Bexil : Announces Second Quarter 2020 Financial Results

Press Release August 12, 2020

Bexil Corporation Announces Second Quarter 2020 Financial Results

NEW YORK, NY - August 12, 2020 - Bexil Corporation (ticker: BXLC) ("Bexil" or the "Company") today reported its financial results for the second quarter ended June 30, 2020.

For the three months ended June 30, 2020, Bexil recorded net income attributable to Bexil shareholders of approximately $1.46 million or $1.74 of diluted earnings per share, compared to net income attributable to Bexil shareholders of approximately $0.45 million or $0.50 of diluted earnings per share for the three months ended June 30, 2019.

For the six months ended June 30, 2020, Bexil recorded a net loss attributable to Bexil shareholders of approximately $4.01 million or $4.88 per share compared to net income attributable to Bexil shareholders of approximately $2.60 million or $2.88 of diluted earnings per share for the six months ended June 30, 2019.

The Company's book value per share attributable to Bexil shareholders at June 30, 2020 was $21.86, based on shareholders' equity attributable to Bexil shareholders of approximately $17.9 million and 822,132 shares issued and outstanding.

The Company's unaudited consolidated balance sheet, statements of comprehensive income (loss), and statements of cash flows as of and for the six months ended June 30, 2020 are appended to the copy of this press release on www.Bexil.com.

Effects of COVID-19 on the Company

To the extent COVID-19 has caused prices of publicly traded securities generally to decline in 2020, it has indirectly impacted the Company's financial condition and results of operations because the Company's assets are substantially invested in such securities and revenue from its operations are largely dependent on the value of gross assets under management

invested in such securities. The full impact of COVID-19on the Company's financial condition and results of operations is uncertain and cannot be predicted at the current time as it depends on several factors beyond the control of the Company including, but not limited to the uncertainty around (i) the severity and duration of the outbreak, (ii) the effectiveness of the U.S. public health response, (iii) the pandemic's impact on the U.S. and global economies, (iv) the timing, scope, and effectiveness of additional governmental responses to the pandemic, (v) the timing and speed of economic recovery, including the availability of a treatment or vaccination for COVID-19,and (vi) the impact on financial markets. Due to these and similar factors, on May 19, 2020 a Company affiliate (the "Borrower") entered into a Paycheck Protection Program Term Note ("PPP Note") on behalf of itself and certain of its affiliates, including the Company (collectively, the "Affiliates"), under the Paycheck Protection Program of the recently enacted Coronavirus Aid, Relief, and Economic Security Act ("CARES Act"). Interest accrues on the PPP Note at the rate per annum of 1.00%. The Borrower may apply for forgiveness of the amount due on the PPP Note which is anticipated to be an amount equal to the sum of eligible payroll, mortgage interest, rent, and utility expenses incurred by the Affiliates during, at the Borrower's discretion and whichever is most advantageous, either the eight weeks or twenty-fourweeks (the "Covered Period") following disbursement under the PPP Note. To the extent the PPP Note is forgiven, and legal release is received, the Company expects to record a gain in an amount proportionate to its share of such eligible expenses incurred during the Covered Period. On May 19, 2022, all accrued interest that is not forgiven shall be due and payable.

About Bexil Corporation

Bexil is primarily engaged through a wholly owned subsidiary in investment management. To learn more about Bexil, including Rule 15c2-11information, please visit www.Bexil.com.

Bexil.com

Press Release August 12, 2020

Safe Harbor Note

This release may contain certain "forward looking statements" within the meaning of federal securities laws including, but

not limited to the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Bexil, which may cause the Company's actual results to be materially different from those expressed or implied by such statements. The Company may also make additional forward looking statements from time to time. All such subsequent forward looking statements, whether written or oral, by the Company or on its behalf, are also expressly qualified by these cautionary statements. Investors should carefully consider the risks, uncertainties, and other factors, together with all of the other information included in the Company's Annual Report, athttp://www.bexil.com/cautionary-language.html,and similar information. All forward looking statements made herein are only made as of the date of this release, and the Company undertakes no obligation to publicly update such forward looking statements to reflect subsequent events or circumstances.

The Company views book value per share, a non-GAAPfinancial measure, as an important indicator of financial perfor- mance. Presented in conjunction with other financial information, the combined presentation can enhance an investor's understanding of the Company's underlying financial condition and results from operations. The definition of book value as presented in this press release is shareholders' equity attributable to Bexil shareholders divided by currently issued and outstanding shares.

Contact:	Thomas O'Malley
	Chief Financial Officer
	1-212-785-0900
	[e-mail]
	www.Bexil.com

Bexil.com

Bexil Corporation
Consolidated Balance Sheet
June 30,2020
(Unaudited)
Assets
Cash and cash equivalents	$	3,809,780
Investments in securities		12,869,926
Accounts receivable		176,750
Intangible asset, net		1,261,458
Deferred tax assets, net		912,249
Total assets	$	19,030,163
Liabilities and equity
Accounts payable and accrued expenses	$	1,229,653
Total liabilities		1,229,653
Commitments and Contingencies
Equity
Bexil Corporation shareholders' equity
Common stock, $0.01 par value, 9,900,000 shares authorized; 822,132
issued and outstanding		8,221
Series A participating preferred stock, $0.01 par value, 100,000 shares
authorized; zero shares issued and outstanding		-
Additional paid in capital		14,228,199
Notes receivable for common stock issued		(947,333)
Retained earnings		4,683,802
Total Bexil Corporation shareholders' equity		17,972,889
Noncontrolling interests in subsidiary		(172,379)
Total equity		17,800,510
Total liabilities and equity	$	19,030,163

Bexil.com

Bexil Corporation

Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)

	Three Months Ended June 30,			Six Months Ended June 30,
Revenues		2020			2019			2020			2019
Management and other fees	$	476,666	$	545,428	$	977,386	$	1,096,638
Dividends and interest		303,032			255,544			607,281			500,843
Realized gain (loss) on investments in
securities		(239)			2,319			3,729			35,463
Unrealized gain (loss) on investments in
securities		1,300,206			164,576			(4,426,492)			2,002,699
Expenses		2,079,665			967,867			(2,838,096)			3,635,643
Compensation and benefits		341,775			312,063			652,827			634,613
General and administrative		127,628			126,253			266,363			269,709
Professional services		41,390			62,196			81,079			111,147
Income (loss) before taxes		510,793			500,512			1,000,269			1,015,469
	1,568,872			467,355			(3,838,365)			2,620,174
Income tax expense		109,996			17,330			175,660			35,307
Net income (loss)		1,458,876			450,025			(4,014,025)			2,584,867
Net loss attributable to noncontrolling
interests		920			641			1,716			1,138
Net income (loss) attributable to Bexil
Corporation shareholders	$	1,459,796	$	450,666	$	(4,012,309)	$	2,586,005
Net income (loss) per share
Basic, attributable to Bexil Corporation
shareholders	$	1.78	$	0.52	$	(4.88)	$	2.98
Diluted, attributable to Bexil Corporation
shareholders	$	1.74	$	0.50	$	(4.88)	$	2.88
Weighted average shares outstanding
Basic		822,132			865,788			822,462			866,752
Diluted		840,327			903,185			822,462			897,108
Other comprehensive gain (loss), net of tax
Unrealized gain (loss) on investment
securities		(6,516)			1,228			2,209			326
Other comprehensive gain (loss)		(6,516)			1,228			2,209			326
Comprehensive income (loss)		1,452,360			451,253			(4,011,816)			2,585,193
Comprehensive loss attributable to
noncontrolling interests		920			641			1,716			1,138
Comprehensive income (loss) attributable to
Bexil Corporation shareholders	$	1,453,280	$	451,894	$	(4,010,100)	$	2,586,331

Bexil.com

Bexil Corporation

Consolidated Statements of Cash Flows

Six Months Ended June 30, 2020 and 2019

(Unaudited)

Cash flows from operating activities		2020			2019
Net (loss) income	$	(4,014,025)	$	2,584,867
Adjustments to reconcile net (loss) income to net cash provided by
operating activities
Purchase of investment securities, trading		(489,309)			(1,125,632)
Proceeds on sales of investment securities, trading		275,243			830,669
Stock-based compensation expense		3,103			14,586
Realized gain on investments in securities		(3,729)			(35,276)
Unrealized loss (gain) on investments in securities		4,426,492			(2,002,699)
Amortization		180,208			180,208
Amortization of premium (accretion of discount)		5,776			(11,996)
Decrease in accounts receivable		41,718			124,455
Increase (decrease) in accounts payable and accrued expenses		38,718			(145,390)
Increase (decrease) in securities loaned		4,028			(1,632)
Decrease in payable for securities purchases		-			(216,394)
Increase in securities sold, not yet purchased		-			65,550
Net cash provided by operating activities		468,223			261,316
Cash flows from investing activities
Purchase of investment securities, available-for-sale		(1,050,000)			(3,336,138)
Proceeds on maturities of investment securities, available-for-sale		3,550,000			2,495,000
Net cash provided by (used in) investing activities		2,500,000			(841,138)
Cash flows from financing activities
Repayments on notes receivable for common stock issued		58,500			52,437
Common stock repurchases		(62,400)			(88,387)
Net settlement of cashless stock option exercises		(92,313)			-
Net cash used in financing activities		(96,213)			(35,950)
Net increase (decrease) in cash and cash equivalents		2,872,010			(615,772)
Cash and cash equivalents, beginning of period		937,770			1,796,501
Cash and cash equivalents, end of period	$	3,809,780		$	1,180,729
Supplemental disclosures
Income taxes paid	$	175,810	$	109,077

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