| Introduction | Molan Steel Company announces receiving a notice of registration of a commercial lawsuit instituted by Yara International Limited against Molan Steel Company before the Commercial Court in Riyadh. |
| Lawsuit Opponent | Yara International Limited |
| Name of the Plaintiff | Yara International Limited |
| Type of the Lawsuit | A commercial financial claim |
| Name and Location of the Competent Judicial Authority | The Commercial Court in Riyadh |
| Date of Submitting the Lawsuit | 2025-07-16 Corresponding to 1447-01-21 |
| Summery of the Lawsuit and its Reasons | The lawsuit involves a commercial financial claim in the amount of 17,880,970 SAR which the claimant alleges represents outstanding dues resulting from the sale of its branch registered under the name of Mayar International Industry Company. In addition, the claimant is seeking compensation for litigation-related damages in the amount of 2,000,000 SAR. |
| Expected Financial Impact Including the Claimed Sums, Fees and any other Charges | Based on the claim, the total amount being claimed is 19,880,970 SAR. Regarding the expected financial impact, it cannot be determined at this stage. The Company will announce any material developments related to this case in due course. |
| Any Substantial Legal, Regulatory, or Operational Risks that may Result from the Lawsuit, including the Results of such Impact on the Company's Financial, Legal or Operational Standing | At this stage, the potential legal consequences and risks associated with this case cannot be determined. The Company will announce any material developments related to this case in due course. |
| Measures Taken by the Company, including the Estimation of the Potential Liability Resulting from the Lawsuit | A specialized attorney will be appointed to follow up on the case and represent the Company in defending its rights. At this stage, it is not possible to estimate any potential liability the Company may incur as a result of the claim until court proceedings commence. |
| Additional Information | Any other material developments related to the lawsuit will be announced in due course. |