Company: RAIN
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076727
Chunk: 39

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 2025, we accrued approximately $14,000
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. As of June 30, 2025, no equity
awards have been granted.

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 to be determined by the Board. We recognized
an aggregate of $100,000 in connection with such agreement during the three and six months ended June 30, 2025 within general and administrative
expenses in the accompanying unaudited condensed statements of operations. As of June 30, 2025, there has been no grants of restricted
stock.

Termination Letter

As discussed above, pursuant to the Termination
Letter, in lieu of all other compensation and payments of any kind due and payable to Mr. Riley, we agreed to pay Mr. Riley an aggregate
of $124,500, payable in 18 monthly installments beginning in February 2025 in consideration for his past services. We recognized approximately
$21,000 and approximately $35,000 in connection with such agreement during the three and six months ended June 30