Company: AEMD
Filing Date: 2025-06-26
Form Type: 10-K
Source: 0001683168-25-004780
Chunk: 1574

Company: AETHLON MEDICAL INC
Filing Date: 2025-06-26
Form: 10-K
Item: Item 9C
Chunk 1574
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7,601 
  
    Total cash and cash equivalents 
    $5,501,261  
    $5,441,978 

CONCENTRATIONS OF CREDIT RISKS

Cash is maintained at one US financial institution
in a checking account. Accounts at this institution are secured by the Federal Deposit Insurance Corporation up to $250,000. Our March
31, 2025 cash balances were approximately $130,000 over such insured amount. We do not believe that
the Company is exposed to any significant risk with respect to its cash in that checking account.

At March
31, 2025, we maintained cash equivalents of approximately $5.2 million in US Treasury bills with maturities of less than three months.
We do not believe that the Company is exposed to any significant risk with respect to its cash equivalents since they represent US government
risk.

Cash is maintained at one Australian financial
institution in checking accounts. Accounts at this institution are secured by the Financial Claims Scheme for up to Australian $250,000.
Our March 31, 2025 Australian cash balance was below that threshold.

RESTRICTED CASH

To comply with the terms
of our laboratory, office, and manufacturing space leases, we arranged for our former bank, First Republic Bank, to issue two standby
letters of credit (L/Cs) totaling $87,506 in favor of the landlord, in lieu of a security deposit. To support the L/Cs, we authorized
the withdrawal of $87,506 from our operating accounts and placed the funds in restricted certificates of deposit, which we classified
as restricted cash, a long-term asset on our balance sheet. Following the transition of our banking relationship from First Republic Bank
to JPMorgan Chase, the standby letters of credit were converted to a money market deposit account with an additional $5,000 buffer. This
interest-bearing account had a balance of $97,813 as of March 31, 2025, which we continue to classify as restricted cash. 

     F-12 

PROPERTY AND EQUIPMENT

Property and equipment are stated at cost. Depreciation
is computed using the straight-line method over the estimated useful lives of the related assets, which range from two to five years.
Repairs and maintenance are charged to expense as incurred while improvements are capitalized. Upon the sale or retirement of property
and equipment, the accounts are relieved of the cost and the related accumulated depreciation with any gain or loss included in the consolidated