Ann: Appendix 4E and Annual Report, page-25

Note 6 (page 52) to the Financial Statements for the year ended 30 June 2023 stated that:

Weebit Nano SARL (France) participates in a French government R&D incentive plan (“RTC”). According
to this plan, Weebit Nano SARL (France) may claim each calendar year a partial refund on its R&D
expenses. During 2022, Weebit Nano SARL (France) filed its request for a refund on 2021 R&D costs.
The refund was received in July 2022 and was recorded as receivable in the 2022 report. During 2023,
Weebit Nano SARL (France) filed its request for a refund on 2022 R&D costs. The refund is expected to
be received by December 31, 2023.

In the 2022 Financial Statements the refund was booked in at $5.566m. But in 2023, this comparative amount was NIL.
With increased R&D cost for 2023 at $26.694m (2022: $16.776m), one can safely assume an R&D refund
from the French Government of at least $5.566m.

Accordingly, the net loss $39m would have been far less, if this refund was taken into account in the 2023 books.

Please correct me if I am wrong.