Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 465

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 2
Chunk 465
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% per annum. The October 2023 Note provided
that at any time prior to the maturity date, Mr. Brody may convert all or a portion of the outstanding note balance into shares
of Legacy XTI at a conversion price equal to $1.00.

On
March 11, 2024, Legacy XTI and Mr. Brody entered into Amendment No. 1 to the October 2023 Note pursuant to which Mr. Brody
converted $922,957 principal amount of the October 2023 Note and accrued and unpaid interest thereon, into shares of Legacy XTI
common stock at a rate of $0.309 in principal amount per share, and Legacy XTI agreed to pay Mr. Brody the remaining $175,000 in
principal amount at the time of closing of the XTI Merger. The shares issued as consideration under such amendment converted into 266,272
shares of our Common Stock in accordance with the exchange ratio pursuant to the XTI Merger Agreement and the Company assumed the $175,000
repayment obligation. On March 27, 2024, the Company and Mr. Brody entered into Amendment No. 2 to the October 2023 Note
which extended the maturity date for the $175,000 payment to April 1, 2024. This repayment obligation was paid in full on April 1,
2024.

January 2023
Note

In
connection with the XTI Merger, the Company assumed a Promissory Note issued by Legacy XTI to Mr. Brody on January 5, 2023
(the “January 2023 Note”), with an outstanding principal balance of $125,000 along with an interest balance of $10,058
calculated as of April 30, 2024. On March 27, 2024, Mr. Brody and the Company entered into an amendment to the January 2023
Note which extended the Maturity Date to April 30, 2024. The outstanding principal and accrued interest balances were repaid in
full during the second quarter of 2024.

Consulting
Agreement with David Brody

Mr. Brody
provided legal and strategic consulting services to Legacy XTI under a consulting agreement. During the years ended December 31,
2024 and 2023, Legacy XTI paid Mr. Brody consulting compensation of $20,000 and $60,