Core Viewpoint - Source Capital's Discount Management Program will not have a tender offer for 2025 due to the average discount to net asset value (NAV) being less than 10% during the measurement period [1] Group 1: Discount Management Program - For the measurement period from January 1, 2025, to December 31, 2025, the Fund traded at an average discount to NAV of less than 10% and even peaked at a premium of 1.20% on November 28, 2025 [1] - The Board of Trustees approved a contingent tender offer for calendar year 2027, extending the Program through December 31, 2027, with a tender offer for 10% of outstanding shares if the average discount exceeds 10% during the measurement period [2] - If a tender offer is required, it will close no later than June 30, 2028, and the Board may consider extending the Program beyond 2027 [2] Group 2: Shareholder Actions - The Fund's portfolio managers, officers, and Board do not intend to tender their shares if a tender is required under the Program for 2026 [3] - The Fund will continue its Stock Repurchase Program to repurchase stock at prices that are accretive to shareholders [3] Group 3: Investment Strategy - The Fund has been increasing its allocation to private credit investments, with approximately 21.7% of NAV invested in private credit and a combined invested plus committed capital of approximately 25.9% of NAV as of December 31, 2025 [4] - The investment objective of Source Capital is to seek maximum total return for shareholders from both capital appreciation and investment income while protecting invested capital [5]