Company: RAIN
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001213900-25-032239
Chunk: 747

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 4
Chunk 747
---

and RWT, respectively, (ii) convertible note balance of $667,500 to Coliseum, and a portion under the Note discussed above of approximately
$216,000 to RWT (which amount includes $200,000 in principal and approximately $16,000 in accrued interest), and (iii) an outstanding
balance of $180,000 in accrued administrative fees to Coliseum, for a total of approximately $3.1 million. The Rollover amounts were assigned
to and assumed by Holdco and are treated for all purposes as Loans outstanding under the Loan Agreement. The Rollover amount does not
reduce the $7 million funding available to the Company under the LOC. As of December 31, 2024, we had not borrowed any of the $7 million
available funding under the LOC.

48

Employment Agreement

On December 31, 2024, Holdco entered into a binding offer letter (the “Offer Letter”) with its new
CEO, Mr. Seidl effective January 2, 2025, pursuant to which Holdco agreed to pay to the CEO (i) an annual salary of $500,000, (ii) a contingent
bonus payment of $5.0 million that will be issued under a form of an unsecured note payable (the “Officer Note”) on the earlier
of (x) four-year anniversary of the Officer Note, subject to the CEO’s continued service with Holdco through such date, and (y)
the date of termination, if Holdco terminates the CEO’s employment without cause. Holdco and Mr. Seidl agreed to replace the Officer
Note, which was not yet issued, with a retention bonus agreement to better reflect the nature of the commitment (“Retention Bonus”).
As of the date of this filing, the Retention Bonus has not been issued.

Segments

We operate and manage the business as one reportable and operating
segment, which is the business of developing, manufacturing and commercializing ionization rainfall generation technology. Our chief executive
officer, who is the chief operating decision maker, or CODM, reviews financial information on an aggregate basis for allocating resources
and evaluating financial performance.

Off-Balance Sheet Arrangements 

We did not have off-balance sheet arrangements as of December 31, 2024,
and do not currently have, any off-balance sheet financing arrangements or any relationships with unconsolidated entities or financial
partnerships, including entities sometimes referred to as structured