Risk Factors Update Summary

• The Ansys Merger is expected to result in a material increase in our debt and liquidity needs, significantly impacting our financial condition.
• The Ansys Merger may impose significant added responsibilities on management, diverting attention from daily operations. This could disrupt existing business relationships and negatively impact operations.
• We may incur a termination fee of $1.5 billion if the Ansys Merger is not completed, posing substantial financial risk.
• The Ansys Merger could result in increased competition, potentially leading to decreased sales volumes and lower revenues. This change might result in reduced margins and net income for the combined company.
• Our business, operating results, and financial condition could be adversely affected if we fail to realize anticipated benefits from the Ansys Merger on time.
• We expect to incur substantial debt in connection with the Ansys Merger, which could adversely affect our financial condition. This includes increased interest expense and reduced cash flow for operations.
• The anticipated benefits from the Ansys Merger depend on successful integration, which may be complex and time-consuming, affecting our operations.
• Changes in tax laws and regulations could materially affect our financial results and tax expense. This uncertainty may impact our effective tax rate and overall financial position.
• We face increased competition due to consolidation among customers, particularly large ones, which could reduce demand for our products and services.
• Evolving ESG regulations and expectations may increase compliance costs and complexity, potentially affecting our performance and growth. Adapting to these changes could be costly and time-consuming.