On April 25, 2022, Energy Focus, Inc. received notice from Tod A. Nestor regarding his intention to resign as Chief Financial Officer of the Company. In connection with his departure, Mr. Nestor and the Company have reached agreement on terms of a separation and release agreement. Mr. Nestor will continue in his current position through May 20, 2022.

Following that separation date, Mr. Nestor will receive $12,500, reimbursement for up to three months of continued medical benefits, and relocation assistance to vacate and terminate his corporate apartment arrangement. Mr. Nestor's vested equity awards at the time of separation will become exercisable through May 31, 2023, his existing confidentiality, non-competition and non-solicitation agreement will remain in place, and Mr. Nestor will agree to a customary release of the Company.