Risk Factors Update Summary

• The Company entered into Amendment No. 5 to the 2019 Credit Agreement, modifying financial covenants to provide additional relief. This change might result in improved financial flexibility.
• Sales of HA products accounted for 43% in 2023, 42% in 2022, and 51% in 2021. This change indicates fluctuations in product revenue over the years.
• Change in voting power ownership from 45% to 41% by Original LLC Owners.
• The Company is subject to ongoing securities class action and derivative shareholder lawsuits, potentially impacting financial condition. These legal matters could have a significant adverse effect.
• Per share trading price decreased from $19.94 to $0.80, potentially impacting investor perception.
• The ongoing conflict in Israel could adversely impact the Company's operations, with uncertainties surrounding future operations and financial conditions. This geopolitical risk poses potential disruptions to manufacturing and delivery.
• Change in annual gross revenues threshold from $1.07 billion to $1.235 billion.
• The Company faces risks associated with international sales and operations, including economic weakness and geopolitical actions. These factors could harm future results and operations.
• Changes in privacy laws, such as the CCPA and CPRA, impose additional data protection obligations on the Company. Compliance investments may be required to meet new privacy standards.
• The Company is subject to healthcare fraud, waste, and abuse regulations, with potential penalties for violations under various laws. Compliance with these regulations is crucial to avoid severe penalties.