Key Risk: Overall Health of Retailers • To thrive CHUB needs to be working in an environment where there are multiple retailers. • Some CHUB’s customers are weak (e.g., JCP, Sears). • Other customers are strong (e.g., Home Depot, Costco). • Note that we are not betting on brick-and-mortar retailers’ revival. Not at all! • We just need enough traditional retailers to stay in business. • In fact, massive store closures would likely shift traditional retailers focus to e- commerce and dropshipping. • Still overall health of retailers is the key risk. Caro-Kann Capital LLC 72