Company: XTIA
Filing Date: 2025-03-28
Form Type: 8-K
Source: 0001013762-25-003568
Chunk: 1

Company: XTI Aerospace, Inc.
Filing Date: 2025-03-28
Form: 8-K
Item: Item 1.01
Chunk 1
---
 Amounts”) each on June 30, 2025, September 30, 2025 and
December 30, 2025 (the “ Deferred Amount Installment Dates”). Any Installment Amount
that is not paid by the applicable due dates will be subject to interest at a rate of 18% per annum. Upon payment of the Outstanding Amount
and the Deferred Amount in accordance with the terms of the Settlement Agreement, the Ali Advisory Fees shall be deemed to be satisfied
in full and no further amounts shall be payable by the Company to Ali or his affiliated parties

Former Management Payments. Pursuant to the Settlement Agreement, the Company agreed to pay the Former Management Payments
(as defined below) on the earlier of (a) the closing date of the Company’s next financing transaction and (b) 30 days following
the Effective Date of the Settlement Agreement (the “ Former Management Payout Deadline”). If for any reason the Former Management
Payments are not paid by the Former Management Payout Deadline, subject to a 10 day cure period, the payment of the Deferred Amount in
its entirety shall be accelerated and become immediately due and payable. The “ Former Management Payments” comprise (i) an
aggregate amount of $803,260.65 (the “ Bonus Plan Payment”) that, as of the Effective Date, remains payable to the recipients
of bonuses payable pursuant to that certain Transaction Bonus Plan, adopted on July 24, 2023 and as amended (the “ Bonus Plan”)
together with (ii) an aggregate amount of $303,372.87 (the “ Loundermon Advisory Fee”) that, as of the Effective Date, is
payable to Wendy Loundermon, the Company’s former Chief Financial Officer and a former director
of the Company(“ Loundermon”), pursuant to that certain Consulting Agreement, dated March 12, 2024, by and between
the Company and Loundermon (the “ Loundermon Consulting Agreement”).