Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 182

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 182
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 March 27, 2025 (the “Outstanding Preferred Stock”). Pursuant to the Settlement Agreement,
on the Effective Date, the Company delivered the aggregate amount of $1,251,651.26 (the “Series 9 Redemption Amount”)
by wire transfer of immediately available funds to an account designated in writing by Ali, for the redemption of the Outstanding Preferred
Stock. Following Ali’s receipt of the Series 9 Redemption Amount, Ali no longer held any shares of Series 9 Preferred Stock. As
of the date of this report, there are no shares of Series 9 Preferred Stock issued and outstanding.

Termination of Ali Consulting Agreement.
The Settlement Agreement provides that effective as of the Effective Date, that certain Consulting Agreement, dated March 12, 2024
by and between the Company and Ali (the “Ali Consulting Agreement”) is terminated, and in lieu of the $2,775,000
(the “Ali Advisory Fees”) that would be owed to Ali pursuant to the terms of the Ali Consulting Agreement as a result of the
termination of such Ali Consulting Agreement prior to the 15 month anniversary of the effective date thereof, the Company agreed
(i) that the aggregate amount of $1,000,000 (the “Grafiti Purchase Amount”) required to be delivered by Grafiti Group pursuant
to that certain Equity Purchase Agreement, dated February 16, 2024, by and among the Company, Grafiti LLC, and Grafiti Group, as amended
(the “Equity Purchase Agreement”), shall be deemed to be satisfied in full and no further amounts shall be payable to the
Company by Grafiti Group or any of its affiliated parties pursuant to the Equity Purchase Agreement; (ii) to deliver a cash amount of
$60,000 (the “Outstanding Amount”) to Ali by wire transfer of immediately available funds; and (iii) to deliver $1,500,000
(the “Deferred Amount”) by wire transfer of immediately available funds in three equal installments of $500,000 (“Installment
Amounts”) each on June 30, 2025, September 30, 2025 and December 30, 2025 (the “Deferred Amount Installment Dates”).
Any Installment Amount that is not paid by the applicable due dates will be subject to interest at a rate of 18% per annum. Upon payment
of the Outstanding Amount and the Deferred Amount in accordance with the terms of