Company: XAIR
Filing Date: 2025-06-20
Form Type: 10-K
Source: 0001641172-25-015750
Chunk: 1846

Company: Beyond Air, Inc.
Filing Date: 2025-06-20
Form: 10-K
Item: Item 7
Chunk 1846
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 and evaluating, at least annually, our audit committee’s charter.

With respect to reviewing and
approving related-party transactions, our audit committee will review related-party transactions for potential conflicts of interests
or other improprieties. Under SEC rules, related-party transactions are those transactions to which we are or may be a party in which
the amount involved exceeds the lesser of $120,000 or 1% of the average of our total assets at year-end for the last two completed fiscal
years, and in which any of our directors or executive officers or any other related person had or will have a direct or indirect material
interest, excluding, among other things, compensation arrangements with respect to employment and Board of Directors membership. Our audit
committee could approve a related-party transaction if it determines that the transaction is in our best interests. Our directors are
required to disclose to this committee or the full Board of Directors any potential conflict of interest, or personal interest in a transaction
that our Board of Directors is considering. Our executive officers are required to disclose any related-party transaction to the audit
committee. We also poll our directors on an annual basis with respect to related-party transactions and their service as an officer or
director of other entities. Any director involved in a related-party transaction that is being reviewed or approved must recuse himself
or herself from participation in any related deliberation or decision. Whenever possible, the transaction should be approved in advance
and if not approved in advance, must be submitted for ratification as promptly as practical. The Company has written policies and procedures
with respect to related person transactions for managing such situations.

The financial literacy requirements
of the SEC require that each member of our audit committee be able to read and understand fundamental financial statements. In addition,
at least one member of our audit committee must qualify as an audit committee financial expert, as defined in Item 407(d)(5) of Regulation
S-K promulgated under the Securities Act, and have financial sophistication in accordance with the Nasdaq Stock Market listing rules.
Our Board of Directors has determined that Erick Lucera qualifies as an audit committee financial expert. Mr. Lucera is independent director,
as independence for audit committee members is defined in the Nasdaq Stock Market listing rules.

Both our independent registered
public accounting firm and management periodically meet privately with our audit committee.

88

Compensation Committee

The primary purpose of our compensation
committee is to assist our Board of Directors in exercising its responsibilities relating to compensation of our executive officers and
employees and to administer