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Priority Income Fund Announces Redemption of its 6.000% Series H Term Preferred Stock Due 2026

1. Priority Income Fund will redeem Series H Preferred Stock on April 9, 2025. 2. Redemption price is set at $25 plus accrued dividends. 3. Post-redemption, only other preferred series and common stock will remain. 4. Priority Income Fund primarily invests in senior secured loans and CLOs. 5. Prospect Capital manages the fund, overseeing $8.3 billion in assets.

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Why Neutral?

The redemption of preferred shares indicates financial stability, but may also limit income sources temporarily, similar to previous fund adjustments that initially affected stock performance before stabilizing in the long run.

How important is it?

The redemption affects investment strategy and risk profiles but does not indicate a significant change in overall management or dividend policies immediately.

Why Short Term?

The news will likely have immediate but transient effects on investor sentiment as the redemption proceeds, returning to focus on the fund's underlying income-generating capabilities over time.

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PRIFPSEC
March 10, 2025 13:15 ET  | Source: Priority Income Fund, Inc. NEW YORK, March 10, 2025 (GLOBE NEWSWIRE) -- Priority Income Fund, Inc. (“Priority Income Fund” or the “Fund”) announced today that it will redeem all outstanding shares of its 6.000% Series H Term Preferred Stock Due 2026 (CUSIP: 74274W 798; NYSE: PRIF PRH) (the “Series H Preferred Shares”) at a price of $25 per Series H Preferred Share, plus accrued but unpaid dividends per Series H Preferred Share from March 31, 2025, to but excluding, the Redemption Date (the “Redemption Price”). The redemption date will be April 9, 2025 (the “Redemption Date”). On the Redemption Date, the Redemption Price will become due and payable on the Series H Preferred Shares and any dividends shall cease to accumulate on the Series H Preferred Shares that are redeemed from and after such date. Unless the Fund defaults in the payment of the Redemption Price, dividends on the Series H Preferred Shares that are redeemed will cease to accumulate on and after the Redemption Date, and the only remaining right of the holders of the Series H Preferred Shares that are redeemed is to receive payment of the Redemption Price. The Series H Preferred Shares are held through The Depository Trust Company and will be redeemed in accordance with the applicable procedures. This press release does not constitute a notice of redemption under the articles supplementary governing the shares. Following redemption of the Series H Preferred Shares, the Fund will have outstanding shares of 7.00% Series D Term Preferred Stock due 2029 (NYSE: PRIF PRD), 6.625% Series F Term Preferred Stock due 2027 (NYSE: PRIF PRF), 6.125% Series I Term Preferred Stock due 2028 (NYSE: PRIF PRI), 6.000% Series J Term Preferred Stock due 2028 (NYSE: PRIF PRJ), 7.000% Series K Cumulative Preferred Stock (NYSE: PRIF PRK), and 6.375% Series L Term Preferred Stock due 2029 (NYSE: PRIF PRL). About Priority Income FundPriority Income Fund, Inc. is a registered closed-end fund that was created to acquire and grow an investment portfolio primarily consisting of senior secured loans or pools of senior secured loans known as collateralized loan obligations ("CLOs"). Such loans will generally have a floating interest rate and include a first lien on the assets of the respective borrowers, which typically are private and public companies based in the United States. The Fund is managed by Priority Senior Secured Income Management, LLC, which is led by a team of investment professionals from the investment and operations team of Prospect Capital Management L.P. (“Prospect”). For more information, visit https://www.priorityincomefund.com. About Prospect Capital Management L.P.Prospect, headquartered in New York City, is an SEC-registered investment adviser that, along with its predecessors and affiliates, has more than 37-years of investing in and managing high-yielding debt and equity investments using both private partnerships and publicly traded closed-end structures. Prospect and its affiliates employ a team of over 150 professionals who focus on credit-oriented investments yielding attractive current income. Prospect, together with its affiliates, has $8.3 billion of assets under management as of December 31, 2024. Prospect is the investment adviser to Prospect Capital Corporation (NASDAQ: PSEC). For more information, call (212) 448-0702 or visit https://www.prospectcap.com.   Additional Information Forward-Looking StatementsThis press release 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," "projects," 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 unknowable future events and conditions, including elements of the future 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. Actual developments and results are highly likely to vary materially from any forward-looking statements. Such statements speak only as of the time when made, and 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.

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