Company: WKSP
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000850
Chunk: 523

Company: Worksport Ltd
Filing Date: 2025-03-27
Form: 10-K
Item: Item 8
Chunk 523
---
,162,792  
    $24.20  
     393,992  
    $58.36 
  
    Issuance 
     2,402,815  
    $5.49  
     857,500  
    $10.94 
  
    Expired 
     (357,742) 
    $60.50  
     -  
    $- 
  
    Exercise 
     (916,589) 
    $(3.97) 
     (88,700) 
    $(0.001)
  
    Balance,
    end of period 
     2,291,276  
    $6.35  
     1,162,792  
    $24.21 

16.
Equity Compensation

Under
the Company’s 2015, 2021 and 2022 Equity Incentive Plans, the number of shares of common stock reserved for issuance under the
option plan shall not exceed 10% of the issued and outstanding shares of common stock of the Company, have a maximum term of 10 years,
and vest at the discretion of the Board of Directors.

    62

Worksport
Ltd.

Notes
to the Consolidated Financial Statements

December
31, 2024 and 2023

16.
Equity Compensation (continued)

All
equity-settled, share-based payments are ultimately recognized as an expense in the statement of operations with a corresponding credit
to “Additional Paid in Capital.” If vesting periods or other non-market vesting conditions apply, the expense is allocated
over the vesting period, based on the best available estimate of the number of share options expected to vest. Estimates are subsequently
revised if there is any indication that the number of share options expected to vest differs from previous estimates. Any cumulative
adjustment prior to vesting is recognized in the current period. No adjustment is made to any expense recognized in prior periods if
share options ultimately exercised are different than that estimated on vesting.

Performance
Share Units

On
May 1, 2023, the Company and Steven Rossi reached an agreement to modify 160,000 restricted stock units and 40,000 performance stock
units (“PSUs”) issued on November 11, 2022, and December 29, 2021, respectively, and replace them with 200,000 stock options,
as described below.

On
November 11,