SC 13D/A

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

SCHEDULE 13D

(Rule 13d-101)

INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT

TO § 240.13d-1(a) AND AMENDMENTS THERETO FILED

PURSUANT TO § 240.13d-2(a)

(Amendment No. 1)

RAIT FINANCIAL TRUST

(Name of Issuer)

Common Shares of Beneficial Interest, $0.03 par value per share

(Title of Class of Securities)

749227609

(CUSIP Number)

Thomas Surgent, Chief Compliance Officer

Highland Capital Management, L.P.

300 Crescent Court, Suite 700

Dallas, TX 75201

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

November 10, 2016

(Date of Event Which Requires Filing of this Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.  ☐

13D

CUSIP NO. 749227609 Page 1 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Global Allocation Fund
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     WC
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Massachusetts
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,219,361
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,219,361
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,219,361
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     2.4%
14	TYPE OF REPORTING PERSON (see instructions)     IV, OO

13D

CUSIP NO. 749227609 Page 2 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Small-Cap Equity Fund
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     WC
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Massachusetts
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     484,789
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     484,789
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     484,789
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     0.5%
14	TYPE OF REPORTING PERSON (see instructions)     IV, OO

13D

CUSIP NO. 749227609 Page 3 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Capital Management Fund Advisors, L.P.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF, OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,704,150
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,704,150
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,704,150
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     2.9%
14	TYPE OF REPORTING PERSON (see instructions)     IA, PN

13D

CUSIP NO. 749227609 Page 4 of 19 Pages

1	NAME OF REPORTING PERSONS Strand Advisors XVI, Inc.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,704,150
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,704,150
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,704,150
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     2.9%
14	TYPE OF REPORTING PERSON (see instructions)     HC, OO

13D

CUSIP NO. 749227609 Page 5 of 19 Pages

1	NAME OF REPORTING PERSONS NexPoint Real Estate Strategies Fund
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     WC
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     98,040
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     98,040
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     98,040
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     0.1%
14	TYPE OF REPORTING PERSON (see instructions)     IV

13D

CUSIP NO. 749227609 Page 6 of 19 Pages

1	NAME OF REPORTING PERSONS NexPoint Advisors, L.P.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     98,040
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     98,040
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     98,040
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     0.1%
14	TYPE OF REPORTING PERSON (see instructions)     IA, PN

13D

CUSIP NO. 749227609 Page 7 of 19 Pages

1	NAME OF REPORTING PERSONS NexPoint Advisors GP, LLC
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     98,040
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     98,040
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     98,040
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     0.1%
14	TYPE OF REPORTING PERSON (see instructions)     HC, OO

13D

CUSIP NO. 749227609 Page 8 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Select Equity Master Fund, L.P.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     WC
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Bermuda
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,775,457
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,775,457
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,775,457
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     3.0%
14	TYPE OF REPORTING PERSON (see instructions)     PN

13D

CUSIP NO. 749227609 Page 9 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Select Equity Fund GP, L.P.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,775,457
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,775,457
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,775,457
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     3.0%
14	TYPE OF REPORTING PERSON (see instructions)     PN

13D

CUSIP NO. 749227609 Page 10 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Select Equity GP, LLC
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,775,457
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,775,457
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,775,457
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     3.0%
14	TYPE OF REPORTING PERSON (see instructions)     OO

13D

CUSIP NO. 749227609 Page 11 of 19 Pages

1	NAME OF REPORTING PERSONS Highland Capital Management, L.P.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,775,457
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,775,457
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,775,457
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     3.0%
14	TYPE OF REPORTING PERSON (see instructions)     IA, PN

13D

CUSIP NO. 749227609 Page 12 of 19 Pages

1	NAME OF REPORTING PERSONS Strand Advisors, Inc.
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     Delaware
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     2,775,457
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     2,775,457
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     2,775,457
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     3.0%
14	TYPE OF REPORTING PERSON (see instructions)     HC, CO

13D

CUSIP NO. 749227609 Page 13 of 19 Pages

1	NAME OF REPORTING PERSONS James D. Dondero
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (see instructions) (a)  ☐        (b)  ☐
3	SEC USE ONLY
4	SOURCE OF FUNDS (see instructions)     AF/OO
5	CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e)    ☐
6	CITIZENSHIP OR PLACE OF ORGANIZATION     United States
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH		7	SOLE VOTING POWER     0
		8	SHARED VOTING POWER     5,577,647
		9	SOLE DISPOSITIVE POWER     0
		10	SHARED DISPOSITIVE POWER     5,577,647
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON     5,577,647
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (see instructions)    ☐
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)     6.1%
14	TYPE OF REPORTING PERSON (see instructions)     HC, IN

13D

CUSIP NO. 749227609 Page 14 of 19 Pages

SCHEDULE 13D

This Amendment No. 1 (this “Amendment”) is being filed on behalf of Highland Global Allocation Fund, a series of Highland Funds II, a Massachusetts business trust (the “Global Fund”), Highland Small-Cap Equity Fund, a series of Highland Funds II, a Massachusetts business trust (the “Small-Cap Fund”), Highland Capital Management Fund Advisors, L.P., a Delaware limited partnership (“Highland Fund Advisors”), Strand Advisors XVI, Inc., a Delaware corporation (“Strand XVI”), NexPoint Real Estate Strategies Fund, a Delaware statutory trust (“NRESF”), NexPoint Advisors, L.P., a Delaware limited partnership (“NexPoint Advisors”), NexPoint Advisors GP, LLC, a Delaware limited liability company (“NexPoint Advisors GP”), Highland Select Equity Master Fund, L.P., a Bermuda limited partnership (“Select Fund”), Highland Select Equity Fund GP, L.P., a Delaware limited partnership (“Select GP”), Highland Select Equity GP, LLC, a Delaware limited liability company (“Select LLC”), Highland Capital Management, L.P., a Delaware limited partnership (“Highland Capital”), Strand Advisors, Inc., a Delaware corporation (“Strand”) and James D. Dondero (collectively, the “Reporting Persons”), and amends the Schedule 13D filed on October 7, 2016. This Amendment updates information with respect to the Reporting Persons and the purpose of the transaction. The Schedule 13D is supplementally amended as follows:

Item 2. Identity and Background.

(a) This Amendment is filed by and on behalf of each of the following persons: (1) Global Fund, (2) Small-Cap Fund, (3) Highland Fund Advisors, (4) Strand XVI, (5) NRESF, (6) NexPoint Advisors, (7) NexPoint Advisors GP, (8) Select Fund, (9) Select GP, (10) Select LLC, (11) Highland Capital, (12) Strand and (13) James D. Dondero.

Each of the Reporting Persons may be deemed to be a member of a group with respect to the Issuer or securities of the Issuer for the purposes of Section 13(d) or 13(g) of the Securities Exchange Act of 1934, as amended (the “Act”). Each of the Reporting Persons declares that neither the filing of this Schedule 13D nor anything herein shall be construed as evidence that such person is, for the purposes of Section 13(d) or 13(g) of the Act or any other purpose, (i) acting (or has agreed or is agreeing to act together with any other person) as a partnership, limited partnership, syndicate or other group for the purpose of acquiring, holding or disposing of securities of the Issuer or otherwise with respect to the Issuer or any securities of the Issuer or (ii) a member of any group with respect to the Issuer or any securities of the Issuer.

(b) The address of the principal business office of each of the Reporting Persons is 300 Crescent Court, Suite 700, Dallas, Texas 75201.

(c) The principal business of Global Fund, Small-Cap Fund, NRESF, and Select Fund is making and holding investments. The principal business of Highland Fund Advisors, NexPoint Advisors and Highland Capital is acting as an investment adviser and/or manager to other persons. The principal business of Strand XVI is serving as the general partner of Highland Fund Advisors. Strand XVI may be deemed to beneficially own shares owned and/or held by and/or for the account of and/or for the benefit of Highland Fund Advisors. The principal business of NexPoint Advisors GP is serving as the general partner of NexPoint Advisors. NexPoint Advisors GP may be deemed to beneficially own shares owned and/or held by and/or for the account of and/or for the benefit of NexPoint Advisors. The principal business of Strand is serving as the general partner of Highland Capital. Strand may be deemed to beneficially own shares owned and/or held by and/or for the account of and/or for the benefit of Highland Capital. The principal business of Select GP is serving as the general partner of Select Fund. Select GP may be deemed to beneficially own shares owned and/or held by and/or for the account of and/or for the benefit of Select Fund. The principal business of Select LLC is serving as the general partner of Select GP. Select LLC may be deemed to beneficially own shares owned and/or held by and/or for the account of and/or for the benefit of Select GP.

(d) During the last five years, none of the Reporting Persons, nor, to the knowledge of the Reporting Persons, any of the persons controlling the Reporting Persons, or the directors or executive officers of any of the Reporting Persons, has been convicted in a criminal proceeding in either case of the type specified in Items 2(d) or (e) of Schedule 13D.

13D

CUSIP NO. 749227609 Page 15 of 19 Pages

(e) On September 25, 2014, Highland Capital entered into a settlement with the Securities and Exchange Commission (“SEC”) resulting in the SEC issuing an order. This order resolves the SEC’s allegations that Highland Capital violated Sections 204(a) and 206(3) of the Investment Advisers Act of 1940 (“Advisers Act”) and Rule 204-2 thereunder by trading securities between its clients’ accounts and accounts in which Highland Capital and its principals maintained an ownership interest without adhering to certain requirements set forth by the Advisers Act. The transactions occurred between 2007 and 2009, and many were executed in an effort to generate or maintain liquidity for the advised accounts during September and October 2008. Specifically, the order found that, during the relevant time period, Highland Capital engaged in a number of transactions with its client advisory accounts without disclosing in writing to those clients that Highland Capital was acting as principal, or obtaining client consent to the transactions, before the trades were completed. Highland Capital did ultimately receive client consent for many of the transactions; however, this consent was received after the transactions had settled, and therefore did not comply with the requirements of Advisers Act Section 206(3). In addition, the order found that, during the relevant time period, Highland Capital failed to keep and maintain true, accurate and current certain books and records as required by the Advisers Act.

The order requires Highland Capital to cease and desist from committing or causing any violations and any future violations of Advisers Act Sections 204(a) and 206(3) and Rule 204-2; censures Highland Capital; and requires Highland Capital to pay a civil monetary penalty of $225,000. Highland Capital must also comply with certain undertakings, including retaining an independent consultant to conduct a comprehensive review of Highland Capital’s compliance and control systems relating to principal trades, and the creation and retention of its books and records. As of the date hereof, all of these undertakings have been completed.

(f) Mr. Dondero is a United States citizen. Global Fund and Small-Cap Fund are Massachusetts business trusts. Highland Fund Advisors, NexPoint Advisors, Select GP, and Highland Capital are Delaware limited partnerships. Strand XVI and Strand are Delaware corporations. NRESF is a Delaware statutory trust. NexPoint Advisors GP and Select LLC are Delaware limited liability company. Select Fund is a Bermuda limited partnership.

Item 3. Source and Amount of Funds.

As of November 10, 2016, the Reporting Persons had invested approximately $16.9 million (inclusive of brokerage commissions) in the securities of the Company. The source of these funds was the working capital of Global Fund, Small-Cap Fund, NRESF and Select Fund.

Item 4. Purpose of Transaction.

On November 10, 2016, NexPoint Real Estate Advisors, LP (“NexPoint”), an affiliate of Highland Capital, sent a letter (the “Letter”) to Mr. Michael J. Malter, the Chairman of the board of trustees of the Issuer (the “Board”), expressing strong disappointment with the Issuer’s lack of transparency to investors and failure to engage with NexPoint in connection with its proposal to (i) simplify the Issuer’s business; (ii) deleverage the Issuer; (iii) externalize management of the Issuer to NexPoint and its affiliates; and (iv) provide additional equity investments in the Issuer. The Letter reiterated NexPoint’s interest in engaging in discussions with the Issuer’s management and Board regarding the proposal. The foregoing description of the Letter is qualified in its entirety by reference to the full text of the Letter, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Item 5. Interest in Securities of the Issuer.

(a) As of November 10, 2016, (i) the Global Fund may be deemed to beneficially own 2,219,361 Common Shares, which represents approximately 2.4% of the outstanding Common Shares; (ii) Small-Cap Fund may be deemed to beneficially own 484,789 Common Shares, which represents approximately 0.5% of the outstanding Common Shares; (iii) Highland Fund Advisors may be deemed to beneficially own 2,704,150 Common Shares, which represents approximately 2.9% of the outstanding Common Shares; (iv) Strand XVI may be deemed to beneficially own 2,704,150 Common Shares, which represents approximately 2.9% of the outstanding Common Shares; (v) NRESF may be deemed to beneficially own 98,040 Common Shares, which represents approximately 0.1% of the outstanding Common Shares; (vi) NexPoint Advisors may be deemed to beneficially own 98,040

13D

CUSIP NO. 749227609 Page 16 of 19 Pages

Common Shares, which represents approximately 0.1% of the outstanding Common Shares; (vii) NexPoint Advisors GP may be deemed to beneficially own 98,040 Common Shares, which represents approximately 0.1% of the outstanding Common Shares; (viii) the Select Fund may be deemed to beneficially own 2,775,457 Common Shares, which represents approximately 3.0% of the outstanding Common Shares; (ix) Select GP may be deemed to beneficially own 2,775,457 Common Shares, which represents approximately 3.0% of the outstanding Common Shares; (x) Select LLC may be deemed to beneficially own 2,775,457 Common Shares, which represents approximately 3.0% of the outstanding Common Shares; (xi) Highland Capital may be deemed to beneficially own 2,775,457 Common Shares, which represents approximately 3.0% of the outstanding Common Shares; (xii) Strand may be deemed to beneficially own 2,775,457 Common Shares, which represents approximately 3.0% of the outstanding Common Shares; and (xiii) James D. Dondero may be deemed to beneficially own 5,577,647 Common Shares, which represents approximately 6.1% of the outstanding Common Shares.

(b)

Name of Reporting Person	Sole Voting Power		Shared Voting Power		Sole Dispositive Power		Shared Dispositive Power
Highland Global Allocation Fund		0		2,219,361		0		2,219,361
Highland Small-Cap Equity Fund		0		484,789		0		484,789
Highland Capital Management Fund Advisors, L.P.		0		2,704,150		0		2,704,150
Strand Advisors XVI, Inc.		0		2,704,150		0		2,704,150
NexPoint Real Estate Strategies Fund		0		98,040				98,040
NexPoint Advisors, L.P.		0		98,040		0		98,040
NexPoint Advisors GP, LLC		0		98,040		0		98,040
Highland Select Equity Master Fund, L.P.		0		2,775,457		0		2,775,457
Highland Select Equity Fund GP, L.P.		0		2,775,457		0		2,775,457
Highland Select Equity GP, LLC		0		2,775,457		0		2,775,457
Highland Capital Management, L.P.		0		2,775,457		0		2,775,457
Strand Advisors, Inc.		0		2,775,457		0		2,775,457
James D. Dondero		0		5,577,647		0		5,577,647

(c) Annex A attached hereto lists all transactions in the Common Shares during the past 60 days by the Reporting Persons. Except as otherwise noted, the transactions in the Common Shares were effected in the open market.

(d) No person other than the Reporting Persons is known to have the right to receive, or the power to direct the receipt of dividends from, or proceeds from the sale of, the Common Shares.

(e) Not applicable.

Item 7. Materials to be Filed as Exhibits.

99.1 Letter to Mr. Michael J. Malter, dated November 10, 2016.

13D

CUSIP NO. 749227609 Page 17 of 19 Pages

SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, each of the undersigned certifies that the information set forth in this statement is true, complete and correct.

Dated: November 10, 2016

HIGHLAND FUNDS II, on behalf of its series Highland Global Allocation Fund
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
HIGHLAND FUNDS II, on behalf of its series Highland Small-Cap Equity Fund
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
HIGHLAND CAPITAL MANAGEMENT FUND ADVISORS, L.P.
By:	Strand Advisors XVI, Inc., its general partner
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
STRAND ADVISORS XVI, INC.
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
NEXPOINT REAL ESTATE STRATEGIES FUND
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
NEXPOINT ADVISORS, L.P.
By:	NexPoint Advisors GP, LLC, its general partner
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory
NEXPOINT ADVISORS GP, LLC
	By:	/s/ Brian Mitts
		Name:	Brian Mitts
		Title:	Authorized Signatory

13D

CUSIP NO. 749227609 Page 18 of 19 Pages

HIGHLAND SELECT EQUITY MASTER FUND, L.P.
By:	Highland Select Equity Fund GP, L.P., its general partner
By:	Highland Select Equity GP, LLC, its general partner
By:	Highland Capital Management, L.P., its sole member
By:	Strand Advisors, Inc., its general partner
	By:	/s/ Scott Ellington
		Name:	Scott Ellington
		Title:	Authorized Signatory
HIGHLAND SELECT EQUITY FUND GP, L.P.
By:	Highland Select Equity GP, LLC, its general partner
By:	Highland Capital Management, L.P., its sole member
By:	Strand Advisors, Inc., its general partner
	By:	/s/ Scott Ellington
		Name:	Scott Ellington
		Title:	Authorized Signatory
HIGHLAND SELECT EQUITY GP, LLC
By:	Highland Capital Management, L.P., its sole member
By:	Strand Advisors, Inc., its general partner
	By:	/s/ Scott Ellington
		Name:	Scott Ellington
		Title:	Authorized Signatory
HIGHLAND CAPITAL MANAGEMENT, L.P.
By:	Strand Advisors, Inc., its general partner
	By:	/s/ Scott Ellington
		Name:	Scott Ellington
		Title:	Authorized Signatory
STRAND ADVISORS, INC.
	By:	/s/ Scott Ellington
		Name:	Scott Ellington
		Title:	Authorized Signatory
/s/ James D. Dondero
James D. Dondero

13D

CUSIP NO. 749227609 Page 19 of 19 Pages

EXHIBIT INDEX

Exhibit No.	Exhibit Description
99.1	Letter to Mr. Michael J. Malter, dated November 10, 2016.

ANNEX A

TRANSACTIONS

The following table sets forth all transactions with respect to the Common Shares effected in the last sixty days by the Reporting Persons on behalf of the Reporting Persons in respect of the Shares, inclusive of any transactions effected through 4:00 p.m., New York City time, on November 10, 2016.

Date	Effected By	Nature of Transaction	Quantity		Price
9/12/2016	Highland Select Equity Master Fund, L.P.	Open Market Purchase		8,000	$	3.05
9/13/2016	Highland Select Equity Master Fund, L.P.	Open Market Purchase		579,200	$	3.06
9/14/2016	Highland Select Equity Master Fund, L.P.	Open Market Purchase		296,800	$	3.06
9/16/2016	Highland Select Equity Master Fund, L.P.	Open Market Purchase		18,700	$	2.95
9/16/2016	Highland Select Equity Master Fund, L.P.	Open Market Purchase		4,684	$	2.9493
10/6/2016	Highland Select Equity Master Fund, L.P.	Open Market Sale		99,000	$	2.9841
10/7/2016	Highland Select Equity Master Fund, L.P.	Open Market Sale		100,000	$	2.9773
10/10/2016	Highland Select Equity Master Fund, L.P.	Open Market Sale		98,000	$	3.0567
10/26/2016	Highland Select Equity Master Fund, L.P.	Open Market Sale		32,100	$	3.1128

EX-99.1

Exhibit 99.1

November 10, 2016

VIA EMAIL & CERTIFIED MAIL

The Board of Trustees

RAIT Financial Trust

Two Logan Square

100 N. 18^th Street, 23^rd Floor

Philadelphia, PA 19103

Attn: Michael J. Malter, Chairman of the Board

Re: Proposed Transaction with RAIT Financial Trust

Dear Mr. Malter:

As you know, over the past several months, NexPoint Real Estate Advisors, LP (“NexPoint”), an affiliate of Highland Capital Management (“Highland”) and Nexbank Capital, Inc. (“NexBank”) have expressed their interest in pursuing a transaction with RAIT Financial Trust (“RAIT” or the “Company”). Management and the Board of RAIT, however, have repeatedly declined to engage with us regarding our proposals to unlock substantial value for shareholders, of which we are one of the most significant. Before you were elected Chairman and as you may recall, the Company (through Mr. Schaeffer and Mr. Stempel) recently indicated that (i) the NexPoint proposal was not in the best interests of the Company, and (ii) the Company was “already working on several initiatives aimed at unlocking shareholder value.” As you might further recall, our proposal to unlock shareholder value centered around five strategic themes:

• Simplifying the Company’s Business

• Deleveraging

• Reducing run-rate operating costs by 50% or more through externalizing management of the Company to NexPoint and its affiliates with a shareholder friendly management contract

• Creating enhanced management alignment with shareholders via a substantial equity infusion of up to $30 million at a meaningful premium

• Harvesting value from Independence Realty Trust, Inc. (“IRT”)

It now seems likely that the main initiative previously under the Board’s consideration was a monetization of the Company’s external management contract of IRT through a termination fee payment as part of the internalization of IRT’s management (the “Internalization”) and a poorly-executed disposition of the Company’s holdings in IRT – simultaneous with IRT’s secondary issuance of 25 million new shares of common stock. While the Internalization may be a positive development for IRT’s shareholders, we believe its execution was not in the best interests of RAIT’s shareholders.

Execution & Lack of Investor Communication

We note that the Internalization was announced on the morning of September 27, 2016, amid press releases lauding the move as a “transformative” positive for the Company. Other than the Company’s press release, which trumpeted the fact that it would receive $120 million in gross proceeds from the Internalization and another indicating the completion of the first closing of the disposition of RAIT shares and deconsolidation, the Company has not disseminated a single investor communication or presentation.

RAIT Financial Trust

November 10, 2016

Page 2

Furthermore, the announcement that “the total proceeds to RAIT including the sale of RAIT’s shares in IRT is expected to be approximately $120 million” was extremely misleading as it revealed (to our knowledge for the first time in the Form 8-K dated September 27, 2016) that the Company’s IRT stake had been previously margined by $50+ million. As depicted in the table immediately below and confirmed on the Company’s 3^rd Quarter conference call, the Company’s proceeds were ultimately significantly lower ($18.3 million):

IRT TRANSACTION ANALYSIS ($MM)
Internalization Fee Paid to RAS	$	43.0
Proceeds from Share Repurchase (@ $8.55 per IRT Share)		62.0
Gross Proceeds to RAS	$	105.0
Less: Repayment of Loan Collateralized by IRT Shares (a)		(43.7	)
Net Proceeds to RAS	$	61.3
Net Proceeds to RAS @ $10.63 per Share (b)	$	76.4
Delta (i.e., Cost to RAS Shareholders)	$	15.1

Notes:

(a) Reflects retirement of debt based on Q3 2016 earnings call representing a portion of the up to $51.5MM margin loan disclosed in the Form 8-K dated September 27, 2016.

(b) Reflects IRT price prior to announcement of follow-on offering.

Also, we query why the Company did not receive at least the secondary offering price of $9.00/share for IRT’s stake, much less the trading price on the day prior to the announcement of the Internalization ($10.63/share). The Board must have been aware of the potential pressure on IRT’s stock given the massive dilutive offering undertaken by IRT needed to effect the Internalization. As a result of this oversight, we estimate that there was at least $15 million of permanent value destruction to the Company. For perspective, that $15 million could have serviced nearly 80% of the dividend requirements of the Company’s Series A, B and C Preferred Stock for an entire year.

Despite the $120 million of gross proceeds generating only ~$60 million of net proceeds, we (and the entire investment community) are nonetheless still waiting on a specified use for the capital other than the general language around expenses and working capital purposes reflected in the Form 8-K and on the Q3 conference call.

Additionally, what’s more significant is the lack of investor communications around the pro forma income statement on a forward 12-month basis, including the Company’s post-Internalization annual G&A and compensation expenses. We assume the potential for G&A savings was a key factor in the Board’s decision to agree to the Internalization. Shouldn’t this be disclosed and trumpeted? As of the day of this letter, it has been over 40 days since the Internalization was announced and nearly five months since our first letter to you; indeed, more than enough time to develop a business plan (containing pro forma financials) and clearly communicate it. It appears the lack of transparency around a go forward business plan and poor execution of the Internalization (at least from the Company’s standpoint) is shared by investors.

Notes:

(a) Select Peers includes ACRE, ARI, BXMT and STWD.

RAIT Financial Trust

November 10, 2016

Page 3

Reiterating the NexPoint Proposal

We do have a plan. As we’ve previously stated, we believe clear and focused investor communication is paramount within the mREIT sector since no investment manager or index is required to own mREITs; mREITs must articulate and execute a well-defined, focused business plan to attract capital in order to grow. Companies that do this can be rewarded and trade at or above book value (e.g., BXMT, ACRE).

And while the Internalization simplifies the Company’s financial statements, we still know little if any about the Company’s business strategy on a go-forward basis or how the Internalization proceeds will be used. What we do know is that, even though the Company has ~$80 million of leveragable cash on hand to deploy, the Company is not originating loans or investments sufficient to sustain investors’ confidence in the dividend. Given this fact, we fear that using the proceeds for “working capital” means the Company will continue to incur outsized G&A expenses without generating new loans – an unsustainable path. By contrast, between NexPoint and Nexbank, we have an investment pipeline of over $100 million of accretive first mortgage loans and preferred equity investments that will close over the next six to eight months.

Even in the aftermath of the Internalization, the Company still continues to operate property management businesses. We would exit the property management business entirely since we do not believe the business warrants the G&A drag and is a function better outsourced to the extent the Company requires such services at all as a public mREIT. The Company’s business under NexPoint’s leadership would focus almost exclusively on originating senior-floating rate, preferred equity and mezzanine CRE loans on transitional properties requiring flexible interim financing solutions. This is a business where we have deep experience, a network of relationships and history of success.

In connection with exiting the property management businesses, we would also continue to accelerate the dispositions of Company REO, using excess proceeds to retire debt, redeem expensive preferred stock and redeploy the capital into first mortgage, preferred equity and mezzanine financings. As of Q3 of 2016, the Company’s debt to equity stood at 5.5x¹, versus the commercial mREIT average of 2.2x per JMP Securities research. Before the Company can grow again, it needs to shrink the asset base by monetizing the ~$1 billion of real estate on the balance sheet. Retiring ~$1 billion of debt and REO would delever the company to ~2.8x¹ and dramatically improve the Company’s liquidity position. Selling assets would create a near-term drag on CAD; however, the more significant drag results from outsized G&A and compensation expenses.

¹  Leverage metrics represent debt to total shareholders’ equity on a de-consolidated basis for RAIT’s balance sheet per RAIT’s Q3 2016 Supplement.

RAIT Financial Trust

November 10, 2016

Page 4

G&A Reduction

We note that the Company has originated just eight loans through Q3 2016, while recording compensation expense of ~$17 million (~$2 million per loan). In light of total fee income reducing from ~$17 million over the same period inclusive of the IRT contract to ~$8 million pro forma, we view the path forward as unsustainable. We estimate that the Company would realize at least 50% synergies over the course of 12–18 months and reduce the currently outsized G&A to less than ~$25 million (conservatively assessed inclusive of a new market-based management fee (reiterated below)) by focusing the Company’s strategy and utilizing the infrastructure of NexPoint, Highland and NexBank. These resulting synergies will increase pro forma CAD by at least 20%, thereby creating flexible capital to reinvest in the business and/or the ability to return more capital to shareholders.

Furthermore, this direct benefit to projected CAD affords the Company an opportunity to achieve share price levels that are challenged under the constraints of the cost burden embedded in the Company’s current operating plan. The Company’s aspirational mREIT peers generally trade within the range of an 8% to 10% dividend yield, assuming ample coverage. Utilizing NexPoint’s, Highland’s and NexBank’s existing origination and servicing infrastructure to create the aforementioned annual G&A synergies of at least ~$20 million, the enhanced CAD could be used to increase the dividend to $0.44 per share at a constant payout ratio; thus resulting in an imputed price range of $4.39-$5.48 per share which excludes any further value from the Internalization (as further depicted in the following tables and chart) or redeployment of capital.

RAIT PRO FORMA CAD PER SHARE
($ in MM, except per share figures)	9 Mos. Ended			Annualized (a)
	9/30/2016			Annl’d			per Share (b)
Net Income (Loss) Available to Common Shares	($	25.4	)	($	33.9	)	($	0.37	)
CAD Adjustments, Net		59.5			79.3			0.87
Cash Available for Distribution	$	34.0		$	45.4		$	0.50
Adjustments Under HCM Proposal
Plus: RAIT G&A & Compensation Expense (c)	$	29.4		$	39.2		$	0.43
Less: Estimated HCM Pro Forma G&A Expense		(14.7	)		(19.6	)		(0.21	)
Net Pro Forma G&A with Effect of 50% Synergies	$	14.7		$	19.6		$	0.21
Less: Property Mgmt. Fees @ 20.0% Margin		(1.8	)		(2.3	)		(0.03	)
Less: Fees Paid to RAIT by IRT		(5.5	)		(7.3	)		(0.08	)
Pro Forma CAD (incl. HCM Synergies)	$	41.5		$	55.3		$	0.61
CAD Accretion								21.9	%
				CAD			Dividend
Implied Trading Metrics (d)				Analysis			Analysis
RAIT Annl’d CAD / Dividend per Share				$	0.50		$	0.36
Implied RAIT CAD Multiple / Dividend Yield					5.4x			13.3	%
Memo: Implied RAIT CAD Payout Ratio (e)								72	%

ILLUSTRATIVE SHARE PRICE ANALYSIS (d)
	Pro Forma CAD / CAD per Share
				Current				Pro Forma
				$	45.4	$	50.3	$	55.3	$	60.3
					0.50		0.55		0.61		0.66
Dividend Yield		13.3	%	$	2.70	$	2.99	$	3.29	$	3.59
		10.0	%		3.60		3.99		4.39		4.78
		8.0	%		4.50		4.99		5.48		5.98

Notes:

(a) Annualized reflects a ~1.33x multiple applied to data for the 9 Months Ended 9/30/2016.

(b) Per share data is based on 91.1MM shares outstanding.

(c) Estimated synergies based on observed 1H 2016 RAIT G&A & Compensation expense of $25.6 million (~$51.3 million annualized) would imply >30% CAD accretion.

(d) Implied Trading Metrics based on RAIT share price as of 11/9/2016.

(e) Illustrative Share Price Analysis assumes RAIT maintains CAD Payout Ratio of ~72% (exclusive of value ascribed to IRT Contract & Property Management Value).

Proposed Alignment & External Management Contract

Although widely accepted as the market norm in the mREIT space, we acknowledge that external management structures can be viewed unfavorably by some investors, typically due to perceived and/or actual conflicts of interests and high termination fees. At NexPoint, we have (successfully) crafted a favorable external management structure by focusing on three key elements: (i) alignment, (ii) avoiding large termination fees and (iii) adhering to a total expense cap that compares favorably to the costs incurred by internally managed REITs.

Unlike most externally managed (and, for that matter, internally managed) REITs, we believe the personnel running the business should own a meaningful amount of stock to create significant (as opposed to token or nominal) alignment with the Company’s common shareholders. Currently, management owns just ~1.0% of the Company’s common stock. As part of a transaction with the Company, we would seek to increase our current ownership of 6% to a 15% stake in the Company, subject to an ownership waiver.

RAIT Financial Trust

November 10, 2016

Page 5

In connection with the proposed transaction, we would propose an advisory agreement that contains a market-based management fee with an initial term of two years, but terminable with 60 days’ notice by either a vote by a majority of the board or a vote of a majority of the Company’s shareholders without penalty or fee. Any incentive compensation to NexPoint or officers would be through incentive plans approved by the Company’s shareholders.

Additionally, we would also propose a total expense cap on G&A, based upon a peer average and agree to operate below the range. We have implemented these features at the NexPoint-managed NexPoint Residential Trust, Inc. (“NXRT”), a small cap multifamily REIT in IRT’s peer group. Since its formation spin-off, NXRT has attracted four new analysts all currently with “Buy” ratings and a strong institutional shareholder base through our transparent approach to shareholder communication. Although NXRT is small and externally-managed, we believe the construct of our advisory agreement has been a factor in our relative outperformance, as shown below.

The Results

We believe that by simplifying the Company’s strategy, creating alignment through a new fee-efficient structure and externalizing management to NexPoint and its affiliates, the Company’s cost of capital could improve such that the Company’s share price could be worth ~ $6 per share in 12–18 months following the closing of a transaction. In addition, we believe these measures would normalize the Company’s debt and equity cost of capital while reducing leverage to industry norms.

Notes:

(a)    RAIT share price as of 11/9/2016. (b)    Assumes pro forma $0.61 CAD per share and that RAIT maintains a CAD multiple of 5.4x.

(c)    Assumes pro forma $0.61 CAD per share and a $0.44 dividend in line with RAIT’s current ~72% CAD payout ratio. (d)    Assumes RAIT trades in line with its current dividend yield of ~13.3%. (e)    Assumes RAIT trades at dividend yield range of ~8-10% observed in line with select peers. (f)     Illustrative IRT Contract & Property Management Value based on $43MM paid by IRT to RAIT to terminate the existing external management contract.

RAIT Financial Trust

November 10, 2016

Page 6

Irrespective of our strategic interest in the Company, we are concerned about our investment under the current Company’s leadership. As of the day of this letter, the Company’s equity cost of capital is ~13% and the share price is $2.70. The Company has reported six sequential quarters in which CAD has declined. The independent members of the Company’s Board of Directors need to consider all alternatives. We believe the Company’s share price, under the direction of NexPoint, could be worth $6 per share in 18 months. We are offering this proposal as a viable alternative to the Company’s current path, which has persistently been a drag on RAIT’s relative total returns.

It is noteworthy that there is successful precedent in the mREIT space for a transaction structured similarly to this proposal. Blackstone has achieved a very attractive outcome for shareholders of the previously internally-managed and underperforming Capital Trust, Inc. (now NYSE: BXMT) since externalizing its management in December 2012.

In comparison to the Company’s current unsustainable path, we believe our plan, platform, significant investment and investment execution will restore investors’ confidence. We continue to believe our proposal represents a unique opportunity to create compelling and certain value for RAIT’s shareholders, and the Company will be better positioned to provide an enhanced value proposition going forward. As your second largest non-index shareholder, it is our hope that you will engage in substantive discussions given our reiterated interest and enthusiasm around the potential value creation. Please have a board member, advisor or other designee contact Matt McGraner (NexPoint Real Estate’s Chief Investment Officer) at (972) 628-4100 to discuss our proposal at your earliest convenience.

Very truly yours,

/s/ Jim Dondero

Jim Dondero, President

Cc:

Scott F. Schaeffer

Andrew M. Batinovich

Edward S. Brown

Frank A. Farnesi

S. Kristin Kim

Murray Stempel

Jon C. Sarkisian

Andrew M. Silberstein