Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 902

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 4
Chunk 902
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 Lease Obligations and Others 
    $11,724,690  
     2,617,762  
     5,290,390  
     2,842,381  
     974,157 
  
    Loan Payable 
     7,356,936  
     5,291,893  
     160,004  
     20,515  
     1,884,524 
  
    UL Litigation 
     1,000,000  
     1,000,000  
     —  
     —  
     — 
  
    Total Contractual Obligations 
    $20,081,626  
     8,909,655  
     5,450,394  
     2,862,896  
     2,858,681 

Off-Balance Sheet Arrangements

We have not entered into
any transactions, agreements or other contractual arrangements that would result in off-balance sheet liabilities.

Quantitative and Qualitative Disclosures about
Market Risk

Foreign Exchange Risk

A substantial majority of
all of our revenues and expenses are denominated in U.S. dollars. We do not believe that we currently have any significant direct
foreign exchange risk and have not used any derivative financial instruments to hedge exposure to such risk. In addition, as our business
and operation expand in European and other overseas markets in the future, we may be exposed to increased foreign exchange risks for
other currencies.

Interest Rate Risk

Our exposure to interest
rate risk primarily relates to the interest expenses on our short-term and long-term bank borrowings. Our short-term and long-term bank
borrowings bear interests at fixed rates. We have not been exposed to, nor do we anticipate being exposed to, material risks due to changes
in market interest rates. However, our future interest expenses may exceed expectations due to changes in market interest rates. If we
were to renew these short-term and long-term bank borrowings, we might be subject to interest rate risk.

Critical Accounting Estimates

An accounting estimate is
considered critical if it requires to be made based on assumptions about matters that are highly uncertain at the time such estimate
is made, and if different accounting estimates that reasonably could have been used, or changes in the accounting estimate that are reasonably
likely to occur periodically, could materially impact the consolidated financial statements.

42

We prepare our consolidated