Company: RAIN
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001213900-25-110062
Chunk: 132

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 2
Chunk 132
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 an annual salary of $500,000, (ii) an annual incentive bonus up to 200% of his base
salary, subject to Board approval, and (iii) a cash bonus of $5.82 million (the “Retention Bonus”) payable on the earlier
of (x) December 31, 2028, (y) the date on which we terminate the CEO’s employment without cause, or (z) the date on which a change
of control is consummated. We accrue the Retention Bonus over the period of service. As of September 30, 2025, we accrued approximately
$416,000 of Retention Bonus in accrued expenses to related party in the accompanying unaudited condensed consolidated balance sheet.

In addition, subject to approval by the Board
and the Compensation Committee, Mr. Seidl is also entitled to equity awards under our equity incentive plan. On September 5, 2025, we
granted 602,320 RSAs to Mr. Seidl, with 50% of which shall vest on January 1, 2026 and 50% of which shall vest on January 1, 2027, subject
to continued employment or service through such vesting date.

Board Agreement

On April 1, 2025, the Board increased the size
of the Board from five to seven directors and appointed Mr. Marcus Peperzak and Mr. Robert Reardon to the Board to fill the resulting
vacancies.

In connection with their appointments to the Board,
Mr. Reardon and Mr. Peperzak each entered into the Director Agreements which are the form of agreement adopted by the Board in April 2025
to govern the terms of service and compensation of our company’s non-employee directors. Additionally, effective as of April 4,
2025, we entered into Director Agreements with Lyman Dickerson, Alexandra Steele, and Christopher Riley, each non-employee members of
the Board. Pursuant to the terms of the Director Agreements, we agreed to pay to each Board member (i) subject to approval by the Board
and compensation committee of the Board (the “Compensation Committee”), a cash payment of $12,500 promptly following
attendance at each quarterly Board meeting, for a total annual cash compensation of $50,000; and (ii) subject to approval by the Board
and the Compensation Committee, a grant of restricted stock, with the number of shares and terms