TZL 1452 (web)

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TRANSACTIONS EYP STRENGTHENS ITS POSITION FOR CONTINUED GROWTH EYP, an interdisciplinary design firm specializing in the higher education, healthcare, government, and science and technology sectors, announced that it has reached an agreement through which Ault Alliance, Inc., would serve as a stalking horse for the purchase of substantially all of its assets of the Company for $67.7 million, plus the assumption of significant liabilities associated with on-going operations as part of a going-concern sale of the Company. Under the terms of the stalking horse agreement, Ault will retain all EYP’s well- regarded professional staff and acquire substantially all the Company’s assets including all its customer contracts. The agreement allows the Company, under its existing name and brand, to continue its history of growth and fulfill its business strategy for expansion and will provide long-term financial strength to augment its strong operational performance over the last few years. To achieve its financial objectives and facilitate the sale, EYP and certain

affiliates voluntarily filed for protection under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware. This process will allow for a prompt sale of the Company, while allowing it to maintain full operations during the sale process. As a result of this process, the Company will be able to address certain non-operating balance sheet liabilities and emerge as a stronger and more competitive force in the marketplace. The Company expects to complete the sale process in the next two months. “This is a positive step forward for the business, as well as for our employees, clients, sub-consultants and vendors, because it allows us to continue delivering memorable designs that enhance people’s lives and communities, while significantly reducing non-operating liabilities and allowing us to achieve our planned growth,” said Interim CEO Kefalari Mason. “EYP remains committed to our staff, to our partnerships with our clients and consultants, and to designing meaningful spaces.” EYP intends to continue normal

operations throughout this process, ensuring its continued ability to deliver projects and engage with clients. To this end, the Company has secured a commitment from Ault for new debtor-in- possession financing to ensure continuity of operations through the sale process. The Company also has filed motions that once approved by the Bankruptcy Court, will allow the business to continue employee wages, medical benefits, and other programs without interruption, and to pay sub-consultants and vendors on a timely basis for all goods and services delivered during the upcoming process. “EYP is a good candidate to use the protections that a Chapter 11 process provides. Our business is as strong as it has ever been and the advantages for the Company are that it allows us to continue doing the work we love while quickly moving through a sale process that further strengthens our financial position, allowing us to shape a future that matches our success over the last few years,” said Mason.

people have short attention spans in large part because they are constantly in a state of distraction. Whether it is their phone, email, or social media – or whatever the crisis of the day is – ineffective people lack focus and the power of concentration to get longer term tasks accomplished. They can’t get anything done as a result. The distraction state is a habit and becomes a “way of life” for these ineffective people. 6. They avoid all risk. Ineffective people see all risk as bad. They will only do things that have been repeatedly tested and approved by others. They think that is the “smart” way to operate. So they aren’t innovative as a result. Their businesses tend to be undifferentiated from their competitors, and usually go up or down with the state of the overall industry. 7. They let their minds focus on negative stuff versus positive possibilities. Because they are so risk-averse, ineffective people let themselves get into the habit of negative thinking. If you always think about what can go wrong, you aren’t going to do much. Your expectations of others are very low. This is obviously not the best way to manage people or lead a business. So how do you stack up in terms of these seven habits? Are you letting your bad habits hold you back? If so, develop some new and better habits! Mark Zweig is Zweig Group’s chairman and founder. Contact him at mzweig@zweiggroup.com.

MARK ZWEIG, from page 11

3. They are control freaks and lack trust. Ineffective people never think anyone else is as smart or capable as they are, so they are very poor delegators. That greatly limits their effectiveness and ability to multiply themselves. Their businesses or organizational units usually can’t grow beyond 20 or 25 people at most because every decision has to flow through them. Being unable to trust and delegate is a major contributor to their ineffectiveness. “How do you stack up in terms of these seven habits? Are you letting your bad habits hold you back? If so, develop some new and better habits!” 4. They are disorganized. Some people will try to tell you that creative people are inherently disorganized. I disagree. Many of the people I see who can’t get anything done live in a perpetual state of mess and disarray. They are always “too busy” to take the time to get organized. Their subconscious thinking is that it’s best to be continuously in crisis mode and then when they solve the problem (often brought on by their own inaction), they can be a hero. Disorganization is a major habit for ineffective people. 5. They are in a constant state of distraction. Ineffective

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THE ZWEIG LETTER AUGUST 8, 2022, ISSUE 1452

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