Company: ARAI
Filing Date: 2025-05-14
Form Type: DRS
Source: 0001641172-25-010170
Chunk: 112

Company: Arrive AI Inc.
Filing Date: 2025-05-14
Form: DRS
Chunk 112
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)  | 3,214.50                                                                                                                              
 shares at $11.08 per share fair value (after giving effect to the Reverse Stock Split) based on average of share sales during 2023.   
 50,000 options at $10.784 per share fair value (after giving effect to the Reverse Stock Split) based on Black Scholes analysis as    
 disclosed in the December 31, 2023 financial statements.                                                                              |
| (9)  | 30,000                                                                                                                                
 shares at $11.08 per share fair value (after giving effect to the Reverse Stock Split) based on average of share sales during 2023.   |
| (10) | 1,754.5                                                                                                                               
 options at $11.752 per share fair value (after giving effect to the Reverse Stock Split) based on Black Scholes analysis as disclosed 
 in the December 31, 2024 financial statements.                                                                                        |
| (11) | 30,000                                                                                                                                
 options at $11.752 per share fair value (after giving effect to the Reverse Stock Split) based on Black Scholes analysis as disclosed 
 in the December 31, 2024 financial statements.                                                                                        |

Employment Agreements

Other than as set forth below the Company does not have an employment agreement with any member of the Company’s management team or any members of the Board. However, the Company plans to enter into executive employment agreements with the Company’s management team.

Mark Hamm, COO

On June 1, 2022, the Company entered into an employment agreement with Mr. Hamm as its Chief Operating Officer on at-will basis (“Hamm Agreement”). Pursuant to the Hamm Agreement, Mr. Hamm will receive an annual salary of $240,000. He is eligible to receive stock options at a quantity, issue, and strike price will be such that at a company valuation of $1 billion USD valuation, the net value, after long term capital gains, is $10 million USD (ten million dollars). The vesting schedule allocates the stock options into two equal parts: time-based Non-Qualified Stock Options (NQSO) and performance-based Incentive Stock Options (ISO). The first 50% (NQSO) vests quarterly over four years with a one-year cliff. On day 366, 25% of this tranche vests, followed by 6.25% quarterly until fully vested. If employment ends before day 366, no NQSO options will