secwatch.observer — SEC 8-K summary
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Issuer:     XTI Aerospace, Inc. (XTIA)
CIK:        0001529113
Form:       8-K
Filed at:   2026-10-16T21:16:04+00:00
Accession:  0001213900-26-110351
Event type: other_material
Sentiment:  negative
Materiality: 0.88
Item codes: 2.04, 9.01
LLM model:  deepseek-v4.1-flash:cloud@v2

XTI Aerospace unit defaults on $4.51M drone notes; cross-default hits $20M JPMorgan revolver
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- XTI Drones Holdings missed Sept 30, 2026 installments of $1,380,000 (DN Note) and $120,000 (AR Note); 10-day grace lapsed and default was declared Oct 11, 2026.
- DN Note principal $10,976,284.58 and AR Note $954,459.53, both at 7.25% and due Nov 10, 2026; default interest now 9.25% (stated rate plus 2.00%).
- Default triggered cross-default under the Feb 11, 2026 JPMorgan credit agreement ($20.0M ABL revolver); ~$8.4M of revolving loans outstanding as of Oct 16, 2026.
- Lender may stop lending, block distributions, accelerate debt, charge +2.00% default interest and seize collateral; company says liquidity is insufficient to repay if accelerated.
- Sellers agreed to terms of a temporary waiver subject to execution and a restructuring is planned; Q2 2026 10-Q expected to flag substantial doubt about going concern.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1529113/000121390026110351/0001213900-26-110351-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1529113/000121390026110351/ea0308915-8k_xtiaero.htm
  HTML page:      https://secwatch.observer/filing/0001213900-26-110351

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