TRESU Q3 2023 Financial Report

TRESU Risk factors You should carefully consider all information in these risk factors before you make any decisions in respect of the Written Procedure. This section addresses both general risks associated with the industry in which the Group operates and the specific risks associated with its business. If any such risks were to materialize, the Group's business, results of operations, financial condition and/or prospects could be materially and adversely affected, resulting in a decline in the value of the Bonds, adversely affecting the Issuer's ability to make payments due under the Bonds and a loss of part or all of your investment in the Bonds. Further, this section describes certain risks relating to the Bonds which could also adversely impact the value of the Bonds. The risks and uncertainties discussed below are those that the Issuer's management currently views as material, but these risks and uncertainties are not the only ones that the Group faces. Additional risks and uncertainties, including risks that are not known to the Issuer at present or that its management currently deems immaterial, may also arise or become material in the future, which could lead to a decline in the value of the Bonds, adversely affecting the Issuer's ability to make payments due under the Bonds and a loss of part or all of your investment. The following risk factors are not listed in any particular order of priority as to significance or probability. Reference is made to the definitions listed at the end of these risk factors. References to the Issuer in these risk factors include, where the context requires, the Issuer and its Subsidiaries. 1. Risks related to the current financial condition of the Group 1.1 The Group is experiencing low availability of funds As described in the Group's financial report for the third quarter of 2023 published on 28 November 2023, the Group has experienced low cash inflows so the Group is working towards postponing the payment of Interest on the Bonds taking effect before the next scheduled payment of Interest on 29 December 2023 and to establish a Super Senior Term Loan Facility both as set out in this Investor Presentation in order to improve the liquidity of the Group. Failure to obtain approval of the amendments set out in the Written Procedure and the establishment of the Super Senior Term Loan Facility would result in material liquidity issues for the Group and will likely lead to the occurrence of an Event of Default under the Bonds as the Issuer will most likely be unable to pay the Interest due on 29 December 2023. The Issuer's failure to pay Interest due under the Bonds would result in an Event of Default under the Bonds and would entitle the Agent on behalf of the Bondholders to accelerate the Bonds in accordance with the Bond Terms and the Intercreditor Agreement. The Issuer's failure to pay Interest due on the Bonds and an acceleration of the Bonds will lead to a decline in the value of the Bonds and could result in a loss for each Bondholder of part or all of each Bondholder's investment in the Bonds. 2 Risks related to market recovery post COVID-19 and new outbreaks or other pandemics 2.1 Risks related to the lack of supplies caused by COVID-19 and increase in inflation The global supply chain crisis caused by COVID-19 still adversely affects the Group's ability to make timely deliveries to its customers as well as the Group's cost of production due to an increase in inflation leading to higher prices from suppliers. It may not be possible for the Group to pass on such delays or increased production costs to its customers. The Group aims to handle these issues but there is a risk that the supply chain crisis and inflation increase could reduce or eliminate the expected revenue and margin of the Group's operations and to claims from the Group's customers, which may have an adverse effect on the Group's financial position and could result in a loss for each Bondholder of part or all of each Bondholder's investment in the Bonds. 2.2. Risks related to potential new outbreak of COVID-19 or other pandemics If the COVID-19 pandemic flares up again (e.g. due to new mutations or vaccines becoming ineffective) or if new pandemics occur, this could e.g. result in new postponements of orders, travel restrictions or other restrictions which could reduce the ability of the Group to supply or provide services to its customers, including supply of new products, upgrades, aftermarket services etc. as was experienced during the first waves of COVID-19. New pandemics also have the potential to cause further supply chain issues resulting in further increases of production costs and potential claims from customers. Such issues could have an adverse effect on the Group's financial position and the Issuer's ability to make payments due under the Bonds and could result in a loss for the Bondholders of part or all of each Bondholder's investment in the Bonds. 46

View entire presentation