Company: NEOV
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0001683168-25-000834
Chunk: 36

Company: NeoVolta Inc.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 8
Chunk 36
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 providing
for an initial term extending through June 30, 2027, which will be automatically renewed for additional one-year terms unless either
party chooses not to renew it. Pursuant to the agreement, our new CEO received an initial equity grant equal to 1,280,000 restricted
stock units (“RSU’s”), with a grant date value of $2,854,000, which will vest over a four-year period, subject to his
continued employment with the Company, and will be entitled to earn additional RSU’s on each anniversary in the form of three annual
performance-based equity grants, beginning in the year ending June 30, 2025, with a target value of up to $660,000 each. However, no
such additional grants have been made as of December 31, 2024.

In February 2022, we entered
into a new employment agreement with our then CEO, effective April 1, 2022. As noted above, we engaged a new CEO effective April 29, 2024,
replacing our former CEO who remains as Chairman of the Board and chief technology officer. Pursuant to the agreement, we issued our former
CEO an RSU award for up to 150,000 shares of our common stock upon achieving the following milestones (which achievements shall be determined
by the Board): (i) Milestone 1 - Successfully complete an uplisting of our common stock in 2022 and continue his employment with our company
until January 1, 2023: 50,000 shares; and (ii) Milestone 2 - Produce 2,000 ESSs in 2022 and continue his employment with our company until
January 1, 2023: 100,000 shares. As of December 31, 2023, Milestone 1 had been achieved, however, Milestone 2 had not been achieved and
was no longer achievable. The underlying 50,000 shares of common stock earned under Milestone 1 were issued to our former CEO as of January
1, 2023.

In February 2022, we entered
into a new employment agreement with our Chief Financial Officer (“CFO”), effective March 1, 2022. Pursuant to the agreement,
we issued our CFO an RSU award for up to 300,000 shares of our common stock upon achieving the following milestones (which achievements
shall be determined by the Board): (i) Milestone