In Defense of Animals

According to the In Defense of Animals (IDA) audit of December 31, 2021 (Note 11, Lease Commitments and Long-Term Agreements):

"IDA is contractually obligated under a long-term subscription agreement for database management software which requires a payment of $4,083 per month. IDA is also committed to long-term equipment leases which require payments totaling $639 per month..."

According to the In Defense of Animals (IDA) audit of December 31, 2021 (Note 15, Commitments and Contingencies, Pending or Threatened Litigation):

"In early 2021, IDA and its President were named as defendants in a complaint involving workplace discrimination. The matter was initially filed with the Equal Employment Opportunity Commission and then migrated to the Marin County Superior Court. During June 2022...the parties settled the matter and entered into a confidential separation agreement and complete release of all claims."

According to the In Defense of Animals (IDA) audit of December 31, 2021 (Note 2 re: Investments):

"IDA...has estimated the fair value of its investments using available market information and other valuation methodologies. Accordingly, the estimates presented are not necessarily indicative of the amounts that IDA could realize in a current market exchange. The use of different assumptions and/or estimation methods may have a material effect on the estimated fair value amounts. The estimates are based on pertinent information available to management as of December 31, 2021 and 2020, respectively. Economic conditions can vary significantly throughout the year impacting the carrying value of investments. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, current estimates of fair value may differ significantly from the statements presented, especially in light of the impact on financial markets as a result of COVID-19."

According to the In Defense of Animals (IDA) audit of December 31, 2021 (Note 16, COVID-19):

"Although the COVID-19 threat has abated, the worldwide threat continues to (a) impact financial markets, (b) threaten revenue streams, and (c) impact private enterprises with which IDA conducts business. Business continuity, including supply chains and consumer demand across a broad range of industries and countries, continues to present challenges. Management monitors and evaluates its options. These [audited] financial statements reflect certain economic ramifications which impacted the years ended December 31, 2021 and 2020."

According to the In Defense of Animals (IDA) audit of December 31, 2021 (Note 17, Subsequent Events):

"...IDA has evaluated subsequent events through October 31, 2022, the date the [audited] financial statements were available to be issued. ...IDA sold the two buildings it owned to the Marin Transit Authority in August 2022 for a total sales price of $3,500,000. This transaction will be reflected in IDA's financial statements for the year ending December 31, 2022. As disclosed in Note 15 [cited in part, separately above], IDA entered into a confidential separation agreement and complete release of all claims during June 2022 related to the previously filed workplace complaint..."