Risk Factors Update Summary

• The company faces substantial doubt about its ability to continue as a going concern. This could impact its financial objectives.
• Increased costs of contracting acreage may challenge balancing inventory needs. This could impact production levels.
• Substantial doubt about the ability to continue as a going concern due to net loss of $111.2 million.
• Provisions added to the certificate of incorporation and bylaws may delay takeover attempts. This requires a 66 2/3% vote to amend bylaws within three years.
• The company needs to raise additional capital to fund operations, with an accumulated deficit of $523.8 million.
• Transition to asset-light model reliant on partnerships may impact diversification into animal feed markets.
• Impairment charges of $19.2 million on goodwill and $18.5 million on long-lived assets were recorded.
• The Public Warrants were delisted from NYSE, now tradable over-the-counter, affecting liquidity and market quotations.
• Failure to effectively apply the CropOS platform could adversely affect results, client relationships, and growth.
• Cybersecurity threats pose risks to systems, data, and operations, impacting financial and operational aspects.
• Transition to asset-light model and business model shift may lead to impairment charges on intangible assets.
• The company's net operating loss carryforwards were approximately $357.9 million as of December 31, 2023.
• Limited experience in operating a public company may result in increased compliance costs and legal expenses.