Risk Factors Update Summary

• Limited paper suppliers may impact production; 64.2% and 26.5% of raw paper sourced from WestRock.
• JS Capital holds approximately 37.0% of outstanding shares, potentially influencing corporate actions.
• Raw paper stored on-site represents approximately five days of paper consumables production due to cost savings and storage limitations.
• Adverse input cost changes, like kraft paper, may impact profit margins; global inflation affected costs.
• Additional sales of common stock may significantly drop market price, impacting investors.
• Failure of a third-party transportation provider to deliver in a timely manner could harm reputation.
• Reliance on third-party suppliers for components and systems poses risks; disruptions could impact operations.
• Debt may limit financial flexibility, impacting ability to obtain additional financing and adjust to market conditions.
• Insurance coverage may not be adequate to protect from all liabilities and expenses.
• Implementation of ERP system may lead to disruptions affecting operations and financial reporting.
• Significant liability claim not covered by insurance could have a material adverse effect.
• Political and economic instability in regions of operation may adversely impact business and cash flows.
• Ability to utilize deferred tax assets depends on generating sufficient future taxable income.