Risk Factors Update Summary

• Privacy laws similar to CCPA enacted in Virginia, Colorado, Utah, and Connecticut. Similar laws under consideration in other states.
• Addition of YUTIQ as a product, expanding commercial sales to the U.S. and Nordic countries.
• Potential significant penalties due to non-compliance with evolving privacy laws and regulations.
• Failure to meet Nasdaq listing requirements could result in delisting, affecting stock liquidity and shareholder trading.
• Inclusion of YUTIQ in regulatory approval and commercialization discussions, impacting revenue diversification.
• Patent rights for ILUVIEN and YUTIQ expiring in the near-to-medium-term, impacting commercialization efforts.
• Adoption of the 2024 Equity Inducement Plan for granting inducement awards to employees and directors.
• Increased reliance on third-party manufacturers for ILUVIEN and YUTIQ, affecting supply chain risks.
• Risk of unauthorized sales through parallel importing or diversion of products as distribution expands.
• Implementation of technical safeguards, incident response, and recovery plans to address cybersecurity threats.
• Expansion of ILUVIEN sales to additional countries like the Netherlands, Belgium, Luxembourg, Italy, and Spain.
• Potential impact of geopolitical conflicts on global markets and industries, affecting business stability.
• Uncertainty in achieving profitability and positive cash flow through YUTIQ commercialization in the U.S.
• Regulatory uncertainties in obtaining approvals for ILUVIEN and YUTIQ in new markets, affecting market penetration.