On July 3, 2024, EMCORE Corporation received a written notice from HCP-FVI, LLC, as administrative agent for the lenders, under that certain Credit Agreement, dated August 9, 2022 (together with all forbearances, amendments and modifications prior to the date hereof, the ?Credit Agreement?) by and among the Company, the domestic subsidiaries of the Company from time to time party thereto (together with the Company, the ?Borrowers?), the lenders from time to time party thereto, and the Agent, that an alleged Event of Default has occurred.   The Default Notice specifies that certain defaults have occurred under the Credit Agreement due to the Borrowers? failure to (i) comply with certain covenants set forth in that certain Forbearance Agreement and Second Amendment to Credit Agreement, dated April 29, 2024, entered into by and among the Borrowers, the Agent and the Lenders (the ?Forbearance Agreement?), and (ii) deliver to the Agent and Lenders material sufficient to determine whether the Borrowers are in compliance with certain covenants set forth in the Forbearance Agreement.

  In the Default Notice, the Agent stated that the loans under the Credit Agreement would continue to accrue interest at the default rate of 18% due to the additional default alleged in the Default Notice. The Default Notice further states that the Agent is not waiving any of Lenders? rights or remedy available under the Credit Agreement.

  The Default Notice is in addition to the notices received by the Company from the Agent on each of June 14, 2024 (the ?Original Notice?) and June 21, 2024, pursuant to which the Agent specified that, in the Agent?s view, certain other defaults have occurred under the Credit Agreement, and does not amend or replace such notices in any respect.   The Company responded to the Original Notice advising the Agent that the Company believes that no default or event of default under the Credit Agreement existed in connection with the alleged defaults described in the Original Notice. The Company is engaged in good faith discussions with the Agent regarding mechanisms to address the notices and prevent such an event in the future.