Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 2161

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7A
Chunk 2161
---
 credit balance for future orders prior to the expiration date.

Long-Lived
Assets

The
Company accounts for impairment or disposal of long-lived assets, which include property, plant, and equipment and also finite-lived
intangible assets, in accordance with accounting standards that address the financial accounting and reporting for the impairment or
disposal of long-lived assets, specify how impairment will be measured, and how impaired assets will be classified in the Consolidated
Financial Statements. On a quarterly basis, the Company analyzes the status of its long-lived assets at each subsidiary for potential
impairment. Recoverability of assets to be held and used are measured by a comparison of the carrying amount of an asset to undiscounted
future cash flows expected to be generated by the asset. Because the impairment test for long-lived assets held in use is based on estimated
undiscounted cash flows, there may be instances where an asset or asset group is not considered impaired, even when its fair value may
be less than its carrying value, because the asset or asset group is recoverable based on the cash flows to be generated over the estimated
life of the asset or asset group. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount
by which the carrying amount of the assets exceeds the fair value of the assets. During the year ended December 31, 2024 and 2023, the
Company has impaired approximately $130 thousand and $575 thousand, respectively, of property, plant, and equipment, and there was no
impairment for the intangible assets for the year ended December 31, 2024 and 2023.

     F-15 

Cash
and Cash Equivalents

Cash
and cash equivalents consist of cash and highly liquid short-term investments with original maturities of less than three months.

Restricted
Cash

Restricted
cash relates to cash that is legally restricted as to withdrawal and usage or is being held for a specific purpose and thus not available
to the Company for immediate or general business use. As of December 31, 2024, the Company had restricted cash of approximately $2.6
million, in which $1.1 million was classified as current and $1.5 million was classified as non-current. As of December 31, 2023, the
Company had restricted cash of approximately $4.0 million, of which $3.0 million was classified as current and $1.0 million was