Material Event - Form 8-K

Item 8.01 Other Events

Evergreen Sustainable Enterprises, Inc., a Delaware corporation ("Evergreen" or the "Company" and f/k/a Generation Hemp, Inc.) made the decision late last year in 2023 to completely exit its business activities within the hemp space. This decision was made after witnessing many midstream companies and extractors exiting the business, predominantly because of uneconomic prices and a lack of raw hemp supply from farmers. In Kentucky, the location of our former operations, which relied on harvested hemp acreage from farmers, growing licenses dropped from 978 in 2019 to 170 in 2023 to 137 in 2024. As one of the last of the hemp processing midstream companies to remain in business, the Company made the difficult decision to completely shut down its operations, dispose of its remaining assets associated with this business, and reduce overall headcount for those employees specifically involved in this industry. Hence, with the company's complete change in direction and business activities, a name change was completed that exemplifies our new industry.