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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-22725
Priority Income Fund, Inc.
(Exact name of registrant as specified in charter)
10 East 40th Street, 42nd Floor
New York, NY 10016
(Address of principal executive offices)
M. Grier Eliasek
Chief Executive Officer
Priority Income Fund, Inc.
10 East 40th Street, 42nd Floor
New York, NY 10016
(Name and address of agent for service)
Registrant’s telephone number, including area code: (212) 448-0702
Date of fiscal year end: June 30
Date of reporting period: June 30, 2023



Item 1(a). Reports to Stockholders.
The annual report to stockholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended, for the year ended June 30, 2023 is filed herewith.



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    Annual Report
    June 30, 2023

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priorityincomefund.com



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Priority Income Fund, Inc. (the “Company”) is an externally managed, non-diversified, closed-end investment management company registered under the Investment Company Act of 1940, as amended. The Company has elected to be treated for tax purposes as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended.

INVESTMENT OBJECTIVE
The Company’s investment objective is to generate current income and, as a secondary objective, long-term capital appreciation. We expect to seek to achieve our investment objective by investing, under normal circumstances, at least 80% of our total assets in senior secured loans made to companies whose debt is rated below investment grade or, in limited circumstances, unrated, which we collectively refer to as “Senior Secured Loans,” with an emphasis on current income. Our investments may take the form of the purchase of Senior Secured Loans (either in the primary or secondary markets) or through investments in the equity and junior debt tranches of collateralized loan obligation (“CLO”) vehicles that in turn own pools of Senior Secured Loans. The Company intends to invest in both the primary and secondary markets.


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            4                             


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Letter to Shareholders

Dear Shareholders,

We are pleased to present this annual report of Priority Income Fund, Inc. (“we,” “us,” “our,” the “Company”, the “Fund” or “Priority”) for the fiscal year ended June 30, 2023. Priority has provided its shareholders cash distributions each month for over nine years, and recently increased its quarterly bonus distributions to shareholders for the eleventh time since August 2020.

Priority paid shareholders an annualized dividend yield of 10.64%, based on the June 30, 2023 “Class R Shares” offering price of $12.64, 11.32% based on the June 30, 2023 “Class RIA Shares” offering price of $11.88, and 11.41% based on the June 30, 2023 “Class I Shares” offering price of $11.79.

Priority Update

Priority Income Fund’s growing shareholder distributions continued to more than offset changes in NAV per share between June 30, 2022 and June 30, 2023, and Priority Income Fund ended the fiscal year with a positive total return of 6.14% based on final net asset value per share of $11.31 assuming reinvestment of all shareholder distributions. Net Asset Value (“NAV”) per share decreased by 6% between June 30, 2022 and June 30, 2023, moving from $12.04 to $11.31, but has remained stable in the two months following fiscal year-end. Considering that loan default rates in Priority Income Fund and the loan market overall continued to remain below historical averages, we believe the decline in NAV was primarily due to market yields for CLO equity and debt widening with the overall increase in prevailing interest rates.

Annualized dividend yields continued to exceed the Fund’s targeted performance objectives and increased by 6.97% year-over-year based on the June 30, 2023 “Class R Shares” offering price of $12.64, 6.94% year-over-year based on the June 30, 2023 “Class RIA Shares” offering price of $11.88, and 6.90% year-over-year based on the June 30, 2023 “Class I Shares” offering price of $11.79.

Since our semi-annual shareholder letter for the period ended December 2022, we have continued to implement Priority’s strategy of targeting attractive risk-adjusted investments in CLO debt and equity that further our primary objective of providing our shareholders with current income.

Priority is pleased to report the following accomplishments for the fiscal year ended June 30, 2023:

Priority invested in (i) six equity investments totaling $18.9 million in cost basis and (ii) 34 debt investments totaling $79.9 million in cost basis. Priority sold one debt investment totaling $1.0 million in cost basis. The Fund continues to focus on identifying attractive investments consistent with the Fund’s strategy and accretive to solid risk-adjusted historical performance.
The Fund successfully raised $147.9 million during the fiscal year-ended June 30, 2023, outperforming its fundraising efforts for the fiscal year-ended June 30, 2022 by $44.0 million, or over 42%.
Since inception in January 2014 through June 30, 2023, Priority has outperformed the Bloomberg US Aggregate Bond Index and the Credit Suisse Leverage Loan Index.
In September 2022, Priority closed on a $40 million senior secured revolving credit facility, refinancing the previously existing $35 million facility, and subsequently exercised the accordion feature to increase the facility size to $75 million. In addition to increasing the Fund’s access to liquidity, the facility enhances the Fund’s financial flexibility with a longer maturity and lower drawn and undrawn interest rates.



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PRIORITY INCOME FUND, INC.                                            5                             


Furthermore, Priority benefitted from certain strategic portfolio management decisions and market conditions that proved accretive to the Fund’s historical strategy and performance:

Opportunistic buying of CLO debt tranches rated at inception as ‘BB’ investments by rating agencies that include S&P, Moody’s, and Fitch, with a weighted average discount from par of over 13% and weighted average underwritten internal rates of return in line with the Fund’s target returns.
Prudent risk management with a reduction in Fund level leverage during the year.
Market volatility in 2022 and 2023 that allowed Priority to achieve equity-like returns in CLO debt tranches, increasing the Fund’s resistance to defaults while also creating an opportunity to build NAV given our purchases of these debt investments were made significantly below par. We anticipate continuing to grow our CLO debt book should the discounted opportunity persist in the current fiscal year.

CLO Market Commentary

The Russia/Ukraine war, inflationary pressures, regional bank turmoil, and the corresponding Fed response introduced volatility which began in 2022 and persisted throughout the first half of 2023. Despite slowing from its 2021 peak of $187.5 billion1, market CLO issuance has remained robust by historical standards at $56.0 billion1 for the first half of 2023. Furthermore, CLOs represented 69%1 of the buyer base in the institutional Senior Secured Loan market for fiscal year 2023, highlighting the importance of the CLO market.

CLO research analysts are projecting calendar year 2023 CLO issuance totaling:
Barclays: $105 billion2
Citigroup: $95 billion3
JP Morgan: $100 billion4
Morgan Stanley: $100 billion5
Nomura: $90 billion6

Secondary CLO trading exhibited volatility during fiscal year 2023, with CLO BB debt trading in an 8.5-point range, from a high index price of 90.08 on August 19, 2022, to a trough index price of 81.59 on October 13, 20227, even though such assets pay floating rate interest that increased dramatically throughout the year. The index ended at 87.03 on June 30, 2023. Other parts of CLO capital structures exhibited heightened price and spread volatility as well2.

We believe the widening of CLO liabilities contributed to a decline in CLO refinance and reset activity in 2022 after a fast-paced 2021. This trend continued to be the case in 2023. A CLO refinancing is an occurrence where all or part of the CLO liabilities are refinanced at a lower spread without a change in CLO maturity. A CLO reset is an occurrence where all of the CLO liabilities are refinanced, and the CLO reinvestment period is extended typically by two to five years.

Looking ahead to the second half of 2023, we expect the macroeconomic picture to remain uncertain, with defaults likely to continue increasing from historically low levels. While that may put some pressure on the loan and CLO markets, we also anticipate such factors to present enhanced opportunities for Priority to invest at discounted prices.

In addition, we believe that long-term fundamentals for the investments held by Priority remain attractive: (1) Priority continued to increase its number of investments with 215 investments as of June, 30, 2023 (the highest count achieved to date), (2) Priority’s portfolio’s trailing twelve month (“TTM”) default rate as of June 30, 2023 stood at an historically below average 1.50%, and (3) we believe CLO managers will be able to capitalize on loan price volatility to increase portfolio spreads and buy loans at discounted prices.

Dividend Policy

To qualify for U.S federal income tax treatment as a regulated investment company, the Company is required to pay out distributions as determined in accordance with federal income tax regulations. In certain periods, we expect the income distributable pursuant to these regulations, which we refer to as distributable income, to be higher or lower than our reportable accounting income. In addition to net investment income, our dividend policy considers in part our estimate of our distributable income, which includes (1) interest income from our underlying collateralized loan obligation (“CLO”) debt and equity


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            6                             


investments, (2) recognition of certain mark-to-market gains or losses to the extent that the fair market value of our CLO investments is determined to deviate from its adjusted tax basis, and (3) acceleration of unamortized fees and expenses following the refinancing or reset of a CLO’s liabilities. As a result, distributable income may differ from accounting income, as expressed by net investment income. Our distributions may exceed our earnings, and portions of the distributions that we make may therefore be a return of the money that you originally invested and represent a return of capital to you for tax purposes.

We would like to express our gratitude to both our new and long-term shareholders for their continued support of Priority Income Fund’s investment thesis and hope to continue to realize our goal to create further value for the Fund’s shareholders.

M. Grier Eliasek
Chairman and Chief Executive Officer


Disclosures

The Senior Secured Loans in which we invest are made primarily to U.S. companies whose debt is rated below investment grade or, in some circumstances, unrated. These investments, which are often referred to as “junk” or “high yield,” have predominantly speculative characteristics with respect to the issuer’s capacity to pay interest and repay principal. They may also be difficult to value and illiquid.

This letter may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the future performance of Priority Income Fund, Inc. Words such as “believes,” “expects,” and “future” or similar expressions are intended to identify forward-looking statements. Any such statements, other than statements of historical fact, are highly likely to be affected by the current global financial market situation, as well as various social and political circumstances in the U.S. and around the world (including wars and other forms of conflict, terrorist acts, security operations and catastrophic events such as fires, floods, earthquakes, tornadoes, hurricanes and global health epidemics and pandemics that are or are not under the control of Priority Income Fund, Inc., and that Priority Income Fund, Inc. may or may not have considered. Accordingly, such statements cannot be guarantees or assurances of any aspect of future performance and involve a number of risks and uncertainties, including the impact of new and ongoing pandemics (such as COVID-19) and related changes in base interest rates and significant market volatility on our business, our industry, and the global economy. Actual developments and results may vary materially from any forward-looking statements. Such statements speak only as of the time when made. Priority Income Fund, Inc. undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Any performance information quoted above represents past performance. We caution investors that the past performance described above is not indicative of and does not guarantee future returns. The investment return and principal value of an investment will fluctuate so that an investor's shares, when sold, may be worth more or less than their original cost. Current performance information may be different than the performance data presented above. Index and asset class performance quoted above does not reflect the fees, expenses or taxes that a stockholder may incur. The results described above may not be representative of our portfolio.


1 Pitchbook | LCD, “LCD’s Quarterly Leveraged Lending Review: 2Q 2023”
2 Barclays Credit Research, “Supply update: Issuance to remain steady, but refis/resets to increase in 2H23”, June 2023
3 Citi Research, “Global CLO Markets Midyear Outlook”, June 2023
4 LCD News, “JP Morgan reduces year-end US CLO issuance forecast”, June 2023
5 Morgan Stanley, “2023 Global Securitized Products Mid-Year Outlook: Shake it Off”, June 2023
6 Nomura Global Markets Research, “2023 CLO Special Topics”, July 2023
7 Palmer Square BB Price Index


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            7                             


Fund Performance
PRISFundPerformance06.30.23.jpg
Comparison of change in value of a $10,000 investment in Priority Income Fund with a hypothetical investment of $10,000 in the Bloomberg US Aggregate Bond Index, Credit Suisse Leveraged Loan Index, and S&P 500® Index.

Past performance is not predictive of future performance. Current and future results may be lower or higher than those shown. The results shown are before taxes on fund distributions and sale of fund shares.

The above graph compares a hypothetical $10,000 investment made in Priority Income Fund on 1/6/14 (inception date) to a hypothetical investment of $10,000 made in the Bloomberg US Aggregate Bond Index, Credit Suisse Leverage Loan Index, and S&P 500® Index on that date. All dividends and capital gain distributions are reinvested.

The fund’s performance shown in the line graph above takes into account the maximum initial sales charge on Class R shares. The Bloomberg US Aggregate Bond Index is a broad-based flagship benchmark that measures the investment grade, US dollar-denominated, fixed-rate taxable bond market. The index includes Treasuries, government-related and corporate securities, MBS (agency fixed-rate pass-throughs), ABS and CMBS (agency and non-agency). The Credit Suisse Leveraged Loan Index tracks the investable market of the U.S. dollar denominated leveraged loan market. It consists of issues rated “5B” or lower, meaning that the highest rated issues included in this index are Moody’s/S&P ratings of Baa1/BB+ or Ba1/BBB+. All loans are funded term loans with a tenor of at least one year and are made by issuers domiciled in developed countries. The S&P 500® Index is widely regarded as the best single gauge of large-cap U.S. equities. The Index includes 500 leading companies and captures approximately 80% coverage of available market capitalization. Investors cannot invest directly in any index. These factors can contribute to the indices potentially outperforming the Fund. Further information relating to fund performance is contained in the Financial Highlights section of the Fund’s prospectus and elsewhere in this report.



2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            8                             


Average Annual Total Returns as of June 30, 2023
Inception Date1 Year5 YearFrom Inception
Priority Income Fund, Inc.
with maximum sales charge1/3/2014(4.77)%5.49 %8.59 %
without sales charge(1)
1/3/20142.15 %7.26 %9.55 %
Bloomberg US Aggregate Bond Index1/3/2014(0.94)%0.77 %1.55 %*
Credit Suisse Leveraged Loan Index1/3/201410.10 %4.02 %4.00 %*
S&P 500 Index1/3/201419.59 %12.30 %11.91 %*
*Index date is based on the inception date of the fund.
(1)Calculated based off of the net offing price.

The performance data quoted represents past performance, which is no guarantee of future results. Share price and investment return fluctuate and an investor’s shares may be worth more or less than original cost upon sale or repurchase. Current performance may be lower or higher than the performance quoted. Go to www.priorityincomefund.com for the Fund’s most recent return information. The fund’s performance shown in the graphs and table does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the sale of fund shares. In addition to the performance of Class R shares shown with and without a maximum sales charge, the fund’s performance shown in the table takes into account all other applicable fees and expenses.


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            9                             


Portfolio Composition - At a Glance
Top Ten Holdings
As of June 30, 2023
Portfolio InvestmentInvestmentLegal MaturityFair Value% of Net Assets
Cedar Funding IV CLO, Ltd.Subordinated Notes7/23/2034$20,005,319 3.3 %
Voya CLO 2022-1, Ltd.Subordinated Notes4/20/2035$15,331,996 2.5 %
Madison Park Funding XIV, Ltd.Subordinated Notes10/22/2030$14,482,405 2.4 %
Cedar Funding XI CLO, Ltd.Subordinated Notes6/1/2032$14,304,849 2.4 %
Voya CLO 2018-1, Ltd.Subordinated Notes4/21/2031$13,944,430 2.3 %
Columbia Cent CLO 29 LimitedSubordinated Notes10/20/2034$13,870,643 2.3 %
CIFC Funding 2017-IV, Ltd.Subordinated Notes10/24/2030$13,765,039 2.3 %
Neuberger Berman CLO XVI-S, Ltd.Subordinated Notes4/17/2034$12,926,237 2.1 %
Voya CLO 2019-1, Ltd.Subordinated Notes4/15/2031$12,482,828 2.0 %
Venture 42 CLO, Ltd.Subordinated Notes4/17/2034$12,185,016 2.0 %

Portfolio Composition
Number of Loans Underlying the Company’s CLO Investments1,981 
Dollar Amount of Loans Underlying the Company’s CLO Investments$90.7 billion
Percentage of Collateral Underlying the Company’s CLO Investments that are in Default1.07 %
Last Twelve Months Default Rate of Collateral Underlying the Company’s CLO Investments1.50 %

Legal Maturity of Portfolio Securities
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2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            10                             



Collateral Summary
Number of loans underlying the Company’s CLO investments1,981
Largest exposure to any individual borrower0.90 %
Average individual borrower exposure0.07 %
Aggregate exposure to 10 largest borrowers5.67 %
Aggregate exposure to senior secured loans100 %
Weighted average stated spread3.56 %
Weighted average LIBOR floor0.68 %
Weighted average percentage of floating rate loans with LIBOR floors54.27 %
Weighted average credit rating of underlying collateral based on average Moody’s ratingB1/B2
Weighted average maturity of underlying collateral4.1 years
U.S. dollar currency exposure100 %

Underlying Secured Loan Rating Distribution (Moody’s / S&P)(1)
Quarter-EndAaa/AAAAa/AAA/ABaa/BBBBa/BBB/BCaa/CCC and LowerUnrated
June 30, 20230.00% / 0.00%0.00% / 0.01%0.07% / 0.02%2.00% / 2.11%23.66% / 21.61%66.74% / 66.65%5.77% / 6.79%0.68% / 1.72%
(1)Excludes structured product assets and newly issued transactions for which collateral data is not yet available.
Cash is included within the denominator of the above calculations, but is not rated by Moody’s/S&P.



2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            11                             


Report of Independent Registered Public Accounting Firm

Shareholders and Board of Directors
Priority Income Fund, Inc.
New York, New York

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Priority Income Fund, Inc. (the “Company”), including the schedule of investments, as of June 30, 2023, the related statements of operations and cash flows for the year then ended, the statements of changes in net assets and temporary equity for each of the two years in the period then ended, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of June 30, 2023, the results of its operations and its cash flows for the year then ended, the changes in net assets and temporary equity for each of the two years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of June 30, 2023, by correspondence with the custodian and brokers. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.


/s/ BDO USA, P.C.

We have served as the Company's auditor since 2012.
New York, New York
September 13, 2023


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            12                             


Statement of Assets and Liabilities
As of June 30, 2023
Assets
Investments, at fair value (amortized cost $1,072,609,518)$899,209,793 
Cash24,996,926 
Restricted cash250,000 
Interest receivable4,629,044 
Receivable for capital shares sold3,774,596 
Deferred common stock offering costs (Note 5)985,714 
Deferred financing costs on Revolving Credit Facility (Note 11)523,556 
Due from affiliate (Note 5)311,248 
Prepaid expenses239,722 
Total assets934,920,599 
Liabilities
Mandatorily redeemable Term Preferred Stock; ($0.01 par value; 50,000,000 shares authorized; 1,094,065 Series D Term Preferred Stock outstanding with net offering costs of $421,184 and unamortized discount of $584,172; 1,233,428 Series F Term Preferred Stock outstanding with net offering costs of $123,246 and unamortized discount of $594,539; 1,472,000 Series G Term Preferred Stock outstanding with net offering costs of $194,865 and unamortized discount of $719,435; 1,196,000 Series H Term Preferred Stock outstanding with net offering costs of $213,698 and unamortized discount of $625,395; 1,600,000 Series I Term Preferred Stock outstanding with net offering costs of $211,063 and unamortized discount of $961,848; 1,580,000 Series J Term Preferred Stock outstanding with net offering costs of $236,026 and unamortized discount of $986,775; 1,100,000 Series L Term Preferred Stock outstanding with net offering costs of $278,534 and unamortized discount of $737,610) (Note 7)
224,998,935 
Notes payable (less unamortized discount and debt issuance costs of $1,108,333) (Note 12)
28,891,667 
Revolving Credit Facility (Note 11)10,000,000 
Due to Adviser (Note 5)11,288,431 
Dividends payable9,357,633 
Accrued expenses1,159,996 
Due to Administrator (Note 5)916,732 
Due to affiliate (Note 5)383,251 
Tax payable110,921 
Interest payable10,803 
Total liabilities287,118,369 
Cumulative Preferred Stock, par value $0.01 per share (50,000,000 shares authorized; 1,600,000 Series K Cumulative Preferred Stock outstanding as of June 30, 2023) (Note 7)
38,414,986 
Commitments and contingencies (Note 10)
Net Assets Applicable to Common Shares$609,387,244 
Components of net assets:
Common stock, $0.01 par value; 150,000,000 shares authorized; 53,887,821 shares issued and
outstanding (Note 4)$538,878 
Paid-in capital in excess of par (Note 4)617,943,074 
Total distributable earnings (Note 8)(9,094,708)
Net Assets Applicable to Common Shares$609,387,244 
Net asset value per Common Share$11.31 
See accompanying notes to financial statements.


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            13                             


Statement of Operations
For the year ended June 30, 2023
Investment income
Interest income from investments$183,562,864 
Total investment income183,562,864 
Expenses
Incentive fee (Note 5)26,576,774 
Base management fee (Note 5)18,274,577 
Total investment advisory fees44,851,351 
Preferred dividend expense15,773,159 
Administrator costs (Note 5)3,562,963 
Interest expense and credit facility expense3,272,636 
Transfer agent fees and expenses1,932,207 
Adviser shared service expense (Note 5)1,497,332 
Valuation services1,449,660 
Amortization of common stock offering costs (Note 5)1,178,973 
Audit and tax expense618,530 
Report and notice to shareholders582,772 
General and administrative344,085 
Insurance expense262,950 
Director fees225,000 
Legal expense83,124 
Total expenses75,634,742 
Net investment income before income taxes107,928,122 
Excise tax expense (Note 8)110,921 
Net investment income 107,817,201 
Net realized and net change in unrealized gain (loss) on investments
Net realized gain on investments217,233 
Net change in unrealized loss on investments(71,740,677)
Net realized and net change in unrealized gain (loss) on investments(71,523,444)
Net realized loss on extinguishment of debt(324,184)
Net increase in net assets resulting from operations35,969,573 
Dividends declared on Cumulative Preferred Stock(2,800,000)
Net Increase in Net Assets Resulting from Operations applicable to Common Stockholders$33,169,573 
See accompanying notes to financial statements.










2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            14                             


Statements of Changes in Net Assets and Temporary Equity
Year EndedYear Ended
June 30, 2023June 30, 2022
Net increase (decrease) in net assets resulting from operations applicable to Common Stockholders:
Net investment income $107,817,201 $73,406,226 
Net realized gain (loss) on investments217,233 (8,358,797)
Net change in unrealized loss on investments(71,740,677)(14,484,658)
Net realized loss on extinguishment of debt(324,184)— 
Net realized loss on repurchase of preferred stock— (1,668,530)
Net increase in net assets resulting from operations35,969,573 48,894,241 
Distributions to common stockholders:
Dividends from earnings (Notes 6 and 8)(68,287,135)(53,587,685)
Total distributions to common stockholders(68,287,135)(53,587,685)
Distributions to Series K Cumulative Preferred stockholders:
Dividends from earnings (Note 7)(2,800,000)(2,061,104)
Total distributions to Series K Cumulative Preferred stockholders(2,800,000)(2,061,104)
Capital transactions:
Gross proceeds from shares sold (Note 4)147,937,976 103,968,590 
Commissions and fees on shares sold (Note 5)(6,724,498)(6,229,141)
Repurchase of common shares (Note 4)(48,347,692)(30,291,138)
Reinvestment of distributions (Note 4)21,809,485 20,851,185 
Net increase in net assets from capital transactions114,675,271 88,299,496 
Total increase in net assets79,557,709 81,544,948 
Net assets:
Beginning of period529,829,535 448,284,587 
End of period$609,387,244 $529,829,535 


Year EndedYear Ended
June 30, 2023June 30, 2022
Preferred Stock Classified as Temporary Equity:
Proceeds from the issuance of Cumulative Preferred Stock (Note 7)$— $38,750,000 
Cumulative Preferred Stock issuance costs, paid and deferred(19,588)(315,426)
Net increase in Temporary Equity from Cumulative Preferred Stock transactions(19,588)38,434,574 
Temporary Equity:
Beginning of period38,434,574 — 
End of period$38,414,986 $38,434,574 
See accompanying notes to financial statements.


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            15                             


Statement of Cash Flows
For the year ended June 30, 2023
Cash flows used in operating activities:
Net increase in net assets resulting from operations$35,969,573 
Adjustments to reconcile net increase in net assets resulting from operations to net cash used in operating activities:
Amortization of common stock offering costs (Note 5)1,178,973 
Accretion of purchase discount, net(35,365,811)
Amortization of term preferred stock deferred offering costs254,284 
Amortization of term preferred stock discount894,270 
Amortization of notes payable debt issuance costs10,760 
Amortization of notes payable discount36,870 
Amortization of deferred financing costs on Revolving Credit Facility (Note 11)124,932 
Purchases of investments(98,775,014)
Proceeds from sales of investments997,500 
Repayments from investments8,069,159 
Payment-in-kind interest534,423 
Net realized gain on investments(217,233)
Net change in unrealized loss on investments71,740,677 
Net realized loss on extinguishment of debt324,184 
(Increase) Decrease in operating assets:
Deferred common stock offering costs (Note 5)(1,675,146)
Interest receivable(2,555,992)
Due from affiliate (Note 5)(148,500)
Prepaid expenses15,556 
Increase (Decrease) in operating liabilities:
Due to adviser (Note 5)1,698,564 
Accrued expenses(208,696)
Director fees payable(75,000)
Due to Administrator (Note 5)225,754 
Tax payable110,921 
Due to affiliate (Note 5)49,567 
Preferred dividend payable(4,873)
Interest payable(190,165)
Net cash used in operating activities(16,980,463)
Cash flows provided by financing activities:
Gross proceeds from shares sold (Note 4)143,844,340 
Commissions and fees on shares sold (Note 5)(6,567,155)
Distributions paid to common stockholders(37,123,365)
Repurchase of common shares (Note 4)(48,165,237)
Distributions paid to Cumulative Preferred Stockholders(2,800,000)
Borrowings under Revolving Credit Facility (Note 11)94,000,000 
Repayments of Revolving Credit Facility (Note 11)(108,800,000)
Deferred financing costs on Revolving Credit Facility (Note 11)(612,047)
Notes payable debt issuance costs, paid and deferred(12,550)
Term Preferred Stock issuance costs, paid and deferred(116,009)
Cumulative Preferred Stock issuance costs, paid and deferred(19,588)
Net cash provided by financing activities33,628,389 
Net increase in cash and restricted cash16,647,926 
Cash and restricted cash at beginning of period8,599,000 
Cash and restricted cash at end of period$25,246,926 
Non-cash financing activity:
Value of shares issued through reinvestment of distributions$21,809,485 
Supplemental disclosure:
Cash paid for interest$3,280,645 
Cash paid for Term Preferred Stock and Cumulative Preferred Stock$17,429,478 


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            16                             


Beginning of the period
Cash$8,599,000 
Restricted cash— 
Cash and restricted cash at beginning of period$8,599,000 
End of the period
Cash$24,996,926 
Restricted cash250,000 
Cash and restricted cash at end of period$25,246,926 
See accompanying notes to financial statements.


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            17                             


Schedule of Investments
As of June 30, 2023
Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Equity Class (Cayman Islands)
Adams Mill CLO Ltd.(6)(7)
Subordinated Notes— %7/15/20267/3/2014$500,000 $— $— — %
AIMCO CLO 11, Ltd.Subordinated Notes22.80 %10/17/20344/4/20225,000,000 5,309,220 4,964,760 0.8 %
Apidos CLO XVIII-RSubordinated Notes17.53 %10/22/20309/26/2018410,000 537,293 412,326 0.1 %
Apidos CLO XXSubordinated Notes33.70 %7/16/20313/4/202012,500,000 7,741,970 7,621,636 1.3 %
Apidos CLO XXI(6)(7)
Subordinated Notes— %7/19/20275/13/20155,000,000 1,468,543 — — %
Apidos CLO XXIISubordinated Notes23.81 %4/21/20319/17/20159,894,611 7,126,014 7,058,382 1.2 %
Apidos CLO XXIVSubordinated Notes32.43 %10/21/20305/17/201912,214,397 7,478,709 7,969,781 1.3 %
Apidos CLO XXVISubordinated Notes12.53 %7/18/20297/25/20196,000,000 4,550,349 3,950,707 0.6 %
Babson CLO Ltd. 2015-ISubordinated Notes5.24 %1/20/20314/1/20153,400,000 1,936,288 1,344,455 0.2 %
Barings CLO Ltd. 2018-III(6)
Subordinated Notes— %7/20/202910/10/2014396,214 154,908 60,019 0.0 %
BlueMountain CLO 2012-2 Ltd.(6)(7)
Subordinated Notes— %11/20/20281/7/20153,000,000 731,322 — — %
BlueMountain CLO 2013-2 Ltd.(6)
Subordinated Notes— %10/22/203010/1/20151,900,000 1,310,720 743,800 0.1 %
BlueMountain CLO XXVI Ltd.Subordinated Notes21.98 %10/20/203411/18/20218,906,000 8,098,331 7,052,273 1.2 %
BlueMountain CLO XXVIII Ltd.Subordinated Notes22.95 %4/17/20344/1/20223,300,000 3,036,513 2,743,359 0.5 %
BlueMountain CLO XXIX Ltd.Subordinated Notes22.70 %7/25/203412/15/20216,000,000 5,928,361 5,177,877 0.8 %
BlueMountain CLO XXXI Ltd.Subordinated Notes24.65 %4/19/20344/28/20225,000,000 4,389,525 3,832,053 0.6 %
BlueMountain CLO XXXII Ltd.Subordinated Notes24.09 %10/16/20342/18/202212,000,000 10,431,022 9,437,283 1.5 %
BlueMountain CLO XXXIV Ltd.Subordinated Notes24.31 %4/20/20353/23/20225,700,000 5,705,458 5,118,350 0.8 %
BlueMountain Fuji US CLO II Ltd.Subordinated Notes6.99 %10/21/20308/22/20172,500,000 2,047,261 1,609,006 0.3 %
California Street CLO IX, Ltd.Preference Shares24.09 %7/16/203212/13/20194,670,000 2,497,920 2,250,250 0.4 %
Carlyle Global Market Strategies CLO 2013-1, Ltd.(6)
Subordinated Notes— %8/14/20306/23/201617,550,000 10,451,582 6,875,422 1.1 %
Carlyle Global Market Strategies CLO 2013-4, Ltd.Income Notes5.59 %1/15/203112/22/201611,839,488 6,704,179 4,711,271 0.8 %
Carlyle Global Market Strategies CLO 2014-1, Ltd.Income Notes14.22 %4/17/20312/25/201612,870,000 8,097,843 7,051,402 1.2 %
Carlyle Global Market Strategies CLO 2014-3-R, Ltd.Subordinated Notes9.61 %7/28/20315/23/201815,000,000 12,357,195 9,995,667 1.6 %
Carlyle Global Market Strategies CLO 2016-1, Ltd.Subordinated Notes11.66 %4/20/20343/16/20166,844,556 6,193,627 4,959,711 0.8 %
Carlyle Global Market Strategies CLO 2016-3, Ltd.Subordinated Notes13.14 %7/20/20348/8/20163,245,614 2,905,438 2,607,971 0.4 %
Carlyle Global Market Strategies CLO 2017-2, Ltd.Subordinated Notes31.37 %7/21/20311/4/20224,450,000 2,783,565 2,427,907 0.4 %
Carlyle Global Market Strategies CLO 2017-4, Ltd.Income Notes23.99 %1/15/203010/14/20219,107,000 5,651,691 4,558,481 0.7 %
Carlyle Global Market Strategies CLO 2017-5, Ltd.Subordinated Notes4.91 %1/22/203012/18/201710,000,000 8,476,345 6,392,878 1.0 %
Cedar Funding II CLO, Ltd.Subordinated Notes18.01 %4/20/20349/27/20172,500,000 2,275,139 1,959,158 0.3 %
Cedar Funding IV CLO, Ltd.Subordinated Notes16.34 %7/23/20346/19/201726,698,229 22,205,087 20,005,319 3.3 %
Cedar Funding V CLO, Ltd.Subordinated Notes29.67 %7/17/203110/15/20187,358,000 7,780,235 7,433,751 1.2 %


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            18                             


Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Equity Class (Cayman Islands)
Cedar Funding VI CLO, Ltd.Subordinated Notes18.79 %4/20/20348/7/2017$6,722,117 $6,739,108 $5,650,478 0.9 %
Cedar Funding X CLO, Ltd.Subordinated Notes26.14 %10/20/20321/12/202210,775,000 9,983,142 9,103,347 1.5 %
Cedar Funding XI CLO, Ltd.Subordinated Notes26.91 %6/1/20327/12/202117,500,000 14,818,094 14,304,849 2.4 %
Cedar Funding XII, Ltd.Subordinated Notes22.93 %10/25/20343/28/20223,300,000 3,018,575 2,816,724 0.5 %
Cedar Funding XIV, Ltd.Subordinated Notes26.07 %7/15/20334/7/202210,000,000 8,279,665 7,612,021 1.2 %
Cedar Funding XV, Ltd.Subordinated Notes25.65 %4/20/20357/25/20225,000,000 4,026,452 3,968,770 0.7 %
Cent CLO 21 Limited(6)
Subordinated Notes— %7/26/20305/15/2014510,555 326,901 144,164 0.0 %
CIFC Falcon 2019, Ltd.Subordinated Notes20.85 %1/20/20335/14/20218,500,000 8,284,419 7,823,068 1.3 %
CIFC Funding 2013-I, Ltd.Subordinated Notes7.95 %7/16/20306/1/20183,000,000 1,774,526 1,372,488 0.2 %
CIFC Funding 2013-II, Ltd.Income Notes5.52 %10/18/20302/6/2014305,000 163,403 109,319 0.0 %
CIFC Funding 2013-III-R, Ltd.Subordinated Notes26.85 %4/24/20311/19/20214,900,000 2,377,032 2,316,982 0.4 %
CIFC Funding 2013-IV, Ltd.Subordinated Notes16.89 %4/28/20313/15/20198,000,000 5,304,054 4,879,425 0.8 %
CIFC Funding 2014, Ltd.Income Notes11.60 %1/21/20312/6/20142,758,900 1,659,953 1,301,269 0.2 %
CIFC Funding 2014-III, Ltd.Income Notes17.91 %10/22/203111/14/201611,700,000 7,536,509 6,051,247 1.0 %
CIFC Funding 2014-IV-R, Ltd.Income Notes14.50 %1/17/20358/5/20144,833,031 3,251,885 2,561,280 0.4 %
CIFC Funding 2015-I, Ltd.Subordinated Notes10.30 %1/22/203111/24/20157,500,000 5,031,075 3,783,299 0.6 %
CIFC Funding 2015-III, Ltd.(6)
Subordinated Notes— %4/19/20295/29/201810,000,000 4,802,712 3,312,724 0.5 %
CIFC Funding 2015-IV, Ltd.Subordinated Notes16.66 %4/20/20344/27/201622,930,000 13,799,161 11,047,671 1.8 %
CIFC Funding 2016-I, Ltd.Subordinated Notes25.37 %10/21/203112/9/20166,500,000 5,007,877 5,609,898 0.9 %
CIFC Funding 2017-I, Ltd.(6)
Subordinated Notes— %4/20/20292/3/20178,000,000 6,104,493 4,581,748 0.8 %
CIFC Funding 2017-IV, Ltd.Subordinated Notes11.17 %10/24/20308/14/201718,000,000 17,133,994 13,765,039 2.3 %
CIFC Funding 2018-II, Ltd.Subordinated Notes38.99 %4/20/20318/11/202210,000,000 6,520,536 5,540,204 0.9 %
CIFC Funding 2018-IV, Ltd.Subordinated Notes29.10 %10/17/20316/19/20206,000,000 4,986,530 5,016,536 0.8 %
CIFC Funding 2020-II, Ltd.Income Notes27.21 %10/20/20347/20/20202,000,000 1,756,220 1,832,757 0.3 %
CIFC Funding 2020-III, Ltd.Subordinated Notes23.05 %10/20/20349/11/20207,350,000 7,145,443 6,974,595 1.1 %
Columbia Cent CLO 29 LimitedSubordinated Notes26.22 %10/20/20347/10/202016,000,000 12,704,650 13,870,643 2.3 %
Columbia Cent CLO 31 LimitedSubordinated Notes22.75 %4/20/20342/1/202112,100,000 10,837,276 10,155,794 1.7 %
Dryden 86 CLO, Ltd.Subordinated Notes24.16 %7/17/20343/10/202210,250,000 8,107,298 6,985,765 1.1 %
Dryden 87 CLO, Ltd.Subordinated Notes25.23 %5/22/20343/10/20224,000,000 3,745,043 3,366,703 0.6 %
Dryden 95 CLO, Ltd.Subordinated Notes24.43 %8/21/20344/27/202210,500,000 9,291,690 8,672,424 1.4 %
Galaxy XIX CLO, Ltd.Subordinated Notes12.11 %7/24/203012/5/20162,750,000 1,917,962 1,391,645 0.2 %
Galaxy XX CLO, Ltd.Subordinated Notes20.94 %4/21/20315/28/20212,000,000 1,652,489 1,477,261 0.2 %
Galaxy XXI CLO, Ltd.Subordinated Notes28.81 %4/21/20315/28/20214,775,000 3,237,428 2,868,335 0.5 %
Galaxy XXVII CLO, Ltd.Subordinated Notes38.86 %5/16/20317/23/20212,212,500 1,084,985 1,209,154 0.2 %
Galaxy XXVIII CLO, Ltd.Subordinated Notes37.82 %7/15/20315/30/20145,295,000 2,732,368 2,763,242 0.5 %


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            19                             


Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Equity Class (Cayman Islands)
GoldenTree Loan Opportunities IX, Ltd.(6)
Subordinated Notes— %10/29/20297/19/2017$3,250,000 $2,169,879 $1,520,371 0.2 %
Halcyon Loan Advisors Funding 2014-2 Ltd.(6)
Subordinated Notes— %4/28/20254/14/2014400,000 210,313 — — %
Halcyon Loan Advisors Funding 2014-3 Ltd.(6)(7)
Subordinated Notes— %10/22/20259/12/2014500,000 298,545 — — %
Halcyon Loan Advisors Funding 2015-1 Ltd.(6)
Subordinated Notes— %4/20/20273/16/20153,000,000 1,849,511 — — %
Halcyon Loan Advisors Funding 2015-2 Ltd.(6)
Subordinated Notes— %7/26/20276/3/20153,000,000 1,927,789 — — %
Halcyon Loan Advisors Funding 2015-3 Ltd.(6)
Subordinated Notes— %10/18/20277/27/20157,000,000 5,329,399 21,695 0.0 %
HarbourView CLO VII-R, Ltd.(6)
Subordinated Notes— %7/18/20316/5/2015275,000 195,731 91,704 0.0 %
Jefferson Mill CLO Ltd.Subordinated Notes12.34 %10/20/20316/30/20156,049,689 4,606,520 3,644,503 0.6 %
LCM XV Limited Partnership(6)
Income Notes— %7/19/20301/28/2014250,000 143,447 96,246 0.0 %
LCM XVI Limited PartnershipIncome Notes10.78 %10/15/20315/12/20146,814,685 4,422,679 3,396,344 0.6 %
LCM XVII Limited PartnershipIncome Notes14.21 %10/15/20319/17/20141,000,000 693,667 564,997 0.1 %
LCM XVIII Limited PartnershipIncome Notes34.17 %4/21/203110/29/202112,195,000 5,550,808 4,308,743 0.7 %
LCM XXVIII Limited PartnershipSubordinated Notes31.68 %10/21/203010/29/20212,000,000 1,339,247 1,148,035 0.2 %
LCM XXXII Limited PartnershipIncome Notes24.35 %7/20/20343/2/202210,390,000 8,873,715 7,882,772 1.3 %
LCM XXXIV Limited PartnershipSubordinated Notes29.06 %10/20/20348/4/20222,395,000 1,798,423 1,611,629 0.3 %
Madison Park Funding XIII, Ltd.(6)
Subordinated Notes— %4/19/20302/3/201413,000,000 6,932,139 5,762,505 0.9 %
Madison Park Funding XIV, Ltd.Subordinated Notes22.92 %10/22/20307/3/201423,750,000 16,930,486 14,482,405 2.4 %
Madison Park Funding XL, Ltd.Subordinated Notes26.67 %5/28/203010/8/20207,000,000 3,534,632 3,075,626 0.5 %
Mountain View CLO 2014-1 Ltd.(6)
Income Notes— %10/15/20268/29/20141,000,000 497,106 — — %
Mountain View CLO IX Ltd.Subordinated Notes10.45 %7/15/20315/13/20158,815,500 4,281,488 3,502,557 0.6 %
Neuberger Berman CLO XVI-S, Ltd.Subordinated Notes21.99 %4/17/20342/9/202216,000,000 16,084,321 12,926,237 2.1 %
Neuberger Berman CLO XXI, Ltd.Subordinated Notes23.43 %4/20/20342/16/20228,501,407 7,468,677 5,958,247 1.0 %
Octagon Investment Partners XIV, Ltd.(6)
Income Notes— %7/16/202912/1/20176,150,000 2,920,873 1,675,002 0.3 %
Octagon Investment Partners XV, Ltd.Income Notes14.41 %7/19/20305/23/20198,937,544 4,870,295 4,364,966 0.7 %
Octagon Investment Partners XVII, Ltd.Subordinated Notes6.27 %1/27/20316/28/201816,153,000 7,678,475 5,540,936 0.9 %
Octagon Investment Partners 18-R, Ltd.Subordinated Notes7.34 %4/16/20317/30/20154,568,944 2,064,841 1,531,972 0.3 %
Octagon Investment Partners 20-R, Ltd.Subordinated Notes18.02 %5/12/20314/25/20193,500,000 3,023,675 2,394,110 0.4 %
Octagon Investment Partners XXI, Ltd.Subordinated Notes19.15 %2/14/20311/6/201613,822,188 8,584,613 6,723,280 1.1 %
Octagon Investment Partners XXII, Ltd.Subordinated Notes6.36 %1/22/203011/12/20146,625,000 4,678,091 3,299,797 0.5 %
Octagon Investment Partners 27, Ltd.Subordinated Notes16.86 %7/15/203010/31/20185,000,000 3,312,826 2,679,209 0.4 %
Octagon Investment Partners 30, Ltd.Subordinated Notes2.89 %3/18/203011/16/20179,525,000 7,139,020 5,704,555 0.9 %
Octagon Investment Partners 31, Ltd.Subordinated Notes12.93 %7/19/203012/20/20193,067,500 1,844,024 1,693,423 0.3 %
Octagon Investment Partners 33, Ltd.Subordinated Notes6.86 %1/20/20317/9/20182,850,000 2,238,354 1,693,314 0.3 %
Octagon Investment Partners 36, Ltd.Subordinated Notes18.94 %4/15/203112/20/201910,400,960 8,022,664 6,671,559 1.1 %


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            20                             


Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Equity Class (Cayman Islands)
Octagon Investment Partners 37, Ltd.Subordinated Notes20.29 %7/25/20303/17/2021$14,500,000 $11,319,726 $10,359,196 1.7 %
Octagon Investment Partners 39, Ltd.Subordinated Notes22.25 %10/21/20301/9/202010,250,000 8,476,285 8,076,463 1.3 %
Octagon Loan Funding, Ltd.Subordinated Notes18.81 %11/18/20318/25/20145,014,526 3,074,092 2,734,680 0.4 %
OZLM VI, Ltd.Subordinated Notes2.22 %4/17/203110/31/201615,688,991 10,224,556 6,801,231 1.1 %
OZLM VII, Ltd.(6)
Subordinated Notes— %7/17/202911/3/20152,654,467 1,336,165 382,945 0.1 %
OZLM VIII, Ltd.(6)
Subordinated Notes— %10/17/20298/7/2014950,000 532,554 233,829 0.0 %
OZLM IX, Ltd.Subordinated Notes8.28 %10/20/20312/22/201715,000,000 10,861,465 7,832,735 1.3 %
OZLM XII, Ltd.(6)(7)
Subordinated Notes— %4/30/20271/17/201712,122,952 6,534,353 — — %
OZLM XXII, Ltd.Subordinated Notes4.37 %1/17/20315/11/201727,343,000 13,614,851 9,830,091 1.6 %
Redding Ridge 3 CLO, Ltd.Preference Shares11.67 %1/15/20303/26/202112,293,000 6,814,142 5,389,158 0.9 %
Redding Ridge 4 CLO, Ltd.Subordinated Notes15.96 %4/15/20301/29/202114,000,000 12,833,509 10,941,139 1.8 %
Redding Ridge 5 CLO, Ltd.Subordinated Notes20.51 %10/15/20315/27/20215,500,000 5,289,298 4,800,537 0.8 %
Rockford Tower CLO 2021-3, Ltd.Subordinated Notes20.73 %10/20/20342/11/20228,000,000 7,174,888 6,866,252 1.1 %
Romark WM-R Ltd.Subordinated Notes13.28 %4/21/20314/11/2014490,713 347,127 267,017 0.0 %
Sound Point CLO II, Ltd.(6)
Subordinated Notes— %1/26/20315/16/201921,053,778 9,830,083 6,402,313 1.1 %
Sound Point CLO VII-R, Ltd.Subordinated Notes15.41 %10/23/20317/31/20199,002,745 3,683,054 2,732,796 0.4 %
Sound Point CLO XVII, Ltd.Subordinated Notes2.03 %10/20/20307/11/201820,000,000 13,884,865 10,967,132 1.8 %
Sound Point CLO XVIII, Ltd.Subordinated Notes9.27 %1/20/203110/29/201815,563,500 10,809,022 8,976,238 1.5 %
Sound Point CLO XIX, Ltd.Subordinated Notes20.48 %4/15/20319/23/20217,500,000 4,299,830 3,646,978 0.6 %
Sound Point CLO XX, Ltd.Subordinated Notes20.63 %7/28/203111/5/20218,000,000 5,359,254 4,369,052 0.7 %
Sound Point CLO XXIII, Ltd.Subordinated Notes17.13 %7/17/20348/27/20215,915,000 4,619,589 4,187,522 0.7 %
Symphony CLO XIV, Ltd.(6)(7)
Subordinated Notes— %7/14/20265/6/2014750,000 350,354 48,683 0.0 %
Symphony CLO XVI, Ltd.Subordinated Notes10.84 %10/15/20317/1/20155,000,000 3,974,170 3,103,387 0.5 %
Symphony CLO XIX, Ltd.Subordinated Notes16.27 %4/16/20315/6/20212,000,000 1,369,487 1,216,647 0.2 %
TCI-Symphony CLO 2017-1, Ltd.Income Notes14.73 %7/15/20309/15/20203,000,000 1,879,132 1,593,966 0.3 %
TCW CLO 2021-2, Ltd.Subordinated Notes26.50 %7/25/20348/17/20225,000,000 3,903,082 3,588,282 0.6 %
THL Credit Wind River 2013-1 CLO, Ltd.(6)
Subordinated Notes— %7/19/203011/1/201710,395,000 6,382,090 3,298,904 0.5 %
THL Credit Wind River 2013-2 CLO, Ltd.(6)
Income Notes— %10/18/203012/27/20173,250,000 1,832,745 1,169,723 0.2 %
THL Credit Wind River 2014-1 CLO, Ltd.Subordinated Notes8.39 %7/18/20317/11/201811,800,000 6,933,034 5,238,642 0.9 %
THL Credit Wind River 2014-2 CLO, Ltd.Income Notes14.57 %1/15/20311/22/20217,550,000 2,668,994 2,011,424 0.3 %
THL Credit Wind River 2017-4 CLO, Ltd.Subordinated Notes19.65 %11/20/20306/25/20203,765,400 2,827,324 2,434,679 0.4 %
THL Credit Wind River 2018-2 CLO, Ltd.Subordinated Notes17.01 %7/15/20303/11/20198,884,000 7,923,148 6,647,616 1.1 %
THL Credit Wind River 2018-3 CLO, Ltd.Subordinated Notes21.69 %1/20/20316/28/201913,000,000 12,456,974 10,858,479 1.8 %
Venture XVIII CLO, Ltd.(6)
Subordinated Notes— %10/15/20297/16/20184,750,000 2,642,063 997,643 0.2 %


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            21                             


Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Equity Class (Cayman Islands)
Venture 28A CLO, Ltd.Subordinated Notes17.84 %10/20/20347/16/2018$17,715,000 $13,996,932 $12,122,193 2.0 %
Venture XXX CLO, Ltd.Subordinated Notes6.00 %1/15/20317/16/20185,100,000 3,894,161 3,094,489 0.5 %
Venture XXXII CLO, Ltd.Subordinated Notes16.66 %7/18/203110/9/20187,929,328 7,085,827 5,714,029 0.9 %
Venture XXXIV CLO, Ltd.Subordinated Notes22.79 %10/15/20317/30/201913,903,000 11,412,247 10,923,334 1.8 %
Venture 41 CLO, Ltd.Subordinated Notes25.72 %1/20/20341/26/20218,249,375 7,777,259 7,061,765 1.2 %
Venture 42 CLO, Ltd.Subordinated Notes24.00 %4/17/203411/5/202115,000,000 13,662,363 12,185,016 2.0 %
Venture 43 CLO, Ltd.Subordinated Notes23.24 %4/17/20349/1/202112,000,000 10,046,864 9,505,104 1.6 %
Voya IM CLO 2013-1, Ltd.Income Notes0.52 %10/15/20306/9/20164,174,688 2,463,615 1,825,086 0.3 %
Voya IM CLO 2013-3, Ltd.Subordinated Notes3.28 %10/18/20312/13/20154,000,000 1,847,160 1,286,926 0.2 %
Voya IM CLO 2014-1, Ltd.Subordinated Notes0.55 %4/18/20312/5/2014314,774 180,632 122,714 0.0 %
Voya CLO 2014-3, Ltd.(6)(7)
Subordinated Notes— %7/24/20264/10/20157,000,000 2,672,262 — — %
Voya CLO 2014-4, Ltd.Subordinated Notes3.63 %7/14/203111/10/20141,000,000 630,773 409,435 0.1 %
Voya CLO 2015-2, Ltd.(6)(7)
Subordinated Notes— %7/23/20276/24/201513,712,000 2,777,172 — — %
Voya CLO 2016-1, Ltd.Subordinated Notes10.05 %1/21/20311/22/20167,750,000 5,983,534 5,138,724 0.8 %
Voya CLO 2016-3, Ltd.Subordinated Notes13.18 %10/20/20319/30/201610,225,000 8,060,283 7,021,866 1.2 %
Voya CLO 2017-3, Ltd.Subordinated Notes13.16 %4/20/20346/15/20175,750,000 6,684,247 5,171,136 0.8 %
Voya CLO 2017-4, Ltd.Subordinated Notes20.80 %10/15/20303/25/20212,500,000 1,630,747 1,408,119 0.2 %
Voya CLO 2018-1, Ltd.Subordinated Notes15.25 %4/21/20312/23/201820,000,000 16,344,600 13,944,430 2.3 %
Voya CLO 2018-2, Ltd.Subordinated Notes27.61 %7/15/20314/27/20216,778,666 4,613,829 4,242,519 0.7 %
Voya CLO 2018-4, Ltd.Subordinated Notes32.69 %1/15/20328/9/20213,192,000 2,486,423 2,304,136 0.4 %
Voya CLO 2019-1, Ltd.Subordinated Notes20.83 %4/15/20311/27/202015,500,000 14,639,139 12,482,828 2.0 %
Voya CLO 2020-1, Ltd.Subordinated Notes22.95 %7/17/20343/3/20226,500,000 5,824,243 5,084,435 0.8 %
Voya CLO 2022-1, Ltd.Subordinated Notes24.21 %4/20/20353/18/202217,600,000 16,417,299 15,331,996 2.5 %
West CLO 2014-1 Ltd.(6)(7)
Subordinated Notes— %7/17/20266/24/201413,375,000 2,586,143 — — %
Total Collateralized Loan Obligation - Equity Class$902,799,933 $742,918,521 121.9 %
Collateralized Loan Obligation - Debt Class (Cayman Islands)(4)
AGL CLO 5, Ltd.Class E-R Notes11.70% (LIBOR + 6.45%)7/20/20346/13/2023$4,500,000 $4,015,433 $3,972,882 0.7 %
Apidos CLO XIIClass E-R Notes10.66% (LIBOR + 5.40%)4/15/20314/11/20235,750,000 4,754,346 4,836,196 0.8 %
Bain Capital Credit CLO 2019-1, Ltd.Class E-R Notes12.28% (LIBOR + 7.01%)4/19/20346/8/20231,500,000 1,293,635 1,308,384 0.2 %
Bain Capital Credit CLO 2021-2, Ltd.Class E Notes11.99% (LIBOR + 6.73%)7/16/20346/14/20232,500,000 2,162,284 2,181,653 0.4 %
BlueMountain CLO XXV Ltd.Class E-R Notes12.51% (LIBOR + 7.25%)7/15/20364/24/20234,275,000 3,727,624 3,828,080 0.6 %
BlueMountain Fuji US CLO III Ltd.Class E Notes10.46% (LIBOR + 5.20%)1/15/20309/9/20222,000,000 1,680,073 1,729,958 0.3 %


2023 ANNUAL REPORT
PRIORITY INCOME FUND, INC.                                            22                             


Portfolio Investments(1)(5)(9)
Investment
Estimated Yield(2)/Interest Rate
Legal MaturityAcquisition datePrincipal AmountAmortized Cost
Fair Value(3)
Level 3
% of Net Assets
Collateralized Loan Obligation - Debt Class (Cayman Islands)(4)
Cent CLO 21 LimitedClass D-R2 Notes11.59% (LIBOR + 6.30%)7/26/20307/29/2022$7,000,000 $5,829,179 $6,342,528 1.0 %
CIFC Funding 2013-III-R, Ltd.Class D Notes11.17% (LIBOR + 5.90%)4/24/20319/9/20221,675,000 1,435,711 1,484,445 0.2 %
CIFC Funding 2014-III, Ltd.Class E-R2 Notes11.37% (LIBOR + 6.10%)10/22/20319/16/20221,125,000 959,788 1,076,690 0.2 %
CIFC Funding 2015-I, Ltd.Class E-RR Notes11.27% (LIBOR + 6.00%)1/22/20319/9/20222,562,500 2,197,587 2,422,993 0.4 %
CIFC Funding 2017-IV, Ltd.Class D Notes11.37% (LIBOR + 6.10%)10/24/20304/21/20234,500,000 3,956,406 4,036,207 0.7 %
Dryden 28 CLO, Ltd.Class B2LR Notes11.77% (LIBOR + 6.45%)8/15/20305/1/20233,090,000 2,726,562 2,742,483 0.5 %
Dryden 57 CLO, Ltd.Class E Notes10.52% (LIBOR + 5.20%)5/15/20314/11/20234,000,000 3,271,606 3,248,846 0.5 %
GoldenTree Loan Management US CLO 11, Ltd.Class E-J Notes13.00% (LIBOR + 7.75%)10/20/20345/4/20232,750,000 2,431,973 2,554,385 0.4 %
LCM XXIII Ltd.Class D Notes12.30% (LIBOR + 7.05%)10/19/20298/19/20226,000,000 5,180,359 5,016,116 0.8 %
Madison Park Funding XIV, Ltd.Class E-R Notes11.07% (LIBOR + 5.80%)10/22/20306/2/20232,375,000 2,024,660 2,272,244 0.4 %
Madison Park Funding XXIV, Ltd.Class E-R Notes12.51% (SOFR + 7.46%)10/19/20298/19/20225,000,000 4,701,116 4,791,156 0.8 %
Madison Park Funding XL, Ltd.Class E-R Notes11.91% (LIBOR + 6.45%)5/28/20309/9/20223,460,000 3,065,196 3,297,999 0.5 %
Neuberger Berman CLO XV, Ltd.Class E-R Notes12.01% (LIBOR + 6.75%)10/15/20299/14/20221,375,000 1,254,707 1,309,887 0.2 %
Newark BSL CLO 2, Ltd.Class D Notes11.56% (LIBOR + 7.25%)7/25/20307/27/20223,000,000 2,689,756 2,799,009 0.5 %
Octagon Investment Partners 59, Ltd.Class E Notes12.69% (SOFR + 7.60%)5/15/20354/19/20232,500,000