KinderCare IPO Presentation Deck

General This presentations been prepared by KC Holdoo, LLC ("w" "us", "our" or the "Company" for the exclusive use of the party to whom the Company delivers This presentation (such party, together with a subsidiaries and offices. The Recipienty. The Company has fisid a registration a registration statement on Form 5-1 (4o. 333-260337) (The "Registration Statements, including a prospectus, with the Securities and Exchange Commission the "SEC) for the initial public offering of the Company's common stock common stock") to which this communication relates. The Registration Statement has not yet become effective Disclaimer The common stock may not be sold, nor may offers be accepted, prior to the time the Registration Sortement becomes affiche. Before you invest, you should read the prospectus in the Registration Salement, including the "Rok Facton” set forth thanen, and the other documents that the Company has filed with the SBC for more complete information about the Company and this offering. You can obtain these documents for them by visiting EDGAR on the SEC website at www.sec.pov. Abernatively, copies of the prospectus may be obtained from: Barclays; Bardays Capital Inc., co Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or Morgan Stanley & Co. LLC, Attention: Prospectu Department 150 Varick Street, 2nd Floor, New York, 10014. The purpose of this presentation is to provide information to assist in obtaining a general understanding of the Company's business. This document may contain material non-public information concerning the Company, its potential investors, related parties or their respective securities and is being distributed to you on a confidential basis. Bly receiving this information, you and prallumages to maintain the confidentality of the information contained herein and that no po son of the presentation may either be reproduced in whole or in part ad ha rete the presentation to any of its contents may be givel of decised in any trásd party without the express writen permission of the Company and that the information contained herein is subject to the terms of any confidentiality agreement executed by the Company ly accepting this presentation, each recipient agress: (1) to maintain the confidentiality of all information that contained in this presentation and not already in the public domain () to use this presentation for the sale purpose of evaluating a possible business relationship with the Company and (4) to use such information in accordance with its compliance policies, contractual obligations and applicable law, including US federal and state securities inves Forward-Looking Statements and other information We have the forward-looking statements on our current expectations, sumptions estimates and projections. While we believe those expectations, assumptions, estimates and projections are masonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control. These and other important factor may cause our actual results, performance or achievements to differ materially from those expressed or implied by these forward-looking statements, or could affect our share price. Some of the factors that could cause actual esults to offer materialy from those expressed or implied by the forward-looking statements, include: the impact of the COVID-19 pandemic on our business, Înancial condition and results of operations, our ability to adtrma changes in the demand for childcare and workplace solubons, our ability to aquello stata in sordonce demographics, economic conditions, office environments and unemployment rales, our ability to hire and retain qualified Teachers, management, employees, and maintain strong employee engagement, our ability to address advema publicly, changes in federal childcare and education spending policies and budget priorkes, our ability to sequire additional capital, our ability to successfuly idently acquisition largala, acquire businesses and integrate acquired operations into our business, our reliance on our subsidians our ability to proted our intelectual property rights, our ability to protectour information technology and that of our third-party service providers, our ability to manage the costs and liabilities of collecting using sturing, dacksing transferring and promingenional information, our ability to manage payment-related Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements contained in this presentation are not guarantees of future performance and our actual results of operations, financial condition, and liquidity, and the development of the industry in which we operata, may differ this prontation This presentation contains non-QAAP financial measures," which are financial measures that are not calculated and presented in accordance with generally accepted accounting principles in the United States ("GAAP). Specifically, we make use of the non-GAAP financial masura "EBIT," "EBITDA," "Adjusted EBITDA" and "Adjusted nøt (los) income in evaluating our past results and future prospects. We define EBIT an het loss adjusted for net interest expense and income tax benefit. We define EBITDA s EBIT adjusted for depreciation and amortization. We define Adjusted EBITDA EBITOA aquated for COMID-19 related costs, equily based compensation, management and advisory lee expenses acquisitionnelated costs and other costs. Wie define Adjusted set foss) income as net loss adjustedlu COVO-19 related costs, aquily-based compersibu managerent and advisory for expensos, acquisition-mated costs and cher costs. We present EBIT, EBITDA, Adjusted EBITDA and AdjustJS(05) TOMe bauause we consider them to be important EBIT, EBITDA, Adjunted EBITDA and Adjusted net (lass) income have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our results reported under GAAP Some of these imbatom are they do not reflect the significant interest expere or the cash requirements necessary to service interest or principal payments on indbredness, they do not reflect income tax expense or the cash requirements for income tax labilities, although depreciation and amortization are non-cash charpes, the assets being depreciated and amortized will have to be replaced in the future, and EBIT, EBITDA, Adjusted EBITDA and Adjusted net doss) income do not reflect cash requirements for such replacements, they do not reflect our cast used for capital expenditures or contractual commitments, May do not reflect changes in or cash requirements for working capiat; and other companies, including other companies in our industry, may calculate these measures differently than we do, Iming their uw luboss as a comparative The non-GAAP mes as defined by us may not be comparatide to simlar non-GAAP measures presented by other companies. Our presentation of such measures should not be construed as an inference that our future results will be unaffected by other unusual or non-secuning lens. A reconciliation is provided elsewhere in this presentation for each non- Trademarks Trademarks, trade names or service marks to imply, and such use or display should not be construed to imply, a relationship with, or endorsement or sponsorship of us by, these other parties. This presentation also includes estimates regarding market and industry data that we proposed based on our management knowledge and experience in the markets in which we operato, together with information obtained from various sources, including publicly available information, industry reports and publications, surveys, our clients, suppliers, trand business organizations and other contacts in the markets in which we operate Management estimates are derived from publicly available information released by independent industry analysts and third-party sources, as well as data from our internal research, and are based on assumptions made by us upon reviewing such data and our knowledge of such in presenting this information, we have made certain assumptions that we believe to be reasonable based on such data and other similar sources and on our knowledge of, and our experience to date in the markets for the products we distribute. Market share data is subject to change and may be limited by the availability of raw data, the voluntary nature of the data gathering process and other limitations interent in any statistical survey of market share. In addition, dient preferences are subject to change. Accordingly, you are coulioned not to place undue relance on such market share data.