Company: RIVF
Filing Date: 2025-10-15
Form Type: 10-K
Source: 0001493152-25-018109
Chunk: 132

Company: Rivulet Entertainment, Inc.
Filing Date: 2025-10-15
Form: 10-K
Item: Item 1B
Chunk 132
---
,000  
     750,000 
  
    Related
    party notes payable to a beneficial owner; Issued October-November of 2023; 15% stated interest rate; Due February 1, 2026 (refer
    to Note 8) 
     2,880,000  
     2,880,000 
  
    Related
    party notes payable to parent company; Issued at various dates; no stated interest rate or due date (refer to Note 8) 
     -  
     7,888,316 
  
    Total notes
    payable 
     20,094,742  
     16,988,316 
  
    Less
    current maturities 
     (20,094,742) 
     (4,890,000)
  
    Total
    notes payable, non-current portion 
    $-  
    $12,098,316 

As
of June 30, 2025, $353,000 of notes were in default as a result of provisions in the respective note agreements requiring payment upon
sale of a film, which has yet to be fulfilled by the Company. As of the date of the filing, $353,000 were still in default and bore an
interest rate of 20% to 25%.

During
the twelve months ended June 30, 2025, the Company entered into certain note agreements totaling $18.2 million. These notes bear interest
at rates of approximately 10% to 20%, and mature dependent upon factors related to future film sales, the closing of a senior debt facility
or certain stated maturity dates, as detailed in the table above.

Additionally,
on October 16, 2024 the Company entered into a one1-year credit facility with total availability of $3.5 million. The full amount of $3.5
million has been drawn as of the date of these consolidated financial statements with an approximate interest rate of 6.5%.

During
the twelve months ended June 30, 2025, the Company paid notes payable of approximately $10.6 million.

    F-16

In
addition to the stated interest rates on the loans, certain loans include a net profit participation feature whereby the lender may receive
an additional return based on the performance of the film underwritten by the loan. Certain of these loans are collateralized by interests
in film rights the Company owns. Additionally