On June 30, 2022, Enjoy Technology Canada Ltd. (Enjoy Canada), an indirect, wholly owned subsidiary of Enjoy Technology, Inc. (the Company), commenced a reduction in force (Reduction in Force") with respect to their Canadian-based employees. This Reduction in Force is part of Enjoy's restructuring efforts. The Reduction in Force was authorized by Enjoy Canada's board of directors on June 30, 2022 and involves a reduction of the Company's workforce in the aggregate of approximately 145 employees, representing approximately 7.8% of the Company's global workforce as of June 30, 2022.

The Company estimates that it will have 1,707 total employees following the effectiveness of the Reduction in Force. The Company expects execution of the Reduction in Force to be substantially complete in the second half of 2022. In connection with the Reduction in Force, the Company estimates that it will incur approximately $0.2 million in expenses, all of which are expected to be in the form of future cash-based expenditures and substantially all of which are expected to be related to employee severance and other termination benefits.

The Company expects to recognize substantially all of these charges in the second quarter of 2022. The foregoing estimated amounts do not include any non-cash charges associated with stock-based compensation. The Company expects to recognize a stock-based compensation expense related to vested awards and does not anticipate modifying the affected employees' stock awards to accelerate the vesting of such awards or to otherwise modify such awards in a manner that would result in such charges.