CHEGG, INC

Previous wording

Our failure to regain compliance with the continued listing requirements of the NYSE, or any future failure to remain in compliance with such standards, could result in the delisting of our common stock, which would have an adverse impact on the trading, liquidity and market price of our common stock.

Current wording

We have in the past, and may in the future, be unable to comply with the listing standards of the New York Stock Exchange, or NYSE. Our failure to maintain compliance with the continued listing requirements of the NYSE could result in the delisting of our common stock, which would have an adverse impact on the trading, liquidity and market price of our common stock.

Previous wording

On April 1, 2025, the Company was notified by the New York Stock Exchange (NYSE) that it is not in compliance with Section 802.01C of the NYSE Listed Company Manual because the average closing share price of the Company’s common stock as of March 31, 2025 was less than $1.00 over a consecutive 30 trading-day period. The Company has until October 1, 2025 to regain compliance with the NYSE’s minimum share price requirement or cure the deficiency, which may include, if necessary, effecting a reverse stock split, subject to approval by the board of directors and stockholders of the Company. We cannot guarantee that closing price of our common stock will increase such that we will regain compliance with the NYSE’s minimum share price requirement during the six-month cure period; that, if necessary, we will obtain stockholder approval with respect to a reverse stock split in order to cure the deficiency; or that we will remain in compliance with any of the NYSE’s other applicable continued listing standards. Our failure to regain compliance with the NYSE’s minimum share price requirement within the applicable cure period could lead to suspension and delisting procedures. Any suspension and delisting procedures taken by the NYSE, any future failure to remain in compliance with the NYSE’s continued listing standards, and any subsequent failure to timely resume compliance with the NYSE’s continued listing standards within the applicable cure period, if any, could have adverse consequences, including, among others, reducing the number of investors willing to hold or acquire our common stock, loss of confidence from stakeholders, employees and potential business partners, reducing the liquidity and market price of our common stock, adverse publicity, and a reduced interest in us from investors, analysts and other market participants. In addition, a suspension or delisting could impair our ability to raise additional capital through the public markets, result in negative publicity, adversely affect the market liquidity of our securities, decrease securities analysts’ coverage of us, diminish investor, supplier and employee confidence and impair our ability to attract and retain employees by means of equity compensation.

Current wording

Our common stock is currently listed on NYSE, which has minimum standards that a company must meet in order to remain listed. These standards provide that a company will be considered to be below compliance standards if the average closing price of its common stock is less than $1.00 over a consecutive 30 trading-day period. On April 1, 2025, we were notified by NYSE that we were not in compliance with NYSE's minimum share price requirement. On July 1, 2025, following a period of stock price appreciation we received a price cure letter from NYSE confirming we had regained compliance with the minimum share price requirement. However, closing prices of our common stock on NYSE have remained close to $1.00 more recently and, accordingly, there can be no assurance that we will remain in compliance with NYSE’s minimum share price requirement or any of the NYSE’s other applicable continued listing standards. Any future failure to remain in compliance with the NYSE’s continued listing standards, and any subsequent failure to timely resume compliance with the NYSE’s continued listing standards within the applicable cure period, if any, could result in a suspension or delisting, and have adverse consequences, including, among others, reducing the number of investors willing to hold or acquire our common stock, loss of confidence from stakeholders, employees and potential business partners, reducing the liquidity and market price of our common stock, adverse publicity, and a reduced interest in us from investors, analysts and other market participants. In addition, a suspension or delisting could impair our ability to raise additional capital through the public markets, result in negative publicity, adversely affect the market liquidity of our securities, decrease securities analysts’ coverage of us, diminish investor, supplier and employee confidence and impair our ability to attract and retain employees by means of equity compensation.