt">(b)</TD><TD>The cost of investments in unproved and unevaluated properties excluded from the costs being amortized; and</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 45pt">(c)</TD><TD>The lower of cost or estimated fair value of unproved properties included in the costs being amortized.</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">When it
  is determined that oil and gas property costs exceed the ceiling limitation, an impairment charge is recorded to reduce its carrying
  value to the ceiling limitation. The Company did not recognize an impairment loss on its oil and gas properties during the three
  <FONT STYLE="letter-spacing: 0.25pt">and nine </FONT>months ended September 30, 2019 and <FONT STYLE="letter-spacing: -0.05pt">September
  30, </FONT>2018, respectively.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The costs
  of certain unevaluated leasehold acreage and certain wells being drilled are not amortized. The Company excludes all costs until
  proved reserves are found or until it is determined that the costs are impaired. Costs not amortized are periodically assessed
  for possible impairment or reduction in value. If a reduction in value has occurred, costs being amortized are increased accordingly.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Revenue
  Recognition</B>&mdash;Revenue recognized for oil and natural gas sales under the sales method of accounting. Under this method,
  revenue is recognized on production as it is taken and delivered to its purchasers. The volumes sold may be more or less than the
  volumes entitled to, based on the owner&rsquo;s net leasehold interest. These differences result from production imbalances, which
  are not significant, and are reflected as adjustments to proven reserves and future cash flows in the unaudited consolidated financial
  information included herein.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Depreciation,
  Depletion and Amortization</B>&mdash;The Company employs the &ldquo;Units of Production&rdquo; method in calculating depletion
  of its proved oil and gas properties, wherein capitalized costs, as adjusted for future development costs and asset retirement
  obligations, are amortized over the total estimated proved reserves.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Income
  Taxes</B>&mdash;A limited liability company is not subject to the payment of federal income taxes as components of its income and
  expenses flow through directly to the members. However, the Company is subject to certain state income taxes. Texas margin tax
  applies to legal entities conducting business in Texas. The margin tax is based on our Texas sourced taxable margin. The tax is
  calculated by applying a tax rate to a base that considers both revenue and expenses and therefore has the characteristics of an
  income tax. Taxable Subsidiaries may generate income tax expense because of the Taxable Subsidiaries&rsquo; ownership of the portfolio
  companies. We reflect any such income tax expense on our Statements of Operations. The Company had no federal income tax expense
  for the three and nine month periods ending September 30, 2019 and 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Asset
  Retirement Obligations</B>&mdash;The fair value of asset retirement obligations are recorded in the period in which they are incurred
  if a reasonable estimate of fair value can be made, and the corresponding cost is capitalized as part of the carrying amount of
  the related long-lived asset. The fair value of the asset retirement obligation is measured using expected future cash outflows
  discounted at the Company&rsquo;s credit- adjusted risk-free interest rate. Fair value, to the extent possible, should include
  a market risk premium for unforeseeable circumstances. No market risk premium was included in the Company&rsquo;s asset retirement
  obligation fair value estimate since a reasonable estimate could not be made. The liability is accreted to its then present value
  each period, and the capitalized cost is depleted or amortized over the estimated recoverable reserves using the units-of-production
  method.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 28.25pt"></TD><TD STYLE="width: 22.5pt"><B>(9)</B></TD><TD><B>Subsequent Events</B></TD></TR></TABLE>
  
  <P STYLE="font: 11pt Times New Roman, Times, Serif; margin: 0.1pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Management
  performed an evaluation of the Fund&rsquo;s activity through the date the financial statements were issued, noting the following
  subsequent events:</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">On October
  5, 2019, we sold $27.0 million of U.S. Treasury Bills we acquired on margin in September 2019 and used the proceeds to repay the
  margin loan.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.15pt 0 0"><B></B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><B><A NAME="a010"></A>Item 2. Management&rsquo;s Discussion and Analysis
  of Financial Condition and Results of Operations</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Equus Total
  Return, Inc. (&ldquo;we,&rdquo; &ldquo;us,&rdquo; &ldquo;our,&rdquo; &ldquo;Equus,&rdquo; and the &ldquo;Fund&rdquo;), a Delaware
  corporation, was formed on August 16, 1991. Our shares trade on the New York Stock Exchange under the symbol &lsquo;EQS&rsquo;.
  Our investment strategy seeks to provide the highest total return, consisting of capital appreciation and current income.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The information
  contained in this section should be read in conjunction with our financial statements and notes thereto appearing elsewhere in
  this Quarterly Report and in conjunction with the financial statements and notes thereto in the Fund&rsquo;s Form 10-K for the
  year ended December 31, 2018, as filed with the SEC. In addition, some of the statements in this report constitute forward-looking
  statements. The matters discussed in this Quarterly Report, as well as in future oral and written statements by management of Equus,
  that are forward-looking statements are based on current management expectations that involve substantial risks and uncertainties
  which could cause actual results to differ materially from the results expressed in, or implied by, these forward-looking statements.
  Forward-looking statements relate to future events or our future financial performance. We generally identify forward-looking statements
  by terminology such as &ldquo;may,&rdquo; &ldquo;will,&rdquo; &ldquo;should,&rdquo; &ldquo;expects,&rdquo; &ldquo;plans,&rdquo;
  &ldquo;anticipates,&rdquo; &ldquo;could,&rdquo; &ldquo;intends,&rdquo; &ldquo;target,&rdquo; &ldquo;projects,&rdquo; &ldquo;believes,&rdquo;
  &ldquo;estimates,&rdquo; &ldquo;predicts,&rdquo; &ldquo;potential&rdquo; or &ldquo;continue&rdquo; or the negative of these terms
  or other similar words. Important assumptions include our ability to originate new investments, achieve certain margins and levels
  of profitability, and the availability of additional capital. In light of these and other uncertainties, the inclusion of a forward-looking
  statement in this Quarterly Report should not be regarded as a representation by us that our plans or objectives will be achieved.
  The forward- looking statements contained in this Quarterly Report include statements as to:</P>
  
  <P STYLE="font: 14pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our future operating results;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our business prospects and the prospects of our existing and prospective portfolio companies;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the return or impact of current and future investments;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our contractual arrangements and other relationships with third parties;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the dependence of our future success on the general economy and its impact on the industries in which we invest;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the financial condition and ability of our existing and prospective portfolio companies to achieve their objectives;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our expected financings and investments;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our regulatory structure and tax treatment;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD STYLE="padding-right: 20.85pt">our ability to qualify and operate as a BDC and a RIC, including the impact of changes in laws
  or regulations governing our operations, or the operations of our portfolio companies;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 4.5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the adequacy of our cash resources and working capital;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the timing of cash flows, if any, from the operations of our portfolio companies;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the impact of fluctuations in interest rates on our business;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>the valuation of our investments in portfolio companies, particularly those having no liquid trading market;</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>our ability to recover unrealized losses; and</TD></TR></TABLE>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 5pt; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 50.75pt"></TD><TD STYLE="width: 22.5pt">&bull;</TD><TD>market conditions and our ability to access additional capital, if deemed necessary.</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">There are
  a number of important risks and uncertainties that could cause our actual results to differ materially from those indicated by
  such forward-looking statements. For a discussion of factors that could cause our actual results to differ from forward-looking
  statements contained in this Quarterly Report, please see the discussion in Part II, &ldquo;<I>Item 1A. Risk Factors</I>&rdquo;,
  and in Part I, &ldquo;<I>Item 1A. Risk Factors</I>&rdquo; in our Annual Report on Form 10-K for the fiscal year ended December
  31, 2018. You should not place undue reliance on these forward-looking statements. The forward-looking statements made in this
  Quarterly Report relate only to events as of the date on which the statements are made. We undertake no obligation to update any
  forward-looking statement to reflect events or circumstances occurring after the date this Quarterly Report is filed with the SEC.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.4pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We
  attempt to maximize the return to stockholders in the form of current investment income and long-term capital gains by investing
  in the debt and equity securities of companies with a total enterprise value of between $5.0 million and $75.0 million, although
  we may engage in transactions with smaller or larger investee companies from time to time. We seek to invest primarily in companies
  pursuing growth either through acquisition or organically, leveraged buyouts, management buyouts and recapitalizations of existing
  businesses or special situations. Our income-producing investments consist principally of debt securities including subordinate
  debt, debt convertible into common or preferred stock, or debt combined with warrants and common and preferred stock. Debt and
  preferred equity financing may also be used to create long- term capital appreciation through the exercise and sale of warrants
  received in connection with the financing. We seek to achieve capital appreciation by making investments in equity and equity-oriented
  securities issued by privately-owned companies (and smaller public companies) in transactions negotiated directly with such companies.
  Given market conditions over the past several years and the performance of our portfolio, our management and Board of Directors
  believe it is prudent to continue to review alternatives to refine and further clarify the current strategies.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We elected
  to be treated as a BDC under the 1940 Act. We currently qualify as a RIC for federal income tax purposes and, therefore, are not
  required to pay corporate income taxes on any income or gains that we distribute to our stockholders. We have certain wholly owned
  Taxable Subsidiaries each of which holds one or more portfolio investments listed on our Schedules of Investments. The purpose
  of these Taxable Subsidiaries is to permit us to hold certain income-producing investments or portfolio companies organized as
  limited liability companies, or LLCs, (or other forms of pass-through entities) and still satisfy the RIC tax requirement that
  at least 90% of our gross revenue for income tax purposes must consist of investment income. Absent the Taxable Subsidiaries, a
  portion of the gross income of these income- producing investments or of any LLC (or other pass-through entity) portfolio investment,
  as the case may be, would flow through directly to us for the 90% test. To the extent that such income did not consist of investment
  income, it could jeopardize our ability to qualify as a RIC and, therefore, cause us to incur significant federal income taxes.
  The income of the LLCs (or other pass-through entities) owned by Taxable Subsidiaries is taxed to the Taxable Subsidiaries and
  does not flow through to us, thereby helping us preserve our RIC status and resultant tax advantages. We do not consolidate the
  Taxable Subsidiaries for income tax purposes and they may generate income tax expense because of the Taxable Subsidiaries&rsquo;
  ownership of the portfolio investments. We reflect any such income tax expense on our Statements of Operations.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><B>Plan of Reorganization</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Plan
  of Reorganization and Share Exchange with MVC Capital&mdash;</B>On May 14, 2014, we announced that the Fund intended to effect
  a reorganization pursuant to Section 2(a)(33) of the 1940 Act (hereinafter, the &ldquo;Plan of Reorganization&rdquo;). As a first
  step to consummating the Plan of Reorganization, we sold to MVC Capital, Inc. (&ldquo;MVC&rdquo;) 2,112,000 newly-issued shares
  of the Fund&rsquo;s common stock in exchange for 395,839 shares of MVC (such transaction is hereinafter referred to as the &ldquo;Share
  Exchange&rdquo;). MVC is a <FONT STYLE="letter-spacing: 0.55pt">BDC </FONT>traded on the NYSE that provides long-term debt and
  equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. The Share
  Exchange was calculated based on the Fund&rsquo;s and MVC&rsquo;s respective net asset value per share. At the time of the Share
  Exchange, the number of MVC shares received by Equus represented approximately 1.73% of MVC&rsquo;s total outstanding shares of
  common stock.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Pursuant
  to the terms of a Share Exchange Agreement, dated May 12, 2014, entered into by Equus and MVC which memorialized the Share Exchange,
  we intend to finalize the Plan of Reorganization by pursuing a merger or consolidation with MVC or an operating company, which
  operating company may be a subsidiary or portfolio company of MVC. Absent Equus merging or consolidating with/into MVC or a subsidiary
  thereof, our current intention is for Equus to (i) terminate its election to be classified as a BDC under the 1940 Act, and (ii)
  be restructured as a publicly-traded operating company focused on the energy, natural resources, technology, and/or financial services
  sector. While we are presently evaluating various opportunities that could enable us to complete our Plan of Reorganization, we
  cannot assure you that we will be able to do so within any particular time period or at all. Moreover, we cannot assure you that
  the terms of any such transaction that would embody a &ldquo;Consolidation&rdquo;, as such term is defined in our Plan of Reorganization,
  would be acceptable to us.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt"><B>Authorization
  to Withdraw BDC Election&mdash;</B>On January 21, 2019, holders of a majority of the outstanding common stock of the Fund approved
  our cessation as a BDC under the 1940 Act and authorized our Board to cause the Fund&rsquo;s withdrawal of its election to be classified
  as a BDC, effective as of a date designated by the Board and our Chief Executive Officer. Although this authorization, which was
  given as a consequence of our Plan of Reorganization, expired on July 31, 2019, we expect to receive an additional authorization
  from our stockholders in the future. Notwithstanding any such authorization to withdraw our BDC election, we will not submit any
  such withdrawal unless and until Equus has entered into a definitive agreement to effect a &ldquo;Consolidation&rdquo;, as such
  term is defined in our Plan of Reorganization. Further, even if we are again authorized to withdraw our election as a BDC, we will
  require a subsequent affirmative vote from holders of a majority of our outstanding voting shares to enter into any such definitive
  agreement or change the nature of our business.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt; text-align: justify"><B>2016 Equity Incentive Plan</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">On June
  13, 2016, our shareholders approved the adoption of our 2016 Equity Incentive Plan (&ldquo;Incentive Plan&rdquo;). On January 10,
  2017, the SEC issued an order approving the Incentive Plan and certain awards intended to be made thereunder. The Incentive Plan
  is intended to promote the interests of the Fund by encouraging officers, employees, and directors of the Fund and its affiliates
  to acquire or increase their equity interest in the Fund and to provide a means whereby they may develop a proprietary interest
  in the development and financial success of the Fund, to encourage them to remain with and devote their best efforts to the business
  of the Fund, thereby advancing the interests of the Fund and its stockholders. The Incentive Plan is also intended to enhance the
  ability of the Fund and its affiliates to attract and retain the services of individuals who are essential for the growth and profitability
  of the Fund. The Incentive Plan permits the award of restricted stock as well as common stock purchase options. The maximum number
  of shares of common stock that are subject to awards granted under the Incentive Plan is 2,434,728 shares. The term of the Incentive
  Plan will expire on June 13, 2026. On March 17, 2017, we granted awards of restricted stock under the Plan to certain of our directors
  and executive officers in the aggregate amount of 844,500 shares. The awards are each subject to a vesting requirement over a 3-year
  period unless the recipient thereof is terminated or removed from their position as a director or executive officer without &ldquo;cause&rdquo;,
  or as a result of constructive termination, as such terms are defined in the respective award agreements entered into by each of
  the recipients and the Fund. We recorded compensation expense of $0.08 million for the <FONT STYLE="letter-spacing: 1pt">three
  </FONT>months ended September 30, 2019 and 2018, respectively, <FONT STYLE="letter-spacing: 1pt">and </FONT>$0.2 million and $0.4
  million for the nine months ended September 30, 2019 and 2018, respectively, in connection with these awards..</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt; text-align: justify"><B>Critical Accounting Policies</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">See the
  Fund&rsquo;s Critical Accounting Policies from the disclosure set forth in the Fund&rsquo;s Annual Report on Form 10-K for the
  year ended December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt; text-align: justify">Current Market Conditions</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The U.S.
  economy expanded at an annualized rate of <FONT STYLE="letter-spacing: 0.4pt">1</FONT>.9% during the <FONT STYLE="letter-spacing: 0.35pt">third</FONT>
  quarter of 2019, following growth of <FONT STYLE="letter-spacing: 0.35pt">2.0% and </FONT>3.1% during the first and second quarters,
  respectively, of 2019 and an increase of 2.9% for all of 2018. The decrease in GDP during the third quarter of 2019 was principally
  due to decreased exports, higher inventories, lower fixed residential and nonresidential investment, and increased imports. Despite
  rising trade tensions, the Conference Board Economic Forecast projects GDP growth in <FONT STYLE="letter-spacing: 0.75pt">the fourth
  quarter of </FONT>2019 to be <FONT STYLE="letter-spacing: 0.8pt">1</FONT>.9% and thereafter 2.0% for 2020. The U.S. unemployment
  rate is near a 50-year low, continuing to present a tight labor market for employers, but weakening business investment and slightly
  diminished consumer spending suggest a weaker long-term outlook for the economy. Meanwhile, housing starts and building permits
  slowed during 2018 and trended downward during the first six months of 2019 before increasing in the third quarter of 2019, which
  has contrasted with strong growth in existing home sales during the same period. (Sources: <I>U.S. Dept. of Commerce Bureau of
  Economic Analysis, Bureau of Labor Statistics, Conference Board Leading Economic Index</I>).</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Merger
  and acquisition activity was strong in 2018, with $3.5 trillion in worldwide transactions consummated during the year.
  Although such activity slowed during the first quarter of 2019, it accelerated during the second quarter of 2019, resulting
  in approximately $2 trillion in global transactions announced during the six-month period with another $2.4 trillion in
  undeployed capital, $732 billion of which is held by private equity firms. In the United States, merger and acquisition
  activity was up 19% in the first six months of 2019 as compared to the six months ended June 30, 2018. Private equity funds
  raised almost $52 billion during the first half of 2019, down 19% from the comparable period in 2018, <FONT STYLE="letter-spacing: 0.1pt">and</FONT>
  did so in an increasingly smaller number of vehicles, resulting in larger fund sizes overall. Total investments during the
  quarter were approximately $159 billion, a <FONT STYLE="letter-spacing: 0.5pt">decrease </FONT>of <FONT STYLE="letter-spacing: 0.55pt">4</FONT>%
  from the <FONT STYLE="letter-spacing: 0.5pt">second</FONT> quarter of 2018. Data for the <FONT STYLE="letter-spacing: 0.5pt">third </FONT>quarter
  of 2019 have not yet been released but larger amounts of capital have pushed median valuation multiples <FONT STYLE="letter-spacing: 0.2pt">to </FONT>11x
  EBITDA during the first six  months of 2019, constraining investment yields (Sources: <FONT STYLE="letter-spacing: -0.4pt"><I>Institutional
  Investor; </I></FONT><I>The New York Times; The Wall Street Journal, PitchBook</I>).</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 4.5pt; text-indent: 27pt; text-align: justify">During the nine months ended September
  30, 2019, our net asset value increased from $3.22 per share to $3.63 per share, an increase of 12.7%. As of September 30, 2019,
  our common stock is trading at a 55.6% discount to our net asset value as compared to 39.1% as of December 31, 2018.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Over the
  past several years, we have executed certain initiatives to enhance liquidity, achieve a lower operational cost structure, provide
  more assistance to portfolio companies and realize certain of our portfolio investments. Specifically, we changed the composition
  of our Board of Directors and Management, terminated certain of our follow-on investments, internalized the management of the Fund,
  suspended our managed distribution policy, modified our investment strategy to pursue shorter term liquidation opportunities, pursued
  non-cash investment opportunities, and sold certain of our legacy and underperforming investment holdings. We believe these actions
  continue to be necessary to protect capital and liquidity in order to preserve and enhance shareholder value. Because our Management
  is internalized, certain of our expenses should not increase commensurate with an increase in the size of the Fund and, therefore,
  to the extent we remain a BDC, we expect to achieve efficiencies in our cost structure if we are able to grow the Fund.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt">Liquidity and Capital Resources</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We generate
  cash primarily from maturities, sales of securities and borrowings, as well as capital gains realized upon the sale of portfolio
  investments. We use cash primarily to make additional investments, either in new companies or as follow-on investments in the existing
  portfolio companies and to pay the dividends to our stockholders.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Because
  of the nature and size of the portfolio investments, we may periodically borrow funds to make qualifying investments to maintain
  our tax status as a RIC. We often borrow such funds by utilizing a margin account with a securities brokerage firm. There is no
  assurance that such arrangement will be available in the future. If <FONT STYLE="letter-spacing: 0.05pt">we are </FONT>unable to
  borrow funds to make qualifying investments, <FONT STYLE="letter-spacing: 0.05pt">Equus </FONT>may no longer qualify as a RIC.
  The Fund would then be subject to corporate income tax on its net investment income and realized capital gains, and distributions
  to stockholders would be subject to income tax as ordinary dividends.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">The Fund
  has the ability to borrow funds and issue forms of senior securities representing indebtedness or stock, such as preferred stock,
  subject to certain restrictions. Net taxable investment income and net taxable realized gains from the sales of portfolio investments
  are intended to be distributed at least annually, to the extent such amounts are not reserved for payment of expenses and contingencies
  or to make follow-on or new investments.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We reserve
  the right to retain net long-term capital gains in excess of net short-term capital losses for reinvestment or to pay contingencies
  and expenses. Such retained amounts, if any, will be taxable to the Fund as long-term capital gains and stockholders will be able
  to claim their proportionate share of the federal income taxes paid on such gains as a credit against their own federal income
  tax liabilities. Stockholders will also be entitled to increase the adjusted tax basis of their Fund shares by the difference between
  their undistributed capital gains and their tax credit.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We are
  evaluating the impact of current market conditions on our portfolio company valuations and their ability to provide current income.
  We believe we have followed valuation techniques in a reasonably consistent manner; however, we are cognizant of current market
  conditions that might affect future valuations of portfolio securities. In view of our present status as a BDC and our anticipated
  transformation into an operating company, we believe that our operating cash flow and cash on hand will be sufficient to meet operating
  requirements and to finance routine capital expenditures through the next twelve months.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><B>Results of Operations</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt"><B>Investment Income and Expense</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Net investment
  loss was $0.8 million and $0.7 million for the three months ended September 30, 2019 and 2018, respectively, and <FONT STYLE="letter-spacing: 0.2pt">unchanged
  at </FONT>$2.6 million for the nine months ended September 30, 2019 and September 30, 2018, respectively.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Investment
  income was $0.1 million for the three months ended September 30, 2019 and 2018, respectively and $0.2 million and $0.3 million
  for the nine months ended September 30, 2019 and 2018. The decrease is due to the decline of interest-bearing investments. Total
  expense was $0.9 million and $0.8 million for the three months ended September 30, 2019 and 2018, respectively, and $2.8 million
  and $3.0 million for the nine months ended September 30, 2019. This decrease was mainly due to the decline in professional fees.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt"><B>Realized Gains and Losses on Sales of Portfolio
  Securities</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.35pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">During the nine months ended
  September 30, 2019, we realized a loss of $2.8 million from the dissolution and liquidation of Equus Media Development Company
  LLC (&ldquo;EMDC&rdquo;).</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt; text-align: justify">During the nine months ended September 30, 2018, we
  realized a gain of $4.0 thousand from the sale of temporary cash investments.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt"><B>Changes in Unrealized Appreciation/Depreciation of
  Portfolio Securities</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">During the nine months ended
  September 30, 2019, we recorded a net change in unrealized appreciation of $10.7 million, to a net unrealized appreciation of $27.7
  million. Such change in unrealized appreciation resulted primarily from the following changes:</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.25pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(i)</TD><TD STYLE="padding-right: 18.15pt">Increase in the fair value of our shareholding in MVC of $0.4 million due to an increase in
  the share price of MVC and the receipt of dividend payments in the form of additional shares of MVC during the period;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(ii)</TD><TD STYLE="padding-right: 41.2pt">Increase in fair value of our shareholding in PalletOne, Inc. of $6.0 million due to improved
  operating performance;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iii)</TD><TD STYLE="padding-right: 24.2pt">Transfer of unrealized depreciation to realized loss of our holdings in EMDC of $2.8 million
  in connection with the liquidation and dissolution of EMDC; and</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iv)</TD><TD STYLE="padding-right: 15.1pt">Increase in the fair value
                                           of our holdings in Equus Energy, LLC of $1.5 million, principally due to increases in
                                           mineral acreage prices proximate to the company&rsquo;s leasehold interests and <FONT STYLE="background-color: White">an
                                           increase in the short- and long-term prices for crude oil during 2019.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.35pt 0 0"><FONT STYLE="background-color: White">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">During
  the nine months ended September 30, 2018, we recorded a net change in unrealized appreciation of $5.9 million, to a net unrealized
  appreciation of $19.3 million. Such change in unrealized appreciation resulted primarily from the following changes:</P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.05pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/11.2pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(i)</TD><TD STYLE="padding-right: 35.35pt">Decrease in the fair value of our shareholding in MVC of $0.5 million due to a decrease in the
  share price of MVC, offset by the receipt of dividend payments in the form of additional shares of MVC during the period;</TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(ii)</TD><TD STYLE="padding-right: 38.95pt">Increase in fair value of our shareholding in PalletOne, Inc. of $3.8 million due to improved
  operating performance; and</TD></TR></TABLE>
  
  <P STYLE="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" WIDTH="100%" STYLE="font: 10pt/104% Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0"><TR STYLE="vertical-align: top">
  <TD STYLE="width: 11.55pt"></TD><TD STYLE="width: 28.95pt">(iii)</TD><TD STYLE="padding-right: 38.95pt">Increase in the fair value of our holdings in Equus Energy, LLC of $2.5 million, principally
  due to increases in mineral acreage prices proximate to the company&rsquo;s leasehold interests and a moderate increase in the
  short- and long-term prices for crude oil and natural gas.</TD></TR></TABLE>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 32.75pt"><B>Dividends</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">We will pay out net investment
  income and/or realized capital gains, if any, on an annual basis as required under the Investment Company Act of 1940.</P>
  
  <P STYLE="font: 11.5pt Times New Roman, Times, Serif; margin: 0.2pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 30.25pt"><B>Portfolio Securities</B></P>
  
  <P STYLE="font: 10.5pt Times New Roman, Times, Serif; margin: 0.15pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">During
  the nine months ended September 30, 2019, we received dividends in the form of additional shares of MVC in the amount of
  $0.2 million.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">Also during the nine months
  ended September 30, 2019, we dissolved EMDC, a wholly-owned subsidiary of the Fund and transferred EMDC&rsquo;s assets, consisting
  of approximately $211,000 in cash and various creative entertainment properties, to the Fund.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">During the nine months ended
  September 30, 2018, we received dividends in the form of additional shares of MVC in the amount of $0.2 million.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt; text-align: justify">During the nine months ended
  September 30, 2018, our investment in 5th Element Tracking, LLC, consisting of a promissory note in the face amount of $0.9 million,
  became due. On August 13, 2018, we issued a demand for payment of all outstanding principal and accrued and outstanding interest
  on the note, and on November 8, 2018, we filed a complaint against the guarantor of the note to enforce collection. We have assessed
  the fair value of our holdings and determined that the event of default has not indicated a decrease in fair value below the carrying
  cost of the investment, based on the security interests we hold and the relative timing of collection.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0"></P>
  
  
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  <P STYLE="font: 7pt Times New Roman, Times, Serif; margin: 0.45pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 3.7pt 0 0 30.25pt"><B>Subsequent Events</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We performed
  an evaluation of the Fund&rsquo;s activity through the date the financial statements were issued, noting the following subsequent
  events:</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">On October
  5, 2019, we sold $27.0 million of U.S. Treasury Bills we acquired on margin in <FONT STYLE="letter-spacing: 0.7pt">September</FONT>
  2019 and used the proceeds to repay the margin loan.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><B><A NAME="a011"></A>Item 3. Quantitative and Qualitative Disclosure about
  Market Risk</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We are
  subject to financial market risks, including changes in interest rates with respect to investments in debt securities and outstanding
  debt payable, as well as changes in marketable equity security prices. In the future, we may invest in companies outside the United
  States, including in Europe and Asia, which would give rise to exposure to foreign currency value fluctuations. We do not use derivative
  financial instruments to mitigate any of these risks. The return on investments is generally not affected by foreign currency fluctuations.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Our investments
  in portfolio securities consist of some fixed-rate debt securities. Since the debt securities are generally priced at a fixed rate,
  changes in interest rates do not directly affect interest income. In addition, changes in market interest rates are not typically
  a significant factor in the determination of fair value of these debt securities, since the securities are generally held to maturity.
  We determine their fair values based on the terms of the relevant debt security and the financial condition of the issuer.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">A major
  portion of our investment portfolio consists of debt and equity investments in private companies. Modest changes in public market
  equity prices generally do not significantly impact the estimated fair value of these investments. However, significant changes
  in market equity prices can have a longer-term effect on valuations of private companies, which could affect the carrying value
  and the amount and timing of gains or losses realized on these investments. A small portion of the investment portfolio could also
  consist of common stock in publicly traded companies. These investments are directly exposed to equity price risk, in that a hypothetical
  ten percent change in these equity prices would result in a similar percentage change in the fair value of these securities.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.7pt"><A NAME="a012"></A><B>Item 4. Controls and Procedures</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">We maintain
  disclosure controls and other procedures that are designed to ensure that information required to be disclosed by the Fund in the
  reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified
  in the SEC&rsquo;s rules and forms, and that such information is accumulated and communicated to our management, including our
  Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Our management,
  with the participation of our Fund&rsquo;s Chief Executive Officer and Chief Financial Officer, have evaluated the effectiveness
  of the design and operations of the Fund&rsquo;s &ldquo;disclosure controls and procedures&rdquo; (as defined in Rule 13a-15(e)
  under the Securities Exchange Act of 1934) as of September 30, 2019. Based on their evaluation, our Chief Executive Officer and
  Chief Financial Officer concluded that the Fund&rsquo;s disclosure controls and procedures were effective at a reasonable assurance
  level. There has been no change in our internal control over financial reporting during the quarter ended September 30, 2019, that
  has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0"><B><A NAME="a013"></A>Part II. Other Information </B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0 0 0 55.05pt; text-indent: -55.1pt"><B>&nbsp;</B></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0 0 0 55.05pt; text-indent: -55.1pt"><FONT STYLE="background-color: white"><A NAME="a014"></A><B>Item
  1. Legal Proceedings&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0 0 0 55.05pt; text-indent: -55.1pt"><FONT STYLE="background-color: white"><B>&nbsp;</B></FONT></P>
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.4pt 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Shareholder
  Complaint&mdash;On November 16, 2016, Samuel Zalmanoff filed a lawsuit against the Fund and members of the Board of Directors in
  the Court of Chancery in the State of Delaware. The lawsuit was filed in connection with the Fund&rsquo;s 2016 Equity Incentive
  Plan (&ldquo;Incentive Plan&rdquo;) which was adopted by the Board of Directors on April 15, 2016, approved by the Equus shareholders
  on June 13, 2016, and approved, with certain standard exceptions, by the Securities and Exchange Commission on January 10, 2017.
  Mr. Zalmanoff&rsquo;s complaint, which purports to be on behalf of all non-affiliate Equus shareholders entitled to vote for the
  Incentive Plan, purports to allege a breach by the Board of Directors of its fiduciary duties of disclosure in connection with
  the Incentive Plan, and seeks an order from the court: (i) enjoining implementation of the Incentive Plan, (ii) requiring the Fund
  to revise its disclosures relating to the Incentive Plan, and (iii) for an award of costs, attorneys&rsquo; fees, and expenses.
  We believe that this lawsuit, and the allegations included therein, are without merit. On September 22, 2017, we filed a motion
  for summary judgment regarding this action, which was granted by the Chancery Court on November 13, 2018. Mr. Zalmanoff appealed
  the Chancery Court ruling to the Delaware Supreme Court. On May 16, 2019, the Delaware Supreme Court affirmed the Chancery Court
  decision and terminated the proceedings.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">From time
  to time, the Fund is also a party to certain proceedings incidental to the normal course of our business including the enforcement
  of our rights under contracts with our portfolio companies. While the outcome of these legal proceedings cannot at this time be
  predicted with certainty, we do not expect that these proceedings will have a material effect upon the Fund&rsquo;s financial condition
  or results of operations.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><A NAME="a015"></A><B>Item 1A. Risk Factors</B></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">In connection
  with our efforts to convert Equus into an operating company in furtherance of our Plan of Reorganization, we may be subject to
  a number of risks associated with this process, the transactions that would embody a Consolidation of Equus with another company,
  as well as specific risks associated with the commercial enterprise with which Equus would seek to combine itself. We intend to
  identify, as will be reasonably possible, such risks and include the same in our subsequent filings and reports with the Commission.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Readers
  should carefully consider these risks and all other information contained in our annual report on Form 10-K for the year ended
  December 31, 2018, including the Fund&rsquo;s financial statements and the related notes thereto. Although there have been no changes
  to the risk factors facing the Fund since the filing of our Form 10-K, the risks and uncertainties described therein are not the
  only ones facing the Fund.</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-align: justify; text-indent: 24.5pt">Additional
  risks and uncertainties not presently known to us, or not presently deemed material by us, may also impair our operations and performance.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.5pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  
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      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.3pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt"><A NAME="a016"></A><B>Item 6. Exhibits</B></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%">
  <TR STYLE="vertical-align: top">
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">3.</FONT></TD>
      <TD COLSPAN="3" STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">Articles of Incorporation and by-laws</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(a)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312508071101/dex3a.htm">Restated Certificate of Incorporation of the Fund, as amended. [Incorporated by reference to Exhibit 3(a) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2007]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(b)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312508071101/dex3b.htm">Certificate of Merger dated June 30, 1993, between the Fund and Equus Investments Incorporated [Incorporated by reference to Exhibit 3(b) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2007]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(c)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt">
          <A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312508071101/dex3c.htm">Amended and Restated Bylaws of the Fund. [Incorporated by reference to Exhibit 3(c) to Registrant&rsquo;s Current Report on Form 8-K filed on June 30, 2014.]</A>
          <P STYLE="font: 10pt/normal Times New Roman, Times, Serif; margin: 0">&nbsp;</P></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">10.</FONT></TD>
      <TD COLSPAN="3" STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">Material Contracts.</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(a)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312509069640/dex10c.htm">Safekeeping Agreement between the Fund and Amegy Bank dated August 16, 2008. [Incorporated by reference to Exhibit 10(c) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2008.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(b)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000139160912000074/ex10d_indemnificationagmnt.htm">Form of Indemnification Agreement between the Fund and its directors and certain officers. [Incorporated by reference to Exhibit 10(d) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2011.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(c)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312505062004/dex10h.htm">Form of Release Agreement between the Fund and certain of its officers and former officers. [Incorporated by reference to Exhibit 10(h) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2004.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(d)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000119312510073579/dex10f.htm">Code of Ethics of the Fund (Rule 17j-1) [Incorporated by reference to Exhibit 10(f) to Registrant&rsquo;s Annual Report on Form 10-K for the year ended December 31, 2009.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(e)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000139160914000087/ex10_1shareexchange.htm">Share Exchange Agreement between the Fund and MVC Capital, Inc., dated May 14, 2014. [Incorporated by reference to Exhibit 10.1 to Current Report on Form 8-K, filed on May 15, 2014.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">(f)</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><A HREF="http://www.sec.gov/Archives/edgar/data/878932/000139160916000471/ex1_2016equityincentiveplan.htm">2016 Equity Incentive Plan, adopted June 13, 2016 [Incorporated by reference to Exhibit 1 to Registrant&rsquo;s Definitive Proxy Statement filed on May 5, 2016.]</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%">&nbsp;</TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">31.</FONT></TD>
      <TD COLSPAN="3" STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">Rule 13a-14(a)/15d-14(a) Certifications</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">1.</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: blue; line-height: 115%"><A HREF="ex311_equusquartcert093019.htm">Certification by Chief Executive Officer</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">2.</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: blue; line-height: 115%"><A HREF="ex312_equusquartcert093019.htm">Certification by Chief Financial Officer</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD COLSPAN="3" STYLE="line-height: 115%">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">32.</FONT></TD>
      <TD COLSPAN="3" STYLE="line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">Section 1350 Certifications</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">1.</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: blue; line-height: 115%"><A HREF="ex321_equuscert906.htm">Certification by Chief Executive Officer</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD COLSPAN="2" STYLE="line-height: 115%">&nbsp;</TD>
      <TD STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">2.</FONT></TD>
      <TD COLSPAN="2" STYLE="padding-top: 4.5pt; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; color: blue; line-height: 115%"><A HREF="ex322_equuscert906.htm">Certification by Chief Financial Officer</A></FONT></TD></TR>
  <TR>
      <TD STYLE="width: 1%; line-height: 115%">&nbsp;</TD>
      <TD STYLE="width: 1%; line-height: 115%">&nbsp;</TD>
      <TD STYLE="width: 1%; line-height: 115%">&nbsp;</TD>
      <TD STYLE="width: 1%; line-height: 115%">&nbsp;</TD>
      <TD STYLE="width: 96%; line-height: 115%">&nbsp;</TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  
  
  
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><A NAME="a017"></A>SIGNATURE</P>
  
  <P STYLE="font: 9.5pt Times New Roman, Times, Serif; margin: 0.55pt 0 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 5.7pt 0 5.75pt; text-indent: 24.5pt">Pursuant to the requirements
  of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has caused this report to be signed by the undersigned,
  thereunto duly authorized.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
  
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  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 5.75pt">Dated: November 13, 2019</P>
  
  <P STYLE="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0 0 0 352.3pt">&nbsp;</P>
  
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      <TD STYLE="width: 100%; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">EQUUS TOTAL RETURN, INC.</FONT></TD></TR>
  <TR>
      <TD STYLE="line-height: 115%">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="border-bottom: black 1pt solid; text-align: center; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%">/s/ John A. Hardy</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="text-align: center; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><B>John A. Hardy</B></FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="text-align: center; line-height: 115%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; line-height: 115%"><B>Chief Executive Officer</B></FONT></TD></TR>
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metadata_documents: [{"type": "10-Q", "sequence": "1", "filename": "f10q_equus09302019.htm", "description": "FORM 10-Q", "secsgml_size_bytes": 551279}]
metadata_filer: {"company-data": {"conformed-name": "EQUUS TOTAL RETURN, INC.", "cik": "0000878932", "irs-number": "760345915", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "10-Q", "act": "34", "file-number": "814-00098", "film-number": "191214194"}, "business-address": {"street1": "700 LOUISIANA STREET", "street2": "48TH FLOOR", "city": "HOUSTON", "state": "TX", "zip": "77002", "phone": "7135290900"}, "mail-address": {"street1": "700 LOUISIANA STREET", "street2": "48TH FLOOR", "city": "HOUSTON", "state": "TX", "zip": "77002"}, "former-company": {"former-conformed-name": "EQUUS II INC", "date-changed": "19970422"}}
text: UNITED STATES
  SECURITIES AND EXCHANGE COMMISSION
  Washington, D.C. 20549
  FORM 10-Q
  (Mark One)
  ☒
  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
  For the quarterly period ended
  September 30, 2019
  or
  ☐
  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
  For the transition period to
  Commission File Number 814-00098
  EQUUS TOTAL RETURN, INC.
  (Exact name of registrant as specified
  in its charter)
  Delaware
  76-0345915
  (State or other jurisdiction of
  incorporation or organization)
  (I.R.S. Employer
  Identification No.)
  700 Louisiana St., 48
  th
  Floor
  Houston, Texas
  77002
  (Address of principal executive offices)
  (Zip Code)
  (Former Name, Former Address and
  Former Fiscal Year, if Changed Since Last Report)
  Registrant's telephone number,
  including area code: (713) 529-0900
  Securities registered pursuant to
  Section 12(b) of the Act:
  Title of each class
  Name of each exchange
  on which registered
  Common Stock
  New York Stock Exchange
  Indicate
  by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange
  Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and
  (2) has been subject to such filing requirements for the past 90 days. Yes
  ☒
  No
  ☐
  Indicate
  by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant
  to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the
  registrant was required to submit such files). Yes
  ☐
  No
  ☐
  Indicate by check mark whether the registrant
  is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition of "accelerated filer and
  large accelerated filer" in Rule 12b-2 of the Exchange Act.
  Large accelerated filer
  ☐
  Accelerated filer
  ☐
  Non-accelerated filer
  ☒
  Smaller Reporting Company
  ☐
  Emerging Growth Company
  ☐
  If
  an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for
  complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
  ☐
  Indicate
  by check mark whether the registrant is a shell company. Yes
  ☐
  No
  ☒
  There were 13,518,146 shares of the
  registrant's common stock, $.001 par value, outstanding, as of November 13, 2019.
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  (A Delaware Corporation)
  INDEX
  PAGE
  PART I. FINANCIAL INFORMATION
  Item 1. Unaudited Condensed Financial Statements
  3
  Condensed Balance Sheets
  3
  Condensed Statements of Operations
  4
  Condensed Statements of Changes in Net Assets
  5
  Condensed Statements of Cash Flows
  6
  Supplemental Information—Selected Per Share Data and Ratios
  7
  Schedules of Investments
  8
  Notes to Condensed Financial Statements
  12
  Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
  27
  Item 3. Quantitative and Qualitative Disclosure about Market Risk
  32
  Item 4. Controls and Procedures
  32
  PART II. OTHER INFORMATION
  Item 1. Legal Proceedings
  33
  Item 1A. Risk Factors
  33
  Item 6. Exhibits
  34
  SIGNATURE
  35
  2
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  CONDENSED
  BALANCE SHEETS
  (Unaudited)
  Part I. Financial Information
  Item 1. Unaudited Condensed Financial Statements
  September 30, 2019
  December 31, 2018
  (in thousands, except per share amounts)
  Assets
  Investments in portfolio securities at fair value:
  Control investments (cost at $7,050 and $10,050, respectively)
  $
  10,500
  $
  9,210
  Affiliate investments (cost at $350)
  26,500
  20,500
  Non-affiliate investments - related party (cost at $6,819 and $6,579, respectively)
  4,927
  4,328
  Non-affiliate investments (cost at $977)
  977
  977
  Total investments in portfolio securities at fair value
  42,904
  35,015
  Temporary cash investments
  26,991
  26,981
  Cash and cash equivalents
  4,783
  7,425
  Restricted cash
  270
  270
  Accounts receivable from affiliates
  561
  561
  Accrued interest and dividend receivable
  489
  568
  Other assets
  202
  121
  Total assets
  76,200
  70,941
  Liabilities and net assets
  Accounts payable
  126
  196
  Accounts payable to related parties
  59
  269
  Borrowing under margin account
  26,991
  26,981
  Total liabilities
  27,176
  27,446
  Commitments and contingencies (see Note 2)
  Net assets
  $
  49,024
  $
  43,495
  Net assets consist of:
  Common stock, par value
  $
  13
  $
  13
  Capital in excess of par value
  55,981
  55,741
  Undistributed net investment losses
  (31,940
  )
  (29,327
  )
  Undistributed net capital (losses) gains
  (2,738
  )
  9
  Unrealized appreciation of portfolio securities, net
  29,600
  19,310
  Unrealized depreciation of portfolio securities, net - related party
  (1,892
  )
  (2,251
  )
  Total net assets
  $
  49,024
  $
  43,495
  Shares of common stock issued and outstanding, $.001 par value, 50,000 shares authorized
  13,518
  13,518
  Shares of preferred stock issued and outstanding, $.001 par value, 5,000 shares authorized
  —
  —
  Net asset value per share
  $
  3.63
  $
  3.22
  The accompanying notes are an integral part
  of these financial statements.
  3
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  CONDENSED STATEMENTS OF
  OPERATIONS
  (Unaudited)
  Three Months Ended September 30,
  Nine Months Ended September 30,
  (in thousands, except per share amounts)
  2019
  2018
  2019
  2018
  Investment income:
  Interest and dividend income:
  Non-affiliate investments - related party
  $
  81
  $
  76
  $
  161
  $
  225
  Non-affiliate investments
  —
  —
  —
  69
  Total interest and dividend income
  81
  76
  161
  294
  Interest from temporary cash investments
  9
  9
  35
  21
  Total investment income
  90
  85
  196
  315
  Expenses:
  Compensation expense
  464
  365
  1,243
  1,263
  Professional fees
  193
  206
  764
  1,011
  Director fees and expenses
  79
  75
  281
  271
  General and administrative expenses
  139
  126
  358
  300
  Mailing, printing and other expenses
  34
  31
  129
  98
  Taxes
  5
  4
  26
  17
  Interest expense
  2
  —
  8
  4
  Total expenses
  916
  807
  2,809
  2,964
  Net investment loss
  (826
  )
  (722
  )
  (2,613
  )
  (2,649
  )
  Net realized (loss) gain:
  Affiliate investments
  —
  —
  (2,790
  )
  —
  Temporary cash investments
  10
  3
  43
  4
  Net realized (loss) gain
  10
  3
  (2,747
  )
  4
  Net unrealized appreciation of portfolio securities:
  End of period
  29,600
  20,811
  29,600
  20,811
  Beginning of period
  27,600
  17,812
  19,310
  14,498
  Net change in net unrealized appreciation of portfolio securities
  2,000
  2,999
  10,290
  6,313
  Net unrealized depreciation of portfolio securities - related party:
  End of period
  (1,892
  )
  (1,497
  )
  (1,892
  )
  (1,497
  )
  Beginning of period
  (1,719
  )
  (1,575
  )
  (2,251
  )
  (1,036
  )
  Net change in net unrealized depreciation of portfolio securities - related party
  (173
  )
  78
  359
  (461
  )
  Net increase in net assets resulting from operations
  $
  1,011
  $
  2,358
  $
  5,289
  $
  3,207
  Net increase in net assets resulting from operations per share:
  Basic and diluted
  $
  0.07
  $
  0.17
  $
  0.39
  $
  0.24
  Weighted average shares outstanding:
  Basic and diluted
  13,518
  13,518
  13,518
  13,518
  The
  accompanying notes are an integral part of these financial statements.
  4
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  CONDENSED STATEMENTS OF CHANGES IN NET ASSETS
  (Unaudited)
  Common Stock
  (in thousands)
  Number of Shares
  Par Value
  Capital in Excess of Par Value
  Undistributed Net Investment Losses
  Undistributed Net Capital (Losses) Gains
  Unrealized Appreciation of Portfolio Securities, net
  Unrealized Depreciation of Portfolio Securities - Related Party
  Total Net Assets
  Balances at January 1, 2018
  13,518
  $
  13
  $
  55,304
  $
  (25,772
  )
  $
  —
  $
  14,498
  $
  (1,036
  )
  $
  43,007
  Share-based incentive compensation
  —
  —
  197
  —
  —
  —
  —
  197
  Net (decrease) increase in net assets resulting from operations
  —
  —
  —
  (991
  )
  2
  1,364
  (319
  )
  56
  Balances at March 31, 2018
  13,518
  $
  13
  $
  55,501
  $
  (26,763
  )
  $
  2
  $
  15,862
  $
  (1,355
  )
  $
  43,260
  Share-based incentive compensation
  —
  —
  —
  —
  —
  —
  —
  —
  Net increase (decrease) in net assets resulting from operations
  —
  —
  79
  (936
  )
  (1
  )
  1,950
  (220
  )
  872
  `
  Balances at June 30, 2018
  13,518
  $
  13
  $
  55,580
  $
  (27,699
  )
  $
  1
  $
  17,812
  $
  (1,575
  )
  $
  44,132
  Share-based incentive compensation
  —
  —
  81
  —
  —
  —
  —
  81
  Net increase (decrease) in net assets resulting from operations
  —
  —
  —
  (722
  )
  3
  2,999
  78
  2,358
  `
  Balances at September 30, 2018
  13,518
  $
  13
  $
  55,661
  $
  (28,421
  )
  $
  4
  $
  20,811
  $
  (1,497
  )
  $
  46,571
  Balances at January 1, 2019
  13,518
  $
  13
  $
  55,741
  $
  (29,327
  )
  $
  9
  $
  19,310
  $
  (2,251
  )
  $
  43,495
  Share-based incentive compensation
  —
  —
  80
  —
  —
  —
  —
  80
  Net increase (decrease) in net assets resulting from operations
  —
  —
  —
  (990
  )
  10
  3,501
  456
  2,977
  `
  Balances at March 31, 2019
  13,518
  $
  13
  $
  55,821
  $
  (30,317
  )
  $
  19
  $
  22,811
  $
  (1,795
  )
  $
  46,552
  Share-based incentive compensation
  —
  —
  80
  —
  —
  —
  —
  80
  Net increase (decrease) in net assets resulting from operations
  —
  —
  —
  (797
  )
  (2,767
  )
  4,789
  76
  1,301
  `
  Balances at June 30, 2019
  13,518
  $
  13
  $
  55,901
  $
  (31,114
  )
  $
  (2,748
  )
  $
  27,600
  $
  (1,719
  )
  $
  47,933
  Share-based incentive compensation
  —
  —
  80
  —
  —
  —
  —
  80
  Net increase (decrease) in net assets resulting from operations
  —
  —
  —
  (826
  )
  10
  2,000
  (173
  )
  1,011
  Balances at September 30, 2019
  13,518
  $
  13
  $
  55,981
  $
  (31,940
  )
  $
  (2,738
  )
  $
  29,600
  $
  (1,892
  )
  $
  49,024
  The accompanying notes are an integral
  part of these financial statements.
  5
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  CONDENSED STATEMENTS OF CASH
  FLOWS
  (Unaudited)
  Nine Months Ended September 30,
  (in thousands)
  2019
  2018
  Reconciliation of increase in net assets resulting from operations to net cash
  used in operating activities:
  Net increase in net assets resulting from operations
  $
  5,289
  $
  3,207
  Adjustments to reconcile net increase in net assets resulting from operations to net cash used in operating activities:
  Net realized loss (gain)
  2,747
  (4
  )
  Net change in unrealized appreciation of portfolio securities
  (10,290
  )
  (6,313
  )
  Net change in unrealized depreciation of portfolio securities - related party
  (359
  )
  461
  Share-based incentive compensation
  240
  357
  Dissolution of portfolio securities
  211
  —
  Changes in operating assets and liabilities:
  Purchases of temporary cash investments, net
  32
  1,007
  Accounts receivable from affiliates
  —
  25
  Accrued interest and dividend receivable
  (161
  )
  (294
  )
  Other assets
  (81
  )
  (64
  )
  Accounts payable and accrued liabilities
  (70
  )
  (8
  )
  Accounts payable to related parties
  (210
  )
  30
  Net cash used in operating activities
  (2,652
  )
  (1,596
  )
  Cash flows from financing activities:
  Borrowings under margin account
  80,958
  47,985
  Repayments under margin account
  (80,948
  )
  (48,988
  )
  Net cash provided by (used in) financing activities
  10
  (1,003
  )
  Net decrease in cash and cash equivalents
  (2,642
  )
  (2,599
  )
  Cash and cash equivalents and restricted cash at beginning of period
  7,695
  10,975
  Cash and cash equivalents and restricted cash at end of period
  $
  5,053
  $
  8,376
  Non-cash operating and financing activities:
  Accrued interest or dividends exchanged for portfolio securities - related party
  $
  240
  $
  225
  Supplemental disclosure of cash flow information:
  Interest paid
  $
  8
  $
  4
  Income taxes paid
  $
  26
  $
  13
  The accompanying notes are an integral part
  of these financial statements.
  6
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  SUPPLEMENTAL INFORMATION—SELECTED PER
  SHARE DATA AND RATIOS
  (Unaudited)
  Nine Months Ended September 30,
  2019
  2018
  Investment income
  $
  0.01
  $
  0.02
  Expenses
  0.21
  0.22
  Net investment loss
  (0.20
  )
  (0.20
  )
  Net realized loss
  (0.20
  )
  —
  Net change in unrealized appreciation
  0.76
  0.47
  Net change in unrealized depreciation - related party
  0.03
  (0.03
  )
  Net increase in net assets
  0.39
  0.24
  Capital transactions:
  Share-based incentive compensation
  0.02
  0.03
  Dilutive effect of shares issued
  —
  —
  Increase in net assets resulting from capital transactions
  0.02
  0.03
  Net increase in net assets
  0.41
  0.27
  Net assets at beginning of period
  3.22
  3.18
  Net assets at end of period, basic and diluted
  $
  3.63
  $
  3.45
  Weighted average number of shares outstanding during period,
  in thousands
  13,518
  13,518
  Market price per share:
  Beginning of period
  $
  1.96
  $
  2.40
  End of period
  $
  1.61
  $
  2.36
  Selected information and ratios:
  Ratio of expenses to average net assets
  6.07
  %
  6.62
  %
  Ratio of net investment loss to average net assets
  (5.65
  %)
  (5.92
  %)
  Ratio of net increase in net assets resulting from operations to average net assets
  11.43
  %
  7.16
  %
  Total return on market price
  (1)
  (17.86
  %)
  (1.67
  %)
  (1)
  Total return = [(ending market price per share - beginning price per share) / beginning market price per share].
  The accompanying notes are an integral part of
  these financial statements.
  7
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  SCHEDULE OF INVESTMENTS
  SEPTEMBER 30, 2019
  (Unaudited)
  (in thousands, except share data)
  Name and Location of
  Date of Initial
  Cost of
  Fair
  Portfolio Company
  Industry
  Investment
  Investment
  Principal
  Investment
  Value
  (1)
  Control Investments:  Majority-owned
  (3)
  :
  Equus Energy, LLC
  Houston, TX
  Energy
  December 2011
  Member interest (100%)
  $
  7,050
  $
  10,500
  Total Control Investments: Majority-owned (represents 16.2% of total investments at fair value)
  $
  7,050
  $
  10,500
  Affiliate Investments
  (4)
  :
  PalletOne, Inc.
  Bartow, FL
  Shipping products and services
  October 2001
  350,000 shares of common stock (18.7%)
  $
  350
  $
  26,500
  Total Affiliate Investments (represents 34.1% of total investments at fair value)
  $
  350
  $
  26,500
  Non-Affiliate Investments - Related Party (less than 5% owned):
  MVC Capital, Inc.
  Purchase, NY
  Financial services
  May 2014
  553,557 shares of common stock (1.7%)
  $
  6,819
  $
  4,927
  Total Non-Affiliate Investments - Related Party (represents 7.1% of total investments at fair value)
  $
  6,819
  4,927
  Non-Affiliate Investments (less than 5% owned):
  5
  TH
  Element Tracking, LLC
  Boston, MA
  Business products and services
  January 2015
  14% promissory note due 5/18
  (2)
  $
  977
  $
  977
  $
  977
  Total Non-Affiliate Investments (represents 1.4% of total investments at fair value)
  $
  977
  $
  977
  Total Investment in Portfolio Securities
  $
  15,196
  $
  42,904
  Temporary Cash Investments
  U.S. Treasury Bill
  Government
  September 2019
  UST 0% 10/19
  $
  26,991
  $
  26,991
  $
  26,991
  Total Temporary Cash Investments (represents 38.6% of total investments at fair value)
  $
  26,991
  $
  26,991
  Total Investments
  $
  42,187
  $
  69,895
  (1)
  See Note 3 to the financial statements, Valuation of Investments.
  (2)
  Non-income-producing. See notes 5 and 9 to the financial statements.
  (3)
  Majority owned investments are generally defined under the 1940 Act as companies in which we own more than 50% of the
                                                                                                       voting securities of the company.
  (4)
  Affiliate investments are generally defined under the 1940 Act as companies in which we own at least 5% but not more
                                                                                                       than 25% voting securities of the company.
  The accompanying notes are an integral part
  of these financial statements.
  8
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  SCHEDULE OF INVESTMENTS – (Continued)
  SEPTEMBER 30, 2019
  (Unaudited)
  Except
  for our holding of shares of MVC Capital, Inc. ("MVC"), all of our portfolio securities are restricted from public
  sale without prior registration under the Securities Act of 1933 (hereafter, the "Securities Act") or other relevant
  regulatory authority. We negotiate certain aspects of the method and timing of the disposition of our investment in each portfolio
  company, including registration rights and related costs.
  As a business
  development company ("BDC") regulated pursuant to the Investment Company Act of 1940 ("1940 Act"), we may
  invest up to 30% of our assets in non-qualifying portfolio investments, as permitted by the 1940 Act. Specifically, we may invest
  up to 30% of our assets in entities that are not considered "eligible portfolio companies" (as defined in the 1940
  Act), including companies located outside of the United States, entities that are operating pursuant to certain exceptions under
  the 1940 Act, and publicly-traded entities with a market capitalization exceeding $250 million. As of September 30, 2019, we held
  88.5% of our assets at fair value in securities of portfolio companies that constituted qualifying investments under the 1940 Act.
  As of September 30, 2019, except for our shares of MVC, all of our investments are in enterprises that are considered eligible
  portfolio companies under the 1940 Act. We provide significant managerial assistance to portfolio companies that comprise 86.2%
  of the total value of the investments in portfolio securities as of September 30, 2019.
  We are
  classified as a "non-diversified" investment company under the 1940 Act, which means we are not limited in the proportion
  of our assets that may be invested in the securities of a single issuer. The value of one segment called "Shipping products
  and services" includes one portfolio company and was 54.1% of our net asset value, 31.8% of our total assets and 61.8% of
  our investments in portfolio company securities (at fair value) as of September 30, 2019. The value of one segment called "Energy"
  includes one portfolio company and was 21.4% of our net asset value, 13.8% of our total assets and 24.5% of our investments in
  portfolio company securities (at fair value) as of September 30, 2019. Changes in business or industry trends or in the financial
  condition, results of operations, or the market's assessment of any single portfolio company will affect the net asset value
  and the market price of our common stock to a greater extent than would be the case if we were a "diversified" company
  holding numerous investments.
  Our investments in portfolio securities consist
  of the following types of securities as of September 30, 2019 (in thousands):
  Type of Securities
  Cost
  Fair Value
  Fair Value as Percentage of
  Net Assets
  Common stock
  $
  7,169
  $
  31,427
  64.1
  %
  Limited liability company investments
  7,050
  10,500
  21.4
  %
  Secured and subordinated debt
  977
  977
  2.0
  %
  Total
  $
  15,196
  $
  42,904
  87.5
  %
  The following is a summary by industry of the Fund's
  investments in portfolio securities as of September 30, 2019 (in thousands):
  Industry
  Fair Value
  Fair Value as Percentage of
  Net Assets
  Shipping products and services
  26,500
  54.1
  %
  Energy
  10,500
  21.4
  %
  Financial services
  4,927
  10.0
  %
  Business products and services
  977
  2.0
  %
  Total
  $
  42,904
  87.5
  %
  The accompanying notes are an integral part
  of these financial statements.
  9
  Table of Contents
  EQUUS
  TOTAL RETURN, INC.
  SCHEDULE OF INVESTMENTS
  DECEMBER 31, 2018
  (in thousands, except share data
  )
  Name and location of
  Date of Initial
  Cost of
  Fair
  Portfolio Company
  Industry
  Investment
  Investment
  Principal
  Investment
  Value
  (1)
  Control Investments:  Majority-owned
  (3)
  :
  Equus Energy, LLC
  Houston, TX
  Energy
  December 2011
  Member interest (100%)
  $
  7,050
  $
  9,000
  Equus Media Development Company, LLC
  Houston, TX
  Media
  January 2007
  Member interest (100%)
  3,000
  210
  Total Control Investments: Majority-owned (represents 14.9% of total investments at fair value)
  $
  10,050
  $
  9,210
  Affiliate Investments
  (4)
  :
  PalletOne, Inc.
  Bartow, FL
  Shipping products and services
  October 2001
  350,000 shares of common stock (18.7%)
  $
  350
  $
  20,500
  Total Affiliate Investments (represents 33.1% of total investments at fair value)
  $
  350
  $
  20,500
  Non-Affiliate Investments - Related Party (less than 5% owned):
  MVC Capital, Inc.
  Purchase, NY
  Financial services
  May 2014
  527,138 shares of common stock (1.7%)
  $
  6,579
  $
  4,328
  Total Non-Affiliate Investments - Related Party (represents 7.0% of total investments at fair value)
  $
  6,579
  $
  4,328
  Non-Affiliate Investments (less than 5% owned):
  5
  TH
  Element Tracking, LLC
  Boston, MA
  Business products and services
  January 2015
  14% promissory note due 5/18
  (2)
  $
  977
  $
  977
  $
  977
  Total Non-Affiliate Investments (represents 1.5% of total investments at fair value)
  $
  977
  $
  977
  Total Investment in Portfolio Securities
  $
  17,956
  $
  35,015
  Temporary Cash Investments
  U.S. Treasury Bill
  Government
  December 2018
  UST 0% 1/19
  26,981
  $
  26,981
  $
  26,981
  Total Temporary Cash Investments (represents 43.5% of total investments at fair value)
  $
  26,981
  $
  26,981
  Total Investments
  $
  44,937
  $
  61,996
  (1)
  See Note 3 to the financial statements, Valuation of Investments.
  (2)
  Non-income-producing. See notes 5 and 9 to the financial statements.
  (3)
  Majority owned investments are generally defined under the 1940 Act as companies in which we own more than 50% of the
                                                                                                       voting securities of the company.
  (4)
  Affiliate investments are generally defined under the 1940 Act as companies in which we own at least 5% but not more
                                                                                                       than 25% voting securities of the company.
  The accompanying notes are an integral part
  of these financial statements.
  10
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  SCHEDULE OF INVESTMENTS – (Continued)
  DECEMBER 31, 2018
  (in thousands, except share data)
  Except
  for our holding of shares of MVC, substantially all of our portfolio securities are restricted from public sale without prior registration
  under the Securities Act or other relevant regulatory authority. We negotiate certain aspects of the method and timing of the disposition
  of our investment in each portfolio company, including registration rights and related costs.
  As a BDC,
  we may invest up to 30% of our assets in non-qualifying portfolio investments, as permitted by the 1940 Act. Specifically, we may
  invest up to 30% of our assets in entities that are not considered "eligible portfolio companies" (as defined in the
  1940 Act), including companies located outside of the United States, entities that are operating pursuant to certain exceptions
  under the 1940 Act, and publicly-traded entities with a market capitalization exceeding $250 million. As of December 31, 2018,
  we had invested 87.5% of our assets in securities of portfolio companies that constituted qualifying investments under the 1940
  Act. As of December 31, 2018, except for our shares of MVC, all of our investments are in enterprises that are considered eligible
  portfolio companies under the 1940 Act. We provide significant managerial assistance to portfolio companies that comprise 84.6%
  of the total value of the investments in portfolio securities as of December 31, 2018.
  We are
  classified as a "non-diversified" investment company under the 1940 Act, which means we are not limited in the proportion
  of our assets that may be invested in the securities of a single issuer. The value of one segment called "Shipping products
  and services" includes one portfolio company and was 47.1% of our net asset value, 28.9% of our total assets and 58.5% of
  our investments in portfolio company securities (at fair value) as of December 31, 2018. The value of one segment called "Energy"
  includes one portfolio company and was 20.7% of our net asset value, 12.7% of our total assets and 25.7% of our investments in
  portfolio company securities (at fair value) as of December 31, 2018. Changes in business or industry trends or in the financial
  condition, results of operations, or the market's assessment of any single portfolio company will affect the net asset value
  and the market price of our common stock to a greater extent than would be the case if we were a "diversified" company
  holding numerous investments.
  Our investments in portfolio securities consist of the
  following types of securities as of December 31, 2018 (in thousands):
  Type of Securities
  Cost
  Fair Value
  Fair Value as Percentage of
  Net Assets
  Common stock
  $
  6,929
  $
  24,828
  57.1
  %
  Limited liability company investments
  10,050
  9,210
  21.2
  %
  Secured and subordinated debt
  977
  977
  2.2
  %
  Total
  $
  17,956
  $
  35,015
  80.5
  %
  The following is a summary by industry of the Fund's
  investments in portfolio securities as of December 31, 2018 (in thousands):
  Industry
  Fair Value
  Fair Value as Percentage of
  Net Assets
  Shipping products and services
  20,500
  47.1
  %
  Energy
  9,000
  20.7
  %
  Financial services
  4,328
  9.9
  %
  Business products and services
  977
  2.2
  %
  Media
  210
  0.6
  %
  Total
  $
  35,015
  80.5
  %
  The accompanying notes are an integral
  part of these financial statements.
  11
  Table of Contents
  EQUUS TOTAL RETURN, INC.
  NOTES TO CONDENSED FINANCIAL
  STATEMENTS SEPTEMBER 30, 2019
  (Unaudited)
  (1)
  Description of Business and Basis of Presentation
  Description
  of Business
  —Equus Total Return, Inc. ("we," "us," "our," "Equus" and
  the "Fund"), a Delaware corporation, was formed by Equus Investments II, L.P. (the "Partnership") on August
  16, 1991. On July 1, 1992, the Partnership was reorganized and all of the assets and liabilities of the Partnership were transferred
  to the Fund in exchange for shares of common stock of the Fund. Our shares trade on the New York Stock Exchange under the symbol
  'EQS'. On August 11, 2006, our shareholders approved the change of the Fund's investment strategy to a total
  return investment objective. This strategy seeks to provide the highest total return, consisting of capital appreciation and current
  income. In connection with this strategic investment change, the shareholders also approved the change of name from Equus II Incorporated
  to Equus Total Return, Inc.
  So long
  as we remain an investment company and not an operating company as contemplated in our Plan of Reorganization described in Note
  6 below, we will attempt to maximize the return to our stockholders in the form of current investment income and long-term capital
  gains by investing in the debt and equity securities of companies with a total enterprise value of between $5.0 million and $75.0
  million, although we may engage in transactions with smaller or larger investee companies from time to time. We seek to invest
  primarily in companies pursuing growth either through acquisition or organically, leveraged buyouts, management buyouts and recapitalizations
  of existing businesses or special situations. Our income-producing investments may include debt securities including subordinate
  debt, debt convertible into common or preferred stock, or debt combined with warrants and common and preferred stock. Debt and
  preferred equity financing may also be used to create long-term capital appreciation through the exercise and sale of warrants
  received in connection with the financing. We seek to achieve capital appreciation by making investments in equity and equity-oriented
  securities issued by privately-owned companies (or smaller public companies) in transactions negotiated directly with such companies.
  Given market conditions over the past several years and the performance of our portfolio, our Management and Board of Directors
  believe it prudent to continue to review alternatives to refine and further clarify the current strategies.
  We elected
  to be treated as a BDC under the 1940 Act. We currently qualify as a regulated investment company ("RIC") for federal
  income tax purposes and, therefore, are not required to pay corporate income taxes on any income or gains that we distribute to
  our stockholders. We have certain wholly owned taxable subsidiaries ("Taxable Subsidiaries") each of which holds one
  or more portfolio investments listed on our Schedules of Investments. The purpose of these Taxable Subsidiaries is to permit us
  to hold certain income-producing investments or portfolio companies organized as limited liability companies, or LLCs, (or other
  forms of pass-through entities) and still satisfy the RIC tax requirement that at least 90% of our gross revenue for income tax
  purposes must consist of investment income. Absent the Taxable Subsidiaries, a portion of the gross income of these income-producing
  investments or of any LLC (or other pass-through entity) portfolio investment, as the case may be, would flow through directly
  to us for the 90% test. To the extent that such income did not consist of investment income, it could jeopardize our ability to
  qualify as a RIC and, therefore, cause us to incur significant federal income taxes. The income of the LLCs (or other pass-through
  entities) owned by Taxable Subsidiaries is taxed to the Taxable Subsidiaries and does not flow through to us, thereby helping us
  preserve our RIC status and resultant tax advantages. We do not consolidate the Taxable Subsidiaries for income tax purposes and
  they may generate income tax expense because of the Taxable Subsidiaries' ownership of the portfolio companies. We reflect
  any such income tax expense on our Statements of Operations.
  Basis
  of Presentation
  —In accordance with Article 6 of Regulation S-X under the Securities Act and the Securities Exchange Act
  of 1934, as amended ("Exchange Act"), we do not consolidate portfolio company investments, including those in which
  we have a controlling interest. Our interim unaudited financial statements were prepared in accordance with accounting principles
  generally accepted in the United States of America ("GAAP"), for interim financial information and in accordance with
  the requirements of reporting on Form 10-Q and Article 10 of Regulation S-X, under the Exchange Act. Accordingly, they are unaudited
  and exclude some disclosures required for annual financial statements. We believe that we have made all adjustments, consisting
  solely of normal recurring accruals, necessary for the fair presentation of these interim financial statements.
  The
  results of operations for the three and nine months ended September 30, 2019 are not necessarily indicative of results that
  ultimately may be achieved for the remainder of the year. The interim unaudited financial statements and notes thereto should
  be read in conjunction with the financial statements and notes thereto included in the Fund's Annual Report on Form
  10-K for the fiscal year ended December 31, 2018, as filed with the Securities and Exchange Commission
  ("SEC").
  12
  Table of Contents
  (2)
  Liquidity and Financing Arrangements
  Liquidity
  —There
  are several factors that may materially affect our liquidity during the reasonably foreseeable future. We are evaluating the impact
  of current market conditions on our portfolio company valuations and their ability to provide current income. We have followed
  valuation techniques in a consistent manner; however, we are cognizant of current market conditions that might affect future valuations
  of portfolio securities. We believe that our operating cash flow and cash on hand will be sufficient to meet operating requirements
  and, to the extent we remain a BDC, to finance routine follow-on investments, if any from the date of this filing, through the
  next twelve months.
  Cash
  and Cash Equivalents
  —As of September 30, 2019, we had cash and cash equivalents of $4.8 million. We had $42.9 million
  of our net assets of $49.0 million invested in portfolio securities.
  As of December
  31, 2018, we had cash and cash equivalents of $7.4 million. We had $35.0 million of our net assets of $43.5 million invested in
  portfolio securities
  We exclude
  "Restricted Cash and Temporary Cash Investments" used for purposes of complying with RIC requirements from cash equivalents.
  Restricted
  Cash and Temporary Cash Investments
  —
  As
  of September 30, 2019, we had $27.3
  million of restricted cash and temporary cash investments, including primarily the proceeds of a quarter-end margin loan that we
  incurred to maintain the diversification requirements applicable to a RIC to maintain our pass-through tax treatment. Of this amount,
  $27.0 million was invested in U.S. Treasury bills and $0.3 million represented a required 1% brokerage margin deposit. These securities
  were held by a securities brokerage firm and pledged along with other assets to secure repayment of the margin loan. The U.S. Treasury
  bills matured on October 5, 2019 and we subsequently repaid this margin loan, plus interest.
  As of December
  31, 2018, we had $27.3 million of restricted cash and of temporary cash investments, including primarily the proceeds of a quarter-end
  margin loan that we incurred to maintain the diversification requirements applicable to a RIC. Of this amount, $27.0 million was
  invested in U.S. Treasury bills and $0.3 million represented a required 1% brokerage margin deposit. These securities were held
  by a securities brokerage firm and pledged along with other assets to secure repayment of the margin loan. The U.S. Treasury bills
  were sold on January 2, 2019 and we subsequently repaid this margin loan, plus interest.
  Dividends
  —So
  long as we remain a BDC, we will pay out net investment income and/or realized net capital gains, if any, on an annual basis as
  required under the 1940 Act.
  Investment
  Commitments
  —Under certain circumstances, we may be called on to make follow-on investments in certain portfolio companies.
  If we do not have sufficient funds to make follow-on investments, the portfolio company in need of the investment may be negatively
  impacted. Also, our equity interest in the estimated fair value of the portfolio company could be reduced.
  As of September 30, 2019, we had no outstanding commitments
  to our portfolio company investments.
  RIC
  Borrowings, Restricted Cash and Temporary Cash Investments
  —We may periodically borrow sufficient funds to maintain the
  Fund's RIC status by utilizing a margin account with a securities brokerage firm. We cannot assure you that any such arrangement
  will be available in the future. If we are unable to borrow funds to make qualifying investments, we may no longer qualify as a
  RIC. We would then be subject to corporate income tax on the Fund's net investment income and realized capital gains, and
  distributions to stockholders would be subject to income tax as ordinary dividends. If we remain a BDC and do not become an operating
  company as described in Note 6 – Plan of Reorganization below, our failure to continue to qualify as a RIC could be materially
  adverse to us and our stockholders.
  As of September
  30, 2019, we borrowed $27.0 million to maintain our RIC status by utilizing a margin account with a securities brokerage firm.
  We collateralized such borrowings with restricted cash and temporary cash investments in U.S. Treasury bills of $27.3 million.
  As of December
  31, 2018, we borrowed $27.0 million to maintain our RIC status by utilizing a margin account with a securities brokerage firm.
  We collateralized such borrowings with restricted cash and temporary cash investments in U.S. Treasury bills of $27.3 million.
  13
  Table of Contents
  Certain
  Risks and Uncertainties
  —Market and economic volatility which has become endemic in the past few years has
  constrained the availability of debt financing for small and medium-sized companies such as Equus and its portfolio
  companies. Such debt financing generally has shorter maturities, higher interest rates and fees, and more restrictive terms
  than debt facilities available in the past. In addition, during these years and continuing into 2019, the price of our common
  stock remained well below our net asset value, thereby making it undesirable to issue additional shares of our common stock
  below net asset value. Because of these challenges, our near-term strategies shifted from originating debt and equity
  investments to preserving liquidity necessary to meet our operational needs. Key initiatives that we have previously
  undertaken to provide necessary liquidity include monetizations, the suspension of dividends and the internalization of
  management. We are also evaluating potential opportunities that could enable us to effect a change to our business and become
  an operating company as described in Note 6 –
  Plan of Reorganization
  below. We believe we have sufficient
  liquidity to meet our operating requirements for the remainder of 2019 and 12 months from the date of this filing.
  (3)
  Significant Accounting Policies
  The following is a summary of significant accounting
  policies followed by the Fund in the preparation of our financial statements:
  Use
  of Estimates
  —The preparation of financial statements in accordance with GAAP requires us to make estimates and assumptions
  that affect the reported amounts and disclosures in the financial statements. Although we believe the estimates and assumptions
  used in preparing these financial statements and related notes are reasonable in light of known facts and circumstances, actual
  results could differ from those estimates.
  Valuation
  of Investments
  —For most of our investments, market quotations are not available. With respect to investments for which
  market quotations are not readily available or when such market quotations are deemed not to represent fair value, our Board has
  approved a multi-step valuation process each quarter, as described below:
  1.
  Each portfolio company or investment is reviewed by our investment professionals;
  2.
  With respect to investments with a fair value exceeding $2.5 million that
  have been held for more than one year, we engage independent valuation firms to assist our investment professionals. These independent
  valuation firms conduct independent valuations and make their own independent assessments;
  3.
  Our Management produces a report that summarized each of our portfolio investments and recommends
  a fair value of each such investment as of the date of the report;
  4.
  The Audit Committee of our Board reviews and discusses the preliminary valuation of our portfolio
  investments as recommended by Management in their report and any reports or recommendations of the independent valuation firms,
  and then approves and recommends the fair values of our investments so determined to our Board for final approval; and
  5.
  The Board discusses valuations and determines the fair value of each portfolio investment in
  good faith based on the input of our Management, the respective independent valuation firm, as applicable, and the Audit Committee.
  During
  the first twelve months after an investment is made, we rely on the original investment amount to determine the fair value unless
  significant developments have occurred during this twelve-month period which would indicate a material effect on the portfolio
  company (such as results of operations or changes in general market conditions).
  Investments
  are valued utilizing a yield analysis, enterprise value ("EV") analysis, net asset value analysis, liquidation analysis,
  discounted cash flow analysis, or a combination of methods, as appropriate. The yield analysis uses loan spreads and other relevant
  information implied by market data involving identical or comparable assets or liabilities. Under the EV analysis, the EV of a
  portfolio company is first determined and allocated over the portfolio company's securities in order of their preference
  relative to one another (i.e., "waterfall" allocation). To determine the EV, we typically use a market multiples approach
  that considers relevant and applicable market trading data of guideline public companies, transaction metrics from precedent M&A
  transactions and/or a discounted cash flow analysis. The net asset value analysis is used to derive a value of an underlying investment
  (such as real estate property) by dividing a relevant earnings stream by an appropriate capitalization rate. For this purpose,
  we consider capitalization rates for similar properties as may be obtained from guideline public companies and/or relevant transactions.
  The liquidation analysis is intended to approximate the net recovery value of an investment based on, among other things, assumptions
  regarding liquidation proceeds based on a hypothetical liquidation of a portfolio company's assets. The discounted cash flow
  analysis uses valuation techniques to convert future cash flows or earnings to a range of fair values from which a single estimate
  may be derived utilizing an appropriate discount rate. The measurement is based on the net present value indicated by current market
  expectations about those future amounts.
  14
  Table of Contents
  In applying
  these methodologies, additional factors that we consider in fair value pricing our investments may include, as we deem relevant:
  security covenants, call protection provisions, and information rights; the nature and realizable value of any collateral; the
  portfolio company's ability to make payments; the principal markets in which the portfolio company does business; publicly
  available financial ratios of peer companies; the principal market; and enterprise values, among other factors. Also, any failure
  by a portfolio company to achieve its business plan or obtain and maintain its financing arrangements could result in increased
  volatility and result in a significant and rapid change in its value.
  Our general
  intent is to hold our loans to maturity when appraising our privately held debt investments. As such, we believe that the fair
  value will not exceed the cost of the investment. However, in addition to the previously described analysis involving allocation
  of value to the debt instrument, we perform a yield analysis assuming a hypothetical current sale of the security to determine
  if a debt security has been impaired. The yield analysis considers changes in interest rates and changes in leverage levels of
  the portfolio company as compared to the market interest rates and leverage levels. Assuming the credit quality of the portfolio
  company remains stable, the Fund will use the value determined by the yield analysis as the fair value for that security if less
  than the cost of the investment.
  We record
  unrealized depreciation on investments when we determine that the fair value of a security is less than its cost basis, and will
  record unrealized appreciation when we determine that the fair value is greater than its cost basis.
  Fair
  Value Measurement
  —Fair value is the price that would be received to sell an asset or paid to transfer a liability in
  an orderly transaction between market participants at the measurement date and sets out a fair value hierarchy. The fair value
  hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest
  priority to unobservable inputs (Level 3). Inputs are broadly defined as assumptions market participants would use in pricing an
  asset or liability. The three levels of the fair value hierarchy are described below:
  Level
  1
  —Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability
  to access at the measurement date.
  Level
  2
  —Inputs other than quoted prices within Level 1 that are observable for the asset or liability, either directly or indirectly;
  and fair value is determined through the use of models or other valuation methodologies.
  Level
  3
  —Inputs are unobservable for the asset or liability and include situations where there is little, if any, market activity
  for the asset or liability. The inputs into the determination of fair value are based upon the best information under the circumstances
  and may require significant management judgment or estimation.
  In certain
  cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment's
  level within the fair value hierarchy is 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 the investment.
  Investments
  for which prices are not observable are generally private investments in the debt and equity securities of operating companies.
  A primary valuation method used to estimate the fair value of these Level 3 investments is the discounted cash flow method (although
  a liquidation analysis, option theoretical, or other methodology may be used when more appropriate). The discounted cash flow approach
  to determine fair value (or a range of fair values) involves applying an appropriate discount rate(s) to the estimated future cash
  flows using various relevant factors depending on investment type, including comparing the latest arm's length or market
  transactions involving the subject security to the selected benchmark credit spread, assumed growth rate (in cash flows), and capitalization
  rates/multiples (for determining terminal values of underlying portfolio companies). The valuation based on the inputs determined
  to be the most reasonable and probable is used as the fair value of the investment. In the case of our investment in Equus Energy,
  we also examine acreage values in comparable transactions and assess the impact upon the working interests held by Equus Energy.
  The determination of fair value using these methodologies may take into consideration a range of factors including, but not limited
  to, the price at which the investment was acquired, the nature of the investment, local market conditions, trading values on public
  exchanges for comparable securities, current and projected operating performance, financing transactions subsequent to the acquisition
  of the investment and anticipated financing transactions after the valuation date.
  To assess
  the reasonableness of the discounted cash flow approach, the fair value of equity securities, including warrants, in portfolio
  companies may also consider the market approach—that is, through analyzing and applying to the underlying portfolio companies,
  market valuation multiples of publicly-traded firms engaged in businesses similar to those of the portfolio companies. The market
  approach to determining the fair value of a portfolio company's equity security (or securities) will typically involve: (1)
  applying to the portfolio company's trailing twelve months (or current year projected) EBITDA a low to high range of enterprise
  value to EBITDA multiples that are derived from an analysis of publicly-traded comparable companies, in order to arrive at a range
  of enterprise values for the portfolio company; (2) subtracting from the range of calculated enterprise values the outstanding
  balances of any debt or equity securities that would be senior in right of payment to the equity securities we hold; and (3) multiplying
  the range of equity values derived therefrom by our ownership share of such equity tranche in order to arrive at a range of fair
  values for our equity security (or securities). Application of these valuation methodologies involves a significant degree of judgment
  by Management.
  15
  Table of Contents
  Due to
  the inherent uncertainty of determining the fair value of Level 3 investments that do not have a readily available market value,
  the fair value of the investments may differ significantly from the values that would have been used had a ready market existed
  for such investments and may differ materially from the values that may ultimately be received or settled. Further, such investments
  are generally subject to legal and other restrictions or otherwise are less liquid than publicly traded instruments. If we were
  required to liquidate a portfolio investment in a forced or liquidation sale, we might realize significantly less than the value
  at which such investment had previously been recorded. With respect to Level 3 investments, where sufficient market quotations
  are not readily available or for which no or an insufficient number of indicative prices from pricing services or brokers or dealers
  have been received, we undertake, on a quarterly basis, our valuation process as described above.
  We assess
  the levels of the investments at each measurement date, and transfers between levels are recognized on the subsequent measurement
  date closest in time to the actual date of the event or change in circumstances that caused the transfer. There were no transfers
  among Level 1, 2 and 3 for the nine months ended September 30, 2019 and the year ended December 31, 2018.
  As of Septem
  ber
  30, 2019, investments measured at fair value on a recurring basis are categorized in the tables below based on the lowest
  level of significant input to the valuations:
  Fair Value
      Measurements as of  September 30, 2019
  (in thousands)
  Total
  Quoted Prices in Active Markets for Identical Assets
  (Level 1)
  Significant Other Observable Inputs
  (Level 2)
  Significant Unobservable Inputs
  (Level 3)
  Assets
  Investments:
  Control investments
  $
  10,500
  $
  —
  $
  —
  $
  10,500
  Affiliate investments
  26,500
  —
  —
  26,500
  Non-affiliate investments - related party
  4,927
  4,927
  —
  —
  Non-affiliate investments
  977
  —
  —
  977
  Total investments
  42,904
  4,927
  —
  39,977
  Temporary cash investments
  26,991
  26,991
  —
  —
  Total investments and temporary cash investments
  $
  69,895
  $
  31,918
  $
  —
  $
  37,977
  As of December 31, 2018, investments
  measured at fair value on a recurring basis are categorized in the tables below based on the lowest level of significant input
  to the valuations:
  Fair Value Measurements as of December 31, 2018
  (in thousands)
  Total
  Quoted Prices in Active Markets for Identical Assets
  (Level 1)
  Significant Other Observable Inputs
  (Level 2)
  Significant Unobservable Inputs
  (Level 3)
  Assets
  Investments:
  Control investments
  $
  9,210
  $
  —
  $
  —
  $
  9,210
  Affiliate investments
  20,500
  —
  —
  20,500
  Non-affiliate investments - related party
  4,328
  4,328
  —
  —
  Non-affiliate investments
  977
  —
  —
  977
  Total investments
  35,015
  4,328
  —
  30,687
  Temporary cash investments
  26,981
  26,981
  —
  —
  Total investments and temporary cash investments
  $
  61,996
  $
  31,309
  $
  —
  $
  30,687
  16
  Table of Contents
  The following table provides a reconciliation
  of fair value changes during the nine months ended September 30, 2019 for all investments for which we determine fair value using
  unobservable (Level 3) factors:
  Fair value measurements using significant unobservable inputs (Level 3)
  (in thousands)
  Control Investments
  Affiliate Investments
  Non-affiliate Investments
  Total
  Fair value as of January 1, 2019
  $
  9,210
  $
  20,500
  $
  977
  $30,687
  Realized losses
  (2,789
  )
  —
  —
  (2,789)
  Change in unrealized appreciation
  4,290
  6,000
  —
  10,290
  Proceeds from sales/dispositions
  (211
  )
  —
  —
  (211)
  Fair value as of September 30, 2019
  $
  10,500
  $
  26,500
  $
  977
  $37,977
  The following table provides
  a reconciliation of fair value changes during the nine months ended September 30, 2018 for all investments for which we determine
  fair value using unobservable (Level 3) factors:
  Fair value measurements using significant unobservable inputs (Level 3)
  (in thousands)
  Control Investments
  Affiliate Investments
  Non-affiliate Investments
  Total
  Fair value as of January 1, 2018
  $
  8,212
  $
  16,686
  $
  977
  $25,875
  Change in unrealized appreciation
  2,499
  3,814
  —
  6,313
  Fair value as of September 30, 2018
  $
  10,711
  $
  20,500
  $
  977
  $32,188
  Our
  investment portfolio is not composed of homogeneous debt and equity securities that can be valued with a small number of inputs.
  Instead, the majority of our investment portfolio is composed of complex debt and equity securities with distinct contract terms
  and conditions. As such, our valuation of each investment in our portfolio is unique and complex, often factoring in numerous different
  inputs, including historical and forecasted financial and operational performance of the portfolio company, project cash flows,
  market multiples, comparable market transactions, the priority of our securities compared with those of other investors, credit
  risk, interest rates, independent valuations and reviews and other inputs.
  17
  Table of Contents
  The following table summarizes
  the significant non-observable inputs in the fair value measurements of our Level 3 investments by category of investment and valuation
  technique as of September 30, 2019:
  Range
  (in thousands)
  Fair Value
  Valuation Techniques
  Unobservable Inputs
  Minimum
  Maximum
  Secured and subordinated debt
  $
  977
  Yield analysis
  Discount for lack of marketability
  0
  %
  0
  %
  Common stock
  26,500
  Income/Market approach
  EBITDA Multiple/Discount for lack of marketability/Control premium
  10
  %
  32.5
  %
  Limited liability company investments
  10,500
  Asset approach
  Discounted cash flow; Guideline transaction method; Market approach
  Recovery rate
  Reserve adjustment factors
  75
  %
  100
  %
  $
  37,977
  Because
  of the inherent uncertainty of the valuation of portfolio securities which do not have readily ascertainable market values, amounting
  to $38.0 million and $30.7 million as of September 30, 2019 and December 31, 2018, respectively, our fair value determinations
  may materially differ from the values that would have been used had a ready market existed for these securities. As of September
  30, 2019 and December 31, 2018, one of our portfolio investments, consisting of 553,557 and 527,138 common shares of MVC, respectively,
  was publicly listed on the NYSE.
  We adjust
  our net asset value for the changes in the value of our publicly held securities, if applicable, and material changes in the value
  of private securities, generally determined on a quarterly basis or as announced in a press release, and report those amounts to
  Lipper Analytical Services, Inc. Our net asset value appears in various publications, including
  Barron's
  and
  The
  Wall Street Journal
  .
  Investment
  Transactions
  —Investment transactions are recorded on the accrual method. Realized gains and losses on investments sold
  are computed on a specific identification basis.
  We classify
  our investments in accordance with the requirements of the 1940 Act. Under the 1940 Act, "Control Investments" are
  defined as investments in companies in which the Fund owns more than 25% of the voting securities or maintains greater than 50%
  of the board representation. Under the 1940 Act, "Affiliate Investments" are defined as those non-control investments
  in companies in which we own between 5% and 25% of the voting securities. Under the 1940 Act, "Non-affiliate Investments"
  are defined as investments that are neither Control Investments nor Affiliate Investments. See also Note 4 for discussion of related
  party investment transactions.
  As of September
  30, 2019, we had no outstanding commitments to our portfolio company investments; however, under certain circumstances, we may
  be called on to make follow-on investments in certain portfolio companies. If we do not have sufficient funds to make follow-on
  investments, the portfolio company in need of the investment may be negatively impacted. Also, our equity interest in the estimated
  fair value of the portfolio company could be reduced. Follow-on investments may include capital infusions which are expenditures
  made directly to the portfolio company to ensure that operations are completed, thereby allowing the portfolio company to generate
  cash flows to service their debt.
  Interest
  Income Recognition
  —We record interest income, adjusted for amortization of premium and accretion of discount, on an accrual
  basis to the extent that we expect to collect such amounts. We accrete or amortize discounts and premiums on securities purchased
  over the life of the respective security using the effective yield method. The amortized cost of investments represents the original
  cost adjusted for the accretion of discount and/or amortization of premium on debt securities. We stop accruing interest on investments
  when we determine that interest is no longer collectible. We may also impair the accrued interest when we determine that all or
  a portion of the current accrual is uncollectible. If we receive any cash after determining that interest is no longer collectible,
  we treat such cash as payment on the principal balance until the entire principal balance has been repaid, before we recognize
  any additional interest income. We will write off uncollectible interest upon the occurrence of a definitive event such as a sale,
  bankruptcy, or reorganization of the relevant portfolio interest.
  Net
  Realized Gains or Losses and Net Change in Unrealized Appreciation or Depreciation
  —Realized gains or losses are measured
  by the difference between the net proceeds from the sale or redemption of an investment or a financial instrument and the cost
  basis of the investment or financial instrument, without regard to unrealized appreciation or depreciation previously recognized,
  and includes investments written-off during the
  18
  Table of Contents
  period net of recoveries
  and realized gains or losses from in-kind redemptions. Net change in unrealized appreciation or depreciation reflects the net change
  in the fair value of the portfolio company investments and financial instruments and the reclassification of any prior period unrealized
  appreciation or depreciation on exited investments and financial instruments to realized gains or losses.
  Payment
  in Kind Interest (PIK)—
  We have loans in our portfolio that may pay PIK interest. We add PIK interest, if any, computed
  at the contractual rate specified in each loan agreement, to the principal balance of the loan and recorded as interest income.
  To maintain our status as a RIC, we must pay out to stockholders this non-cash source of income in the form of dividends even if
  we have not yet collected any cash in respect of such investments. To the extent we remain BDC and a RIC, we will continue to pay
  out net investment income and/or realized capital gains, if any, on an annual basis as required under the 1940 Act.
  Share-Based
  Compensation
  —We account for our share-based compensation using the fair value method, as prescribed by ASC 718, Compensation—Stock
  Compensation. Accordingly, for restricted stock awards, we measure the grant date fair value based upon the market price of our
  common stock on the date of the grant and amortize the fair value of the awards as share-based compensation expense over the requisite
  service period, which is generally the vesting term and account for forfeitures as they occur.
  Earnings
  Per Share
  —Basic and diluted per share calculations are computed utilizing the weighted-average number of shares of common
  stock outstanding for the period. In accordance with ASC 260, Earnings Per Share, the unvested shares of restricted stock awarded
  pursuant to our equity compensation plans are participating securities and, therefore, are included in the basic earnings per share
  calculation. As a result, for all periods presented, there is no difference between diluted earnings per share and basic earnings
  per share amounts.
  Cash
  Flows
  —For purposes of the Statements of Cash Flows, we consider all highly liquid temporary cash investments purchased
  with an original maturity of three months or less to be cash equivalents. We include our investing activities within cash flows
  from operations.
  Taxes
  —So
  long as we remain a BDC, we intend to comply with the requirements of the Internal Revenue Code necessary to qualify as a RIC and,
  as such, will not be subject to federal income taxes on otherwise taxable income (including net realized capital gains) which is
  distributed to stockholders. Therefore, no provision for federal income taxes is recorded in the financial statements. We borrow
  money from time to time to maintain our tax status under the Internal Revenue Code as a RIC. See Note 1 for discussion of Taxable
  Subsidiaries and see Note 2 for further discussion of the Fund's RIC borrowings.
  All corporations
  organized in the State of Delaware are required to file an Annual Report and to pay a franchise tax. As a result, we paid Delaware
  Franchise tax in the amount of $0.02 million for the year ended December 31, 2018.
  Texas margin
  tax applies to legal entities conducting business in Texas. The margin tax is based on our Texas sourced taxable margin. The tax
  is calculated by applying a tax rate to a base that considers both revenue and expenses and therefore has the characteristics of
  an income tax. As a result, we have no provision for margin tax expense for the nine months ended September 30, 2019, respectively,
  and we paid $3 thousand in state income tax for the year ended December 31, 2018.
  Accounting Standards
  Recently Adopted
  — In February 2016, the FASB issued ASU 2016-02,
  Leases,
  which requires lessees to recognize on
  the balance sheet a right of use asset, representing its right to use the underlying asset for the lease term, and a lease liability
  for all leases with terms greater than 12 months and the use of practical expedient for leases less than 12 months. The guidance
  also requires qualitative and quantitative disclosures designed to assess the amount, timing, and uncertainty of cash flows arising
  from leases. The standard requires the use of a modified retrospective transition approach, which includes a number of optional
  practical expedients that entities may elect to apply. The new guidance was adopted effective January 1, 2019. The adoption of
  ASU 2016-02 did not have an impact on our financial statements as we currently have no operating leases as our principal offices
  are under a month-to-month lease arrangement for annual periods beginning after December 15, 2018, and interim periods therein.
  19
  Table of Contents
  In August 2018, the SEC
  adopted rules (the "SEC Release") that require disclosure of changes in net assets within a registrant's Form 10Q filing
  on a quarter-to-date and year-to-date basis for both the current year and prior year comparative periods. The Company adopted the
  new requirement to present changes in net assets in interim financial statements within Form 10Q filings beginning January 1, 2019.
  The compliance date for the SEC Release was for all filings, as applicable, on or after November 5, 2018. The adoption of this
  rule did not have a material impact on the Company's condensed consolidated financial statements.
  Accounting Standards Not Yet Adopted
  —
  In June 2016, the FASB issued ASU 2016-13,
  Financial Instruments Credit Losses (Topic 326)
  —
  Measurement of Credit
  Losses on Financial Instruments
  , which amends the financial instruments impairment guidance so that an entity is required
  to measure expected credit losses for financial assets based on historical experience, current conditions and reasonable and supportable
  forecasts. As such, an entity will use forward-looking information to estimate credit losses. ASU 2016-13 also amends the guidance
  in FASB ASC 325 - 40,
  Investments Other, Beneficial Interests in Securitized Financial
  Assets
  , related
  to the subsequent measurement of accretable yield recognized as interest income over the life of a beneficial interest in securitized
  financial assets under the effective yield method. We believe that the impact of the adoption of this standard will not have a
  material impact on our financial statements as we do not have any financial instruments that are subject to this standard.
  In August 2018, the FASB
  issued ASU 2018-13,
  Fair Value Measurement (Topic 820)
  , which is intended to improve fair value disclosure requirements
  by removing disclosures that are not cost-beneficial, clarifying disclosures' specific requirements, and adding relevant
  disclosure requirements. The amendments take effect for all organizations for fiscal years, and interim periods within those fiscal
  years, beginning after December 15, 2019. Early adoption is permitted. We believe that the impact of the adoption of this standard
  will not have a material impact on our financial statements. .
  (4)
  Related Party Transactions and Agreements
  Except
  as noted below, as compensation for services to the Fund, each Independent Director receives an annual fee of $40,000 paid quarterly
  in arrears, a fee of $2,000 for each meeting of the Board of Directors or committee thereof attended in person, a fee of $1,000
  for participation in each telephonic meeting of the Board or committee thereof, and reimbursement of all out-of-pocket expenses
  relating to attendance at such meetings. The chair of each of our standing committees (audit, compensation, and nominating and
  governance) also receives an annual fee of $50,000, payable quarterly in arrears. We may also pay other one-time or recurring fees
  to members of our Board of Directors in special circumstances. None of our interested directors receive annual fees for their service
  on the Board of Directors.
  We may
  also pay other one-time or recurring fees to members of our Board of Directors in special circumstances. In respect of services
  provided to the Fund by members of the Board not in connection with their roles and duties as directors, the Fund pays a rate of
  $300 per hour for services.
  For services provided to the Fund, w
  e paid Kenneth I. Denos,
  P.C., a professional corporation owned by Kenneth I. Denos, a director of the Fund,
  $0.07
  million
  during each of the
  three
  months ended September 30, 2019 and 2018, respectively
  ,
  and
  $0.3 million during each on the nine months ended September 30, 2019 and 2018,
  respectively.
  20
  Table of Contents
  (5)
  Portfolio Securities
  During
  the nine months ended September 30, 2019, we received dividends in the form of additional shares of $0.2 million relating to our
  shareholding in MVC.
  Also during
  the nine months ended September 30, 2019, we dissolved Equus Media Development Company, LLC ("EMDC"), a wholly-owned
  subsidiary of the Fund and transferred EMDC's assets, consisting of approximately $211,000 in cash and various creative entertainment
  properties, to the Fund.
  During
  the nine months ended September 30, 2019, we recorded a net change in unrealized appreciation of $10.7 million, to a net unrealized
  appreciation of $27.7 million. Such change in unrealized appreciation resulted primarily from the following changes:
  (i)
  Increase in the fair value of our shareholding in MVC of $0.4 million due to an increase in
  the share price of MVC and the receipt of dividend payments in the form of additional shares of MVC during the period;
  (ii)
  Increase in fair value of our shareholding in PalletOne, Inc. of $6.0 million due to improved
  operating performance;
  (iii)
  Transfer of unrealized depreciation to realized loss of our holdings in EMDC of $2.8 million
  in connection with the dissolution of EMDC and the transfer of its assets to the Fund; and
  (iv)
  Increase in the fair value
                                           of our holdings in Equus Energy, LLC of $1.5 million, principally due to increases in
                                           mineral acreage prices proximate to the company's leasehold interests and an increase
  in the short- and long-term prices for crude oil
                                           during 2019.
  During
  the nine months ended September 30, 2018, we received dividends in the form of additional shares of $0.2 million relating to our
  shareholding in MVC.
  During
  the nine months ended September 30, 2018, we recorded a net change in unrealized appreciation of $5.9 million, to a net unrealized
  appreciation of $19.3 million. Such change in unrealized appreciation resulted primarily from the following changes:
  (i)
  Decrease in the fair value of our shareholding in MVC of $0.5 million due to a decrease in the
  share price of MVC, offset by the receipt of dividend payments in the form of additional shares of MVC during the period;
  (ii)
  Increase in fair value of our shareholding in PalletOne, Inc. of $3.8 million due to improved
  operating performance, as well as promising acquisition and growth prospects; and
  (iii)
  Increase in the fair value of our holdings in Equus Energy, LLC of $2.5 million, principally due
  to increases in mineral acreage prices proximate to the company's leasehold interests and a moderate increase in the short-
  and long-term prices for crude oil and natural gas.
  21
  Table of Contents
  (6)
  Plan of Reorganization
  Plan
  of Reorganization and Share Exchange with MVC Capital—
  On May 14, 2014, we announced that the Fund intended to effect
  a reorganization pursuant to Section 2(a)(33) of the 1940 Act (hereinafter, the "Plan of Reorganization"). As a first
  step to consummating the Plan of Reorganization, we sold to MVC Capital, Inc. ("MVC") 2,112,000 newly-issued shares
  of the Fund's common stock in exchange for 395,839 shares of MVC (such transaction is hereinafter referred to as the "Share
  Exchange"). MVC is a
  BDC
  traded on the NYSE that provides long-term debt and
  equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. The Share
  Exchange was calculated based on the Fund's and MVC's respective net asset value per share. At the time of the Share
  Exchange, the number of MVC shares received by Equus represented approximately 1.73% of MVC's total outstanding shares of
  common stock.
  Pursuant
  to the terms of a Share Exchange Agreement, dated May 12, 2014, entered into by Equus and MVC which memorialized the Share Exchange,
  we intend to finalize the Plan of Reorganization by pursuing a merger or consolidation with MVC or an operating company, which
  operating company may be a subsidiary or portfolio company of MVC. Absent Equus merging or consolidating with/into MVC or a subsidiary
  thereof, our current intention is for Equus to (i) terminate its election to be classified as a BDC under the 1940 Act, and (ii)
  be restructured as a publicly-traded operating company focused on the energy, natural resources, technology, and/or financial services
  sector. While we are presently evaluating various opportunities that could enable us to complete our Plan of Reorganization, we
  cannot assure you that we will be able to do so within any particular time period or at all. Moreover, we cannot assure you that
  the terms of any such transaction that would embody
  the transformation of Equus into an operating
  company
  would be acceptable to us.
  Authorization
  to Withdraw BDC Election—
  On January 21, 2019, holders of a majority of the outstanding common stock of the Fund approved
  our cessation as a BDC under the 1940 Act and authorized our Board to cause the Fund's withdrawal of its election to be classified
  as a BDC, effective as of a date designated by the Board and our Chief Executive Officer. Although this authorization, which was
  given as a consequence of our Plan of Reorganization, expired on July 31, 2019, we expect to receive an additional authorization
  from our stockholders in the future. Notwithstanding any such authorization to withdraw our BDC election, we will not submit any
  such withdrawal unless and until Equus has entered into a definitive agreement to effect a "Consolidation", as such
  term is defined in our Plan of Reorganization. Further, even if we are again authorized to withdraw our election as a BDC, we will
  require a subsequent affirmative vote from holders of a majority of our outstanding voting shares to enter into any such definitive
  agreement or change the nature of our business.
  (7)
  2016 Equity Incentive Plan
  Share-Based
  Incentive Compensation—
  On June 13, 2016, our shareholders approved the adoption of our 2016 Equity Incentive Plan ("Incentive
  Plan"). On January 10, 2017, the SEC issued an order approving the Incentive Plan and certain awards intended to be made
  thereunder. The Incentive Plan is intended to promote the interests of the Fund by encouraging officers, employees, and directors
  of the Fund and its affiliates to acquire or increase their equity interest in the Fund and to provide a means whereby they may
  develop a proprietary interest in the development and financial success of the Fund, to encourage them to remain with and devote
  their best efforts to the business of the Fund, thereby advancing the interests of the Fund and its stockholders. The Incentive
  Plan is also intended to enhance the ability of the Fund and its affiliates to attract and retain the services of individuals who
  are essential for the growth and profitability of the Fund. The Incentive Plan permits the award of restricted stock as well as
  common stock purchase options. The maximum number of shares of common stock that are subject to awards granted under the Incentive
  Plan is 2,434,728 shares. The term of the Incentive Plan will expire on June 13, 2026. On March 17, 2017, we granted awards of
  restricted stock under the Incentive Plan to certain of our directors and executive officers in the aggregate amount of 844,500
  shares. The awards are each subject to a vesting requirement over a 3-year period unless the recipient thereof is terminated or
  removed from their position as a director or executive officer without "cause", or as a result of constructive termination,
  as such terms are defined in the respective award agreements entered into by each of the recipients and the Fund. As of September
  30, 2019, 280,000 shares of restricted stock which were granted pursuant to the Incentive Plan, remained unvested. We account for
  share-based compensation using the fair value method, as prescribed by ASC 718. Accordingly, for restricted stock awards, we measure
  the grant date fair value based upon the market price of our common stock on the date of the grant and amortize the fair value
  of the awards as share-based compensation expense over the requisite service period, which is generally the vesting term. We recorded
  compensation expense of $0.08 million for the
  three
  months ended September 30, 2019 and
  2018,
  respectively and
  $0.2 million and $0.4 million for the nine months ended September
  30, 2019 and 2018, respectively, in connection with these awards.
  22
  Table of Contents
  (8)
  Equus Energy, LLC
  Equus Energy
  was formed in November 2011 as a wholly-owned subsidiary of the Fund to make investments in companies in the energy sector, with
  particular emphasis on income-producing oil & gas properties. In December 2011, we contributed $250,000 to the capital of Equus
  Energy. On December 27, 2012, we invested an additional $6.8 million in Equus Energy for the purpose of additional working capital
  and to fund the purchase of $6.6 million in working interests, which presently comprise 141 producing and non-producing oil and
  gas wells. The working interests include associated development rights of approximately 21,520 acres situated on 11 separate properties
  in Texas and Oklahoma. The working interests range from a de minimus amount to 50% of the leasehold that includes these wells.
  The wells
  are operated by a number of experienced operators, including Chevron USA, Inc., which has operating responsibility for all of Equus
  Energy's 40 well interests located in the Conger Field, a productive oil and gas field on the edge of the Permian Basin that
  has experienced successful gas and hydrocarbon extraction in multiple formations. Equus Energy, which holds a 50% working interest
  in each of these Conger Field wells, is working with Chevron in a recompletion program of existing Conger Field wells to the Wolfcamp
  formation, a zone containing oil as well as gas and natural gas liquids. Part of Equus Energy's acreage rights described
  above also includes a 50% working interest in possible new drilling to the base of the Canyon formation on 2,400 acres in the Conger
  Field. Also included in the interests acquired by Equus Energy are working interests of 7.5% and 2.5% in the Burnell and North
  Pettus Units, respectively, which collectively comprise approximately 13,000 acres located in the area known as the "Eagle
  Ford Shale" play.
  Revenue
  and Income
  —During the three months ended September 30, 2019, Equus Energy's revenue, operating revenue ($0.12
  million) less direct operating expenses ($0.2 million), and net loss were $0.1 million,($0.08) million, and ($0.2) million,
  respectively, as compared to revenue, operating revenue ($0.28 million) less direct operating expenses ($0.22 million), and net loss
  which $0.3 million, $0.06 million, and ($0.09) million, respectively, for the three months ended September 30, 2018.
  Capital
  Expenditures
  —During the three months ended
  September
  30, 2019 and September
  30, 2018, Equus Energy's investment, respectively, in capital expenditures for small repairs and improvements was not significant.
  The operators of the various working interest communicated their intent to wait until 2020, commensurate with an anticipated gradual
  rise in the price of crude oil, to commence new drilling and recompletion projects.
  We do not
  consolidate Equus Energy or its wholly-owned subsidiaries and accordingly only the value of our investment in Equus Energy is included
  on our balance sheets. Our investment in Equus Energy is valued in accordance with our normal valuation procedures and is based
  in part on using a discounted cash flow analysis based on a reserve report prepared for Equus Energy by Lee Keeling & Associates,
  Inc., an independent petroleum engineering firm, the transactions and values of comparable companies in this sector, and the estimated
  value of leasehold mineral interests associated with the acreage held by Equus Energy. A valuation of Equus Energy was performed
  by a third-party valuation firm, who recommended a value range of Equus Energy consistent with the fair value determined by our
  Management (See Schedule of Investments).
  23
  Table of Contents
  Below is summarized consolidated
  financial information for Equus Energy as of September 30, 2019 and December 31, 2018 and for the nine months September 30, 2019
  and 2018, respectively (in thousands):
  EQUUS ENERGY, LLC
  Unaudited Condensed Consolidated Balance
  Sheets
  September 30,
  December 31,
  2019
  2018
  Assets
  Current assets:
  Cash and cash equivalents
  $
  745
  $
  966
  Accounts receivable
  70
  127
  Other current assets
  44
  34
  Total current assets
  859
  1,127
  Oil and gas properties
  8,011
  8,008
  Less: accumulated depletion, depreciation and amortization
  (7,937
  )
  (7,772
  )
  Net oil and gas properties
  74
  236
  Total assets
  $933
  $1,363
  Liabilities and member's equity
  Current liabilities:
  Accounts payable and other
  $
  172
  $
  131
  Due to affiliate
  561
  561
  Total current liabilities
  733
  692
  Asset retirement obligations
  199
  195
  Total liabilities
  932
  887
  Total member's equity
  1
  476
  Total liabilities and member's equity
  $933
  $1,363
  Revenue
  and direct operating expenses for the various oil and gas assets included in the unaudited condensed consolidated statements of
  operations below represent the net collective working and revenue interests acquired by Equus Energy. The revenue and direct operating
  expenses presented herein relate only to the interests in the producing oil and natural gas properties and do not represent all
  of the oil and natural gas operations of all of these properties. Direct operating expenses include lease operating expenses and
  production and other related taxes. General and administrative expenses, depletion, depreciation and amortization ("DD&A")
  of oil and gas properties and federal and state taxes have been excluded from direct operating expenses in the accompanying statements
  of operations because the allocation of certain expenses would be arbitrary and would not be indicative of what such costs would
  have been had Equus Energy been operated as a stand-alone entity. The statements of operations presented are not indicative of
  the financial condition or results of operations of Equus Energy on a go forward basis due to changes in the business and the omission
  of various operating expenses.
  24
  Table of Contents
  EQUUS ENERGY, LLC
  Unaudited Condensed Consolidated Statements
  of Operations
  Three Months Ended September 30,
  Nine Months Ended September 30,
  2019
  2018
  2019
  2018
  Operating revenue
  $
  120
  $
  278
  $
  481
  $
  855
  Operating expenses
  Direct operating expenses
  200
  216
  593
  610
  General and administrative
  38
  52
  194
  205
  Depletion, depreciation, amortization and accretion
  84
  96
  169
  282
  Total operating expenses
  322
  364
  956
  1,097
  Operating loss before income tax expense
  (202
  )
  (86
  )
  (475
  )
  (242
  )
  Income tax benefit (expense)
  —
  —
  —
  —
  Net loss
  $
  (202
  )
  $
  (86
  )
  $
  (475
  )
  $
  (242
  )
  EQUUS ENERGY, LLC
  Unaudited Condensed Consolidated Statements
  of Cash Flows
  Nine Months Ended September 30,
  2019
  2018
  Cash flows from operating activities:
  Net loss
  (475
  )
  $
  (242
  )
  Adjustments to reconcile net loss to
  net cash (used in) provided by operating activities:
  Depletion, depreciation, amortization and accretion
  169
  282
  Changes in operating assets and liabilities:
  Accounts receivable
  57
  (41
  )
  Prepaid expenses and other current assets
  (10
  )
  (1
  )
  Accounts payable and other
  41
  72
  Due to affiliate
  —
  (25
  )
  Net cash (used in) provided by operating activities
  (218
  )
  45
  Cash flows from investing activities:
  Investment in oil & gas properties
  (3
  )
  (140
  )
  Proceeds from sale of oil & gas properties
  —
  200
  Net cash (used in) provided by investing activities
  (3
  )
  60
  Net (decrease) increase in cash
  (221
  )
  105
  Cash and cash equivalents at beginning of period
  966
  307
  Cash and cash equivalents at end of period
  $
  745
  $
  412
  25
  Table of Contents
  Critical
  Accounting Policies for Equus Energy—
  Equus Energy and its wholly-owned subsidiary EQS Energy Holdings, Inc. (collectively,
  "the Company") follow the Full Cost Method of Accounting for oil and gas properties. Under the full cost method, all
  costs associated with property acquisition, exploration, and development activities are capitalized. Capitalized costs include
  lease acquisitions, geological and geophysical work, delay rentals, costs of drilling, completing and equipping successful and
  unsuccessful oil and gas wells and related costs. Gains or losses are normally not recognized on the sale or other disposition
  of oil and gas properties. Gains or losses are normally reflected as an adjustment to the full cost pool.
  The capitalized
  costs of oil and gas properties, plus estimated future development costs relating to proved reserves and estimated cost of dismantlement
  and abandonment, net of salvage value, are amortized on a unit-of-production method over the estimated productive life of the proved
  oil and gas reserves. Unevaluated oil and gas properties are excluded from this calculation. Depletion, depreciation, amortization
  and accretion expense for the Company's oil and gas properties totaled $0.08 million and $0.1 million for the three months
  ended September 30, 2019 and 2018, respectively and $0.2 million and $0.3 million for the nine months ended September 30, 2019
  and September 30, 2018, respectively .
  Capitalized oil and gas property costs are limited to
  an amount (the ceiling limitation) equal to the sum of the following:
  (a)
  As of September 30, 2019, the present value of estimated future net revenue
  from the projected production of proved oil and gas reserves, calculated at the simple arithmetic average, first-day-of-the-month
  prices during the twelve-month period before the balance sheet date (with consideration of price changes only to the extent provided
  by contractual arrangements) and a discount factor of 10%;
  (b)
  The cost of investments in unproved and unevaluated properties excluded from the costs being amortized; and
  (c)
  The lower of cost or estimated fair value of unproved properties included in the costs being amortized.
  When it
  is determined that oil and gas property costs exceed the ceiling limitation, an impairment charge is recorded to reduce its carrying
  value to the ceiling limitation. The Company did not recognize an impairment loss on its oil and gas properties during the three
  and nine
  months ended September 30, 2019 and
  September
  30,
  2018, respectively.
  The costs
  of certain unevaluated leasehold acreage and certain wells being drilled are not amortized. The Company excludes all costs until
  proved reserves are found or until it is determined that the costs are impaired. Costs not amortized are periodically assessed
  for possible impairment or reduction in value. If a reduction in value has occurred, costs being amortized are increased accordingly.
  Revenue
  Recognition
  —Revenue recognized for oil and natural gas sales under the sales method of accounting. Under this method,
  revenue is recognized on production as it is taken and delivered to its purchasers. The volumes sold may be more or less than the
  volumes entitled to, based on the owner's net leasehold interest. These differences result from production imbalances, which
  are not significant, and are reflected as adjustments to proven reserves and future cash flows in the unaudited consolidated financial
  information included herein.
  Depreciation,
  Depletion and Amortization
  —The Company employs the "Units of Production" method in calculating depletion
  of its proved oil and gas properties, wherein capitalized costs, as adjusted for future development costs and asset retirement
  obligations, are amortized over the total estimated proved reserves.
  Income
  Taxes
  —A limited liability company is not subject to the payment of federal income taxes as components of its income and
  expenses flow through directly to the members. However, the Company is subject to certain state income taxes. Texas margin tax
  applies to legal entities conducting business in Texas. The margin tax is based on our Texas sourced taxable margin. The tax is
  calculated by applying a tax rate to a base that considers both revenue and expenses and therefore has the characteristics of an
  income tax. Taxable Subsidiaries may generate income tax expense because of the Taxable Subsidiaries' ownership of the portfolio
  companies. We reflect any such income tax expense on our Statements of Operations. The Company had no federal income tax expense
  for the three and nine month periods ending September 30, 2019 and 2018.
  Asset
  Retirement Obligations
  —The fair value of asset retirement obligations are recorded in the period in which they are incurred
  if a reasonable estimate of fair value can be made, and the corresponding cost is capitalized as part of the carrying amount of
  the related long-lived asset. The fair value of the asset retirement obligation is measured using expected future cash outflows
  discounted at the Company's credit- adjusted risk-free interest rate. Fair value, to the extent possible, should include
  a market risk premium for unforeseeable circumstances. No market risk premium was included in the Company's asset retirement
  obligation fair value estimate since a reasonable estimate could not be made. The liability is accreted to its then present value
  each period, and the capitalized cost is depleted or amortized over the estimated recoverable reserves using the units-of-production
  method.
  (9)
  Subsequent Events
  Management
  performed an evaluation of the Fund's activity through the date the financial statements were issued, noting the following
  subsequent events:
  On October
  5, 2019, we sold $27.0 million of U.S. Treasury Bills we acquired on margin in September 2019 and used the proceeds to repay the
  margin loan.
  26
  Table of Contents
  Item 2. Management's Discussion and Analysis
  of Financial Condition and Results of Operations
  Equus Total
  Return, Inc. ("we," "us," "our," "Equus," and the "Fund"), a Delaware
  corporation, was formed on August 16, 1991. Our shares trade on the New York Stock Exchange under the symbol 'EQS'.
  Our investment strategy seeks to provide the highest total return, consisting of capital appreciation and current income.
  The information
  contained in this section should be read in conjunction with our financial statements and notes thereto appearing elsewhere in
  this Quarterly Report and in conjunction with the financial statements and notes thereto in the Fund's Form 10-K for the
  year ended December 31, 2018, as filed with the SEC. In addition, some of the statements in this report constitute forward-looking
  statements. The matters discussed in this Quarterly Report, as well as in future oral and written statements by management of Equus,
  that are forward-looking statements are based on current management expectations that involve substantial risks and uncertainties
  which could cause actual results to differ materially from the results expressed in, or implied by, these forward-looking statements.
  Forward-looking statements relate to future events or our future financial performance. We generally identify forward-looking statements
  by terminology such as "may," "will," "should," "expects," "plans,"
  "anticipates," "could," "intends," "target," "projects," "believes,"
  "estimates," "predicts," "potential" or "continue" or the negative of these terms
  or other similar words. Important assumptions include our ability to originate new investments, achieve certain margins and levels
  of profitability, and the availability of additional capital. In light of these and other uncertainties, the inclusion of a forward-looking
  statement in this Quarterly Report should not be regarded as a representation by us that our plans or objectives will be achieved.
  The forward- looking statements contained in this Quarterly Report include statements as to:
  •
  our future operating results;
  •
  our business prospects and the prospects of our existing and prospective portfolio companies;
  •
  the return or impact of current and future investments;
  •
  our contractual arrangements and other relationships with third parties;
  •
  the dependence of our future success on the general economy and its impact on the industries in which we invest;
  •
  the financial condition and ability of our existing and prospective portfolio companies to achieve their objectives;
  •
  our expected financings and investments;
  •
  our regulatory structure and tax treatment;
  •
  our ability to qualify and operate as a BDC and a RIC, including the impact of changes in laws
  or regulations governing our operations, or the operations of our portfolio companies;
  •
  the adequacy of our cash resources and working capital;
  •
  the timing of cash flows, if any, from the operations of our portfolio companies;
  •
  the impact of fluctuations in interest rates on our business;
  •
  the valuation of our investments in portfolio companies, particularly those having no liquid trading market;
  •
  our ability to recover unrealized losses; and
  •
  market conditions and our ability to access additional capital, if deemed necessary.
  There are
  a number of important risks and uncertainties that could cause our actual results to differ materially from those indicated by
  such forward-looking statements. For a discussion of factors that could cause our actual results to differ from forward-looking
  statements contained in this Quarterly Report, please see the discussion in Part II, "
  Item 1A. Risk Factors
  ",
  and in Part I, "
  Item 1A. Risk Factors
  " in our Annual Report on Form 10-K for the fiscal year ended December
  31, 2018. You should not place undue reliance on these forward-looking statements. The forward-looking statements made in this
  Quarterly Report relate only to events as of the date on which the statements are made. We undertake no obligation to update any
  forward-looking statement to reflect events or circumstances occurring after the date this Quarterly Report is filed with the SEC.
  27
  Table of Contents
  We
  attempt to maximize the return to stockholders in the form of current investment income and long-term capital gains by investing
  in the debt and equity securities of companies with a total enterprise value of between $5.0 million and $75.0 million, although
  we may engage in transactions with smaller or larger investee companies from time to time. We seek to invest primarily in companies
  pursuing growth either through acquisition or organically, leveraged buyouts, management buyouts and recapitalizations of existing
  businesses or special situations. Our income-producing investments consist principally of debt securities including subordinate
  debt, debt convertible into common or preferred stock, or debt combined with warrants and common and preferred stock. Debt and
  preferred equity financing may also be used to create long- term capital appreciation through the exercise and sale of warrants
  received in connection with the financing. We seek to achieve capital appreciation by making investments in equity and equity-oriented
  securities issued by privately-owned companies (and smaller public companies) in transactions negotiated directly with such companies.
  Given market conditions over the past several years and the performance of our portfolio, our management and Board of Directors
  believe it is prudent to continue to review alternatives to refine and further clarify the current strategies.
  We elected
  to be treated as a BDC under the 1940 Act. We currently qualify as a RIC for federal income tax purposes and, therefore, are not
  required to pay corporate income taxes on any income or gains that we distribute to our stockholders. We have certain wholly owned
  Taxable Subsidiaries each of which holds one or more portfolio investments listed on our Schedules of Investments. The purpose
  of these Taxable Subsidiaries is to permit us to hold certain income-producing investments or portfolio companies organized as
  limited liability companies, or LLCs, (or other forms of pass-through entities) and still satisfy the RIC tax requirement that
  at least 90% of our gross revenue for income tax purposes must consist of investment income. Absent the Taxable Subsidiaries, a
  portion of the gross income of these income- producing investments or of any LLC (or other pass-through entity) portfolio investment,
  as the case may be, would flow through directly to us for the 90% test. To the extent that such income did not consist of investment
  income, it could jeopardize our ability to qualify as a RIC and, therefore, cause us to incur significant federal income taxes.
  The income of the LLCs (or other pass-through entities) owned by Taxable Subsidiaries is taxed to the Taxable Subsidiaries and
  does not flow through to us, thereby helping us preserve our RIC status and resultant tax advantages. We do not consolidate the
  Taxable Subsidiaries for income tax purposes and they may generate income tax expense because of the Taxable Subsidiaries'
  ownership of the portfolio investments. We reflect any such income tax expense on our Statements of Operations.
  Plan of Reorganization
  Plan
  of Reorganization and Share Exchange with MVC Capital—
  On May 14, 2014, we announced that the Fund intended to effect
  a reorganization pursuant to Section 2(a)(33) of the 1940 Act (hereinafter, the "Plan of Reorganization"). As a first
  step to consummating the Plan of Reorganization, we sold to MVC Capital, Inc. ("MVC") 2,112,000 newly-issued shares
  of the Fund's common stock in exchange for 395,839 shares of MVC (such transaction is hereinafter referred to as the "Share
  Exchange"). MVC is a
  BDC
  traded on the NYSE that provides long-term debt and
  equity investment capital to fund growth, acquisitions and recapitalizations of companies in a variety of industries. The Share
  Exchange was calculated based on the Fund's and MVC's respective net asset value per share. At the time of the Share
  Exchange, the number of MVC shares received by Equus represented approximately 1.73% of MVC's total outstanding shares of
  common stock.
  Pursuant
  to the terms of a Share Exchange Agreement, dated May 12, 2014, entered into by Equus and MVC which memorialized the Share Exchange,
  we intend to finalize the Plan of Reorganization by pursuing a merger or consolidation with MVC or an operating company, which
  operating company may be a subsidiary or portfolio company of MVC. Absent Equus merging or consolidating with/into MVC or a subsidiary
  thereof, our current intention is for Equus to (i) terminate its election to be classified as a BDC under the 1940 Act, and (ii)
  be restructured as a publicly-traded operating company focused on the energy, natural resources, technology, and/or financial services
  sector. While we are presently evaluating various opportunities that could enable us to complete our Plan of Reorganization, we
  cannot assure you that we will be able to do so within any particular time period or at all. Moreover, we cannot assure you that
  the terms of any such transaction that would embody a "Consolidation", as such term is defined in our Plan of Reorganization,
  would be acceptable to us.
  28
  Table of Contents
  Authorization
  to Withdraw BDC Election—
  On January 21, 2019, holders of a majority of the outstanding common stock of the Fund approved
  our cessation as a BDC under the 1940 Act and authorized our Board to cause the Fund's withdrawal of its election to be classified
  as a BDC, effective as of a date designated by the Board and our Chief Executive Officer. Although this authorization, which was
  given as a consequence of our Plan of Reorganization, expired on July 31, 2019, we expect to receive an additional authorization
  from our stockholders in the future. Notwithstanding any such authorization to withdraw our BDC election, we will not submit any
  such withdrawal unless and until Equus has entered into a definitive agreement to effect a "Consolidation", as such
  term is defined in our Plan of Reorganization. Further, even if we are again authorized to withdraw our election as a BDC, we will
  require a subsequent affirmative vote from holders of a majority of our outstanding voting shares to enter into any such definitive
  agreement or change the nature of our business.
  2016 Equity Incentive Plan
  On June
  13, 2016, our shareholders approved the adoption of our 2016 Equity Incentive Plan ("Incentive Plan"). On January 10,
  2017, the SEC issued an order approving the Incentive Plan and certain awards intended to be made thereunder. The Incentive Plan
  is intended to promote the interests of the Fund by encouraging officers, employees, and directors of the Fund and its affiliates
  to acquire or increase their equity interest in the Fund and to provide a means whereby they may develop a proprietary interest
  in the development and financial success of the Fund, to encourage them to remain with and devote their best efforts to the business
  of the Fund, thereby advancing the interests of the Fund and its stockholders. The Incentive Plan is also intended to enhance the
  ability of the Fund and its affiliates to attract and retain the services of individuals who are essential for the growth and profitability
  of the Fund. The Incentive Plan permits the award of restricted stock as well as common stock purchase options. The maximum number
  of shares of common stock that are subject to awards granted under the Incentive Plan is 2,434,728 shares. The term of the Incentive
  Plan will expire on June 13, 2026. On March 17, 2017, we granted awards of restricted stock under the Plan to certain of our directors
  and executive officers in the aggregate amount of 844,500 shares. The awards are each subject to a vesting requirement over a 3-year
  period unless the recipient thereof is terminated or removed from their position as a director or executive officer without "cause",
  or as a result of constructive termination, as such terms are defined in the respective award agreements entered into by each of
  the recipients and the Fund. We recorded compensation expense of $0.08 million for the
  three
  months ended September 30, 2019 and 2018, respectively,
  and
  $0.2 million and $0.4
  million for the nine months ended September 30, 2019 and 2018, respectively, in connection with these awards..
  Critical Accounting Policies
  See the
  Fund's Critical Accounting Policies from the disclosure set forth in the Fund's Annual Report on Form 10-K for the
  year ended December 31, 2018.
  Current Market Conditions
  The U.S.
  economy expanded at an annualized rate of
  1
  .9% during the
  third
  quarter of 2019, following growth of
  2.0% and
  3.1% during the first and second quarters,
  respectively, of 2019 and an increase of 2.9% for all of 2018. The decrease in GDP during the third quarter of 2019 was principally
  due to decreased exports, higher inventories, lower fixed residential and nonresidential investment, and increased imports. Despite
  rising trade tensions, the Conference Board Economic Forecast projects GDP growth in
  the fourth
  quarter of
  2019 to be
  1
  .9% and thereafter 2.0% for 2020. The U.S. unemployment
  rate is near a 50-year low, continuing to present a tight labor market for employers, but weakening business investment and slightly
  diminished consumer spending suggest a weaker long-term outlook for the economy. Meanwhile, housing starts and building permits
  slowed during 2018 and trended downward during the first six months of 2019 before increasing in the third quarter of 2019, which
  has contrasted with strong growth in existing home sales during the same period. (Sources:
  U.S. Dept. of Commerce Bureau of
  Economic Analysis, Bureau of Labor Statistics, Conference Board Leading Economic Index
  ).
  Merger
  and acquisition activity was strong in 2018, with $3.5 trillion in worldwide transactions consummated during the year.
  Although such activity slowed during the first quarter of 2019, it accelerated during the second quarter of 2019, resulting
  in approximately $2 trillion in global transactions announced during the six-month period with another $2.4 trillion in
  undeployed capital, $732 billion of which is held by private equity firms. In the United States, merger and acquisition
  activity was up 19% in the first six months of 2019 as compared to the six months ended June 30, 2018. Private equity funds
  raised almost $52 billion during the first half of 2019, down 19% from the comparable period in 2018,
  and
  did so in an increasingly smaller number of vehicles, resulting in larger fund sizes overall. Total investments during the
  quarter were approximately $159 billion, a
  decrease
  of
  4
  %
  from the
  second
  quarter of 2018. Data for the
  third
  quarter
  of 2019 have not yet been released but larger amounts of capital have pushed median valuation multiples
  to
  11x
  EBITDA during the first six  months of 2019, constraining investment yields (Sources:
  Institutional
  Investor;
  The New York Times; The Wall Street Journal, PitchBook
  ).
  29
  Table of Contents
  During the nine months ended September
  30, 2019, our net asset value increased from $3.22 per share to $3.63 per share, an increase of 12.7%. As of September 30, 2019,
  our common stock is trading at a 55.6% discount to our net asset value as compared to 39.1% as of December 31, 2018.
  Over the
  past several years, we have executed certain initiatives to enhance liquidity, achieve a lower operational cost structure, provide
  more assistance to portfolio companies and realize certain of our portfolio investments. Specifically, we changed the composition
  of our Board of Directors and Management, terminated certain of our follow-on investments, internalized the management of the Fund,
  suspended our managed distribution policy, modified our investment strategy to pursue shorter term liquidation opportunities, pursued
  non-cash investment opportunities, and sold certain of our legacy and underperforming investment holdings. We believe these actions
  continue to be necessary to protect capital and liquidity in order to preserve and enhance shareholder value. Because our Management
  is internalized, certain of our expenses should not increase commensurate with an increase in the size of the Fund and, therefore,
  to the extent we remain a BDC, we expect to achieve efficiencies in our cost structure if we are able to grow the Fund.
  Liquidity and Capital Resources
  We generate
  cash primarily from maturities, sales of securities and borrowings, as well as capital gains realized upon the sale of portfolio
  investments. We use cash primarily to make additional investments, either in new companies or as follow-on investments in the existing
  portfolio companies and to pay the dividends to our stockholders.
  Because
  of the nature and size of the portfolio investments, we may periodically borrow funds to make qualifying investments to maintain
  our tax status as a RIC. We often borrow such funds by utilizing a margin account with a securities brokerage firm. There is no
  assurance that such arrangement will be available in the future. If
  we are
  unable to
  borrow funds to make qualifying investments,
  Equus
  may no longer qualify as a RIC.
  The Fund would then be subject to corporate income tax on its net investment income and realized capital gains, and distributions
  to stockholders would be subject to income tax as ordinary dividends.
  The Fund
  has the ability to borrow funds and issue forms of senior securities representing indebtedness or stock, such as preferred stock,
  subject to certain restrictions. Net taxable investment income and net taxable realized gains from the sales of portfolio investments
  are intended to be distributed at least annually, to the extent such amounts are not reserved for payment of expenses and contingencies
  or to make follow-on or new investments.
  We reserve
  the right to retain net long-term capital gains in excess of net short-term capital losses for reinvestment or to pay contingencies
  and expenses. Such retained amounts, if any, will be taxable to the Fund as long-term capital gains and stockholders will be able
  to claim their proportionate share of the federal income taxes paid on such gains as a credit against their own federal income
  tax liabilities. Stockholders will also be entitled to increase the adjusted tax basis of their Fund shares by the difference between
  their undistributed capital gains and their tax credit.
  We are
  evaluating the impact of current market conditions on our portfolio company valuations and their ability to provide current income.
  We believe we have followed valuation techniques in a reasonably consistent manner; however, we are cognizant of current market
  conditions that might affect future valuations of portfolio securities. In view of our present status as a BDC and our anticipated
  transformation into an operating company, we believe that our operating cash flow and cash on hand will be sufficient to meet operating
  requirements and to finance routine capital expenditures through the next twelve months.
  Results of Operations
  Investment Income and Expense
  Net investment
  loss was $0.8 million and $0.7 million for the three months ended September 30, 2019 and 2018, respectively, and
  unchanged
  at
  $2.6 million for the nine months ended September 30, 2019 and September 30, 2018, respectively.
  Investment
  income was $0.1 million for the three months ended September 30, 2019 and 2018, respectively and $0.2 million and $0.3 million
  for the nine months ended September 30, 2019 and 2018. The decrease is due to the decline of interest-bearing investments. Total
  expense was $0.9 million and $0.8 million for the three months ended September 30, 2019 and 2018, respectively, and $2.8 million
  and $3.0 million for the nine months ended September 30, 2019. This decrease was mainly due to the decline in professional fees.
  30
  Table of Contents
  Realized Gains and Losses on Sales of Portfolio
  Securities
  During the nine months ended
  September 30, 2019, we realized a loss of $2.8 million from the dissolution and liquidation of Equus Media Development Company
  LLC ("EMDC").
  During the nine months ended September 30, 2018, we
  realized a gain of $4.0 thousand from the sale of temporary cash investments.
  Changes in Unrealized Appreciation/Depreciation of
  Portfolio Securities
  During the nine months ended
  September 30, 2019, we recorded a net change in unrealized appreciation of $10.7 million, to a net unrealized appreciation of $27.7
  million. Such change in unrealized appreciation resulted primarily from the following changes:
  (i)
  Increase in the fair value of our shareholding in MVC of $0.4 million due to an increase in
  the share price of MVC and the receipt of dividend payments in the form of additional shares of MVC during the period;
  (ii)
  Increase in fair value of our shareholding in PalletOne, Inc. of $6.0 million due to improved
  operating performance;
  (iii)
  Transfer of unrealized depreciation to realized loss of our holdings in EMDC of $2.8 million
  in connection with the liquidation and dissolution of EMDC; and
  (iv)
  Increase in the fair value
                                           of our holdings in Equus Energy, LLC of $1.5 million, principally due to increases in
                                           mineral acreage prices proximate to the company's leasehold interests and
  an
                                           increase in the short- and long-term prices for crude oil during 2019.
  During
  the nine months ended September 30, 2018, we recorded a net change in unrealized appreciation of $5.9 million, to a net unrealized
  appreciation of $19.3 million. Such change in unrealized appreciation resulted primarily from the following changes:
  (i)
  Decrease in the fair value of our shareholding in MVC of $0.5 million due to a decrease in the
  share price of MVC, offset by the receipt of dividend payments in the form of additional shares of MVC during the period;
  (ii)
  Increase in fair value of our shareholding in PalletOne, Inc. of $3.8 million due to improved
  operating performance; and
  (iii)
  Increase in the fair value of our holdings in Equus Energy, LLC of $2.5 million, principally
  due to increases in mineral acreage prices proximate to the company's leasehold interests and a moderate increase in the
  short- and long-term prices for crude oil and natural gas.
  Dividends
  We will pay out net investment
  income and/or realized capital gains, if any, on an annual basis as required under the Investment Company Act of 1940.
  Portfolio Securities
  During
  the nine months ended September 30, 2019, we received dividends in the form of additional shares of MVC in the amount of
  $0.2 million.
  Also during the nine months
  ended September 30, 2019, we dissolved EMDC, a wholly-owned subsidiary of the Fund and transferred EMDC's assets, consisting
  of approximately $211,000 in cash and various creative entertainment properties, to the Fund.
  During the nine months ended
  September 30, 2018, we received dividends in the form of additional shares of MVC in the amount of $0.2 million.
  During the nine months ended
  September 30, 2018, our investment in 5th Element Tracking, LLC, consisting of a promissory note in the face amount of $0.9 million,
  became due. On August 13, 2018, we issued a demand for payment of all outstanding principal and accrued and outstanding interest
  on the note, and on November 8, 2018, we filed a complaint against the guarantor of the note to enforce collection. We have assessed
  the fair value of our holdings and determined that the event of default has not indicated a decrease in fair value below the carrying
  cost of the investment, based on the security interests we hold and the relative timing of collection.
  31
  Table of Contents
  Subsequent Events
  We performed
  an evaluation of the Fund's activity through the date the financial statements were issued, noting the following subsequent
  events:
  On October
  5, 2019, we sold $27.0 million of U.S. Treasury Bills we acquired on margin in
  September
  2019 and used the proceeds to repay the margin loan.
  Item 3. Quantitative and Qualitative Disclosure about
  Market Risk
  We are
  subject to financial market risks, including changes in interest rates with respect to investments in debt securities and outstanding
  debt payable, as well as changes in marketable equity security prices. In the future, we may invest in companies outside the United
  States, including in Europe and Asia, which would give rise to exposure to foreign currency value fluctuations. We do not use derivative
  financial instruments to mitigate any of these risks. The return on investments is generally not affected by foreign currency fluctuations.
  Our investments
  in portfolio securities consist of some fixed-rate debt securities. Since the debt securities are generally priced at a fixed rate,
  changes in interest rates do not directly affect interest income. In addition, changes in market interest rates are not typically
  a significant factor in the determination of fair value of these debt securities, since the securities are generally held to maturity.
  We determine their fair values based on the terms of the relevant debt security and the financial condition of the issuer.
  A major
  portion of our investment portfolio consists of debt and equity investments in private companies. Modest changes in public market
  equity prices generally do not significantly impact the estimated fair value of these investments. However, significant changes
  in market equity prices can have a longer-term effect on valuations of private companies, which could affect the carrying value
  and the amount and timing of gains or losses realized on these investments. A small portion of the investment portfolio could also
  consist of common stock in publicly traded companies. These investments are directly exposed to equity price risk, in that a hypothetical
  ten percent change in these equity prices would result in a similar percentage change in the fair value of these securities.
  Item 4. Controls and Procedures
  We maintain
  disclosure controls and other procedures that are designed to ensure that information required to be disclosed by the Fund in the
  reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified
  in the SEC's rules and forms, and that such information is accumulated and communicated to our management, including our
  Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.
  Our management,
  with the participation of our Fund's Chief Executive Officer and Chief Financial Officer, have evaluated the effectiveness
  of the design and operations of the Fund's "disclosure controls and procedures" (as defined in Rule 13a-15(e)
  under the Securities Exchange Act of 1934) as of September 30, 2019. Based on their evaluation, our Chief Executive Officer and
  Chief Financial Officer concluded that the Fund's disclosure controls and procedures were effective at a reasonable assurance
  level. There has been no change in our internal control over financial reporting during the quarter ended September 30, 2019, that
  has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.
  32
  Table of Contents
  Part II. Other Information
  Item
  1. Legal Proceedings
  Shareholder
  Complaint—On November 16, 2016, Samuel Zalmanoff filed a lawsuit against the Fund and members of the Board of Directors in
  the Court of Chancery in the State of Delaware. The lawsuit was filed in connection with the Fund's 2016 Equity Incentive
  Plan ("Incentive Plan") which was adopted by the Board of Directors on April 15, 2016, approved by the Equus shareholders
  on June 13, 2016, and approved, with certain standard exceptions, by the Securities and Exchange Commission on January 10, 2017.
  Mr. Zalmanoff's complaint, which purports to be on behalf of all non-affiliate Equus shareholders entitled to vote for the
  Incentive Plan, purports to allege a breach by the Board of Directors of its fiduciary duties of disclosure in connection with
  the Incentive Plan, and seeks an order from the court: (i) enjoining implementation of the Incentive Plan, (ii) requiring the Fund
  to revise its disclosures relating to the Incentive Plan, and (iii) for an award of costs, attorneys' fees, and expenses.
  We believe that this lawsuit, and the allegations included therein, are without merit. On September 22, 2017, we filed a motion
  for summary judgment regarding this action, which was granted by the Chancery Court on November 13, 2018. Mr. Zalmanoff appealed
  the Chancery Court ruling to the Delaware Supreme Court. On May 16, 2019, the Delaware Supreme Court affirmed the Chancery Court
  decision and terminated the proceedings.
  From time
  to time, the Fund is also a party to certain proceedings incidental to the normal course of our business including the enforcement
  of our rights under contracts with our portfolio companies. While the outcome of these legal proceedings cannot at this time be
  predicted with certainty, we do not expect that these proceedings will have a material effect upon the Fund's financial condition
  or results of operations.
  Item 1A. Risk Factors
  In connection
  with our efforts to convert Equus into an operating company in furtherance of our Plan of Reorganization, we may be subject to
  a number of risks associated with this process, the transactions that would embody a Consolidation of Equus with another company,
  as well as specific risks associated with the commercial enterprise with which Equus would seek to combine itself. We intend to
  identify, as will be reasonably possible, such risks and include the same in our subsequent filings and reports with the Commission.
  Readers
  should carefully consider these risks and all other information contained in our annual report on Form 10-K for the year ended
  December 31, 2018, including the Fund's financial statements and the related notes thereto. Although there have been no changes
  to the risk factors facing the Fund since the filing of our Form 10-K, the risks and uncertainties described therein are not the
  only ones facing the Fund.
  Additional
  risks and uncertainties not presently known to us, or not presently deemed material by us, may also impair our operations and performance.
  33
  Table of Contents
  Item 6. Exhibits
  3.
  Articles of Incorporation and by-laws
  (a)
  Restated Certificate of Incorporation of the Fund, as amended. [Incorporated by reference to Exhibit 3(a) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2007]
  (b)
  Certificate of Merger dated June 30, 1993, between the Fund and Equus Investments Incorporated [Incorporated by reference to Exhibit 3(b) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2007]
  (c)
  Amended and Restated Bylaws of the Fund. [Incorporated by reference to Exhibit 3(c) to Registrant's Current Report on Form 8-K filed on June 30, 2014.]
  10.
  Material Contracts.
  (a)
  Safekeeping Agreement between the Fund and Amegy Bank dated August 16, 2008. [Incorporated by reference to Exhibit 10(c) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2008.]
  (b)
  Form of Indemnification Agreement between the Fund and its directors and certain officers. [Incorporated by reference to Exhibit 10(d) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2011.]
  (c)
  Form of Release Agreement between the Fund and certain of its officers and former officers. [Incorporated by reference to Exhibit 10(h) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2004.]
  (d)
  Code of Ethics of the Fund (Rule 17j-1) [Incorporated by reference to Exhibit 10(f) to Registrant's Annual Report on Form 10-K for the year ended December 31, 2009.]
  (e)
  Share Exchange Agreement between the Fund and MVC Capital, Inc., dated May 14, 2014. [Incorporated by reference to Exhibit 10.1 to Current Report on Form 8-K, filed on May 15, 2014.]
  (f)
  2016 Equity Incentive Plan, adopted June 13, 2016 [Incorporated by reference to Exhibit 1 to Registrant's Definitive Proxy Statement filed on May 5, 2016.]
  31.
  Rule 13a-14(a)/15d-14(a) Certifications
  1.
  Certification by Chief Executive Officer
  2.
  Certification by Chief Financial Officer
  32.
  Section 1350 Certifications
  1.
  Certification by Chief Executive Officer
  2.
  Certification by Chief Financial Officer
  34
  Table of Contents
  SIGNATURE
  Pursuant to the requirements
  of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has caused this report to be signed by the undersigned,
  thereunto duly authorized.
  Dated: November 13, 2019
  EQUUS TOTAL RETURN, INC.
  /s/ John A. Hardy
  John A. Hardy
  Chief Executive Officer
  35