Company: AAOI
Filing Date: 2025-08-26
Form Type: 8-K
Source: 0001683168-25-006467
Chunk: 0

Company: APPLIED OPTOELECTRONICS, INC.
Filing Date: 2025-08-26
Form: 8-K
Item: Item 1.01
Chunk 0
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Item 1.01      Entry into a Material Definitive Agreement.  

On August 20, 2025, Prime
World International Holdings Ltd. (“ Prime World”), a wholly owned subsidiary of Applied Optoelectronics, Inc., entered into
an Agreement to Terminate Land and Building Lease (the “ Termination Agreement”) with San Ho Electric Machinery Industry Co.,
Ltd. (the “ Lessor”). Under the Termination Agreement, the Land and Building Lease Agreement dated June 7, 2025 (the “ Original
Lease”) between Prime World and the Lessor will be terminated effective August 31, 2025.

Pursuant to the Termination
Agreement, Prime World agreed to pay the Lessor NT$9,400,000 in full settlement of all rent, fees, damages, and other amounts arising
from the early termination of the Original Lease. Upon execution of the Termination Agreement, neither party will have any further claims
against the other in connection with the termination.

The foregoing description
of the Termination Agreement does not purport to be a complete statement of the parties’ rights and obligations under the Termination
Agreement and is qualified in its entirety by reference to the full text of the Termination Agreement, English translations which is attached
as Exhibit 10.1 to this Current Report on Form 8-K and incorporated by reference herein.