Company: SUNE
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0000022701-25-000002
Chunk: 67

Company: SUNation Energy, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 8
Chunk 67
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460,194 due on December 31, 2023 and 2024, respectively as it was not permitted to make any payments under the Long-Term Note unless Decathlon had provided prior written consent to such payment pursuant to the Loan Agreement. As noted above, the Company paid the Decathlon debt in full and no longer 

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had to receive written consent to make these payments. On March 13, 2025, the Company paid the unpaid interest totaling $710,897.  As noted in Note 15, Fair Value Measurements, the Company recorded a $2,500,000 earnout consideration accrual at December 31, 2025 related to the SUNation acquisition. On March 13, 2025, the Company paid $389,103 and on April 7 2025, paid the remaining $2,110,897 to satisfy the outstanding liability in full. Subsequent to making the March 13, 2025 interest payment, the original Long-Term Note was amended and restated on April 10, 2025 as follows: The principal amount of $5,486,000 previously due and payable under the original Long Term Note, together with all accrued and unpaid interest owing thereunder, shall be due and payable on May 1, 2028 (the “Maturity Date”), and such amended note shall become a senior secured instrument. Principal and interest payments under the amended Long-Term Note shall be payable monthly on the first day of each month commencing with June 1, 2025 for thirty-six (36) consecutive months thereafter pursuant to the terms thereunder. Additionally, pursuant to the terms of that certain Senior Secured Contingent Note Instrument, entered into on April 10, 2025, the unearned 2024 earnout was rescheduled and shall be based on the earnout terms set forth therein pursuant to the financial conditions and terms covering each of fiscal years 2024 and 2025 and, if attained, shall be payable in fiscal year 2026, which payment is further conditioned on the continued employment of the note holders at the time of such earnout payment trigger date. Previously Issued Warrant Settlement Exchange As disclosed in Note 9, Commitments and Contingencies, we have accrued $1,300,000 for loss contingencies related to the PIPE Warrants that are payable in cash and stock. During the first quarter of 2025, we settled this obligation by issuing 1,213,656