Company: ALCE
Filing Date: 2025-01-27
Form Type: S-1
Source: 0001213900-25-007054
Chunk: 290

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-01-27
Form: S-1
Chunk 290
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 discussions to extend the July 15 date.

13. Leases

The Company determines if an arrangement is a lease or contains a lease at inception or acquisition when the Company acquires a new park. The Company has operating leases for corporate offices and land with remaining lease terms of 4to 28years.

Operating lease assets and operating lease liabilities are recognized based on the present value of the future lease payments over the lease term at the commencement date. As most of the Company’s leases do not provide an implicit rate, the Company estimates its incremental borrowing rate based on information available at the commencement date in determining the present value of future payments. Lease expense related to the net present value of payments is recognized on a straight-line basis over the lease term.

|                                                              |     | September 30, |       |   |     | December 31, |       |   |
|                                                              |     |          2024 |       |   |     |         2023 |       |   |
| Operating Lease - Operating Cash Flows (Fixed Payments)      |     |               |   116 |   |     |              |   142 |   |
| Operating Lease - Operating Cash Flows (Liability Reduction) |     |               |    76 |   |     |              |    83 |   |
| New ROU Assets - Operating Leases                            |     |               |     - |   |     |              |   409 |   |
| Weighted Average Lease Term - Operating Leases (years)       |     |               | 19.57 |   |     |              | 20.32 |   |
| Weighted Average Discount Rate - Operating Leases            |     |               |  8.20 | % |     |              |  8.20 | % |

F-62

The Company’s operating leases generally relate to the rent of office building space as well as land and rooftops upon which the Company’s solar parks are built. These leases include those that have been assumed in connection with the Company’s asset acquisitions and business combinations. The Company’s leases are for varying terms and expire between 2027 and 2051.

In October 2023, the Company entered a new lease for land in Madrid, Spain where solar parks are planned to be built. The lease term is 35years with an estimated annual cost of $ 32thousand.

| Five-year lease       
 schedule:             |     | (in thousands) |        |   |
|