SmileDirectClub Results Presentation Deck

General & administrative. General and administrative expenses were $95 million in Q4 compared to $44 million in the prior year period. ● ● ● Legal and lobbying expenses increased "18% sequentially. We expect continued elevated legal spend as we maintain our proactive stance in defending our mission and improving customers access to care. Our overall G&A structure was based on an aggressive hiring plan designed to conform to an earlier 2020 revenue outlook. We saw higher than expected spend across the following categories: legal, technology, consulting, D&O insurance coverage, and international expansion. ● smile DIRECT CLUB Some of these were one time in nature such as D&O IPO insurance, SOX compliance, and lease accounting standards. The other expense items are associated with the need for broader cost controls that we will be implementing in 2020 and beyond. General & administrative expenses(¹) 20% $6mm $24mm Q3 2018 (1) Percentages represent G&A as a percent of revenue, excluding stock-based compensation and IPO related costs.. 30% 23% $6mm $8mm $38mm $42mm Q4 2018 24% $0mm $47mm $6mm Q2 2019 $324mm 33% Q1 2019 G&A I Stock-based Compensation IPO-bonuses & other costs $59mm Q3 2019 37% $4mm $17mm $73mm Q4 2019 17

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