On the risk of delisting of ordinary shares of Educational Development Corporation (EDUC)

The International Trading System Limited (hereinafter — ITS) hereby informs on the information concerning delisting risk of ordinary shares of Educational Development Corporation (ISIN US2814791057, hereinafter — Shares) from The Nasdaq Stock Market LLC (hereinafter — Nasdaq).

Information on delisting risk of ordinary shares by Nasdaq

On October 10, 2024 Educational Development Corporation (hereinafter – the Company) submitted Quarterly report on Form 10-Q to The United States Securities and Exchange Commission (hereinafter – SEC). According to the report, the Company expects short-term duration of the Revolving Loan and uncertainty of the bank’s ongoing support beyond January 4, 2025, along with recurring operating losses and other items. These conditions led the Company’s management to raise substantial doubt about its ability to continue as a going concern for more than twelve months from the date of these financial statements. For more information, please refer to the report available on the SEC website.

Information regarding possible actions to be taken by ITS Ltd.

ITS Ltd. conducts regular monitoring of the relevant information disclosed by the Company. Delisting of the Company’s shares by Nasdaq will be considered to constitute a breach of the ITS Regulations on admitting financial instruments to trading and result in termination of trading in the Qualified Investments on ITS.