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Capstone Copper Reports Fourth Quarter 2024 Results

Financials

February 19, 2025

Capstone Copper Reports Fourth Quarter 2024 Results

All amounts in US$ unless otherwise indicated

Vancouver, British Columbia – Capstone Copper Corp. (“Capstone” or the “Company”) (TSX: CS) (ASX:

CSC) today reported financial results for the three months and year ended December 31, 2024 (“Q4 2024”).

Copper production in Q4 2024 totaled 53,942 tonnes at C1 cash costs 1 of $2.56 per payable pound of

copper produced. Link HERE for Capstone’s Q4 2024 webcast presentation.

John MacKenzie, CEO of Capstone, commented: "We achieved record copper production and EBITDA

generation in 2024, representing tangible delivery on our peer leading growth. During the year we realized

the first phase of the transformation of Capstone Copper by ramping up Mantoverde and Mantos Blancos,

while improving our balance sheet strength and financial flexibility. As we delivered near-term growth, we

also advanced our future phases of growth by releasing feasibility studies for Mantoverde Optimized and the

neighbouring Santo Domingo project. This year represents an inflection point for Capstone, with our recently

released 2025 guidance demonstrating increased cash flow generation highlighted by continued copper

production growth and decreasing unit costs. We will be focused on operational execution across our

portfolio and further deleveraging of our balance sheet, while continuing to advance our pipeline of organic

opportunities. It is our intention to commence construction of the highly attractive Mantoverde Optimized

project in the second half of 2025, once the permit has been received."

Q4 2024 OPERATIONAL AND FINANCIAL HIGHLIGHTS

• Consolidated copper production for Q4 2024 was 53,942 tonnes at C1 cash costs 1 of $2.56/lb.

Consolidated copper production consisted of 22,029 tonnes at Mantoverde, 13,563 tonnes at Mantos

Blancos, 11,626 tonnes at Pinto Valley and 6,724 tonnes at Cozamin. Total Q4 2024 copper sold of

50,014 payable tonnes was approximately 2,300 tonnes below payable production. This was directly

impacted by seasonal swells at load ports in Chile. Record consolidated copper production for

the full year ended December 31, 2024 was 184,460 tonnes at C1 cash costs1 of $2.77/lb.

• Net income attributable to shareholders of $45.9 million , or $0.06 per share for Q4 2024

compared to net loss attributable to shareholders of $12.3 million, or $(0.02) per share for Q4 2023,

primarily due to higher copper production and a higher realized copper price of $4.04/lb compared to

$3.74/lb. Net income attributable to shareholders for the full year was $82.9 million or $0.11

per share.

• Adjusted net income attributable to shareholders 1 of $29.6 million, or $0.04 per share for Q4

2024, compared to adjusted net income attributable to shareholders 1 of $10.8 million in Q4 2023.

Adjusted net income attributable to shareholders 1 for the full year was $71.5 million or $0.10

per share.

• Adjusted EBITDA1 nearly doubled to $171.9 million for Q4 2024 compared to $88.3 million for

Q4 2023 . The increase in Adjusted EBITDA 1 is primarily driven by higher copper production and

realized copper price and was impacted by the seasonal swells at load ports in Chile. Adjusted

EBITDA1 for the full year was $496.1 million.

• Operating cash flow before changes in working capital of $132.8 million in Q4 2024 compared

to $80.4 million in Q4 2023. Operating cash flow before changes in working capital for the full

year was $414.8 million.

NEWS RELEASE

TSX:CS ● ASX:CSC ● capstonecopper.com

1

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”.

• Net debt1 of $742.0 million as at December 31, 2024 was slightly lower compared to net debt of

$750.7 million as at September 30, 2024 and significantly decreased compared to $927.2 million as

at December 31, 2023, with the MVDP capital build complete. Total available liquidity 1 of $506.4

million as at December 31, 2024, comprising of $132.4 million of cash and short-term investments,

and $374.0 million of undrawn amounts on the corporate revolving credit facility.

• During Q4 2024, the Company announced the results of a Feasibility Study for its Mantoverde

Optimized brownfield expansion project. Mantoverde Optimized is a capital efficient expansion of

the existing sulphide concentrator from throughput of 32,000 to 45,000 ore tpd. The study increased

sulphide reserves from 236 million tonnes at 0.60% copper to 398 million tonnes at 0.49% copper

and 0.10 g/t gold, which extended the mine life from 19 to 25 years. MV Optimized is a high return

and low risk expansion project that is expected to bring on an additional 20,000 tonnes of copper per

annum for approximately $146 million of expansionary capital.

• During Q4 2024, the Company announced its leadership succession plan . At the next Annual

General Meeting on May 2, 2025, John MacKenzie will transition from CEO and be nominated to the

role of Non-Executive Chair of the Board, with Cashel Meagher succeeding him as CEO and also to

be nominated as a member of the Board, while James Whittaker will become COO. Founder of

Capstone Mining Corp. and current Chair of Capstone Copper, Darren Pylot, will step down from the

Board after more than 20 years of combined service to the Company.

• Expected 2025 consolidated copper production growth of approximately 30% mostly driven by

a full-year of production from Mantoverde sulphides, resulting in 2025 production guidance of

220,000 to 255,000 tonnes of copper at approximately 15% lower C1 cash costs 1 of $2.20 to $2.50

per payable pound of copper.

• In January 2025, Mantoverde sulphide s produced a record 6,600 tonnes of copper driven by

mill throughput of 33,409 tpd, copper grades of 0.79%, and copper recoveries of 81.0%, marking the

first month with average throughput exceeding the plant's nameplate capacity. In addition, Mantos

Blancos sulphides produced 4,226 tonnes of copper in January 2025, driven by mill throughput of

20,628 tpd, copper grades of 0.83%, and copper recoveries of 80.1%, highlighting a third

consecutive month operating above its nameplate capacity.

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 2

OPERATIONAL OVERVIEW

Refer to Capstone's Q4 2024 MD&A and Financial Statements for detailed operating results.

Q4 2024 Q4 2023 2024 2023

Copper production (tonnes)

Sulphide business

Pinto Valley 11,626 15,890 57,272 55,090

Cozamin 6,724 6,540 24,907 24,340

Mantos Blancos 12,165 9,702 37,744 38,002

Mantoverde 13,580 — 21,777 —

Total sulphides 44,095 32,132 141,700 117,432

Cathode business

Mantos Blancos 1,398 1,920 6,830 11,520

Mantoverde2 8,449 10,001 35,930 35,401

Total cathodes 9,847 11,921 42,760 46,921

Consolidated 53,942 44,053 184,460 164,353

Copper sales

Copper sold (tonnes) 50,014 43,283 175,201 160,194

Realized copper price1 ($/pound) 4.04 3.74 4.16 3.84

C1 cash costs1 ($/pound) produced

Sulphides business

Pinto Valley 3.30 2.36 2.77 2.79

Cozamin 1.55 1.76 1.75 1.74

Mantos Blancos 2.30 2.58 2.95 2.74

Mantoverde 1.83 — 2.09 —

Total sulphides 2.31 2.30 2.53 2.56

Cathode business

Mantos Blancos 3.70 3.32 3.41 3.11

Mantoverde 3.62 3.68 3.53 3.83

Total cathodes 3.63 3.62 3.51 3.66

Consolidated 2.56 2.67 2.77 2.88

2 Mantoverde production shown on a 100% basis.

Consolidated Production

Q4 2024 copper production of 53,942 tonnes was 22% higher than Q4 2023 primarily as a result of sulphide

production ramping up at Mantoverde and Mantos Blancos.

Q4 2024 C1 cash costs 1 of $2.56/lb were 4% lower than $2.67/lb Q4 2023 mainly due to higher production

(-$0.24/lb), partially offset by lower capitalized stripping costs ($0.15/lb).

2024 consolidated production of 184,460 tonnes of copper was 12% higher than 164,353 tonnes in 2023,

mainly due to the start of concentrate production at Mantoverde, partially offset by lower cathode production

at Mantos Blancos. Cozamin and Pinto Valley production was consistent with the prior year.

2024 C1 cash costs1 of $2.77/lb were 4% lower than $2.88/lb 2023 due to higher copper production (-$0.20/

lb), partially offset by lower capitalized stripping costs ($0.09/lb).

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 3

Pinto Valley Mine

Copper production of 11.6 thousand tonnes in Q4 2024 was 27% lower than in Q4 2023 due to ore face

position resulting in lower grades (Q4 2024 – 0.30% versus Q4 2023 - 0.36%) and lower mill throughput

during the quarter ( Q4 2024 - 45,148 tpd versus Q4 2023 - 53,134 tpd). Mill throughput in Q4 2024 was

impacted by unplanned downtime as a result of mechanical failures and electrical issues, and unscheduled

maintenance on one of the six ball mills which led to the concentrator operating at a reduced rate for a

period of 18 days.

2024 production was 4% higher than 2023 due to slightly higher mill throughput ( 49,461 tpd 2024 versus

49,273 tpd 2023), higher feed grade tied to mine plan sequence ( 0.34% in 2024 versus 0.33% in 2023) and

slightly higher recoveries (87.4% 2024 versus 87.2% 2023).

C1 cash costs 1 of $3.30/lb in Q4 2024 were 40% higher than Q4 2023 of $ 2.36/lb primarily due to lower

production volume ($1.13/lb) and with minimal impact from operating costs ($0.05/lb), partially offset by

lower treatment costs (-$0.24/lb).

2024 C1 cash costs 1 of $2.77/lb were 1% lower compared to the same period last year of $2.79/lb primarily

due to higher production volume (-$0.11/lb) and increased deferred stripping (-$0.18/lb), partially offset by

increased operating costs ($0.17/lb) due to spend on equipment maintenance and contractors and higher

electricity rates ($0.091/kWh in 2024 versus $0.079/kWh in 2023), and lower by-product credits ($0.09/lb).

Mantos Blancos Mine

Q4 2024 production was 13.6 thousand tonnes, composed of 12.2 thousand tonnes from sulphide

operations and 1.4 thousand tonnes of cathode from oxide operations, which was 17% higher than the 11.6

thousand tonnes produced in Q4 2023. Sulphide production increased in Q4 2024 driven by the successful

ramp-up of the concentrator after the installation of new equipment in the tailings handling area during Q3

2024. Overall in Q4 2024, Mantos Blancos averaged sulphide plant throughput of approximately 19,579 tpd,

including an average of 20,137 tpd through November and December (compared to 16,027 tpd overall in

2024 and 14,635 tpd in 2023). Lower cathode production was impacted by lower planned dump throughput

and grade in line with the 2024 mine plan.

2024 production of 44.6 thousand tonnes, composed of 37.7 thousand tonnes of copper in concentrate and

6.8 thousand tonnes of cathodes, was 10% lower than 2023, mainly explained by 43% lower cathode

production due to lower dump throughput and grade in line with the 2024 plan, and to a lesser extent by

lower sulphides feed grades as a result of mine sequence (0.81% in 2024 versus 0.91% in 2023).

Combined Q4 2024 C1 cash costs 1 of $2.45/lb ($2.30/lb sulphides and $3.70/lb cathodes) were 10% lower

compared to combined C1 cash costs 1 of $2.71/lb in Q4 2023 , mainly due to higher copper concentrate

production (-$0.39/lb) and lower diesel prices (-$0.06/lb), partially offset by higher mine expense as a result

of mine sequence ($0.18/lb).

Combined 2024 C1 cash costs 1 of $3.02/lb ( $2.95/lb sulphides and $3.41/lb cathodes) were 7% higher

compared to $2.83/lb in 2023 mainly due to lower production in line with plan ($0.32/lb) partially offset by

lower acid and energy consumption (-$0.10/lb).

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 4

Mantoverde Mine

Q4 2024 copper production of 22.0 thousand tonnes, composed of 13.6 thousand tonnes of copper from

sulphide operations and 8.4 thousand tonnes of cathode, was 120% higher compared to 10.0 thousand

tonnes in Q4 2023 driven by the ramp-up of MVDP. Heap production decreased in Q4 2024 driven by lower

grades (0.31% in Q3 2024 versus 0.41% in Q4 2023) as expected by the mining sequence and lower

throughput (2,512kt in Q4 2024 versus 2,831kt in Q4 2023), which was partially offset by higher recoveries

(79.7% in Q4 2024 versus 64.6% in Q4 2023).

Mantoverde sulphides posted record quarterly copper production of 13,580 tonnes from the new sulphide

concentrator in Q4 2024. During the quarter, plant throughput averaged 24,848 tpd, copper grades averaged

0.80%, and physical copper recoveries averaged 74.4%. Plant throughput was impacted by a combination of

planned and unplanned downtime, with the planned downtime used to improve recoveries, and the

unplanned downtime mostly driven by typical ramp-up issues. Plant availability and recoveries have steadily

increased since first copper production in June, and in December, plant throughput averaged 27,105 tpd,

copper grades averaged 0.73%, and physical copper recoveries averaged 84.8%.

2024 production of 57.7 thousand tonnes was 63% higher than 2023 mainly due to copper in concentrate

production of 21.8 thousand tonnes and higher cathode production by 0.5 thousand tonnes mainly driven by

higher heap recovery and grade as a result of mine sequence (0.35% in 2024 versus 0.34% in 2023).

Q4 2024 C1 cash costs1 were $2.53/lb, 31% lower than $3.68/lb in Q4 2023 due to higher production of low-

cost sulphides (-$1.19/lb), lower energy prices (-$0.16/lb) which averaged $0.09/kWh in Q4 2024 versus

$0.17/kWh in Q4 2023, and lower acid consumption related to lower throughput (-$0.12/lb), partially offset by

an increase in contracted services, spare parts and labour cost mainly driven by higher mine movement

($0.34/lb).

2024 C1 cash costs 1 were $3.00/lb, 22% lower than $3.83/lb in 2023, mainly related to higher production

(-$0.91/lb), lower energy price due to contract conditions effective January 2024 (-$0.26/lb), lower acid

prices and consumption related to lower throughput (-$0.14/lb), which was partially offset by an increase in

contracted services, spare parts and labour cost mainly driven by higher mine movement ($0.49/lb).

Cozamin Mine

Q4 2024 copper production of 6.7 thousand tonnes was 2% higher than in the prior year, mainly on higher

grades ( 2.03% in Q4 2024 versus 1.95% in Q4 2023 ) driven by mine sequence. Mill throughput and

recoveries were consistent quarter over quarter.

2024 production was 2% higher than 2023 due to higher grades ( 1.96% in 2024 versus 1.89% in 2023),

consistent with the mine plan, which was partially offset by slightly lower mill throughput ( 3,581 tpd in 2024

versus 3,639 tpd in 2023). Recoveries were consistent with the same period previous year.

Q4 2024 C1 cash costs 1 were $ 1.55/lb, 12% lower than in the same period previous year, mainly due to

higher production, higher silver by-product volume and price (-$0.12/lb), as well as lower operating costs

than the previous year (-$0.07/lb) impacted by a weakening of the Mexican peso relative to the US dollar.

2024 C1 cash costs1 were consistent with the previous year: higher costs in manpower for hourly employees

bonus profit sharing increase and the change in mining method which resulted in an increase in higher

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 5

contractor utilization, which were offset by more pounds payable produced and higher by-product silver

prices and volume.

Mantoverde Development Project

The Mantoverde Development Project ("MVDP") involved the addition of a sulphide concentrator (nominal

32,000 ore tonnes per day ("tpd")) and tailings storage facility, and the expansion of the existing desalination

plant and other minor infrastructure, in order to process sulphide ore. Mantoverde continues to process

oxide ore through heap and dump run of mine leaching and a conventional solvent extraction and

electrowinning ("SX-EW") plant. The final total project capital spent was $870 million which was in line with

the revised budget of $870 million and compared to the initial Capstone Copper estimate of $825 million.

After producing first copper concentrate in June 2024, the MVDP achieved commercial production on

September 21, 2024, and the mill ramped up to full nominal milling rates by year end, including a peak

individual daily throughput of 37,989 tpd in 2024.

Mantoverde sulphides posted quarterly copper production of 13,580 tonnes from the new sulphide

concentrator in Q4 2024. During the quarter, plant throughput averaged 24,848 tpd, copper grades averaged

0.80%, and copper recoveries averaged 74.4%. Plant throughput was impacted by a combination of planned

and unplanned downtime, with the planned downtime used to improve recoveries, and the unplanned

downtime mostly driven by typical ramp-up issues. Examples of the issues faced in the quarter included a

drive shaft assembly failure in the stockpile apron feeder - which forced operations to continue with only one

feeder - and a frozen charge event in the ball mill due to a variable frequency drive failure. Plant availability

and recoveries have steadily increased since first copper production in June, and in December, plant

throughput averaged 27,105 tpd (November: 26,278 tpd, October: 21,206 tpd), copper grades averaged

0.73% (November: 0.85%, October 0.83%), and copper recoveries averaged 84.8% (November 70.9%,

October 67.0%).

Subsequent to quarter end in January 2025, Mantoverde sulphides posted record monthly copper production

of 6,600 tonnes, driven by plant throughput of 33,409 tpd, copper grades of 0.79%, and copper recoveries of

81.0%. Peak individual daily throughput totaled 38,511 tpd in January.

MV Optimized Feasibility Study

The Company announced its Mantoverde Optimized ("MV Optimized") Feasibility Study ("FS") on October 1,

2024. The project is a capital-efficient expansion of Mantoverde's sulphide concentrator, increasing

throughput from 32,000 to 45,000 ore tpd and extending the mine life from 19 to 25 years. With an updated

sulphide Mineral Reserve of 398 million tonnes at a copper grade of 0.49% (compared to 236 million tonnes

at 0.60% copper previously), the project will yield an additional 368,000 tonnes of copper and 215,000

ounces of gold, with an initial expansionary capital investment of $146 million and an implied capital intensity

of approximately $7,500 per copper tonne. Capstone Copper anticipates starting construction after receiving

the DIA environmental permit approval, which is expected around the middle of 2025. The MV Optimized FS

also features a robust life of mine after-tax NPV (8%) of $2.9 billion for Mantoverde operation on a 100%-

basis based on a long-term copper price of $4.10/lb and gold price of $1,800/oz.

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 6

Santo Domingo Feasibility Study & Sierra Norte Acquisition

Capstone Copper announced the results of an updated FS for its 100%-owned Santo Domingo copper-iron-

gold project in Region III Chile, 35km northeast of Mantoverde on July 31, 2024. The updated FS, completed

by Ausenco, outlines the next phase of transformational growth for the Company in the world-class

Mantoverde-Santo Domingo ("MV-SD") district.

The 2024 FS for Santo Domingo outlines a robust copper-iron-gold project with an after-tax NPV (8%) of

$1.7 billion and an after-tax internal rate of return of 24.1%. Total initial capital cost of $2.3 billion drives a

capital intensity of approximately $21,900 per tonne of annual copper equivalent production over the life of

mine. Over the first seven years of the mine plan, production is expected to average 106,000 tonnes of

copper and 3.7 million tonnes of iron ore magnetite concentrate at first quartile cash costs of $0.28 per

payable pound of copper produced.

The 19-year Santo Domingo mine life is supported by an increased Mineral Reserve estimate of 436 million

tonnes (compared to 392 million tonnes previously) at a copper grade of 0.33%, iron ore grade of 26.5%,

and a gold grade of 0.05 grams per tonne. Increased Measured & Indicated ("M&I") Mineral Resources total

547 million tonnes (compared to 537 million tonnes previously) at a copper grade of 0.31% and a gold grade

of 0.04 grams per tonne, including 506 million tonnes with an iron grade of 25.8%.

The FS updated the level of engineering to Association for the Advancement of Cost Engineering ("AACE")

Class 3. Further detailed engineering will increase the precision of capital estimates to AACE Class 2 over

the balance of 2025.

In Q3 2024, Capstone Copper acquired 100% of the shares of Sierra Norte for $40 million in share

consideration. Sierra Norte is located approximately 15 kilometers northwest of the Santo Domingo Project

and represents an opportunity to potentially be a future sulphide feed source for Santo Domingo, extending

the higher grade copper sulphide life. Potential oxide material at Sierra Norte represents an opportunity to be

a future oxide feed for Mantoverde's underutilized SX-EW plant.

The Company is progressing partnership and financing discussions for the Santo Domingo project, while in

parallel advancing opportunities to incorporate the recently acquired Sierra Norte project and Santo

Domingo’s copper oxide material into the mine plan.

Copper Oxides Opportunity

Capstone Copper plans to progress drilling and studies regarding the processing of oxide material from the

Company’s Santo Domingo and Sierra Norte deposits by leveraging Mantoverde’s infrastructure and excess

SX-EW capacity. To date, oxide materials have been recognized in the shallower portions of the Santo

Domingo, Iris Norte, and Estrellita sulphide ore bodies. Some of these oxide resources are considered as

waste material in the Santo Domingo 2024 FS. Meanwhi le, only slightly more than half of the processing

capacity is being used at Mantoverde’s SX-EW cathode copper plant. Exploration efforts at Sant o Domingo

will target a potential 80-100 million tonnes of oxide material, which could add up to 10 thousand tonnes per

annum of copper production.

Exploration Opportunities in the MV-SD District

Capstone Copper has significant untapped exploration potential within MV-SD district. The Mantoverde

Optimized plan was prepared without completing any expansionary drilling since 2019. At Mantoverde, there

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 7

are 0.2 billion tonnes of M&I and 0.6 billion tonnes of Inferred sulphide resources not in reserves. Exploration

targets also include the northern extension (~10km long) of the projection of the prospective Atacama fault

system. At Santo Domingo, there are 0.1 billion tonnes of M&I and 0.2 billion tonnes of Inferred sulphide

resources not in reserves. The recently acquired Sierra Norte property also represents an opportunity to

potentially be a future feed source in the district. Capstone Copper intends to progress its exploration

strategy to service its two eventual processing centers between Mantoverde and Santo Domingo, in addition

to drilling that is currently underway at Mantoverde to evaluate the potential for Mantoverde Phase II, which

could include the addition of an entire second processing line at Mantoverde.

Mantoverde - Santo Domingo Pyrite Augmentation & Cobalt Study

A district cobalt plant for the MV-SD district is designed to unlock cobalt production while reducing sulphuric

acid consumption and increasing heap leach copper production. The cobalt recovery process comprises a

pyrite flotation step to recover cobaltiferous pyrite from the tailings streams at Mantoverde and Santo

Domingo and redirect it to the dynamic heap leach pads, which will be upgraded to a bioleach configuration

through the addition of an aeration system as part of MV Optimized. The pyrite oxidizes in the leach pads

and the solubilized cobalt is recovered via an ion exchange plant treating a bleed stream from the copper

solvent extraction plant. The approach has been successfully demonstrated at the bench and pilot scales.

As currently envisioned, a smaller capacity countercurrent ion-exchange plant will initially treat cobalt by-

product streams from Mantoverde producing up to 1,500 tonnes per annum of cobalt, and following

sanctioning of the Santo Domingo project, the facility will be expanded to accommodate by-product streams

from Santo Domingo. An initial study focused on Mantoverde's pyrite augmentation and cobalt opportunity is

expected in 2025, followed by a Santo Domingo study in 2026, for a combined MV-SD target of 4,500 to

6,000 tonnes per annum of mined cobalt production.

Mantos Blancos Phase II Study

The Company is currently evaluating the next phase of growth for Mantos Blancos, which is analyzing the

potential to increase the concentrator plant's throughput to at least 27,000 tpd and increase cathode

production from the underutilized SX-EW plant. The sulphide concentrator plant expansion is expected to

utilize existing and unused or underutilized process equipment, such as two idled ball mills, plus additional

equipment for concentrate filtration, thickening and filtering of tailings. The increase in cathode production is

being evaluated based on an opportunity to re-leach spent ore from historical VAT leaching operations and

coarse/fine tailings material. The increase in cathode production would utilize existing SX-EW plant capacity,

with the addition of a dynamic leach pad, agglomeration and stacking infrastructure. The Mantos Blancos

Phase II study is expected around the end of 2025.

PV District Growth Study

The Company continues to review and evaluate the consolidation potential of the Pinto Valley district.

Opportunities under evaluation include a potential mill expansion and increased leaching capacity supported

by optimized water, heap and dump leach, and tailings infrastructure. Pinto Valley district consolidation could

unlock significant ESG opportunities and may transform the Company's approach to create value for all

stakeholders in the Globe-Miami District.

1 These are Non-GAAP performance measures. Refer to the section titled “Non-GAAP and Other Performance Measures”. 8