Company: MVIS
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001641172-25-022632
Chunk: 22

Company: MICROVISION, INC.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 22
---
CHEDULE OF COMPONENTS INTEREST EXPENSE

    (in
    thousands) 
    2025 
     
    2024

    2025

    2024

    Three
                                            Months Ended June 30,

    Six Months Ended June 30,

    (in
    thousands) 
    2025 
     
    2024

    2025

    2024

    Amortization
    of debt discount and issuance costs 
    $(2,164)
     
    $
    -

    $
    (5,666
    )
     
    $
    -

    Interest
    expense from modification of notes payable 
     - 

    -

    (2,057
    )

    -

    Discount
    on warrants (see Note 7. Warrant Liability) 
     - 

    -

    (7,325
    )

    -

    Other expense 
     (6)

    (13
    )

    (25
    )

    (32
    )
  
    Total
    interest expense 
    $(2,170)
     
    $
    (13
    )
     
    $
    (15,073
    )
     
    $
    (32
    )

The
monthly effective interest rate implicit in the Note as of June 30, 2025 under the interest method was 2.34%.

Maturities
of partial repayments, if elected by the Holder, are as follows as of June 30, 2025:

 SCHEDULE OF MATURITIES LONG TERM DEBT

    (in
    thousands) 

    Years
    Ended December 31, 
    Maturities 
  
    2025
    (remainder) 
    $22,000 
  
    2026 
     14,025 
  
    Total
    partial repayments 
    $36,025 

Derivative
Liability

As
a result of the modification, one embedded feature previously accounted for within the derivative liability no longer required bifurcation
and was recombined with the host contract at a fair value of $0.2 million. Subsequent to the modification, the derivative liability was
initially recorded at its fair value of $7.2 million as of the modification date of February 3, 2025. The derivative liability is subsequently
remeasured and reported at fair value each reporting period, with the changes in fair value