Shimmick continues to advance strategic transformation

The Company continues to advance its strategic transformation toward a more capital-efficient business model with optimized operating costs. In addition to the GGB Project Settlement, key progress includes: Hired Ural Yal to replace Steve Richards, who will be retiring after a 43-year career. Ural has extensive knowledge of both the California and the water and critical infrastructure market. Ural will be starting with Shimmick (SHIM) December 2, 2024. Completion of the previously announced sale-leaseback of the Company’s equipment yard in Tracy, California, which resulted in a $17 million gain in the third quarter of fiscal 2024. A strategic decision to enhance the Company’s current enterprise resource planning system rather than implementing a new platform which, due to prior investments and remaining contractual obligations, which resulted in a one-time charge of $16 million in the third quarter of fiscal 2024. The Company expects this system upgrade to result in reduced overhead in future periods.