Iconic Brands Inc (ICNB)

[Whiplash_Investor]

Here’s what Friday Night had to say in their qtr ending June 30, 3017:

“Effective June 15, 2017, the Company completed the acquisition of 10800034 B.C. Ltd. (“0034 BC), to which the Company acquired a 100% interest in 0034 BC, a private Canadian company that has two wholly-owned subsidiaries, FN Pharmaceuticals, and FN Management. Additionally, 0034 BC held at Letter of Intent to purchase 91% of AMA and a separate Letter of Intent to purchase 91% of Infused.

In connection with the acquisition of 0034 BC, 0034 BC holds an 8% equity interest in two LLC companies, BiVi LLC, and Bellissima LLC, that respectively own two liquor brands (Note 6). The Company considered various valuation techniques in determining the fair value of the investments in BiVi LLC and Bellissima LLC. The Company considered (i) the market approach; (ii) the cost approach; and (iii) the income approach and determined that the income approach was the most appropriate method as there is insufficient information available to apply the alternative technique. The income approach converts future amounts to a single current discounted amount.

The fair value measurement using the income approach reflects current market expectations about those future amounts. On June 15, 2017, the fair value of the investments in BiVi LLC and Bellissima LLC was determined to be $nil due to one or more of the following reasons for each respective investment:

? Cash flows generated by the Company from these investments is $nil to date;

? Distribution of the brand is minimal at this time;

? Sales levels are uncertain and below expectations; and

? Business and marketing plans are stalled with minimal budgeted future plans.