iAnthus Capital Holdings, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Unaudited Interim Condensed Consolidated Statements of Cash Flows Supplemental Information

Unaudited Interim Condensed Consolidated Statements of Cash Flows Supplemental Information

6 Months Ended

Jun. 30, 2022

Supplemental Cash Flow Elements [Abstract]

Unaudited Interim Condensed Consolidated Statements of Cash Flows Supplemental Information

Note 13 – Unaudited Interim Condensed Consolidated Statements of Cash Flows Supplemental Information

(a) Cash payments made on account of:


	Six Months Ended June 30,
	2022		2021
Income taxes	$	1,069	$	1,560
Interest		45		47

(b) Changes in other

non-cash

operating assets and liabilities are comprised of the following:


	Six Months Ended June 30,
	2022			2021
Decrease (increase) in:
Accounts receivables	$	604		$	(291	)
Prepaid expenses		(800	)		(267	)
Inventories		(446	)		(2,205	)
Other current assets		286			(1,102	)
Other long-term assets		(35	)		506
Operating leases		(674	)		(704	)
(Decrease) increase in:
Accounts payable		(881	)		(1,232	)
Accrued and other current liabilities		20,173			12,704

	$	18,227		$	7,409

(c)

Depreciation and amortization are comprised of the following:


	Six Months Ended June 30,
	2022		2021
Property, plant and equipment	$	7,091	$	6,386
Operating lease right-of-use assets		1,208		1,037
Intangible assets		8,125		7,710

	$	16,424	$	15,133

(d)

Write-downs and other charges are comprised of the following:


	Six Months Ended June 30,
	2022			2021
Write-downs :
Account receivable recoveries	$	(17	)	$	(72	)
Operating lease right-of-use assets		—			258
Property, plant and equipment		228			—

	$	211		$	186

(e) Significant

non-cash

investing and financing activities are as follows:


	Six Months Ended June 30,
	2022			2021
Supplemental Cash Flow Information:
Non-cash consideration for paid-in-kind interest		1,719			554
Non-cash consideration for asset acquisition		19,193			—
Non-cash issuance of shares from consummation of the Recapitalization Transaction		455,443			—
Non-cash debt extinguishment from the consummation of the Recapitalization Transaction		(238,269	)		—
Non-cash issuance of June Secured Debentures and June Unsecured Debentures from the consummation of the Recapitalization Transaction		99,402			—

Cash and Restricted Cash

For purposes of the unaudited interim condensed consolidated balance sheets and the statements of cash flows, cash and restricted cash are held primarily in U.S. dollars.

Restricted cash balances are those which meet the definition of cash and cash equivalents but are not available for use by the Company. As of June 30, 2022, the Company held $1.3 million as restricted cash (December 31, 2021—$3.3 million), which is mainly related to funds held in escrow from the Senior Secured Bridge Notes. The net proceeds from the Senior Secured Bridge Notes were placed in escrow, and the availability of the funds is subject to drawdown requests that must be approved Gotham Green Admin 2, LLC, the collateral agent of the Senior Secured Bridge Notes.

The following table provides a reconciliation of cash and restricted cash reported on the unaudited interim condensed consolidated balance sheets to such amounts presented in the statements of cash flows:


	June 30, 2022		December 31, 2021
Cash	$	29,803	$	13,244
Restricted cash		1,337		3,334

Total cash and restricted cash presented in the statements of cash flows	$	31,140	$	16,578