Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 58

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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 Soluna Parties and NYDIG entered into a Stipulation and
Agreed Judgment which was approved by the Court on February 23, 2024, whereby judgment was granted to NYDIG on the counts in the
complaint and the Soluna Parties became jointly and severally liable for an aggregate amount of approximately $9.2
million plus interest (the “Agreed Judgment Amount”).

On
September 29, 2025, the Soluna Parties and NYDIG entered into a Settlement Agreement (the “Settlement Agreement”),
pursuant to which the Soluna Parties and NYDIG agreed to fully settle and resolve the Agreed Judgment Amount and all other matters
relating to the NYDIG Loans in exchange for the Soluna Parties’ agreement to make certain settlement payments to NYDIG in
accordance with the Settlement Agreement. As of the date of filing these condensed financial statements, the Settlement Agreement
has been fully satisfied and paid.

11.
Related Party Transactions

MeOH
Power, Inc.

On
December 18, 2013, MeOH Power, Inc. and the Company executed a Senior Demand Promissory Note (the Note) in the amount of $380 thousand
to secure the intercompany amounts due to the Company from MeOH Power, Inc. upon the deconsolidation of MeOH Power, Inc. Interest accrues
on the Note at the Prime Rate in effect on the first business day of the month, as published in the Wall Street Journal. At the Company’s
option, all or part of the principal and interest due on this Note may be converted to shares of common stock of MeOH Power, Inc. at
a rate of $0.07 per share. Interest began accruing on January 1, 2014. The Company recorded a full allowance against the Note. As of
September 30, 2025 and December 31, 2024, $399 thousand and $385 thousand, respectively, of principal and interest are available to convert
into shares of common stock of MeOH Power, Inc. Any adjustments to the allowance are recorded as miscellaneous expense during the period
incurred.

    30

Employee
Receivables

Certain
employees have a receivable due to the Company based on their stock-based awards, in which $110 thousand and $178 thousand was outstanding
as of September 30, 2025 and December 31, 2024, respectively. The balance is currently presented as $13