Company: KG
Filing Date: 2025-03-10
Form Type: S-4
Source: 0001104659-25-021993
Chunk: 226

Company: Kestrel Group Ltd
Filing Date: 2025-03-10
Form: S-4
Chunk 226
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 a Lease Agreement dated October 23, 2019. Kestrel Service Corporation reimburses Terry Ledbetter via an expense reimbursement provision under his employment agreement for the use of this leased office space. This Lease Agreement expires January 31, 2026. Kestrel also leases office space for the corporate office in Austin, Texas, through Kestrel Service Corporation, that expires in 2027. Lease payments have an escalating fee schedule, which range from a 3% to 4% increase each year. Termination of the lease is generally prohibited unless there is a violation under the lease agreement. See “— Contractual Obligations and Commitments”. Meals, entertainment and travel expense. Kestrel participates in several conferences and industry events throughout the year. Kestrel employees host and participate in these events and incur expenses in the normal course of business. Kestrel also maintains an active travel schedule to source new business, frequently visiting major insurance and reinsurance hubs such as New York, Bermuda and London. Kestrel anticipates this category of expenses increasing in line with its revenue generation. Income Taxes. Income taxes related to Kestrel Service Corporation are provided for the tax effects of transactions reported in the consolidated financial statements. The provision for income taxes for the years ended December 31, 2024 and 2023 consists of the following:

| ​                          
 Current income taxes       | ​ 
 ​ | ​ 
 ​ | 2024 
 ​    | ​ |      ​ | ​ | ​ 
 ​ | ​ 
 ​ | 2023 
 ​    | ​ | ​ | ​ | ​ 
 ​ |
|:---------------------------|:--|:--|:-----|:--|-------:|:--|:--|:--|:-----|:--|:--|:--|:--|
| Federal                    | ​ | ​ | ​    | $ | 15,734 | ​ | ​ | ​ | ​    | $ | — | ​ | ​ |
| State                      | ​ | ​ | ​    | ​ | 14,305 | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Total current              | ​ | ​ | ​    | ​ | 30,039 | ​ | ​ | ​ | ​    | ​ | — | ​ | ​ |
| Deferred income taxes      | ​ | ​ | ​    | ​ |      ​ | ​ | ​ | ​ | ​    | ​ | ​ |