Risk Factors Update Summary

• The company implemented cost reduction and restructuring actions in 2023, which may not achieve the results expected.
• The company's Digipass authenticator business has a complex supply chain and is dependent on a limited number of suppliers, which could materially impact operations.
• The company terminated the employment of approximately 270 employees in 2022 and 2023 as part of cost reduction efforts.
• Mr. T. Kendall Hunt holds approximately 5.1%, a significant ownership concentration change.
• The company modified its strategy to focus on improving Adjusted EBITDA margin across the business in response to challenges in growing Digital Agreements revenue.
• The company faces intense competition for key employees, especially in sales, which may impact its ability to achieve business objectives.
• The company expects to incur significant costs to comply with new environmental regulations, impacting its ability to operate profitably.
• Addition of "customers" to risk factors, indicating potential revenue impact.
• The company may incur ongoing costs associated with complying with disclosure and due diligence requirements related to Conflict Minerals.
• Change from "employees and business partners" to "employees" may affect workforce dynamics.