Company: FWDI
Filing Date: 2025-06-10
Form Type: PRE 14A
Source: 0001683168-25-004370
Chunk: 27

Company: Forward Industries, Inc.
Filing Date: 2025-06-10
Form: PRE 14A
Chunk 27
---
 1,380 |     | –                                         |     | –                                                                    |     |                 14.70 |     | 7/1/2027               |     | –                                    |     | –                                             |     | –                                                                             |     | –                                                                                             |
| Paul Severino     |     |                                       – |     | –                                         |     | –                                                                    |     |                     – |     | –                      |     | –                                    |     | –                                             |     | –                                                                             |     | –                                                                                             |
| Tom KraMer        |     |                                       – |     | –                                         |     | –                                                                    |     |                     – |     | –                      |     | –                                    |     | –                                             |     | –                                                                             |     | –                                                                                             |
| Kathleen Weisberg |     |                                       – |     | –                                         |     | –                                                                    |     |                     – |     | –                      |     | –                                    |     | –                                             |     | –                                                                             |     | –                                                                                             |

Risk Assessment Regarding Compensation Policies and Practices as they Relate to Risk Management

Based on our assessment, we have
determined that our compensation program for employees: (i) is designed to discourage excessive risk-taking by our employees; and (ii)
does not create risks that are reasonably likely to have a material adverse effect on the Company. Our compensation has the following
risk-limiting characteristics:

| · | Our base pay programs consist of competitive salary rates that provide a reliable level of income on a regular basis, which helps align executive incentives with appropriate risk management;                                         |
| · | Awards are not tied to formulas that could focus executives on specific short-term outcomes;                                                                                                                                           |
| · | Equity awards, when issued, may be recovered by us should a restatement of earnings occur upon which incentive compensation awards were based, or in the event of wrongdoing by the recipient; and                                     |
| · | Equity awards, generally, have multi-year vesting which aligns the long-term interests of our executives with those of our shareholders and, again, discourages the taking of short-term risk at the expense of long-term performance. |

Additionally, our Board has adopted
a clawback policy in accordance with the rules of the Nasdaq Stock Exchange and SEC Rule 10D-1. This policy requires the recoupment of
any “excess” incentive compensation (as defined in the applicable rules) earned by current and former executive officers during
the three-year period preceding the date on which