Company: AIRJW
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001013762-25-002263
Chunk: 194

Company: AirJoule Technologies Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 1
Chunk 194
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 GE Vernova elects to participate
and contributes its pro-rata share of all past capital contributions and commits to contribute its pro-rata share for all future capital
contributions, the Company shall be solely responsible for funding the AirJoule JV, and the Company shall have a distribution preference
under the A&R Joint Venture Agreement for the amount of its post-closing capital contributions plus a 9.50% preferred return on such
amounts. 

The business and affairs of the A&R Joint Venture Agreement
shall be managed by a Board of Managers, consisting of two managers (including the chairman) appointed by the Company and two
managers appointed by GE Vernova. Following the second anniversary of the JV Closing, if the Board of Managers reach an impasse that
cannot be resolved through the process set forth in the A&R Joint Venture Agreement, the A&R Joint Venture Agreement
generally provides that the Company may require GE Vernova to sell GE Vernova’s 50% interest to the Company or GE Vernova may
require the Company to purchase GE Vernova’s 50% interest, but only, in each case, if the GE Match Date has not yet occurred.
The price for GE Vernova’s interest will depend on the fair market value of the interest, as set forth in the A&R Joint
Venture Agreement, with a minimum value of approximately $5 million. The A&R Joint Venture Agreement also provides similar call
and put rights with respect to GE Vernova’s interest if the GE Match Date does not occur by the sixth anniversary of the JV
Closing or if the Company is acquired by a competitor of GE Vernova.

In the event that a change in applicable laws or regulations has a
material adverse effect on GE Vernova’s interest in the AirJoule JV, or GE Vernova determines that the Company fails to meet certain
financial performance benchmarks, GE Vernova may require the Company to purchase GE Vernova’s interest for a total purchase price
of $1.00.

AirJoule, LLC is a variable interest entity for which the Company has
determined there is shared power with GE Vernova and therefore accounts for the VIE under the equity method of accounting. The Company
considered the power to direct significant activities and obligation to absorb losses or right to receive benefits in assessing whether
or not the VIE should be accounting for under the equity method of accounting. Certain assumptions the Company used to reach its conclusion
included the lack of reconsideration events