Risk Factors Update Summary

• Sales of major products represented 24%, 21%, 20%, and 13% of total net revenues in 2023.
• The Company could incur significant legal expenses and management distraction due to potential violations.
• Settlement agreements allow the sale of the first generic version of Oxtellar XR in September 2024.
• Changes in the Anti-Kickback Statute regulations could impact safe harbors and create new exceptions.
• Potential risk from the elimination of the statutory cap on rebates to Medicaid starting in 2024. This could increase manufacturer discounts paid to Medicaid.
• The Company increased employee headcount from 575 in 2021 to 612 in 2023.
• Impairment charges of $20.2 million were recognized in 2023 due to the partial write-off of intangible assets.
• The Company recognized impairment charges mainly due to the forthcoming loss of exclusivity of XADAGO.
• The Company had outstanding options to purchase 5,797,569,822 shares of common stock as of 2023.
• The Company incurred $402.5 million of additional indebtedness in 2018 from the sale of Convertible Senior Notes.