Company: RAIN
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001213900-25-032239
Chunk: 408

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 1B
Chunk 408
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 2025. The Company amortizes those assets on a straight-line basis over
the estimated useful lives of the assets under full-month convention. The Company plans to continually adapt to incorporate new technologies
and to expand into markets that may be created by new technologies for rainfall generation. As a result, the Company anticipates that
the licensed patents and designs will have a ten-year useful life before the Company transitions and adopt new technologies.

Intangible assets as of December 31, 2024 and 2023 was composed
of the following:

     Weighted Average    Carrying Value      Useful Life 
(Years)   December 31, 
2024   December 31, 
2023   Intangible assets:              Licensed technology for weather modification   10   $33,000   $33,000   Purchased intellectual property for rainfall ionization equipment   10   $83,750    83,750   Less:                 Accumulated amortization        (24,323)   (12,648)  Total intangible assets, net       $92,427   $104,102  

The Company incurred approximately $12,000 and $13,000 in amortization
expenses for the years ended December 31, 2024 and 2023, respectively, and included that in the accompanying consolidated statement
of operations. The intangible assets were tested for impairment whenever events or changes in circumstances indicate the carrying amount
may not be recoverable. These conditions may include a change in the extent or manner in which the asset is being used or a change in
future operations. For the years ended December 31, 2024 and 2023, there were no impairment charges associated with the Company’s intangible
assets.

F-16

Note 5 — Related Party
Transactions

Note Payable and Line of Credit from Related
Parties

On February 2, 2023, RWT issued a promissory
note (the “Note”) to its former CEO and Mr. You and Mr. de Masi for an aggregate amount of $600,000. The Note has an
annual interest rate of 5% and is currently due on demand.

On December 30, 2024, Holdco entered into a loan
agreement (the “Loan Agreement”) with