ALTX 10-K & 10-Q changes, risk factors and insider trading

Paragraph as it now reads, with added and removed wording marked:

In FY25 operating activities used $99,000 cash, and the Company used $12,000 cash to acquire 41,880 shares of its common stock. In FY24 operating activities used $78,000 cash, and the Company used $23,000 cash to acquire 118,501 shares of its common stock. In FY23 operating activities used $58,000 cash, and the Company used $68,000 to acquire 663,380 shares of its common stock. In FY24 the Company sold certain oil, gas, and mineral interests in Utah for $525,000 cash. Consequently, cash balances decreased $111,000 in FY25 and increased $424,000 in FY24FY24. At September 30, 2025, accrued expenses, related party, of $1,235,000 consists of $1,175,000 in salary and decreasedbonus $126,000payable to the Company’s president, pursuant to his employment agreement, that the president has elected to defer, as well as $60,000 in FY23.related accrued payroll tax. At September 30, 2024, accrued expenses, related party, of $1,141,000 consists of $1,087,000 in salary and bonus payable to the Company’s president, pursuant to his employment agreement, that the president has elected to defer, as well as $54,000 in related accrued payroll tax. The Company’s president may require the Company to pay the unpaid salary and payroll tax liability at any time.

Paragraph as it now reads, with added and removed wording marked:

General and administrative expense decreasedincreased from $263,000 in FY23 to $233,000 in FY24 to $320,000 in FY25 because during FY23FY25 the Company recognized bonus expense and related payroll tax liability of $68,000$94,000 pursuant to the president’s employment agreement. In FY24 the Company realized a net gain of $525,000 from the sale of certain oil, gas, and mineral interests in Utah. Interest income increaseddecreased from $101,000 in FY23 to $128,000 in FY24 to $115,000 in FY25 because of higher cash balances and higherlower realized interest rates on cash balances. In FY24, other income consisted of $1,000 of out-of-period oil and gas sales received in FY24. In FY23, other income consisted of $9,000 of out-of-period oil and gas sales received in FY23.

Paragraph as it now reads, with added and removed wording marked:

General and administrative expense decreased from $211,000$257,000 in the sixnine months ended MarchJune 31,30, 2025, to $132,000$186,000 in the sixnine months ended MarchJune 31,30, 2026, principally because, during the quarter ended December 31, 2024, the Company recognized bonus expense and related payroll tax liability of $94,000 pursuant to the president’s employment agreement. GeneralInterest income decreased from $88,000 in the nine months ended June 30, 2025, to $68,000 in the nine months ended June 30, 2026, and administrative expense increased from $61,000$31,000 in the three months ended MarchJune 31,30, 2025, to $72,000 in the three months ended March 31, 2026, because of increased medical insurance premiums, audit fees, legal fees, office rent, and state franchise taxes. Interest income decreased from $57,000 in the six months ended March 31, 2025, to $46,000 in the six months ended March 31, 2026, and from $27,000 in the three months ended March 31, 2026, to $21,000 in the three months ended MarchJune 31,30, 2026, principally because of lower interest rates on cash balances.

Paragraph as it now reads, with added and removed wording marked:

Effective May 1, 2026, the Company sold certain oil, gas, and mineral interests in Utah and Wyoming for $49,000 cash. As the Company had a zero-dollar basis in the interests sold, the $49,000 was recorded as a gain on sale of assets. The Company used $67,000$120,000 and $49,000$78,000 cash in operating activities in the sixnine months ended MarchJune 31,30, 2026 and 2025, respectively. Accrued expenses, related party, $1,235,000 at MarchJune 31,30, 2026, and September 30, 2025, are accrued but unpaid salary and bonus, and related accrued payroll tax liability, due to the Company’s president that the Company’s president has elected to defer. The Company’s president may cause the Company to pay the unpaid salary and bonus and payroll tax liability at any time. Pursuant to his employment agreement, the Company’s president may elect to receive unpaid bonus in cash or shares of the Company’s common stock at fair market The Company is likely to experience negative cash flow from operations unless the Company invests in interests in producing oil and gas wells or in another venture that produces sufficient cash flow from operations. With the exception of (1) capital expenditures related to production acquisitions or drilling or recompletion activitiesactivities, or(2) an investment in another venture that produces cash flow from operations,operations none(neither of which areis currently planned,planned), (3) the cash flows that could result from such acquisitions, activities, or investments, and(4) the possibility of a material change in the current level of interest rates or of oil and gas prices, and (5) the possibility that the Company’s president elects to receive unpaid salary and bonus in cash, the Company knows of no trends or demands, commitments, events, or uncertainties that will result in or that are reasonably likely to result in the Company's liquidity increasing or decreasing in any material way. Except for cash generated by the operation of the Company's producing oil and gas properties, asset sales, and interest income, the Company has no internal or external sources of liquidity other than its working capital. At MayJuly 1,31, 2026, the Company had no material commitments for capital expenditures.