Company: ALCE
Filing Date: 2025-01-27
Form Type: S-1
Source: 0001213900-25-007054
Chunk: 253

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-01-27
Form: S-1
Chunk 253
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 and run through 2046. These assets have been moved to discontinued
operations as of December 31, 2023. Refer to Footnote 20 for more details.

| Five-year lease schedule: |     | (in thousands) |        |   |
|:--------------------------|:----|:---------------|-------:|:--|
| 2024                      |     | $              |    231 |   |
| 2025                      |     |                |    237 |   |
| 2026                      |     |                |    242 |   |
| 2027                      |     |                |    248 |   |
| 2028                      |     |                |    216 |   |
| Thereafter                |     |                |  2,064 |   |
| Total lease payments      |     |                |  3,238 |   |
| Less imputed interest     |     |                | (1,811 | ) |
| Total                     |     | $              |  1,427 |   |

The Company had no finance
leases as of December 31, 2023 and 2022.

F-31

| 17. | Commitments and Contingencies |

Litigation

The Company recognizes a liability
for loss contingencies when it believes it is probable a liability has occurred and the amount can be reasonably estimated. If some amount
within a range of loss appears at the time to be a better estimate than any other amount within the range, the Company accrues that amount.
When no amount within the range is a better estimate than any other amount, the Company accrues the minimum amount in the range. The
Company has established an accrual for those legal proceedings and regulatory matters for which a loss is both probable and the amount
can be reasonably estimated.

On May 4, 2023 Alternus received
notice that Solartechnik, an international group specializing in solar installations, filed an arbitration claim against Alternus Energy
Group PLC, Solis Bond Company DAC and ALT POL HC 01 SP. Z.o.o. in the Court of Arbitration at the Polish Chamber of Commerce, claiming
that PLN (approximately $ million) is due and owed to Solartechnik pursuant to a preliminary share purchase agreement by
and among the parties that did not ultimately close, plus costs, expenses, legal fees and interest. The Company has accrued a liability
for this loss contingency in the amount of