DPW Ault Global Holdings Inc

The restated financial statements for the year ended December 31, 2021 included in the Amended Form 10-K, as well as for the interim periods included in that fiscal year (the “Restated Financial Statements”), differ from the amounts reported in the original filings, but there was no impact to assets, liabilities, total equity, total comprehensive loss or cash flows. The Restated Financial Statements reflect conclusions that management formed related to the previously disclosed Securities and Exchange Commission investigation.

The previously reported amounts have been corrected for the Restated Periods. No correction was needed for the consolidated balance sheet as of December 31, 2021. The correction to the consolidated statements of operations and comprehensive loss for the year ended December 31, 2021 resulted in an increase to other income and a decrease to other comprehensive income of $0.9 million. Net loss improved from $24.2 million to $23.3 million. Further, the correction to the consolidated statements of operations and comprehensive loss for the year ended December 31, 2020 resulted in an increase to other income and a decrease to other comprehensive income of $3.3 million. Net loss improved from $32.7 million to $29.3 million. The restated amounts in the consolidated statements of operations and comprehensive loss for the years ended December 31, 2021 and 2020 are attached hereto as Exhibit 99.1 in a condensed format.

Due to the restatement described above, the Company's management and Audit Committee reevaluated its Controls and Procedures in the original filings and concluded that the Company’s disclosure controls and procedures and internal control over financial reporting were not properly designed to analyze financial instruments for proper classification in the consolidated financial statements.  The Company has been actively engaged in developing a remediation plan to address the identified ineffective controls that existed during the Restated Periods. Implementation of the remediation plan is in process.

The audit committee of the board of directors has discussed the matters disclosed herein with Marcum, LLP, the Company’s independent registered public accounting firm.