In connection with the Holding Company Reorganization, the board of directors of Great Elm Capital Group, Inc. became comprised of Adam Kleinman, Peter Reed and Jason Reese. Following consummation of the Holding Company Reorganization on the Closing Date, each of Adam Kleinman and Peter Reed (the Resigning Directors"), respectively, notified the Company's board of directors of his decision to resign from the board of directors of the Company effective as of immediately following the consummation of the Holding Company Reorganization. The Resigning Directors' resignations are not due to any disagreement with the Company, its board of directors or its management. Following the resignations of the Resigning Directors, Mr. Reese became the sole director of the Company, and in such capacity, such sole director (i) increased the size of the Company's board of directors from three to five directors and (ii) designated four new directors Matthew Drapkin, Jay Hugar, James Parmelee and Alan Dawes to fill the vacancies on the Company's board of directors, in each case, pursuant to the terms of the Company's organizational documents and the Stockholders Agreement (collectively, the Director Designees"). Each of the Director Designees and Mr. Reese will be eligible for re-election in accordance with the terms of the Company's organizational documents and the Stockholders Agreement.