Nextleaf Solutions Ltd C.OILS

July25 2022

[yc2022]

When I read July 25 2022 PR, I have a feeling the company does not pay any excise tax at all.

**With the addition of THC-Free CBD Distillate, the Company can now offer its licensed manufacturing partners two distinct tax-free cannabinoids through bulk ingredient purchase.**

[GnarlyMunger]

If that were an accurate interpretation, it would be amazing. But I'm 99% sure it is not. CBD doesn't attract Excise Tax as a hemp derived product, and is in their balanced products. But THC does. In that interview from June '22 Paul clearly said Glacial Gold was paying a ton of Excise Tax. If shortly after that, they had secretly switched all the THC in their products to THC-O, we

[shneps]

THC-O Acetate is not in any of the Nextleaf products currently. It definitely would be a good question for Emma as to whether there even is an allowable application for THC-O in our regulatory environment. Some of the Glacial Gold products through the Ontario Cannabis Store are dwindling, from an inventory standpoint. Good sign. I like the new feature the OCS has where if it's not available