Company: AIRJW
Filing Date: 2025-03-25
Form Type: 10-K
Source: 0001013762-25-002263
Chunk: 1218

Company: AirJoule Technologies Corp.
Filing Date: 2025-03-25
Form: 10-K
Item: Item 7A
Chunk 1218
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Framework Agreement”) with GE Ventures LLC (“GE Vernova”), a Delaware limited liability
company and, solely for the purposes specified therein, GE Vernova LLC, a Delaware limited liability company, pursuant to which Legacy
Montana and GE Vernova agreed, subject to the terms and conditions of the Framework Agreement, including certain closing conditions specified
therein, to form a joint venture (the “AirJoule JV”) in which Legacy Montana and GE Vernova will each hold a 50% interest.
The joint venture transaction closed on March 4, 2024. AirJoule, LLC, the entity formed under this agreement, is included under the equity
method of accounting within these financial statements. See Note 5 - Equity Method Investment for further details.

Note 2 — LIQUIDITY AND CAPITAL
RESOURCES

The Company’s primary sources of liquidity have been cash contributions
from founders or equity capital raised from other investors. As of December 31, 2024, the Company had retained earnings of $198.5 million
and $27.4 million of working capital including $28.0 million in cash, cash equivalents and restricted cash. The Company had restricted
cash of approximately $30,000 which is included in cash, cash equivalents and restricted cash on the consolidated balance sheets and represents
cash deposited by the Company into a separate account and designated as collateral for a standby letter of credit in the same amount in
accordance with a contractual agreement.

The Company assesses its liquidity in terms of its ability to generate
adequate amounts of cash to meet current and future needs. Its expected primary uses of cash on a short and long-term basis are for working
capital requirements, capital expenditures, capital contributions to its joint ventures and other general corporate services. The Company’s
primary working capital requirements are for project execution activities including purchases of materials, services and payroll which
fluctuate during the year, driven primarily by the timing and extent of activities required for new and existing projects. The Company’s
management expects that future operating losses and negative operating cash flows may increase from historical levels because of additional
costs and expenses related to the development of its technology and the development of market and strategic relationships with other businesses
and customers. 

With the consummation of the Business Combination and Subscription
Agreements (as defined below), the Company received gross proceeds of approximately $43.4 million in the first quarter of 2024, approximately
$6.0 million in May