#1#2#3#4Executive Summary ELLIOTT Ⓡ#5Executive Summary Why Are We Here? Elliott believes that: American Capital has Systematically Failed to Deliver Shareholder Value ➤ Management's Spin-Out Proposal will PERMANENTLY IMPAIR the Value of the Business ➤ There are Better Paths to Maximizing Shareholder Value 4#6#7Executive Summary Elliott's Approach to ACAS Elliott has conducted extensive research, including with the help of external advisors, to understand the opportunity at American Capital Elliott In-House Investment and Research Team Institutional Investors and Analysts External Advisors and Industry Experts Legal and Tax Counsel Due Diligence Process ▪ Deep financial valuation and trading capability ▪ Collaboration between investment teams with expertise in public and private credit, RMBS, private equity and activist investing ▪ Extensive evaluation of ACAS portfolio and strategic alternatives ▪ Active relationships with leading Wall Street research analysts ▪ Due diligence with key institutional and hedge fund investors ▪ Retained an industry-leading investment bank specializing in financial services ▪ Consulted with numerous industry experts with decades of experience ▪ Retained consultants specializing in related business issues ▪ Retained renowned accounting firm Corporate/regulatory counsel from top tier full service law firms ▪ Counsel specializing in '40 Act (fund) matters ■ Experienced tax counsel 6#8#9#10#11#12#13#14#15#16#17#18#19#20#21#22#23#24#25#26#27#28#29#30#31#32#33