Company: ALCE
Filing Date: 2025-06-30
Form Type: 10-Q
Source: 0001213900-25-059349
Chunk: 34

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-30
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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 effect on our business, financial condition, results of operations, and prospects.

Development costs related
to abandoned projects for the three months ended March 31, 2025 and the year ended December 31, 2024 were as follows:

    Three Months Ended
 March 31, 

    2025  
    2024 

    (in thousands) 
  
    Miscellaneous Spanish costs 
    $     - 
    $(7)
  
    Total 
    $- 
    $(7)

Miscellaneous development cost relates to cost
associated with projects abandoned during various phases, due to lack of technical, legal, or financial feasibility.

14. Discontinued Operations Sold – Poland & Netherlands

In July 2023, the Company
engaged multiple parties to market the Polish and Netherlands assets to potential buyers. In the fourth quarter of 2023, the Company decided
to proceed with the sales of the six PV parks in Poland and one park in the Netherlands. As the exit of these two markets represented
a strategic shift for the Company, the assets were classified as discontinued operations in accordance with ASC 205-20. As of December
31, 2023, the Polish and Netherlands assets were classified as disposal groups held for sale. The balances and results of the Polish and
Netherlands disposal groups are presented below.

The sale of the Polish assets
was finalized January 19, 2024 with a cash consideration of $59.4 million for all operating assets. In accordance with ASC 360, the company
removed the disposal group and recognized a gain of $3.4 million upon the sale, of which $0.8 million were costs associated with the sale.

20

The sale of the Netherlands
assets was finalized February 21, 2024 with a cash consideration of $7.1 million for all operating assets. In accordance with ASC 360,
the company removed the disposal group and recognized a loss of $1.3 million upon the sale, of which $0.5 million were costs associated
with the sale.

    Three Months Ended
 March 31, 
  
    Poland 
    2024 

    (in thousands) 

    Revenues 
    $106 

    Operating Expenses 

    Cost of revenues 
     (101)
  
    Depreciation, amortization, and accretion 
     (123)
  
    Gain/(loss on disposal of asset) 
     3,484