NAV Update for the quarter ended 31 March 2010

Greenwich Loan Income Fund Limited

NAV Update for the quarter ended 31 March 2010

19 May 2010

The Company announces that as at 31 March 2010, its preliminary unaudited net asset value (NAV) per share was 75.9p. The increase in NAV, compared to the NAV of 70.2p per share as at 31 December 2009, was due primarily to mark-ups of the CLO portfolio investments, offset to some extent by mark-ups on CLO notes. The weighted average market bid for the Company's portfolio at the quarter end was 90.7% of par and for the liabilities 80.3%. This compares to year-end figures of 77.3% of par and 77.1% respectively. The NAV also benefited from a strengthening of the US dollar versus the Pound Sterling and the increased level of prepayments and amortizations.

As previously described to shareholders, under International Financial Reporting Standards (IFRS), the consolidated results of operations for the Company include the impact of carrying its investments and its liabilities at fair value. Shareholders should be aware that the Company's realisation of the full NAV is unlikely. The NAV, as calculated in accordance with IFRS, reflects the theoretical fair value of the liabilities of the CLO but, because the market is rather illiquid, it may be difficult for the Company to acquire any or a significant portion of those liabilities.

As discussed in the Chairman's message at year-end, the Board has determined that it will release two further calculations with the NAV release in order to provide a greater level of background information.

The first calculation is based upon the value of the assets at market value (including cash in the CLO), but the liabilities at their par value. This calculation results in a per share value for 31 March 2010 of 38.9p, compared to 29.7p per share at the year end. (The calculation disclosed in the annual report did not reflect the value of cash at the CLO, only investment portfolio values.) The reason for this substantial jump in value is principally due to the fact that the market value of the portfolio investments of the CLO, at $278.2 million, exceeds the CLO liabilities of $248.9 million, and therefore any rise in value of the CLO assets is reflected in this calculation. In addition, the favourable move in the exchange rate helped, as did the fact that prepayments and amortizations over the quarter amounted to over 10% of the market value of the CLO's investments at the start of the year.

The second additional number to be released is similar to the first, with the exception of the assets within the CLO that will be valued at the level calculated for CLO interest test purposes. The rationale for utilisation of this value is that for CLO interest test purposes loans are only marked to market where they are rated CCC or below, are being restructured or are in default. This gives an indication of what value may be within the CLO portfolio, if it continues to perform. Assets outside of the CLO will be marked to market regardless of rating. This calculation results in a value per share of 52.2p. At year end this value was 48.5p per share. The reason for the move in this value is the favourable exchange rate move and a small pick-up in the value for test purposes through the reinvestment of prepayments and amortizations at a discount to par.

Contacts:

Geoffrey Miller

Greenwich Loan Income Fund Limited

+353 1 4433 466

Patrick Conroy

Greenwich Loan Income Fund Limited

+1 203 983 5282

Philip Secrett

Nominated Adviser

Grant Thornton Corporate Finance

+44 207 383 5100

James Maxwell

Singer Capital Markets Limited

+44 (0) 20 3205 7622

Ed Gascoigne Pees

Financial Dynamics

+44 (0) 207 269 7132