Item 1.01. Entry into a Material Definitive Agreement

Effective June 1, 2021, AeroVironment, Inc. (the "Company") renewed and modified the leases for its 994 Innovators Way and 996 Innovators Way, Simi Valley, CA 93065 facilities. Summary information concerning the modifications and extension of these leases is set forth below.

994 Innovators Way Lease Modification

On June 15, 2021, the Company entered into a Second Amendment to Lease Agreement to its April 21, 2008 lease with Hillside Associates II, LLC, for the 994 Innovators Way, Simi Valley, CA 93065 property, that extended the lease term until November 30, 2027 at the monthly base rent indicated below:





               Period                   Base Monthly Rent

December 1, 2021 - November 30, 2022 $ 34,416.00 December 1, 2022 - November 30, 2023 $ 35,448.00 December 1, 2023 - November 30, 2024 $ 36,511.00 December 1, 2024 - November 30, 2025 $ 37,606.00 December 1, 2025 - November 30, 2026 $ 38,734.00 December 1, 2026 - November 30, 2027 $ 39,896.00

996 Innovators Way Lease Modification

On June 15, 2021, the Company entered into a First Amendment to Lease Agreement to its December 12, 2013 lease with Hillside Associates II, LLC, for the 996 Innovators Way, Simi Valley, CA 93065 property, that extended the lease term until November 30, 2027 at the monthly base rent indicated below:





               Period                   Base Monthly Rent

December 1, 2021 - November 30, 2022 $ 32,256.00 December 1, 2022 - November 30, 2023 $ 33,224.00 December 1, 2023 - November 30, 2024 $ 34,221.00 December 1, 2024 - November 30, 2025 $ 35,248.00 December 1, 2025 - November 30, 2026 $ 36,305.00 December 1, 2026 - November 30, 2027 $ 37,394.00






Common Terms

The Company has an option to extend each of the lease terms for a single 60-month period by providing written notice not less than nine months' before the expiration of such lease. During the extension term for such lease, the base rent for the first year will be equal to the then current market rent, but not less than the base rent for the last month for such lease. Rent during the extended term for such lease will increase annually thereafter by 3%. In addition, the Company has the option to terminate each lease, effective upon November 30, 2024 with 12 months' written notice prior to such early termination date.

The foregoing description of each lease does not purport to be complete and is qualified in its entirety by reference to the complete text of such documents, which will be filed as an exhibit to the Company's Annual Report on Form 10-K for the year ended April 30, 2021.


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