Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 44

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 44
---
 and prospects. In such an event that Company
believes that a capitalized project is no longer viable, then the associated costs are written of as development cost in the income statement.
There have been no cancellations of currently capitalized projects in the financial statements as at June 30, 2025 and the Company accounted
for $7,000 in development costs for the three and six months in 2024.

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

15. 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.

22

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  
    Six Months Ended 
  
    Poland 
    June 30, 2024 

    (in thousands) 

    Revenues 
    $        -  
    $106 

    Operating Expenses 

    Cost of revenues 
     -  
     (101)
  
    Depreciation, amortization, and accretion 
     -  
     (123)
  
    Gain on disposal of asset 
     -