Statement of cash receipts and disbursements

Balance sheet containing the summary and detail of the assets, liabilities and equity (net worth) or deficit

Statement of operations (profit or loss statement)

Accounts receivable aging

Postpetition liabilities aging

Statement of capital assets

Schedule of payments to professionals

Schedule of payments to insiders

All bank statements and bank reconciliations for the reporting period

Description of the assets sold or transferred and the terms of the sale or transfer

/s/ Brendan J. Schlauch

Richards, Layton & Finger, P.A.

09/30/2022

One Rodney Square

920 North King Street

Wilmington, DE 19801

a. Cash balance beginning of month

b. Total receipts (net of transfers between accounts)

c. Total disbursements (net of transfers between accounts)

d. Cash balance end of month (a+b-c)

e. Disbursements made by third party for the benefit of the estate

f. Total disbursements for quarterly fee calculation (c+e)

Part 2: Asset and Liability Status

(Not generally applicable to Individual Debtors. See Instructions.)

a. Accounts receivable (total net of allowance)

b. Accounts receivable over 90 days outstanding (net of allowance)

c. Inventory (Book  ☒ Market  ☐ Other  ☐ (attach explanation))

d. Total current assets

e. Total assets

f. Postpetition payables (excluding taxes)

g. Postpetition payables past due (excluding taxes)

h. Postpetition taxes payable

i. Postpetition taxes past due

j. Total postpetition debt (f+h)

k. Prepetition secured debt

l. Prepetition priority debt

m. Prepetition unsecured debt

n. Total liabilities (debt) (j+k+l+m)

o. Ending equity/net worth (e-n)

a. Total cash sales price for assets sold/transferred outside the ordinary course of business

b. Total payments to third parties incident to assets being sold/transferred outside the ordinary course of business

c. Net cash proceeds from assets sold/transferred outside the ordinary course of business (a-b)

Part 4: Income Statement (Statement of Operations)

(Not generally applicable to Individual Debtors. See Instructions.)

a. Gross income/sales (net of returns and allowances)

b. Cost of goods sold (inclusive of depreciation, if applicable)

c. Gross profit (a-b)

d. Selling expenses

e. General and administrative expenses

f. Other expenses

g. Depreciation and/or amortization (not included in 4b)

h. Interest

i. Taxes (local, state, and federal)

j. Reorganization items

k. Profit (loss)

Approved
Current Month

Approved
Cumulative

Paid Current
Month

Paid Cumulative

Approved
Current Month

Approved
Cumulative

Paid Current
Month

Paid Cumulative

a. Postpetition income taxes accrued (local, state, and federal)

b. Postpetition income taxes paid (local, state, and federal)

c. Postpetition employer payroll taxes accrued

d. Postpetition employer payroll taxes paid

e. Postpetition property taxes paid

f. Postpetition other taxes accrued (local, state, and federal)

g. Postpetition other taxes paid (local, state, and federal)

a. Were any payments made on prepetition debt? (if yes, see Instructions)

b. Were any payments made outside the ordinary course of business without court approval? (if yes, see Instructions)

c. Were any payments made to or on behalf of insiders?

d. Are you current on postpetition tax return filings?

e. Are you current on postpetition estimated tax payments?

f. Were all trust fund taxes remitted on a current basis?

g. Was there any postpetition borrowing, other than trade credit? (if yes, see Instructions)

h. Were all payments made to or on behalf of professionals approved by the court?

i. Do you have:    Worker’s compensation insurance?

                                         If yes, are your premiums current?

                             Casualty/property insurance?

                                         If yes, are your premiums current?

                             General liability insurance?

                                         If yes, are your premiums current?

j. Has a plan of reorganization been filed with the court?

k. Has a disclosure statement been filed with the court?

l. Are you current with quarterly U.S. Trustee fees as set forth under 28 U.S.C. § 1930

a. Gross income (receipts) from salary and wages

b. Gross income (receipts) from self-employment

c. Gross income from all other sources

d. Total income in the reporting period (a+b+c)

e. Payroll deductions

f. Self-employment related expenses

g. Living expenses

h. All other expenses

i. Total expenses in the reporting period (e+f+g+h)

j. Difference between total income and total expenses (d-i)

k. List the total amount of all postpetition debts that are past due

l. Are you required to pay any Domestic Support Obligations as defined by 11 U.S.C § 101(14A)?

m. If yes, have you made all Domestic Support Obligation payments?

Privacy Act Statement

28 U.S.C. § 589b authorizes the collection of this information, and provision of this information is mandatory under 11 U.S.C. §§ 704, 1106, and 1107. The United States Trustee will use this information to calculate statutory fee assessments under 28 U.S.C. § 1930(a)(6). The United States Trustee will also use this information to evaluate a chapter 11 debtor’s progress through the bankruptcy system, including the likelihood of a plan of reorganization being confirmed and whether the case is being prosecuted in good faith. This information may be disclosed to a bankruptcy trustee or examiner when the information is needed to perform the trustee’s or examiner’s duties or to the appropriate federal, state, local, regulatory, tribal, or foreign law enforcement agency when the information indicates a violation or potential violation of law. Other disclosures may be made for routine purposes. For a discussion of the types of routine disclosures that may be made, you may consult the Executive Office for United States Trustee’s systems of records notice, UST-001, “Bankruptcy Case Files and Associated Records.” See 71 Fed. Reg. 59,818 et seq. (Oct. 11, 2006). A copy of the notice may be obtained at the following link: http:// www.justice.gov/ust/eo/rules_regulations/index.htm. Failure to provide this information could result in the dismissal or conversion of your bankruptcy case or other action by the United States Trustee. 11 U.S.C. § 1112(b)(4)(F).

I declare under penalty of perjury that the foregoing Monthly Operating Report and its supporting documentation are true and correct and that I have been authorized to sign this report on behalf of the estate.

/s/ Todd A. Zoha

Todd A. Zoha

Chief Financial Officer

09/23/2022

In re:

LEGACY EJY, INC., et al,¹

Debtors.

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Chapter 11

Case No. 22-10580 (JKS)

(Jointly Administered)

The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal tax identification number include: Legacy EJY, Inc. (6891); Legacy EJY Operating Corp. (4543); Legacy EJY Subsidiary LLC (0230). The location of the Debtors’ service address in these chapter 11 cases is 1209 Orange Street, Wilmington, DE 19801.

The Debtors, and their agents, advisors, attorneys, and other professionals, as applicable, do not guarantee or warrant the accuracy or completeness of the data that is provided in the MOR.

Please refer to the notes above for information about presentation and limitations that may exist in the MOR as purchase accounting entries and adjustments associated with the sale transaction have not been finalized at the time of this report.

USD in Thousands

Customer Receipts

Total Receipts

Payroll

Rent

Vehicle

Taxes

Other Disbursements

Non-BAU: D&O Insurance

Total Operating Disbursements

Sales Proceeds

Net Debt Cash Flows

APA Sales Transaction Costs

Contract and Real Property Cure Costs

Restructuring Professionals

Canada I/C Funding

UK I/C Funding

Total Disbursements & Non-Op Activity

Net Cash Flow

USD Actual

111000-CASH AND CASH EQUIVALENTS

111100-OPERATING CHECKING - US

111200-OPERATING CHECKING

111800-Investments

111900-RESTRICTED CASH

112000-RECEIVABLES

112100-ACCOUNTS RECEIVABLE

114000-PREPAID, DEFERRED, AND OTHER ASSETS

114100-PREPAID EXPENSES

114200-OTHER ASSETS

114300-ACCRUED REVENUE

114600-INVESTMENT AND OTHER ASSETS

114700-INTERCOMPANY RECEIVABLES

TOTAL CURRENT ASSETS

NON-CURRENT ASSETS

125000-PROPERTY, PLANT AND EQUIPMENT

125100-FIXED ASSETS - GROSS

125200-ACCUMULATED DEPRECIATION

125300-CAPITALIZED SOFTWARE

126000-INTANGIBLE ASSETS EXCLUDING GOODWILL