Company: AEMD
Filing Date: 2025-02-12
Form Type: 10-Q
Source: 0001683168-25-000960
Chunk: 23

Company: AETHLON MEDICAL INC
Filing Date: 2025-02-12
Form: 10-Q
Item: Item 1
Chunk 23
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15.00 - 18.75  
    $15.66 
  
    Warrants outstanding at December 31, 2024 
     13,356,459  
    $0.58 – 27.50  
    $0.60 
  
    Warrants exercisable at December 31, 2024 
     13,356,459  
    $0.58 – 27.50  
    $0.60 

9. COMMITMENTS AND CONTINGENCIES

LEASE COMMITMENTS

Office, Lab and Manufacturing Space Leases

In December 2020, we entered into an agreement
to lease approximately 2,823 square feet of office space and 1,807 square feet of laboratory space located at 11555 Sorrento Valley Road,
Suite 203, San Diego, California 92121 and 11575 Sorrento Valley Road, Suite 200, San Diego, California 92121, respectively. The agreement
carries a term of 63 months and we took possession of the office space effective October 1, 2021. We took possession of the laboratory
space effective January 1, 2022. In October 2021, we entered into another lease for approximately 2,655 square feet of space to house
our manufacturing operations located at 11588 Sorrento Valley Road, San Diego, California 92121. The term is for 55 months and we took
possession of the manufacturing space in August 2022. The current monthly base rent under the office and laboratory component of the lease
is $14,356. The current monthly base rent under the manufacturing component of the lease is $12,824. Cash paid in the three months ended
December 31, 2024 for amounts included in the measurement of operating lease liabilities in operating cash flows was $81,538.

The office, lab and manufacturing leases are coterminous
with a remaining term of 27 months. The weighted average discount rate is 4.25%.

As of our December 31, 2024 balance sheet, we
have an operating lease right-of-use asset of $673,315 and operating lease liability of $724,848.

     18 

In addition, the lease agreements for the new
office, lab and manufacturing space required us to post a standby L/C in favor of the landlord in the aggregate amount of $87,506 in lieu
of a security deposit.