People Inc

Previous wording

The total costs expected to be incurred in connection with the Plan are approximately $63.0 million, including approximately $14.0 million in severance and employee separation benefits, $48.0 million in stock-based compensation expense and $0.5 million in other costs related to the Plan. The total expected stock-based compensation expense includes approximately $32.0 million of expense associated with awards that were modified to vest in connection with the Plan and $16.0 million of expense associated with awards that accelerate based on the original terms of the award agreements. The estimates of the charges and expenditures that the Company expects to incur in connection with the Plan, and the timing thereof, are subject to a number of assumptions and actual amounts may differ materially from these estimates. In addition, the Company may incur other charges or cash expenditures not currently contemplated due to unanticipated events that may occur in connection with the implementation of the Plan.

Current wording

(a) The total expected stock-based compensation expense of $46.5 million includes $30.8 million of expense associated with awards that were modified to vest in connection with the Plan and $15.7 million of expense associated with awards that accelerate based on the original terms of the award agreements.

Previous wording

As the Company moves away from its holding company structure and in connection with the Plan, Christopher Halpin will cease to serve as Executive Vice President (“EVP”), Chief Operating Officer and Chief Financial Officer (“CFO”) of the Company, and Kendall Handler will cease to serve as EVP and Chief Legal Officer of the Company, in each case, effective August 5, 2026 (the “Separation Effective Date”). Upon the Separation Effective Date, Neil Vogel, who served as Chief Executive Officer (“CEO”) of People Inc., will become CEO of the Company, and Timothy Quinn, who served as the CFO of People Inc., will become CFO of the Company. Mr. Halpin and Ms. Handler have each entered into employment transition agreements with the Company, each dated April 27, 2026, pursuant to which each executive will serve in their respective positions through the Separation Effective Date.

Current wording

In connection with the Plan and effective August 5, 2026, Neil Vogel, who previously served as Chief Executive Officer (“CEO”) of People Inc., and Timothy Quinn, who previously served as Chief Financial Officer (“CFO”) of People Inc. were appointed as CEO and CFO, respectively, of the Company. Effective as of the same date, Christopher Halpin ceased serving as Executive Vice President (“EVP”), Chief Operating Officer and CFO of the Company, and Kendall Handler ceased serving as EVP and Chief Legal Officer of the Company.

Previous wording

On December 10, 2025, the Company received a notice of non-renewal (the “Notice”) from Google Inc. of the services agreement, dated October 26, 2015 and as subsequently amended (the “Services Agreement”). As a result of the Notice, the Services Agreement was due to expire on March 31, 2026; the Services Agreement was extended through April 30, 2026, at which point the Services Agreement expired. In connection with the expiration of the Services Agreement the Company ceased operations of its Search segment, which are presented as discontinued operations within the Company’s consolidated financial statements for all periods presented.

Current wording

On December 10, 2025, the Company received a notice of non-renewal (the “Notice”) from Google LLC of the services agreement, dated October 26, 2015 and as subsequently amended (the “Services Agreement”). As a result of the Notice, the Services Agreement was due to expire on March 31, 2026; the Services Agreement was extended through April 30, 2026, at which point the Services Agreement expired. In connection with the expiration of the Services Agreement the Company ceased operations of its Search segment, which are presented as discontinued operations within the Company’s consolidated financial statements for all periods presented.

Previous wording

On March 16, 2026, the Company completed the sale of its wholly-owned subsidiary, Care.com, for net proceeds of $300.2 million. In July 2026, the remaining $4.5 million of cash proceeds, which was held in escrow at June 30, 2026, was received by the Company. As a result of the transaction, the consolidated operations of Care.com are presented as discontinued operations within the Company’s consolidated financial statements for all periods prior to March 16, 2026.

Current wording

On March 16, 2026, the Company completed the sale of its wholly-owned subsidiary, Care.com, for net proceeds of $300.2 million. As a result of the transaction, the consolidated operations of Care.com are presented as discontinued operations within the Company’s consolidated financial statements for all periods prior to March 16, 2026.

Previous wording

•People Inc. - one of the largest digital and print publishers in America and home to over 40 celebrated brands, including PEOPLE, Food & Wine, Travel + Leisure, InStyle, Better Homes & Gardens and Southern Living, attracting more than 175 million consumers each month. People Inc. has two operating segments: (i) Digital, which includes its digital, mobile and licensing operations; and (ii) Print, which includes its magazine subscription and newsstand operations;

Current wording

•People Inc. - one of the largest digital and print publishers in America and home to more than 40 celebrated brands, including PEOPLE, Food & Wine, Travel + Leisure, InStyle, Better Homes & Gardens and Southern Living, attracting more than 175 million consumers each month. People Inc. has two operating segments: (i) Digital, which includes its digital, mobile and licensing operations; and (ii) Print, which includes its magazine subscription and newsstand operations;

Previous wording

•Cost of revenue (exclusive of depreciation) -consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs; production, distribution and editorial costs of the People Inc. Print segment; content costs; purchases of advertising inventory for advertising campaigns sold with People Inc.’s D/Cipher product; traffic acquisition costs, which include payment of amounts based on revenue share and other arrangements; and hosting fees.

Current wording

•Cost of revenue (exclusive of depreciation) -consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs; production, distribution and editorial costs of the People Inc. Print segment; content costs; traffic acquisition costs, which include payment of amounts based on revenue share and other arrangements; purchases of advertising inventory for advertising campaigns sold with People Inc.’s D/Cipher product; and hosting fees.

Previous wording

•Selling and marketing expense -consists primarily of advertising expenditures, which include online marketing expenditures, including fees paid to search engines, social media sites and other online marketing platforms; offline marketing expenditures, which primarily consists of costs related to direct mail and promotional events; compensation expense (including stock-based compensation expense) and other employee-related costs for sales force and marketing personnel; and subscription acquisition costs of the People Inc. Print segment.

Current wording

•Selling and marketing expense -consists primarily of advertising expenditures, which include online marketing expenditures, including fees paid to search engines, social media and other online marketing platforms; offline marketing expenditures, which primarily consists of costs related to direct mail and promotional events; compensation expense (including stock-based compensation expense) and other employee-related costs for sales force and marketing personnel; and subscription acquisition costs of the People Inc. Print segment.

Previous wording

•General and administrative expense -consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs for personnel engaged in executive management, finance, legal, tax, human resources and customer service functions; rent expense (including impairments of right-of-use assets or “ROU assets” and gains or losses on the amendments or early terminations of lease agreements) and facilities cost; fees for professional services (including transaction-related costs related to the sale of Care.com, the Distribution and acquisitions); provision for credit losses; and software license and maintenance costs.

Current wording

•General and administrative expense -consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs for personnel engaged in executive management, finance, legal, tax, human resources and customer service functions; fees for professional services (including transaction-related costs related to the sale of Care.com, the Distribution and acquisitions); rent expense (including impairments of right-of-use assets or “ROU assets” and gains or losses on the amendments or early terminations of lease agreements) and facilities cost; and software license and maintenance costs.

Previous wording

•Product development expense - consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs; and third-party contractor costs that are not capitalized for personnel engaged in the design, development, testing and enhancement of product offerings and related technology; and software license and maintenance costs.

Current wording

•Product development expense - consists primarily of compensation expense (including stock-based compensation expense) and other employee-related costs; software license and maintenance costs; and third-party contractor costs incurred in connection with the design, development, testing and enhancement of product offerings and related technology. Compensation expense and third-party contractor costs exclude costs that are capitalized as internal-use software development costs.

Previous wording

•Term Loan A-1- due May 14, 2030. On May 14, 2025, People Inc. entered into the Incremental Assumption Agreement and Amendment No. 2 to the Credit Agreement (“Amendment No. 2”), which replaced $288.8 million of the then outstanding Term Loan A with $350 million of the Term Loan A-1 and provided for a new five-year $150 million revolving credit facility (“Revolving Facility”). At June 30, 2026 and December 31, 2025, the outstanding balance of the Term Loan A-1 was $332.5 million and $341.3 million, respectively, and bore interest at secured overnight financing rate (“SOFR”) plus 2.00%, or 5.65% and 5.73%, respectively. The Term Loan A-1 requires quarterly principal payments, which commenced September 30, 2025, of $4.4 million through December 31, 2027, $8.8 million thereafter through December 31, 2028 and $13.1 million thereafter through maturity.

Current wording

•Term Loan A-1- due May 14, 2030. On May 14, 2025, People Inc. entered into the Incremental Assumption Agreement and Amendment No. 2 to the Credit Agreement (“Amendment No. 2”), which replaced $288.8 million of the then outstanding Term Loan A with $350 million of the Term Loan A-1 and provided for a new five-year $150 million revolving credit facility (“Revolving Facility”). At September 30, 2026 and December 31, 2025, the outstanding balance of the Term Loan A-1 was $328.1 million and $341.3 million, respectively, and bore interest at secured overnight financing rate (“SOFR”) plus 2.00%, or 5.90% and 5.73%, respectively. The Term Loan A-1 requires quarterly principal payments, which commenced September 30, 2025, of $4.4 million through December 31, 2027, $8.8 million thereafter through December 31, 2028 and $13.1 million thereafter through maturity.

Previous wording

•Term Loan B-2 - due June 16, 2032. On June 16, 2025, People Inc. completed the refinancing and replacement of its then outstanding $1.18 billion Term Loan B-1 with a combination of $700 million of the Term Loan B-2 and $400 million of the 7.625% Senior Secured Notes due June 15, 2032 (“2032 Notes”). At June 30, 2026 and December 31, 2025, the outstanding balance of the Term Loan B-2 was $696.5 million and $700.0 million, respectively, and bore interest at SOFR, subject to a minimum of 0.50%, plus 3.50%, or 7.12% and 7.37%, respectively, as the applicable margin was unchanged under the governing agreements. The Term Loan B-2 requires quarterly principal payments of $1.8 million, which commenced March 31, 2026 through maturity.

Current wording

•Term Loan B-2 - due June 16, 2032. On June 16, 2025, People Inc. completed the refinancing and replacement of its then outstanding $1.18 billion Term Loan B-1 with a combination of $700 million of the Term Loan B-2 and $400 million of the 7.625% Senior Secured Notes due June 15, 2032 (“2032 Notes”). At September 30, 2026 and December 31, 2025, the outstanding balance of the Term Loan B-2 was $694.8 million and $700.0 million, respectively, and bore interest at SOFR, subject to a minimum of 0.50%, plus 3.50%, or 7.18% and 7.37%, respectively, as the applicable margin was unchanged under the governing agreements. The Term Loan B-2 requires quarterly principal payments of $1.8 million, which commenced March 31, 2026 through maturity.

Previous wording

•Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”) - is a non-GAAP financial measure. Beginning with the second quarter of 2026, the Company revised its definition of Adjusted EBITDA to also exclude certain items that management believes are not representative of the Company’s core ongoing operating performance and certain items that affect comparability between periods. Adjusted EBITDA for prior periods has been recast to conform to the current period presentation. See “Principles of Financial Reporting” for the definition of Adjusted EBITDA and required non-GAAP reconciliations.

Current wording

•Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”) - is a non-GAAP financial measure. Beginning with the second quarter of 2026, the Company revised its definition of Adjusted EBITDA to also exclude certain items that management believes are not representative of the Company’s core ongoing operating performance and certain items that affect comparability between periods. Adjusted EBITDA has been recast to reflect the revised definition for all periods presented. See “Principles of Financial Reporting” for the definition of Adjusted EBITDA and required non-GAAP reconciliations.

Previous wording

Results of Operations for the Three and Six Months Ended June 30, 2026 Compared to the Three and Six Months Ended June 30, 2025

Current wording

Results of Operations for the Three and Nine Months Ended September 30, 2026 Compared to the Three and Nine Months Ended September 30, 2025

Previous wording

•People Inc. revenue decreased $10.7 million, or 2%, to $416.7 million, despite the increase of $14.9 million, or 6%, from Digital, net of intersegment eliminations, due to a decrease of $25.6 million, or 16%, from Print.

Current wording

•People Inc. revenue decreased $20.0 million, or 5%, to $409.9 million, despite the increase of $5.0 million, or 2%, from Digital, net of intersegment eliminations, due to a decrease of $25.0 million, or 16%, from Print.

Previous wording

◦The Digital increase was due primarily to increases of $8.9 million, or 23%, in Licensing and Other revenue and $6.7 million, or 12%, in Performance marketing revenue, net of intersegment eliminations, partially offset by a decrease of $0.6 million in Advertising revenue. The increase in Licensing and Other revenue was due primarily to improved performance of Apple News+ and content syndication partners and from the contribution of a content partnership with Meta that was signed in the fourth quarter of 2025. The increase in Performance marketing revenue was due primarily to an increase in affiliate commerce commission revenue due primarily tohigher transaction volumes. Advertising revenue decreased slightly due primarily to lower premium programmatic volume, partially offset by direct-sold advertising growth primarily from the Health and Pharmaceuticals, Media and Entertainment and Beauty and Style categories, higher open programmatic advertising revenue, other Non-session-based revenue, including the contribution from the acquisition of Feedfeed, which was acquired in the fourth quarter of 2025, and increased contribution from the D/Cipher+ advertising product. Open programmatic advertising revenue increased due primarily to higher programmatic rates, partially offset by lower impression volumes driven by a 22% decline in Core Sessions, due primarily to the impact of the increasing prominence of Google AI Overviews on Google search sessions. The Company expects the increasing prominence of Google AI Overviews to continue to negatively impact Core Sessions and advertising revenue.

Current wording

◦The Digital increase was due primarily to an increase of $17.3 million, or 49%, in Licensing and other revenue, partially offset by a decrease of $13.5 million or 8% in Advertising revenue. Licensing and other revenue increased due primarily to improved performance of Apple News+ and other content syndication partners andcontribution of a content partnership with Meta that was signed in the fourth quarter of 2025. Advertising revenue decreased due primarily to lower premium programmatic volume and decreases in a legacy agency business. Open programmatic advertising revenue also decreased driven by a 26% decline in Core Sessions, due primarily to AI-oriented search and content discovery experiences, partially offset by higher rates. These declines were partially offset by growth in direct-sold advertising primarily in the Health and Pharmaceuticals, Beauty and Style and Food and Beverage categories driven primarily by Non-session based revenue streams.

Previous wording

◦The Print decrease was due primarily to decreases of $15.2 million, or 21%, in subscription revenue, $7.1 million, or 19%, in advertising revenue, $1.7 million, or 11%, in project and other revenue and $1.2 million, or 5%, in newsstand revenue. The decreases in both subscription revenue and advertising revenue are due to ongoing portfolio optimization changes that resulted in a reduction in the number of issues sold in the current year compared to the prior year and the ongoing and continuing broader migration of audience from print to digital platforms. The decrease in project and other revenue was due primarily to fewer project-related contracts compared to the prior year. The decrease in newsstand revenue was due primarily to less favorable rates under a renewed contract with a wholesaler.

Current wording

◦The Print decrease was due primarily to decreases of $17.3 million, or 24%, in Subscription revenue and $5.4 million, or 14%, in Advertising revenue. These decreases were due to ongoing portfolio optimizations that resulted in a reduction in the number of issues sold in the current year compared to the prior year and the ongoing migration of audience from print to digital platforms.

Previous wording

•Emerging & Other revenue increased $4.2 million, or 26%, to $20.0 million due primarily to increases of $3.0 million, or 53%, from The Daily Beast and $1.2 million, or 12%, from Vivian Health. The increase in revenue from The Daily Beast was driven by content licensing, advertising and subscription revenue growth. The increase in revenue from Vivian Health was due to higher subscription and usage revenue, due in part to the contribution from its AI Assistant subscription product launched in fourth quarter of 2025.

Current wording

•Emerging & Other revenue increased $3.7 million, or 21%, to $21.0 million due primarily to increases of $2.3 million, or 39%, from The Daily Beast and $1.9 million, or 18%, from Vivian Health. The increase in revenue from The Daily Beast was driven by advertising, content licensing and subscription revenue growth. The increase in revenue from Vivian Health was due to higher subscription and usage revenue due, in part, to the contribution from its AI Assistant subscription product launched in fourth quarter of 2025.

Previous wording

•People Inc. revenue decreased $18.0 million, or 2%, to $802.4 million, despite the increase of $33.0 million, or 7%, from Digital, net of intersegment eliminations, due to a decrease of $51.1 million, or 16%, from Print.

Current wording

•People Inc. revenue decreased $38.0 million, or 3%, to $1.2 billion, despite the increase of $38.1 million, or 5%, from Digital, net of intersegment eliminations, due to a decrease of $76.1 million, or 16%, from Print.

Previous wording

◦The Digital increase was due primarily to increases of $17.2 million, or 24%, in Licensing and Other revenue, $14.9 million, or 14%, in Performance marketing revenue, net of intersegment eliminations, and $0.9 million in advertising revenue. The increases in Licensing and Other revenue and Performance marketing revenue were due primarily tothe factors described above in the three-month discussion. The increase in Performance marketing revenue was further impacted by the achievement of certain volume-related retailer incentive programs. The increase in advertising revenue was due primarily to growth in direct-sold premium advertising from the Health and Pharmaceuticals, Beauty and Style and Media and Entertainment categories, increased contribution from the D/Cipher+ advertising product and other Non-session-based revenue, partially offset by lower premium programmatic volume.

Current wording

◦The Digital increase was due primarily to increases of $34.5 million, or 33%, in Licensing and other revenue, $16.1 million, or 9%, in Performance marketing revenue, net of intersegment eliminations, partially offset by a $12.5 million, or 3%, decrease in Advertising revenue. The increase in Licensing and other revenue was due primarily tothe factors described above in the three-month discussion. Performance marketing revenue increased primarily due to increases in affiliate commerce commission revenue related to higher transaction volumes and the achievement of certain volume-related retailer incentive programs. Advertising revenue decreased due primarily to the factors described above in the three-month discussion. The decrease was partially offset by the growth in direct-sold premium advertising led by the Health and Pharmaceuticals, Beauty and Style and Media and Entertainment categories driven primarily by Non-session based revenue streams. The Company expects the increasing prominence of AI-oriented search and content discovery experiences to continue to negatively impact Advertising revenue.

Previous wording

◦The Print decrease was due primarily to decreases of $28.1 million, or 19%, in subscription revenue, $14.7 million, or 20%, in advertising revenue, $4.1 million, or 13%, in project and other revenue and $2.7 million, or 20%, in performance marketing revenue. The decreases in subscription revenue, advertising revenue, and project and other revenue are all due, in part, to the factors described above in the three-month discussion. The decrease in performance marketing revenue was due to a decrease in renewals following the discontinuation of certain retail relationships.

Current wording

◦The Print decrease was due primarily to decreases of $45.4 million, or 21%, in Subscription revenue, $20.1 million, or 18%, in Advertising revenue, $4.6 million or 24%, in Performance marketing revenue and $3.3 million, or 8%, in Project and other revenue. The decreases in Subscription revenue and Advertising revenue were due primarily to the factors described above in the three-month discussion. The decrease in Performance marketing revenue was due to a decrease in renewals following the discontinuation of certain retail relationships. The decrease in Project and other revenue was due primarily to fewer project-related contracts compared to the prior year.

Previous wording

•Emerging & Other revenue increased $6.0 million, or 17%, to $40.1 million due primarily to increases of $5.2 million, or 44%, from The Daily Beast and $2.1 million, or 10%, from Vivian Health, partially offset by a decrease in revenue of $1.4 million, or 74%, from IAC Films. The increase in revenue from The Daily Beast and Vivian Health was due primarily to the factors described above in the three-month discussion.

Current wording

•Emerging & Other revenue increased $9.6 million, or 19%, to $61.1 million due primarily to increases of $7.5 million, or 43%, from The Daily Beast and $4.0 million, or 13%, from Vivian Health, partially offset by a decrease in revenue of $1.9 million, or 63%, from IAC Films. The increase in revenue from The Daily Beast and Vivian Health was due primarily to the factors described above in the three-month discussion.

Previous wording

Cost of revenue in 2026 decreased from 2025 due to a decrease of $10.5 million from People Inc., partially offset by an increase of $2.1 million from Emerging & Other.

Current wording

Cost of revenue in 2026 decreased from 2025 due primarily to a decrease of $16.6 million from People Inc.

Previous wording

◦The Print decrease was due primarily to decreases of $3.1 million in production and distribution costs (paper, postage, printing and editorial) resulting from the planned reduction in the number of printed copies of certain publications and $1.5 million in compensation expense due primarily to a reduction in headcount.

Current wording

◦The Print decrease was due primarily to decreases of $4.3 million in production and distribution costs (paper, postage, printing and editorial) resulting from the planned reduction in the number of printed copies of certain publications and $3.3 million in severance-related costs incurred in the third quarter of 2025 driven by headcount reductions to better align the business with strategic growth priorities.

Previous wording

Cost of revenue in 2026 decreased from 2025 due to a decrease of $5.4 million from People Inc., partially offset by an increase of $1.2 million from Emerging & Other.

Current wording

Cost of revenue in 2026 decreased from 2025 due to a decrease of $27.1 million from People Inc., partially offset by an increase of $2.5 million from Emerging & Other.

Previous wording

•The People Inc. decrease was due primarily to a decrease of $10.7 million from Print due primarily to a decrease of $10.4 million in production and distribution costs (postage, paper, printing and editorial) and $1.6 million in compensation expense. The decrease in both production and distribution costs and compensation expense were due primarily to the factors described above in the three-month discussion.

Current wording

◦The Print decrease was due primarily to decreases of $14.7 million in production and distribution costs (postage, paper, printing and editorial) and $3.3 million in severance-related costs, both due primarily to the factors described above in the three-month discussion.

Previous wording

•The Emerging & Other increase was due primarily to an increase of $0.8 million from The Daily Beast resulting from increases in compensation expense of $0.4 million due primarily to higher headcount and $0.2 million in content costs.

Current wording

•The Emerging & Other increase was due primarily to an increase of $1.9 million from The Daily Beast resulting from increases in compensation expense of $1.1 million due primarily to higher headcount and $0.4 million in content costs.

Previous wording

Selling and marketing expense in 2026 decreased from 2025 due to a decrease of$9.3 million from People Inc. resulting from a decrease of$14.5 million from Print, net of intersegment eliminations, partially offset by an increase of$5.2 million from Digital.

Current wording

•The People Inc. decrease was due to a decrease of$15.0 million from Print, net of intersegment eliminations, partially offset by an increase of $3.5 million from Digital.

Previous wording

•The Print decrease was due primarily to a decrease of $12.5 million in subscription acquisition costs due primarily to the on-going portfolio optimization changes that reduced the number of issues produced compared to the prior year.

Current wording

◦The Print decrease was due primarily to decreases of $14.1 million in subscription acquisition costs due primarily to the on-going portfolio optimization changes that reduced the number of issues produced compared to the prior year and $2.2 million in severance-related costs incurred in the third quarter of 2025 driven by headcount reductions to better align the business with strategic growth priorities.

Previous wording

Selling and marketing expense in 2026 decreased from 2025 due to a decrease of$12.9 million from People Inc. resulting from a decrease of$26.5 million from Print, net of intersegment eliminations, partially offset by an increase of$13.6 million from Digital.

Current wording

•The People Inc. decrease was due to a decrease of$41.5 million from Print, net of intersegment eliminations, partially offset by an increase of $17.1 million from Digital.

Previous wording

•The Print decrease was due primarily to a decrease of $22.9 million in subscription acquisition costs due primarily to the factor described above in the three-month discussion.

Current wording

◦The Print decrease was due primarily to a decrease of $37.0 million in subscription acquisition costs and $2.2 million in severance-related costs, both due primarily to the factors described above in the three-month discussion.

Previous wording

•The Emerging & Other decrease was due primarily to the inclusion in the prior year of $6.5 million in legal costs for litigation that concluded in the third quarter of 2025 related to a legacy business.

Current wording

•The Emerging & Other decrease was due primarily to the inclusion in the prior year of $21.4 million in costs related to a certain litigation matter that concluded in the third quarter of 2025 related to a legacy business.

Previous wording

•The Corporate increase was due primarily to an increase in compensation expense of $19.6 million due primarily to an increase of $18.4 million in stock-based compensation expense and $0.8 million in severance and employee separation benefits resulting from the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc. The increase in stock-based compensation expense is due primarily to the acceleration and modification of stock-based awards related to the Plan. See “Corporate Restructuring” above for additional information on the reduction in workforce.

Current wording

•The Corporate increase was due primarily to an increase in compensation expense of $12.9 million, partially offset by the inclusion in the prior year of $2.2 million in legal costs related to the allocation of a disputed gain on a real estate transaction and a $1.0 million decrease in software license and maintenance costs. The increase in compensation expense was due primarily to the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc., described above under “Corporate Restructuring,” including an increase of $12.1 million in stock-based compensation expense due primarily to the acceleration and modification of stock-based awards related to the Plan and $0.8 million in severance and employee separation benefits.

Previous wording

General and administrative expense in 2026 increased from 2025 due to increases of $17.7 million from Corporate and $8.4 million from People Inc., partially offset by a decrease of $9.0 million from Emerging & Other.

Current wording

General and administrative expense in 2026 increased from 2025 due to increases of $54.7 million from Corporate and $48.8 million from People Inc., partially offset by a decrease of$36.9 million from Emerging & Other.

Previous wording

•The Corporate increase was due primarily to increases in compensation expense of $45.2 million and legal costs of $2.7 million and $2.2 million in transaction-related costs related to the sale of Care.com on March 16, 2026, partially offset by $4.8 million intransaction-related costs in the prior year related to the Distribution. The increase in compensation expense was due primarily to an increase in stock-based compensation expense of $52.1 million, partially offset by a decrease of $5.4 million in severance and employee separation benefits. The increase in stock-based compensation expense was due primarily to the reversal in the prior year of $49.8 million of previously recognized expense related to the forfeiture of our former Chief Executive Officer’s (“CEO”) restricted stock award, which was forfeited on January 13, 2025, partially offset by $14.9 million of stock-based compensation expense related to the transfer of 5.0 million Class B shares of Angi held by the Company to our former CEO prior to the Distribution pursuant to his employment transition agreement (the “Employment Transition Agreement”), and the acceleration and modification of stock-based awards in the current year related to the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc. The decrease in severance and employee separation benefits is due primarily to $14.7 million in separation benefits in the prior year related to our former CEO under his Employment Transition Agreement and $2.3 million in severance and employee separation benefits related to other headcount reductions, partially offset by $11.1 million in severance and employee separation benefits in the current year related to the aforementioned planned reduction in workforce. See “Corporate Restructuring” above for additional information on the reduction in workforce.

Current wording

•The Corporate increase was due primarily to increases in compensation expense of $58.1 million and transaction-related costs of $2.2 million, partially offset by a net decrease in costs related to certain litigation matters of $1.1 million due, in part, to theinclusion in the prior year of costs related to the allocation of a disputed gain on a real estate transaction. The increase in compensation expense was due primarily to an increase in stock-based compensation expense of $64.1 million, partially offset by a decrease of $4.7 million in severance and employee separation benefits. The increase in stock-based compensation expense was due primarily to the reversal in the prior year of $49.8 million of previously recognized expense related to the forfeiture of our former CEO’s restricted stock award, which was forfeited on January 13, 2025, partially offset by $14.9 million of stock-based compensation expense related to the transfer of 5.0 million Class B shares of Angi held by the Company to our former CEO prior to the Distribution pursuant to his employment transition agreement (the “Employment Transition Agreement”), and the acceleration and modification of stock-based awards in the current year related to the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc. The decrease in severance and employee separation benefits is due primarily to $14.3 million in separation benefits in the prior year related to our former CEO under his Employment Transition Agreement and $2.3 million in severance and employee separation benefits related to other headcount reductions, partially offset by $11.9 million in severance and employee separation benefits in the current year related to the aforementioned planned reduction in workforce. See “Corporate Restructuring” above for additional information on the reduction in workforce. The increase in transaction-related costs was due, in part, to the inclusion in the current year of third-party costs related to the Company’s proposal to acquire all outstanding shares of MGM not already owned by the Company, which was withdrawn on September 23, 2026, and an increase in costs related to the sale of Care.com on March 16, 2026, partially offset by $4.8 million incosts in the prior year related to the Distribution.

Previous wording

•The People Inc. increase was due primarily to $1.8 million from Digital due primarily to an increase of $1.4 million in software maintenance expense related to AI service costs.

Current wording

Product development expense in 2026 increased from 2025 due primarily to an increase of $1.1 million from Digital at People Inc. due primarily to an increase of $0.6 million in software license and maintenance costs primarily related to AI service costs.

Previous wording

•The Emerging & Other decrease was due primarily to a decrease of $0.3 million in compensation expense from Vivian Health resulting from a reduction in headcount in 2025.

Current wording

•The Emerging & Other decrease was due, in part, to a decrease of $0.3 million in compensation expense from Vivian Health due, in part, to a reduction in average headcount.

Previous wording

Depreciation in 2026 increased from 2025 due primarily to an increase of $0.3 million at People Inc. resulting from an increase in assets placed in service compared to the prior year period.

Current wording

Depreciation in 2026 increased from 2025 due primarily to an increase of $1.1 million at People Inc. resulting from an increase in assets placed in service compared to the prior year period.

Previous wording

Depreciation in 2026 decreased from 2025 due primarily to a decrease of $3.5 million at People Inc. resulting from accelerated depreciation expense recognized in 2025 on certain leasehold improvements in connection with a lease amendment to surrender certain unoccupied office space, partially offset by an increase in assets placed in service compared to the prior year period.

Current wording

Depreciation in 2026 decreased from 2025 due primarily to a decrease of $2.4 million at People Inc. resulting from accelerated depreciation expense recognized in 2025 on certain leasehold improvements in connection with lease amendments to surrender certain unoccupied office space, partially offset by an increase in assets placed in service compared to the prior year period.

Previous wording

The operating loss in 2026 of $46.1 million compares to income of $13.6 million in 2025, representing a $59.7 million decline, despite the increase of $14.2 million in Adjusted EBITDA, described below, due primarily to an increase of $54.5 million in stock-based compensation expense, the inclusion in the prior year of $36.2 million in net gains from lease impairments, terminations and amendments and certain asset sales, and $1.6 million in transaction-related costs, partially offset by decreases of $6.8 million in amortization of intangibles, $5.2 million in restructuring costs, including certain severance and employee separation benefits, $3.7 million in depreciation and $2.2 million in litigation costs. Refer to the “General and administrative expense” discussion above for additional details on the net gains from lease impairments, terminations and amendments and certain asset sales, the increase in stock-based compensation, and the decrease in restructuring costs, including certain severance and employee separation benefits.

Current wording

Operating loss decreased $24.2 million, or 89%, to $3.0 million due primarily to decreases of $22.9 million in costs related to certain litigation matters, $14.3 million in restructuring costs, including certain severance and employee separation benefits, $3.3 million in amortization of intangibles and $0.3 million in Adjusted EBITDA, partially offset by an increase of $9.2 million in stock-based compensation expense, the inclusion in the prior year of $5.2 million in net gains from lease impairments, terminations and amendments and certain asset sales at People Inc., an increase of $1.0 million in depreciation and an increase of $0.4 million in transaction-related costs. The increase in stock-based compensation expense was due primarily to the acceleration and modification of stock-based awards related to the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc. Refer to “Corporate Restructuring” above for additional information.

Previous wording

Operating loss increased $6.8 million, or 91%, to $14.3 million, despite the increase of $7.2 million in Adjusted EBITDA, described below, due primarily to increases of $16.7 million in stock-based compensation expense, $0.8 million in transaction-related costs, $0.4 million in restructuring costs, including certain severance and employee separation benefits, and $0.2 million in depreciation, partially offset by decreases of $3.4 million in amortization of intangibles and $0.5 million in litigation matters. The increase in stock-based compensation expense was due primarily to the acceleration and modification of stock-based awards related to the planned reduction in workforce as the Company consolidates its corporate functions with those of People Inc., partially offset by the reversal in the prior year of previously recognized expense related to the forfeiture of our former CEO restricted stock award, as described above under “General and administrative expense.” See “Corporate Restructuring” above for additional information on the reduction in workforce.

Current wording

Operating loss increased $35.5 million, or 261%, to $49.2 million, despite the increase of $13.9 million in Adjusted EBITDA, described below, due primarily to an increase of $63.7 million in stock-based compensation expense, the inclusion in the prior year of $41.3 million in net gains from lease impairments, terminations and amendments and certain asset sales at People Inc. and an increase of $2.0 million in transaction-related costs, partially offset by decreases of $25.1 million in costs related to certain litigation matters, $19.5 million in restructuring costs, including certain severance and employee separation benefits, $10.0 million in amortization of intangibles and $2.7 million in depreciation. The increase in stock-based compensation expense was due primarily to the reversal in the prior year of previously recognized expense related to the forfeiture of our former CEO’s restricted stock award and the acceleration and modification of stock-based awards related to the planned reduction in workforce described above in the three-month discussion.