The big story of early 2014 was robust M&A-related volume, which ticked up to a post-credit crunch high of $62 billion in the first quarter. That, in turn, lifted total leveraged loan activity to $162 billion from a 15-month low of $127 billion during the final three months of 2013. Looking ahead, most players expect the market to remain relatively in balance in the coming months. Check out LCD's new, free web sites, LeveragedLoan.com and HighYieldBond.com http://www.leveragedloan.com http://www.highyieldbond.com/ * Job postings * Online Loan Market and High Yield Primer * News and analysis * Market Stats Video presentation: http://youtu.be/Ypapt_65UM0 Connect with LCD Facebook: http://www.lcdcomps.com/facebook Like LCD on Facebook for monthly analysis on LBO/Private equity stats, as well as Default/Restructuring analysis. LinkedIn: http://www.lcdcomps.com/linkedin There are over 10,000 market contacts in LCD's Leveraged Loan Group Twitter: http://www.twitter.com/lcdnews News, commentary, other leveraged finance info Web: http://www.lcdcomps.com Contact: marc_auerbach@spcapitaliq.com

1. US Leveraged Finance Market Update
April, 2014
Steve Miller - Managing Director
Text

2. Leveraged Loan Volume
$0B
$25B
$50B
$75B
$100B
$125B
$150B
$175B
$200B
1Q07 3Q07 1Q08 3Q08 1Q09 3Q09 1Q10 3Q10 1Q11 3Q11 1Q12 3Q12 1Q13 3Q13 1Q14
Institutional Pro Rata
Total Volume M&A-Driven Loan Volume
Source: S&P Capital IQ/LCD
$0B
$25B
$50B
$75B
$100B
$125B
$150B
$175B
$200B
1Q07 3Q07 1Q08 3Q08 1Q09 3Q09 1Q10 3Q10 1Q11 3Q11 1Q12 3Q12 1Q13 3Q13 1Q14
Institutional Pro Rata

3. 96
97
98
99
12/12 1/13 2/13 3/13 4/13 5/13 6/13 7/13 8/13 9/13 10/31 11/13 1/14 2/14 3/14
Average Bid of S&P/LSTA Loan Index
Source: LCD - Leveraged Commentary & Data

4. Visible Inflows
Source: LCD - Leveraged Commentary & Data, Lipper
$0B
$5B
$10B
$15B
$20B
9/12 10/12 11/12 12/12 1/13 2/13 3/13 4/13 5/13 6/13 7/13 8/13 9/13 10/13 11/13 12/13 1/14 2/14 3/14
CLO Issuance
Mutual Funds Inflows

5. S&P/LSTA Index Loans Outstanding
Source: LCD - Leveraged Commentary & Data
$500B
$545B
$590B
$635B
$680B
$725B
9/12 10/12 11/12 12/12 1/13 2/13 3/13 4/13 5/13 6/13 7/13 8/13 9/13 10/13 11/13 12/13 1/14 2/14 3/14

6. 3%
4%
5%
5%
6%
7%
9/12 10/12 11/12 12/12 1/13 2/13 3/13 4/13 5/13 6/13 7/13 8/13 9/13 10/13 11/13 12/13 1/14 2/14 3/14
Average New-Issue Clearing Yield of First Lien Loans
Source: LCD - Leveraged Commentary & Data
All-BB
All-B

7. 0%
2%
5%
7%
10%
12%
1/07 11/07 9/08 7/09 5/10 3/11 1/12 11/12 9/13
Loan Default Rate
Source: LCD - Leveraged Commentary & Data
3/14

8. M&A Institutional Loan Forward Calendar
Source: LCD - Leveraged Commentary & Data
$0B
$7B
$14B
$21B
$28B
$35B
3/11 5/11 7/11 9/11 11/11 1/12 3/12 5/12 7/12 9/12 11/12 1/13 3/13 5/13 7/13 9/13 11/13 1/14 3/14

9. www.linkedin.com/groups/LCD-Leveraged-Loan-Group-2092432
LCD Leveraged Loan Group ... 11,000+ contacts
www.twitter.com/lcdnews
Headlines, market chatter
www.facebook.com/lcdcomps/
Daily Playbook, headlines, video analysis
Follow LCD
www.lcdcomps.com
News, analysis, research, archives
www.highyieldbond.com
Free website covering the high yield market
www.leveragedloan.com
Free website covering the leveraged loan market

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