Risk Factors Update Summary

• Not pursuing further clinical development of mavodelpar could impact revenue streams significantly.
• Plaintiffs increasingly bring privacy-related claims, potentially leading to monumental statutory damages.
• Anticipate continued net losses for the foreseeable future. Reported net loss: $77.4 million in 2023.
• The company may face fines up to $7,500 per intentional violation for data privacy breaches.
• The company's common stock may be delisted from Nasdaq, impacting liquidity and financing options.
• Pursuing strategic alternatives due to suspension of product candidate. Reduction in workforce costs: $4.1 million.
• The Budget Control Act of 2011 resulted in aggregate reductions, effective until 2032.
• The company may rely on third parties for manufacturing, facing risks of delays and quality issues.
• Loss of clinical trial data could hinder commercialization efforts and delay product candidates.
• The company maintains up to $7.0 million in product liability insurance, now noted in Note 11.
• The company may need significant additional capital for future operations, up to $100 million.
• The IRA eliminates the Medicare Part D donut hole starting in 2024.
• Cash, cash equivalents, and short-term investments: $103.0 million as of December 31, 2023, expected $82.0 million by March 31, 2024.
• Increased risk of cyber threats, including ransomware and social engineering attacks, poses operational disruptions.
• The company's ability to protect intellectual property is crucial for future product commercialization.
• The company moved cash deposits from SVB to other institutions, avoiding material impact.
• The Affordable Care Act established an annual fee on entities manufacturing specified drugs.
• The Biden administration's Comprehensive Plan includes price negotiations for the first ten drugs.
• The Biden administration's executive order directs testing of new models for lowering drug costs.
• The company may face fines up to $20 million or 4% of annual global revenue for data privacy violations.