Company: AIRTP
Filing Date: 2025-08-12
Form Type: 10-K/A
Source: 0000353184-25-000069
Chunk: 117

Company: AIR T INC
Filing Date: 2025-08-12
Form: 10-K/A
Chunk 117
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Air T's 2020 Omnibus Stock and Incentive Plan

On December 29, 2020, the Company’s Board of Directors unanimously approved the Omnibus Stock and Incentive Plan (the "Plan"), which was subsequently approved by the Company's stockholders at the August 18, 2021 Annual Meeting of Stockholders. The total number of shares authorized under the Plan is 420,000. Through March 31, 2025, options to purchase up to 348,050shares have been granted under the Plan. The options vest annually over a period of ten yearsbased on a specified service condition ("vested awards") and expire ten yearsafter vesting. However, the ability to exercise vested awards, occurring at the conclusion of each annual vesting period, is contingent upon the Company's stock price meeting predetermined milestones outlined in the options agreements (the "market condition"). If the market condition is not fulfilled at the annual vesting period on June 30 of every year, the vested awards may not be exercisable at any subsequent point and are forfeited. On the preceding threevesting dates, June 30, 2024, 2023 and 2022, a total of 97,000shares satisfied the service condition; however, they did not meet the market condition to become exercisable. For the fiscal years ended March 31, 2025 and March 31, 2024, 26,000unvested shares and nounvested shares, respectively, were forfeited due to employee departures resulting in the reversal of previously recognized expense of $ 54.0thousand for the fiscal year ended March 31, 2025. As of March 31, 2025 there were 226,000granted options that may become exercisable on future vesting dates under the Plan. Nooptions were exercisable as of March 31, 2025.

The Company used the Black-Scholes option pricing model to value stock options granted under the Air T's 2020 Omnibus Stock and Incentive Plan and determined the grant date's fair value was $ 1.3million. The key assumptions used in the Plan's Black-Scholes option pricing model are as follows:

| Risk-free interest rate |     |  0.94 | %        |
| Expected dividend yield |     |     — |          |
| Expected term           |     |       | 10 years