Company: CCIXW
Filing Date: 2025-12-05
Form Type: S-4/A
Source: 0001193125-25-309933
Chunk: 681

Company: Churchill Capital Corp IX/Cayman
Filing Date: 2025-12-05
Form: S-4/A
Chunk 681
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classifies the liability-classified RSUs held by the PRC holders to equity as the Plus PRC Service Requirement is met and remeasures the per-share basis of these awards at fair value.

<div align='center'>F-56

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS</div>

Restricted Stock Units Withheld for Taxes

The RSUs become shares of the Company’s common stock once they vest based on service and are released pursuant to the terms of the underlying agreements. The Company is required to issue one share of Class A common stock to settle each vested unit of the RSUs or PRSUs. In some cases, the RSU releases may be deferred through the applicable liquidity event. When the Company releases the RSUs and settles them in common stock, some shares are withheld to meet applicable minimum tax withholding requirements. The RSUs withheld for taxes are accounted for as common stock repurchases, with the cost of repurchase recognized as a reduction to additional paid-in capital and reflected as a financing activity in the consolidated statements of cash flows.

Software Development Costs

Development costs incurred in the research and development of new software products are expensed as incurred until technological feasibility of the product has been established. Software development costs incurred after technological feasibility has been established are capitalized up to the time the product is available for general release to customers. For the five months ended December 31, 2023, the year ended December 31, 2024, and the six months ended June 30, 2025, no amounts were capitalized.

The Company determines if an arrangement is or contains a lease at inception by assessing whether the arrangement contains an identified asset and whether it has the right to control the identified asset. Right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Lease liabilities are recognized at the lease commencement date based on the present value of future lease payments over the lease term. For these calculations, the Company considers only payments that are fixed or determinable at the time of commencement or any variable payments that depend on an index or a rate. ROU assets are based on the measurement of the lease liability and also include any lease payments made prior to or on lease commencement and exclude lease incentives and initial direct costs incurred, as applicable.

As the implicit rate in the lease is not readily determinable, the Company uses its incremental borrowing rate based on the information available at the lease commencement date in determining