NOTE 12 – GOODWILL

Following the APT Acquisition, the Company recognized goodwill valued at $801 after adjustment made during the measurement period as described in Note 1D above. In the third quarter of 2024, the Company experienced a decline in its stock price resulting in its market capitalization being less than the Company’s stockholders’ equity. Thus, the Company performed quantitative assessments of the Company’s goodwill. The assessments utilizes the Company’s market capitalization plus an appropriate control premium. Market capitalization is determined by multiplying the outstanding number of shares of Common Stock by the Company’s stock price. The control premium is determined by utilizing publicly available data from studies for similar transactions of public companies. As a result of this assessment, the Company recorded a goodwill impairment of $801 during the three and nine months ended September 30, 2024.