Company: AIRJW
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001013762-25-002263
Chunk: 112

Company: AirJoule Technologies Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 1
Chunk 112
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goodwill impairment exists.
Asset impairment evaluations with respect to goodwill are, by nature, highly subjective. The use of different estimates and
assumptions could result in materially different carrying values of the AirJoule JV’s assets, which could impact the need to record
an impairment charge and the amount of any charge taken. If AirJoule JV’s assumptions, including timing of revenue generation
and forecasted EBITDA, are not achieved, then the AirJoule JV may be required to record goodwill impairment charges in future
periods.

Though any impairment we may be required to incur in the future would
be a non-cash charge and therefore not have an immediate impact on our liquidity, the fact that we report a charge of this nature
could contribute to negative market perceptions about our business or our securities. In addition, charges of this nature may hinder our
ability to obtain future financing on favorable terms or at all.

We may depend on sole-source and limited-source suppliers for
key components and products. If we are unable to source these components and products on a timely basis or at acceptable prices, we will
not be able to deliver our products to our customers and production time and production costs could increase, which may adversely affect
our business.

Our manufacturing processes rely on many materials. We purchase, and
will continue to purchase, a significant portion of our materials, components and finished goods used in our production facilities from
a few suppliers, some of which are single-source suppliers. For example, our proprietary MTMOF1, which is highly engineered to adsorb
water vapor molecules and is utilized in our AirJoule units, is currently being manufactured solely by BASF (an international chemical
company). As certain materials are highly specialized, the lead time needed to identify and qualify a new supplier is typically lengthy
and there is often no readily available alternative source. We do not generally have long-term contracts with our suppliers and substantially
all of our purchases are on a purchase order basis. Suppliers may extend lead times, limit supplies, place products on allocation or increase
prices due to commodity price increases, capacity constraints or other factors and could lead to interruption of supply or increased demand
in the industry.

Additionally, the supply of these materials may be negatively impacted
by increased trade tensions or additional or increased tariffs between the U.S. and its trading partners. In the event that we cannot
obtain sufficient quantities of materials in a