Risk Factors Update Summary

• Added "Warrants" to risk factors. Failure to retain qualified personnel could have a material adverse effect.
• Increased compliance efforts divert management's attention, impacting business concerns and financial performance significantly.
• Our business may be materially affected if we fail to develop solid-state battery cells for commercialization or meet certain milestones. Failure to meet milestones could lead to termination of agreements without liability to us.
• Failure to meet ESG goals may require additional financing, impacting business, results, and prospects.
• Failure to accurately predict manufacturing requirements could result in additional costs or delays. Inaccurate predictions may hinder revenue generation and business efficiency.
• Increased operating loss from approximately $59 million in 2022 to $88 million in 2023.
• The Warrants were issued at an exercise price of $11.50 per share of common stock.
• Ownership changes may limit the use of existing net operating losses and tax attributes.
• Maintaining cash deposits exceeding FDIC limits poses liquidity risks, with potential adverse impact on financial performance.
• Changes in tax law could suspend the use of net operating losses or tax credits retroactively.
• Increased cybersecurity threats and data security breaches could adversely affect business operations and financial condition.
• Changes in tax laws could limit the utilization of net operating losses, affecting future taxable income.
• The Public Warrants may expire worthless if not in the money before expiration.
• Operating expenses expected to increase substantially due to increased headcount and growth efforts.
• Delays in development, automotive qualification, or manufacturing scale-up could impact revenue generation and end-user relationships.
• Amendments to the Warrants may occur without specific holder approval, potentially affecting interests.
• Challenges in integrating complex equipment may lead to delays, increased costs, and operational problems.
• Dependence on third-party suppliers for materials and components poses risks of disruptions and delays in production.
• Inability to control costs associated with operations and components may adversely affect profitability and business prospects.
• Difficulty in attracting and retaining key personnel could disrupt operations and hinder business growth.