Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 1775

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 4
Chunk 1775
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 discount rate to apply to the Deferred Contingent Stock in order to value it for tax reporting purposes. In the Finnerty Protective Put model, the Second Valuation Firm has assumed a minimum term of six months, equal to the minimum time to sell the subject shares due to their restricted nature; and a maximum term equal to the amount of time it would take for the market to absorb the additional shares based upon an assumed additional volume of 20% and 7.5%. The Second Valuation Firm also assumed that no dividends on common stock will be paid, expected volatility based on observed volatility of the trading of LIFD’s common stock, and risk-free rate based on the yield on U.S. Treasury bonds. The Second Valuation Firm’s report indicated that, for tax reporting purposes, a 27% discount should be used when valuing the 93,000 shares of Deferred Contingent Stock that were issued on September 21, 2023. 

F-25Table of Contents

 Through December 31, 2024, 503,000 shares of Deferred Contingent Stock have been issued to certain Deferred Contingent Stock Recipients.  The following is a summary of share-based compensation, stock option and warrant activity as of December 31, 2024 and changes during the year then ended:         Weighted-Average  Aggregate      Weighted-Average  Remaining Contractual  Intrinsic   Shares  Exercise Price  Term (Years)  Value Exercisable Options, Warrants, Rights to Purchase Warrants to Purchase Common Stock and Financing Warrants Outstanding, December 31, 2023  3,612,198  $3.85   1.07  $357,008                  Expired Financing Warrants (May 2024)  (155,500)                             Expired Stock Options and Rights to Purchase Warrants to Purchase Common Stock (December 2024)  (1,176,698)                             Exercisable Warrants Outstanding, December 31, 2024  2,280,000  $5.00   0.15  $- Outstanding Warrants, December 31, 2024  2,280,000  $5.00   0.15  $- 

 NOTE 10 – CONTINGENT CONTRACTUAL OBL