Risk Factors Update Summary

• Expanded risk of cyber threats from "cybercriminals" to "threat actors" due to increasing organization and financing.
• Added a requirement to maintain a consolidated interest coverage ratio of 5.25 to 1.0.
• Increased competition may intensify with new technologies and market entrants, impacting pricing strategies and global presence.
• Consolidated leverage ratio requirement changed from not greater than 3.75 to not greater than 3.50.
• Enhanced regulatory risks due to changing laws and regulations, potentially increasing costs and decreasing revenues.
• Goodwill and other intangible assets decreased from $54 million to $50 million.
• Growing dependence on international operations exposes the company to risks such as regulatory, economic, and political challenges.
• Adoption of generative AI and machine learning technologies may lead to legal risks and negative public perception.
• Increased focus on compliance with employment-related laws and regulations to mitigate risks of fines and lawsuits.
• Potential financial impact from natural disasters, acts of war, terrorism, and other unforeseen events.