$AXXA Exxe Group Previews Major Quarterly Growth Generated by Leading Assets
Press Release | 01/26/2022
-Strong Quarterly Revenue Growth Again Demonstrates Business Model Success

-Sequential EBIT Growth Ahead of Expectations: MMOTO, DHE parts, MMeditec

-Complete Exxe Group's Quarterly Results to be Published in February 2022

-Exxe's Metaverse Strategy Moving to Exciting Multi-Level Implementation Phase

NEW YORK, NY / ACCESSWIRE / January 26, 2022 / Exxe Group, Inc. (OTC PINK:AXXA), ("Exxe" or the "Company") a diversified fintech company, is pleased to announce that following a review of key assets and business lines, three firms in particular recorded a 20%+ jump in the December period as compared to the prior quarter just ninety days earlier. While revenue reached $5.1 million, EBIT generated by these firms also grew by 27% sequentially to $2.5 million.

In late November, we provided guidance of an estimated $49 million - $53 million in revenue along with 15-20% net margins for the fiscal year ending in March 2022. This estimate assumed $14 million and $15 million in revenue for the December and March quarters, respectively. Given recent sequential sales growth trends, our earlier revenue estimates could be too low, pending the complete consolidation of the financials for all of its assets including its agro-businesses, daskonzept group, and others. Complete December quarterly financial results for Exxe Group will be published in February 2022.

Leading Performers

For the period ended December 2021, automotive line M MOTO recorded approximately $2.7 million in revenue, a 28% jump from the $2.1 million generated in the September 2021 quarter. In addition, EBIT rose by 15% to $1.5 million, as compared with $1.3 million. Product demand and higher customer prices led to the rise. DHE group, an auto parts supplier also enjoyed major growth in the period. Sales jumped to $905,000, up 40% from the $645,000 recorded in the September quarter. EBIT rose by 14% to $130,000, as compared with $103,000, sequentially.

M Meditec enjoyed a modest top-line increase from $1.4 million to $1.5 million. However, EBIT jumped by 56% to roughly $917,000 versus $583,000 in the September 2021 period. The sales mix, higher pricing, and greater efficiency were drivers on the operating side of M Meditec's business.

2022: Year of Metaverse for Exxe

The Exxe Group management team is committed to building a large presence in the Metaverse and monetizing this presence via the leverage of its key assets. This integrated vertical and horizontal approach includes Exxe's expertise in online design(daskonzept group ag), digital marketing(Market Media Connect), crypto payments(1Myle, Ltd), property acquisition/management(Myle-One Beteiligung, AG), and event promotion and production, such as fashion, music, and film festivals(Seven Horn). Exxe is entering a key phase for its Metaverse Initiative which will culminate in the launch of multiple and multi-level services. To that end, we are building out our calendar of upcoming online events which will initially be available for VIP participation. Exxe is unique in that it is currently a revenue generator via key service offerings in the physical world and appears well-positioned to generate revenue from similar services in the virtual market when the Metaverse enters its early adoption phase.

Dr. Eduard Nazmiev, Exxe Group Chairman, commented on the financial performance and the Metaverse Initiative. "We are very pleased with the impressive performance of some of our high profile business lines. Strong revenue and better-than-expected EBIT growth occurred on a sequential basis which demonstrates the high rate of execution of our diversified, integrated model. As with the previous quarter, we believe Exxe Group is on the path to consistently record major growth across our firm, not just these highlighted units. Our detailed quarterly financial results will be published in February and we look forward to sharing these figures with our investors. Separately, we continue to spend considerable effort on our Metaverse Initiative. We believe this marketplace will be a critical source of revenue and profit for the Company. Exxe is one of the few firms that can leverage multi-level services to propagate our brand and our businesses. We look forward to a series of announcements and events regarding our execution in this online world and combining it with our real-world businesses in 2022 and beyond."

About Exxe Group

Exxe Group is a diversified fintech corporation focusing on acquisitions in the following sectors: real estate, sustainable technology, media, agribusiness, and financial services. Exxe Group is an acquisition-driven company. The Company strategy is to acquire controlling equity interests in undervalued companies and undertake an active role in improving their performance - accelerating their growth by providing both access to capital and management expertise.

For additional information please visit the Company's

Website: http://www.exxegroup.com/
Twitter: https://twitter.com/exxegroup

Forward-Looking Statements:

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In some cases, you can identify forward-looking statements by the following words: "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "ongoing," "plan," "potential," "predict," "project," "should," "will," "would," or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. Forward-looking statements are not a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time the statements are made and involve known and unknown risks, uncertainties and other factors that may cause our results, levels of activity, performance or achievements to be materially different from the information expressed or implied by the forward-looking statements in this press release.

CONTACT: Exxe Group IR: info@exxegroup.com

$SPIC Sipp Industries Announces New Interim Chief Executive Officer Jakob Jorgensen
Press Release | 01/26/2022
COSTA MESA, CA, Jan. 26, 2022 (GLOBE NEWSWIRE) -- Sipp Industries, Inc. (OTC Pink: SIPC), a multifaceted corporation specializing in manufacturing, and distribution of commercial and consumer products in the cannabis industry, announces the appointment of new Interim Chief Executive Officer, Jakob Jorgensen. Nick Pelletiere will remain as a board director of Sipp Industries.

Jorgensen has nine years of management experience with recreational and medicinal cannabis markets in the states of Nevada, Pennsylvania, Washington, Colorado, California and Oklahoma. He has vast knowledge in opening and managing high volume dispensaries, designing and managing C1D1 extraction/lab manufacturing facilities, isolation/micronization of cannabinoids, custom formulation building and SOP implementation for all aspects of the cannabis industry, and designing/building and managing large scale indoor-outdoor cannabis cultivation facilities.

In 2020, Jorgensen became a founding member and director of operations for Tulsa-based JJTB LLC, aka Calypso Extracts, as well as co-founded Green Thumb Beverages, which is partnered with one of the largest distributors in Oklahoma - Argent Cannabis.

The process Jorgensen implemented at both Calypso Extracts and Green Thumb Beverages has new innovative technologies allowing for the complete micronization of cannabinoids down to atom sized droplets. This creates a truly water-soluble nano emulsion that is fast acting and incredibly potent. Other projects include developing game-changing formulations for the beverage industry with profiles such as CBC, CBG, CBN, D8, CBDQ, and THCV.

Sipp Industries recently acquired a minority stake with an option to acquire additional interest in Calypso Extracts. The companies will collaborate to grow the Oklahoma cannabis markets as well as expand its footprint to Texas, California, Nevada, and the East Coast.

Sipp Industries believes the appointment of Jakob Jorgensen will bring instant value to shareholders as the Company continues to evolve and transform itself into a disruptive cannabis manufacturing company.

Calypso is scheduled to produce and launch three innovative nano emulsion products next month: White Lightning Syringes, Thunder Drops, and Fire Water Shots.

About Sipp Industries, Inc.:

Sipp Industries is a multifaceted corporation specializing in manufacturing and distribution of commercial and consumer products in the cannabis industry.

About Calypso Extracts:

Calypso Extracts is an Oklahoma-based manufacturer of hemp and cannabis products based in Tulsa, Oklahoma. Using our unique proprietary nano emulsified process, we render all of our products with higher bioavailability than any of our competitors. We do it for one reason, and that’s to provide the people of Oklahoma with the highest quality products at the best prices. Each of our products is handcrafted and formulated for your specific experience and medical needs. From our ingredients to our processes, we strive to consistently be a cut above the rest.

Website: http://www.sippindustries.com
Facebook: https://www.facebook.com/SippIndustries
Twitter: @SippIndustries

Forward Looking Statements:

This release contains forward-looking statements within the meaning of Section 27a of the Securities Act of 1933, as amended and section 21e of the Securities and Exchange Act of 1934, as amended. Those statements include the intent, belief or current expectations of the Company and its management team.

Forward-looking statements are projections of events, revenues, income, future economics, research, development, reformulation, product performance or management’s plans and objectives for future operations. Some or all of the events or results anticipated by these forward-looking statements may not occur. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Accomplishing the strategy described herein is significantly dependent upon numerous factors, many that are not in management’s control.

Contact:

Ted Jorgensen
Sipp Industries, Inc.
Investor Relations
ir@sippindustries.com
949.220.0435

$SPIC Sipp Industries Announces New Interim Chief Executive Officer Jakob Jorgensen
Press Release | 01/26/2022
COSTA MESA, CA, Jan. 26, 2022 (GLOBE NEWSWIRE) -- Sipp Industries, Inc. (OTC Pink: SIPC), a multifaceted corporation specializing in manufacturing, and distribution of commercial and consumer products in the cannabis industry, announces the appointment of new Interim Chief Executive Officer, Jakob Jorgensen. Nick Pelletiere will remain as a board director of Sipp Industries.

Jorgensen has nine years of management experience with recreational and medicinal cannabis markets in the states of Nevada, Pennsylvania, Washington, Colorado, California and Oklahoma. He has vast knowledge in opening and managing high volume dispensaries, designing and managing C1D1 extraction/lab manufacturing facilities, isolation/micronization of cannabinoids, custom formulation building and SOP implementation for all aspects of the cannabis industry, and designing/building and managing large scale indoor-outdoor cannabis cultivation facilities.

In 2020, Jorgensen became a founding member and director of operations for Tulsa-based JJTB LLC, aka Calypso Extracts, as well as co-founded Green Thumb Beverages, which is partnered with one of the largest distributors in Oklahoma - Argent Cannabis.

The process Jorgensen implemented at both Calypso Extracts and Green Thumb Beverages has new innovative technologies allowing for the complete micronization of cannabinoids down to atom sized droplets. This creates a truly water-soluble nano emulsion that is fast acting and incredibly potent. Other projects include developing game-changing formulations for the beverage industry with profiles such as CBC, CBG, CBN, D8, CBDQ, and THCV.

Sipp Industries recently acquired a minority stake with an option to acquire additional interest in Calypso Extracts. The companies will collaborate to grow the Oklahoma cannabis markets as well as expand its footprint to Texas, California, Nevada, and the East Coast.

Sipp Industries believes the appointment of Jakob Jorgensen will bring instant value to shareholders as the Company continues to evolve and transform itself into a disruptive cannabis manufacturing company.

Calypso is scheduled to produce and launch three innovative nano emulsion products next month: White Lightning Syringes, Thunder Drops, and Fire Water Shots.

About Sipp Industries, Inc.:

Sipp Industries is a multifaceted corporation specializing in manufacturing and distribution of commercial and consumer products in the cannabis industry.

About Calypso Extracts:

Calypso Extracts is an Oklahoma-based manufacturer of hemp and cannabis products based in Tulsa, Oklahoma. Using our unique proprietary nano emulsified process, we render all of our products with higher bioavailability than any of our competitors. We do it for one reason, and that’s to provide the people of Oklahoma with the highest quality products at the best prices. Each of our products is handcrafted and formulated for your specific experience and medical needs. From our ingredients to our processes, we strive to consistently be a cut above the rest.

Website: http://www.sippindustries.com
Facebook: https://www.facebook.com/SippIndustries
Twitter: @SippIndustries

Forward Looking Statements:

This release contains forward-looking statements within the meaning of Section 27a of the Securities Act of 1933, as amended and section 21e of the Securities and Exchange Act of 1934, as amended. Those statements include the intent, belief or current expectations of the Company and its management team.

Forward-looking statements are projections of events, revenues, income, future economics, research, development, reformulation, product performance or management’s plans and objectives for future operations. Some or all of the events or results anticipated by these forward-looking statements may not occur. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Accomplishing the strategy described herein is significantly dependent upon numerous factors, many that are not in management’s control.

Contact:

Ted Jorgensen
Sipp Industries, Inc.
Investor Relations
ir@sippindustries.com
949.220.0435

$GESI European Union Grant Awarded for Deep Exploration Research at GESI's Laakso Project
Press Release | 01/26/2022
Las Vegas, Nevada--(Newsfile Corp. - January 26, 2022) - The SEEMS DEEP Research Group has been awarded a c. €2 Million ERA-Min Grant to be spent at GESI's (OTC Pink: GESI) 100%-owned Laakso PGE-Nickel-Copper Project, located in North-Central Finland.

The funds are to be used to investigate a deep and very large gravity and magnetic anomaly, which could reflect the location of a dyke or layered intrusion that potentially acted as a feeder zone for PGE-Cu-Ni mineralization in the Koillismaa-Näränkävaara Intrusive Complex.

The SEEMS DEEP ERA-MIN Project is due to commence May 1, 2022.
Wolfgang Rauball, Director & CEO of GESI, said, "We are delighted with this exciting development at our Laakso Project, located in Finland. The knowledge and understanding that we will gain as a result of this research project will guide our future exploration programs at Laakso and potentially other deep exploration programs industry wide. The Company is looking forward to updating its shareholders with further details in due course."

About GESI's Finish Projects

General European Strategic Investments Inc. ("GESI") wholly owned Finnish company, Laakso Minerals Oy, holds a large portfolio of properties in Kuusamo Mining District of North-Central Finland. This District contains both Nickel-Copper-Platinum Group Elements (Ni-Cu-PGE) bearing deposits and diamondiferous kimberlites.

GESI's Korpuajärvi Reservation Permit covers an area of 209,94 square kilometers and contains a large, strong positive gravity and magnetic anomaly, which is theorised to represent the location of a dyke or layered intrusion that could have potentially acted as a feeder zone for PGE-Cu-Ni mineralization in the Koillismaa-Näränkävaara Intrusive Complex.

About ERA-MIN

ERA-MIN is an innovative pan-European network of 24 European and non-European research funding organizations owned by the EU. The Group is tasked with the objective of strengthening the mineral raw materials industry through the coordination of research and innovation programs on non-fuel raw materials (metallic, construction, and industrial minerals). Officially launched on the 15th of January 2021, the ERA-Min program has an indicative budget of €19.5 Million.

Learn more about ERA-MIN here: https://www.era-min.eu/.

About the ERA-MIN SEEMS DEEP Research Project

GESI's 100% owned Finnish subsidiary Laakso Minerals Oy, is one of the eight founding members that initiated the SEEMS DEEP Research Project (Seismic and Electromagnetic Methods for Deep mineral exploration).

The ERA-MIN financed project, within the Laakso Project, is addressing the challenges of exploring for new deep-seated ore deposits, through development of a novel workflow integrating seismic and electromagnetic methods.

The research project plans to produce high-confidence models that will refine exploration drill hole targeting, which in turn will lead to decreased cost and lower environmental impact of deep exploration programs.

Feedback from these investigations will define best practices to industry in terms of successful discovery of new and high-grade deep-seated deposits of Nickel, Copper, Cobalt and Platinum Group Elements (PGE) Metals.

The ERA-MIN SEEMS DEEP Research Project grant is for €2,182,518, which will be dispersed over a period of 3 years. The SEEMS DEEP ERA-MIN Project is due to commence May 1, 2022.

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Wolfgang Rauball

To view an enhanced version of this graphic, please visit:
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____________________

Wolfgang Rauball,
Director & CEO General European Strategic Investments Inc.
+44 785 197 9281

General European Strategic Investments Inc. ("GESI") is a US OTC listed company holding significant interests in Tier-1 and district-scale projects in Eastern Europe.

https://generaleuropeanstrategicinvestments.com/

Corporate Logo

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/111570

$GESI European Union Grant Awarded for Deep Exploration Research at GESI's Laakso Project
Press Release | 01/26/2022
Las Vegas, Nevada--(Newsfile Corp. - January 26, 2022) - The SEEMS DEEP Research Group has been awarded a c. €2 Million ERA-Min Grant to be spent at GESI's (OTC Pink: GESI) 100%-owned Laakso PGE-Nickel-Copper Project, located in North-Central Finland.

The funds are to be used to investigate a deep and very large gravity and magnetic anomaly, which could reflect the location of a dyke or layered intrusion that potentially acted as a feeder zone for PGE-Cu-Ni mineralization in the Koillismaa-Näränkävaara Intrusive Complex.

The SEEMS DEEP ERA-MIN Project is due to commence May 1, 2022.
Wolfgang Rauball, Director & CEO of GESI, said, "We are delighted with this exciting development at our Laakso Project, located in Finland. The knowledge and understanding that we will gain as a result of this research project will guide our future exploration programs at Laakso and potentially other deep exploration programs industry wide. The Company is looking forward to updating its shareholders with further details in due course."

About GESI's Finish Projects

General European Strategic Investments Inc. ("GESI") wholly owned Finnish company, Laakso Minerals Oy, holds a large portfolio of properties in Kuusamo Mining District of North-Central Finland. This District contains both Nickel-Copper-Platinum Group Elements (Ni-Cu-PGE) bearing deposits and diamondiferous kimberlites.

GESI's Korpuajärvi Reservation Permit covers an area of 209,94 square kilometers and contains a large, strong positive gravity and magnetic anomaly, which is theorised to represent the location of a dyke or layered intrusion that could have potentially acted as a feeder zone for PGE-Cu-Ni mineralization in the Koillismaa-Näränkävaara Intrusive Complex.

About ERA-MIN

ERA-MIN is an innovative pan-European network of 24 European and non-European research funding organizations owned by the EU. The Group is tasked with the objective of strengthening the mineral raw materials industry through the coordination of research and innovation programs on non-fuel raw materials (metallic, construction, and industrial minerals). Officially launched on the 15th of January 2021, the ERA-Min program has an indicative budget of €19.5 Million.

Learn more about ERA-MIN here: https://www.era-min.eu/.

About the ERA-MIN SEEMS DEEP Research Project

GESI's 100% owned Finnish subsidiary Laakso Minerals Oy, is one of the eight founding members that initiated the SEEMS DEEP Research Project (Seismic and Electromagnetic Methods for Deep mineral exploration).

The ERA-MIN financed project, within the Laakso Project, is addressing the challenges of exploring for new deep-seated ore deposits, through development of a novel workflow integrating seismic and electromagnetic methods.

The research project plans to produce high-confidence models that will refine exploration drill hole targeting, which in turn will lead to decreased cost and lower environmental impact of deep exploration programs.

Feedback from these investigations will define best practices to industry in terms of successful discovery of new and high-grade deep-seated deposits of Nickel, Copper, Cobalt and Platinum Group Elements (PGE) Metals.

The ERA-MIN SEEMS DEEP Research Project grant is for €2,182,518, which will be dispersed over a period of 3 years. The SEEMS DEEP ERA-MIN Project is due to commence May 1, 2022.

Cannot view this image? Visit: https://orders.newsfilecorp.com/files/8544/111570_ec89e99114ac1a67_001full.jpg

Wolfgang Rauball

To view an enhanced version of this graphic, please visit:
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____________________

Wolfgang Rauball,
Director & CEO General European Strategic Investments Inc.
+44 785 197 9281

General European Strategic Investments Inc. ("GESI") is a US OTC listed company holding significant interests in Tier-1 and district-scale projects in Eastern Europe.

https://generaleuropeanstrategicinvestments.com/

Corporate Logo

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/111570

$BCAL Southern California Bancorp Reports Continued Strong Loan Growth for the Fourth Quarter and Full Year of 2021
Press Release | 01/26/2022
Southern California Bancorp (“us,” “we,” “our,” or the “Company”) (OTC Pink: BCAL), the holding company for Bank of Southern California, N.A. (the “Bank”) today reported consolidated financial results for the fourth quarter and full year of 2021.

The comparability of consolidated financial information for the fourth quarter and for the full year of 2021 to the same periods of 2020 is affected by the acquisition of Bank of Santa Clarita (“BSCA”) which was completed effective October 1, 2021. Accordingly, BSCA’s operating results for the fourth quarter and for the full year 2021 are included in the Company’s consolidated financial statements for the periods beginning after October 1, 2021.

Fourth Quarter 2021 Highlights

Closed the BSCA acquisition on October 1, 2021: BSCA’s total assets and deposits were $425.6 million and $342.3 million, respectively, at the closing date
Quarterly net income of $3.4 million, compared to $3.5 million in the prior quarter
Pre-tax, pre-provision income increased to $6.0 million, up $960,000, or 19.1%, from the prior quarter
Total Non-Paycheck Protection Program (“PPP”) loans (“non-PPP”) increased to $1.45 billion, up $394.8 million, or 37.6%, from September 30, 2021; excluding loans acquired from BSCA, net organic loans were up $154.3 million, or 14.7%, from September 30, 2021
PPP loan portfolio balance of $58.7 million, down from $181.4 million at September 30, 2021
Total assets of $2.26 billion, up $475.7 million, or 26.7%, from the prior quarter
Total deposits of $1.97 billion, up $406.7 million, or 26.0%, from the prior quarter
Noninterest-bearing demand deposits were 50.0% of total deposits, up from 48.6% at September 30, 2021; cost of deposits was 0.09%, down from 0.11% in the prior quarter
Net interest margin of 3.74% in the fourth quarter compared to 3.67% in the prior quarter; average yield on non-PPP loans of 4.58% compared with 4.60% in the prior quarter
Nonperforming assets to total assets ratio remain at 0.04%, the same as the two prior quarters
Continued status as “well-capitalized,” the highest regulatory capital category
Full Year 2021 Highlights

Annual net income increased to a record $10.7 million, up $6.0 million, or 126.8% from $4.7 million in the prior year
Pre-tax, pre-provision income increased to $15.4 million, up $4.1 million, or 35.9% from $11.3 million in the prior year
Total non-PPP loans increased to $1.45 billion, up $618.7 million, or 74.8% from December 31, 2020; excluding loans acquired from BSCA, net organic loans grew $378.2 million, or 45.7%, from December 31, 2020.
PPP loan portfolio balance of $58.7 million, down from $406.5 million at December 31, 2020
Total assets of $2.26 billion, up $680.8 million, or 43.1% from December 31, 2020
Total deposits of $1.97 billion, up $778.4 million, or 65.1% from December 31, 2020
Noninterest-bearing demand deposits were 50.0% of total deposits, up from 44.7% at December 31, 2020; cost of deposits for 2021 was 0.13%, down from 0.39% in 2020
Net interest margin of 3.64% for 2021, compared with 3.66% in the prior year; average yield on non-PPP loans of 4.71% in 2021, compared with 4.90% in the prior year
Completed acquisition of BSCA, effective October 1, 2021
Completed sale of three branches to align footprint to support a commercial banking strategy, effective September 24, 2021
“I am very pleased to report organic non-PPP loan growth of $378.2 million or 46% for the full year of 2021, net of approximately $222.1 million in payoffs, and organic non-PPP loan growth of $154.3 million or 15% in the fourth quarter, net of approximately $67.1 million in payoffs,” said David Rainer, Chairman, CEO and President of Southern California Bancorp and Bank of Southern California, N.A. “We credit this tremendous growth to the successful execution of our relationship-based commercial banking model, and the Bank’s expansion into Orange, Los Angeles and Ventura counties in 2021, combined with positive growth in San Diego. The payoffs and paydowns we received in both periods were associated with the Company’s former heavily overweighted transaction-based banking model. Along with our strong loan growth, our ratio of nonperforming assets to total assets has held steady at 0.04% over the last three quarters, which resulted directly from our disciplined loan underwriting standards.

“Our strong organic loan growth in 2021 drove a significant increase in net interest income, with 2021 net interest income growing to $64.4 million, an $18.5 million, or 40% increase over the prior year, and fourth quarter net interest income growing to $20.3 million, a $4.3 million or 27% increase over the prior quarter. The increase in net interest income resulted in record annual net income of $10.7 million for 2021 and $3.4 million for the fourth quarter of 2021. Given the strong loan growth we experienced last year, we recorded a $1.2 million provision for loan loss in the fourth quarter; our pre-tax, pre-provision income was $15.4 million and $6.0 million for the full year and fourth quarter of 2021, respectively.

“Our total assets grew to $2.3 billion in 2021, an increase of $680.8 million, or 43%, and included $426 million from the BSCA acquisition at the closing date. Total deposits grew $778 million, or 65%, and included $342 million from the BSCA acquisition, bringing average deposits for all branches to $152 million per branch. The growth in total deposits was especially strong considering we sold three branches in the third quarter of 2021 with a combined $82 million in deposits. We are deploying this cash from deposit growth to fund new loans and, over time, make additions to our investment portfolio.

“We are currently in the process of integrating the Bank of Santa Clarita and working to ensure a smooth transition for both customers and employees. We anticipate completing the BSCA system conversion in the second quarter of 2022. After building the foundation and expanding the footprint of our relationship-based commercial banking model in 2021, and with the recent addition of our Private Banking and SBA lending divisions, we are looking forward to a very productive year in 2022, as we continue providing highly personalized service to all our Southern California customers.”

Fourth Quarter and Full Year Operating Results

Net Income

Net income for the fourth quarter of 2021 was $3.4 million, or $0.19 per diluted share, compared to net income of $3.5 million, or $0.25 per diluted share in the third quarter of 2021. Pre-tax, pre-provision income for the fourth quarter of 2021 was $6.0 million, an increase of $960,000, or 19.1% compared to pre-tax, pre-provision income of $5.0 million in the prior quarter. The decrease in net income in the fourth quarter of 2021 compared with the third quarter of 2021 was due to a $4.3 million increase in net interest income, offset by a $1.2 million increase in the provision for loan losses, a $1.2 million decrease in noninterest income, and a $2.2 million increase in noninterest expense.

Net income for the full year of 2021 was $10.7 million, or $0.72 per diluted share, compared to net income of $4.7 million or $0.49 per diluted share for 2020, an increase of 126.8%. Pre-tax, pre-provision income for 2021 was $15.4 million, an increase of $4.1 million, or 35.9% compared to pre-tax, pre-provision income of $11.3 million for the full year of 2020. The increase in net income in 2021 compared with 2020 was primarily due to an $18.5 million increase in net interest income, a $2.2 million increase in noninterest income, and a $3.4 million decrease in the provision for loan losses, partially offset by a $16.6 million increase in noninterest expense.

Net Interest Income and Net Interest Margin

Net interest income for the fourth quarter of 2021 was $20.3 million, an increase of $4.3 million, or 26.9% from $16.0 million in the prior quarter. The increase was due to strong organic loan growth, as well as net interest income associated with the BSCA acquisition, which became effective October 1, 2021. Total average loans for the quarter ended December 31, 2021, increased to $1.5 billion as compared to $1.2 billion in the prior quarter. Total average loans related to the BSCA acquisition was $250.1 million. PPP net loan interest income in the fourth quarter of 2021 decreased to $4.8 million, compared to $5.2 million in the prior quarter. Interest expense in the fourth quarter of 2021 was $781,000 compared to $752,000 in the prior quarter.

Net interest margin for the fourth quarter of 2021 was 3.74%, compared with 3.67% in the prior quarter. The increase was primarily related to loan interest income from payoffs and an improved funding mix in the fourth quarter of 2021. The yield on average loans in the fourth quarter of 2021, excluding PPP loans, was 4.58%, a decrease of two basis points from 4.60% in the prior quarter. Average PPP loan yields in the fourth quarter of 2021 increased to 15.79%, compared to 7.88% in the prior quarter. The increase was due to accelerated unearned fee income related to the SBA’s forgiveness of Round 2 PPP loans, which are typically amortized on a straight-line basis over five years. The yield on total earning assets in the fourth quarter of 2021 was 3.89%, compared with 3.84% in the prior quarter.

Cost of funds for the fourth quarter of 2021 was 0.15%, down from 0.18% in the prior quarter. The decrease was primarily due to an increase in average noninterest-bearing demand deposits. Average noninterest-bearing demand deposits increased $229.2 million to $1.01 billion and represented 50.4% of total average deposits for the fourth quarter of 2021, compared to $778.0 million, or 48.4% of total average deposits for the prior quarter. The total cost of deposits in the fourth quarter of 2021 was 0.09%, down from 0.11% in the prior quarter.

Net interest income in 2021 totaled $64.4 million, an increase of $18.5 million, or 40.2% from the previous year. The increase in net interest income was primarily due to strong organic loan growth, the acceleration of deferred fee income from PPP loan forgiveness, net interest income associated with the BSCA acquisition effective October 1, 2021, and a lower cost of funds. Average loans increased by $246.0 million due primarily to average organic loan growth of $219.2 million, and the BSCA acquired loan portfolio. Total average loans for the year ended December 31, 2021, increased to $1.4 billion, compared with $1.1 billion at December 31, 2020. Total average loans for 2021 related to the BSCA acquisition was $63.0 million. Interest income from PPP loans increased to $17.7 million for the year ended December 31, 2021, compared with $12.0 million in the prior year. Total interest expense for the full year of 2021 was $3.4 million, a decrease of $2.5 million from the full year of 2020. The decrease in interest expense for the full year of 2021 was primarily due to run-off of higher-cost time deposits, the payoff of FHLB advances and PPP Liquidity Facility (“PPPLF”) borrowings, and a decrease in total deposit costs. Interest-bearing deposit expense decreased $1.8 million, coupled with a $682,000 decrease in total borrowings expense.

Net interest margin for the full year of 2021 was 3.64%, compared with 3.66% in the prior year. The decrease was primarily related to the yield on non-PPP loans declining to 4.71% in 2021, compared with 4.90% in the prior year. This was partially offset by an increase in the yield on PPP loans to 5.43% in 2021, compared with 3.70% in the prior year, which increase was due to the accelerated deferred fee income from PPP loan forgiveness in 2021. The yield on total interest-earning assets declined to 3.83% in 2021, compared with 4.13% in 2020. The decrease in the other interest earning assets yield was driven by lower market interest rates.

The cost of funds for the full year of 2021 decreased to 0.20% from 0.50% for the full year of 2020. The decrease was primarily due to lower market interest rates, run-off of higher-cost time deposits, payoff of FHLB borrowings, and an increase in average noninterest-bearing demand deposits. Average noninterest-bearing demand deposits increased $362.4 million to $783.8 million and represented 48.6% of total average deposits for the full year of 2021, compared to $421.4 million, or 42.3% of total average deposits for the prior year. The total cost of deposits for the full year of 2021 was 0.13%, down from 0.39% in the prior year.

Average total borrowings decreased $146.6 million to $42.7 million for the full year of 2021. The average cost of borrowings was 3.07%, up from 1.05% in the prior year.

Provision for Loan Losses

The Company recorded a loan loss provision of $1.2 million in the fourth quarter of 2021 and for the full year of 2021, primarily related to strong organic loan growth. In 2020, the Company recorded a loan loss provision of $4.6 million. The Company’s management continues to monitor macroeconomic variables related to COVID-19 and reasonably believes it is appropriately provisioned for the current environment. Management will continue to monitor and manage the loan portfolio to minimize potential future losses.

Noninterest Income

Total noninterest income in the fourth quarter of 2021 was $526,000, a decrease of $1.2 million compared with noninterest income of $1.7 million in the third quarter of 2021. The decrease was due primarily to the recognition of a gain on sale of $726,000 for the sale of three nonstrategic branches in the third quarter of 2021, for which there was no corresponding transaction in the fourth quarter. In the fourth quarter of 2021, income from service charges, fees and other income increased $94,000, and income from bank-owned life insurance increased $54,000 over the prior quarter.

Total noninterest income for the full year of 2021 was $4.5 million, an increase of $2.2 million compared with $2.3 million for the full year of 2020. The increase in total noninterest income in 2021 was primarily due to a $577,000 increase in service charges, fees and other income; a $425,000 increase in income from bank owned life insurance; a $920,000 gain on sale of an acquired loan; and a $726,000 gain on sale from the sale of three nonstrategic branches.

Noninterest Expense

Noninterest expense for the fourth quarter of 2021 increased $2.2 million to $14.9 million, compared with $12.7 million in the prior quarter. The increase was largely due to an increase of $1.4 million in salaries and benefits, and a $356,000 increase in strategic and other non-operating expenses primarily related to termination charges for core conversion.

Noninterest expense for the full year of 2021 was $53.5 million, an increase of $16.6 million compared with $36.9 million for the full year of 2020. The increase was largely due to a $13.2 million increase in salaries and employee benefits related to the Company’s strategic expansion into Orange, Los Angeles and Ventura counties, which also included approximately $3.1 million in compensation expense related to the settlement of a preexisting employment contract and approximately $500,000 additional salary and benefit expense related to the additional BSCA employees. Occupancy and equipment expense increased by $1.1 million in 2021, primarily related to the Company’s strategic expansion. Other expense increased $3.9 million in 2021, primarily related to increased expenses for data processing, legal, and the provision for unfunded loan commitments.

Income Tax

In the fourth quarter of 2021, the Company’s income tax expense was $1.4 million, compared with $1.5 million in the third quarter of 2021. The effective rate was 29.6% for the fourth quarter of 2021 and 30.4% for the third quarter of 2021. For the full year of 2021 the Company’s income tax expense was $3.5 million, compared with $2.0 million for the full year of 2020. The effective rate was 24.5% for 2021 and 30.2% for 2020. The decrease for the full year of 2021 was primarily attributable to the impact of the vesting and exercise of equity awards combined with changes in the Company's stock price over time.

Balance Sheet

Assets

Total assets at December 31, 2021, were $2.26 billion, an increase of $680.8 million or 43.1% from December 31, 2020, and an increase of $475.7 million, or 26.7% from September 30, 2021. The increase in total assets from the prior year was primarily related to a $778.4 million increase in deposits. The increase in total assets from the prior quarter included the acquisition of BSCA and its $425.6 million in assets, including $342.3 million in deposits at the closing date.

Loans

Total loans were $1.50 billion at December 31, 2021, including $244.5 million in loans acquired in the BSCA acquisition, compared to $1.23 billion at September 30, 2021, and December 31, 2020. In 2021, the Company’s non-PPP loan portfolio had net organic growth of $378.2 million, or 45.7%, after payoffs of approximately $221.1 million. In the fourth quarter of 2021, organic non-PPP loan growth was $154.3 million or 14.7%, after payoffs of approximately $67.1 million, with an outstanding organic non-PPP loan balance of $1.45 billion at December 31, 2021.

During the fourth quarter of 2021, total commercial and industrial loans, excluding PPP loans, increased by $58.0 million, of which $13.5 million was related to the BSCA acquisition. PPP loans decreased by $122.7 million during the fourth quarter, with an outstanding balance of $58.7 million at December 31, 2021. Loans secured by real estate increased by $296.6 million, of which $223.6 million was related to the BSCA acquisition. Construction and land development loans increased by $43.2 million, of which $3.0 million was related to the BSCA acquisition.

Deposits

Total deposits at December 31, 2021, were $1.97 billion, an increase of $406.7 million from the end of the prior quarter, and $778.4 million from December 31, 2020. The increase reflected organic growth, as well as $319 million in deposits related to the BSCA acquisition in the fourth quarter of 2021. Noninterest-bearing demand deposits at December 31, 2021 were $986.9 million, or 50.0% of total deposits, compared to $760.5 million, or 48.6% of total deposits, at September 30, 2021 and $533.9 million, or 44.7% of total deposits, at December 31, 2020.

Asset Quality

Total non-performing assets totaled $809,000 or 0.04% of total assets at December 31, 2021, compared with $666,000 or 0.04% at September 30, 2021, and $896,000 or 0.06% at December 31, 2020. The increase in nonperforming loans in the fourth quarter of 2021 was primarily due to two loans associated with the acquisition of BSCA on October 1, 2021, offset by the payoff of an impaired loan during the fourth quarter.

During the fourth quarter of 2021, the Company recorded net recoveries of $92,000, compared to net recoveries of $75,000 in the third quarter of 2021. For the full year of 2021, the Company recorded net recoveries of $202,000 compared to net recoveries of $340,000 for the prior year.

Loan delinquencies (30-89 days past due) totaled $1.0 million at December 31, 2021, compared to $2.3 million at December 31, 2020. No loans were 30-89 days past due at September 30, 2021.

The allowance for loan losses ("ALLL") was $11.7 million at December 31, 2021, compared to $10.4 million at September 30, 2021 and $10.3 million at December 31, 2020. The ALLL to total loans was 0.77%, 0.84% and 0.83% at December 31, 2021, September 30, 2021 and December 31, 2020. The ALLL to total loans, excluding PPP loans was 0.81%, 0.99% and 1.24% at December 31, 2021, September 30, 2021 and December 31, 2020. The net carrying value of acquired loans totaled $383.2 million and included a remaining net discount of $2.7 million at December 31, 2021. The discount is available to absorb losses on the acquired loans and represented 0.70% of the net carrying value of acquired loans and 0.18% of total gross loans held for investment.

Liquidity and Capital

With 65.1% growth in total deposits for 2021, and a strong cash balance from the quick pace of forgiveness of PPP loans, the Bank has ample liquidity resources to meet its customers’ needs.

The significant production in PPP loans in 2020 and 2021 was funded through a combination of increased DDA accounts, generally associated directly with the PPP Loans, borrowings under PPPLF, and other sources. At December 31, 2021, the Bank’s PPP loan portfolio was entirely funded by Bank deposits.

PPP loans are considered zero risk-weighted assets and, as such, have helped maintain the Bank’s preliminary leverage capital ratio and total risk-based capital ratio at 9.95% and 15.03%, respectively, at December 31, 2021.

ABOUT BANK OF SOUTHERN CALIFORNIA AND SOUTHERN CALIFORNIA BANCORP

Southern California Bancorp (OTC Pink: BCAL) is a registered bank holding company headquartered in San Diego, California. Bank of Southern California, N.A., a national banking association chartered under the laws of the United States and regulated by the Office of Comptroller of the Currency, is a wholly owned subsidiary of Southern California Bancorp. Established in 2001 and headquartered in San Diego, California, Bank of Southern California, N.A. offers a range of financial products and services to individuals, professionals, and small- to medium-sized businesses through its 13 branch offices serving San Diego, Orange, Los Angeles, and Ventura counties, as well as the Inland Empire. The Bank's solution-driven, relationship-based approach to banking provides accessibility to decision makers and enhances value through strong partnerships with its clients. Additional information is available at www.banksocal.com.

Southern California Bancorp’s common stock is traded on the OTC Markets Group Inc. Pink Open Market under the symbol “BCAL.” For more information, please visit banksocal.com or call (844) BNK-SOCAL.

FORWARD-LOOKING STATEMENTS

In addition to historical information, certain matters set forth herein constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including forward-looking statements relating to management’s beliefs, projections and assumptions concerning future results and events. Forward-looking statements include descriptions of management’s plans or objectives for future operations, products or services, and forecasts of Southern California Bancorp’s revenues, earnings, or other measures of economic performance. As well, forward-looking statements may relate to future outlook and anticipated events, such as Southern California Bancorp's plans and protocols with regard to managing potential impacts related to the ongoing COVID-19 pandemic. These forward-looking statements involve risks and uncertainties, based on the beliefs and assumptions of management and on the information available to management at the time that such forward-looking statements were made and can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words or phrases such as “aim,” “can,” "may," "could," "predict," "should," "will," "would," "believe," "anticipate," "estimate," "expect," “hope,” "intend," "plan," “potential," “project,” "will likely result," "continue," "seek," “shall,” “possible,” "projection," “optimistic,” and "outlook," and variations of these words and similar expressions or the negative version of those words or phrases.

Forward-looking statements involve substantial risks and uncertainties, many of which are difficult to predict and are generally beyond our control. Many factors could cause actual results to differ materially from those contemplated by these forward-looking statements. Except to the extent required by applicable law or regulation, Southern California Bancorp does not undertake, and specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements except as required by law.

Southern California Bancorp and Subsidiary

Quarterly and YTD Financial Highlights

(Unaudited)

At or for the Three Months Ended



At or for the

Twelve Months Ended

($ in thousands except share and per share data)

Dec 31, 2021

Sept 30, 2021

Dec 31, 2020



2021

2020

EARNINGS







Net interest income

$

20,333



16,027



13,144





64,411



45,945



Provision for loan losses

$

1,200



0



0





1,200



4,552



Noninterest income

$

526



1,686



436





4,514



2,297



Noninterest expense

$

14,866



12,679



16,433





53,539



36,921



Income tax expense (benefit)

$

1,418



1,532



(856

)



3,477



2,046



Net income (loss)

$

3,375



3,502



(1,997

)



10,709



4,722



Pre-tax pre-provision income

$

5,994



5,034



(2,853

)



15,387



11,320







Diluted earnings (loss) per share

$

0.19



0.25



(0.21

)



0.72



0.49



Ending shares outstanding

17,707,737



13,509,081



13,267,380





17,707,737



13,267,380







PERFORMANCE RATIOS





Return on average assets

0.58

%

0.76

%

-0.50

%



0.57

%

0.36

%

Return on average common equity

5.47

%

7.92

%

-6.06

%



5.61

%

3.75

%

Yield on loans

5.49

%

5.29

%

4.36

%



4.88

%

4.55

%

Yield on earning assets

3.89

%

3.84

%

3.83

%



3.83

%

4.13

%

Cost of deposits

0.09

%

0.11

%

0.25

%



0.13

%

0.39

%

Cost of funding

0.15

%

0.18

%

0.38

%



0.20

%

0.50

%

Net interest margin

3.74

%

3.67

%

3.47

%



3.64

%

3.66

%

Efficiency ratio

71.3

%

71.6

%

121.0

%



77.7

%

76.5

%





CAPITAL





Tangible equity to tangible assets

9.35

%

8.87

%

9.46

%



9.35

%

9.46

%

Book value (BV) per common share

$

13.92



13.15



12.73





13.92



12.73



Tangible BV per common share

$

11.73



11.57



11.10





11.73



11.10







ASSET QUALITY





Net loan (recoveries) charge-offs

$

(92

)

(75

)

41





(202

)

(340

)

Allowance for loan losses (ALLL)

$

11,657



10,365



10,255





11,657



10,255



ALLL to total loans

0.77

%

0.84

%

0.83

%



0.77

%

0.83

%

ALLL to total loans (excl PPP)

0.81

%

0.99

%

1.24

%



0.81

%

1.24

%

Nonperforming loans

$

809



666



896





809



896



Other real estate owned

$

-



-



-





-



-



Nonperforming assets to total assets

0.04

%

0.04

%

0.06

%



0.04

%

0.06

%





END OF PERIOD BALANCES





Total loans

$

1,504,748



1,232,642



1,233,881





1,504,748



1,233,881



Total assets

$

2,259,865



1,784,186



1,579,048





2,259,865



1,579,048



Deposits

$

1,973,097



1,566,360



1,194,739





1,973,097



1,194,739



Loans to deposits

76.3

%

78.7

%

103.3

%



76.3

%

103.3

%

Shareholders' equity

$

246,528



177,636



168,885





246,528



168,885



Southern California Bancorp and Subsidiary





Balance Sheets







(Unaudited)









Dec 31, 2021

Sept 30, 2021

Dec 31, 2020

ASSETS







Cash and due from banks

$

81,795,089



$

12,166,356



$

11,950,639



Fed funds & int-bearing balances



498,211,021





435,475,700





238,866,116



Total cash and cash equivalents



580,006,110





447,642,056





250,816,755











Debt securities (AFS)



55,566,560





24,905,267





24,702,467



FRB, FHLB and other equity stock



12,842,516





11,270,350





8,872,900









Construction & land development



77,629,461





34,438,305





31,375,236



1-4 Family Residential



133,993,768





108,632,444





103,367,391



Multifamily



175,751,365





142,220,706





111,815,776



Other commercial real estate



766,823,986





529,062,592





404,856,966



Commercial & industrial



349,021,603





413,758,869





577,608,374



Other consumer



1,528,236





4,528,805





4,857,563



Total loans



1,504,748,419





1,232,641,721





1,233,881,306



Allowance for loan losses



(11,657,121

)



(10,364,693

)



(10,255,005

)

Total loans and leases, net



1,493,091,298





1,222,277,028





1,223,626,301











Premises, equipment, and ROU, net



27,707,334





15,237,117





15,051,487



Other real estate owned



-





-





-



Goodwill and core deposit intangible



38,806,311





21,334,833





21,599,001



Bank owned life insurance



37,848,951





27,973,099





17,990,765



Accrued interest and other assets



13,995,682





13,546,434





16,388,640











Total Assets

$

2,259,864,762



$

1,784,186,184



$

1,579,048,316











LIABILITIES AND SHAREHOLDERS' EQUITY







Deposits:







Noninterest-bearing demand

$

986,934,581



$

760,492,115



$

533,923,009



Interest bearing checking



193,524,630





136,851,252





83,566,875



Money market and savings



690,348,061





593,255,255





458,529,872



Time deposits



102,290,095





75,761,818





118,719,534



Total deposits



1,973,097,367





1,566,360,440





1,194,739,290











Other borrowings



20,408,791





20,377,355





199,648,070



Accrued interest and other liabilities



19,831,038





19,812,618





15,775,916



Total liabilities



2,013,337,196





1,606,550,413





1,410,163,276











Shareholders' Equity:







Common stock and APIC



214,162,682





148,384,701





146,895,943



Retained earnings



32,403,019





29,027,837





21,693,933



Accum. other comprehensive (loss) income



(38,135

)



223,233





295,164



Total shareholders' equity



246,527,566





177,635,771





168,885,040











Total Liabilities and Shareholders' Equity

$

2,259,864,762



$

1,784,186,184



$

1,579,048,316



Southern California Bancorp and Subsidiary

Income Statements - Quarterly

(Unaudited)

Three Months Ended

Dec 31, 2021

Sept 30, 2021

Dec 31, 2020

INTEREST INCOME

Loans, including fees

$20,568,279



$16,373,790

$14,255,623



Debt securities and equity stock



329,327





245,527



222,737



Fed funds & int-bearing balances



216,522





159,972



41,094



Total interest income



21,114,128





16,779,289



14,519,454




INTEREST EXPENSE

Deposits



452,995





451,181



726,717



Other borrowings



327,791





300,705



648,616



Total interest expense



780,786





751,886



1,375,333




Net interest income



20,333,342





16,027,403



13,144,121




Provision for loan losses



1,200,000





-



-




Net interest income after provision



19,133,342





16,027,403



13,144,121




NONINTEREST INCOME

Service charges, fees and other income



597,597





503,839



421,803



Income on bank owned life insurance



219,255





164,979



107,310



Gains on loan sales



-





-



-



OREO, investment, other (losses) gains



(290,912

)



1,017,273



(92,856

)

Total noninterest income



525,940





1,686,091



436,257




NONINTEREST EXPENSE

Salaries and benefits



9,157,954





7,751,397



11,120,598



Occupancy and equipment



1,348,191





1,323,747



1,048,852



Strategic and other non-operating expense



970,800





614,695



2,369,649



Other expense



3,388,676





2,989,590



1,894,352



Total noninterest expense



14,865,621





12,679,429



16,433,451





Income (loss) before income tax expense (benefit)



4,793,661





5,034,065



(2,853,073

)


Income tax expense (benefit)



1,418,478





1,532,000



(855,623

)


Net Income (Loss)

$3,375,183



$3,502,065

($1,997,450

)



Diluted earnings (loss) per share

$0.19



$0.25

($0.21

)

Average shares outstanding



16,931,041





13,509,081



9,661,860



Pre-tax, pre-provision income (loss)

$5,993,660



$5,034,065



(2,853,073

)

Southern California Bancorp and Subsidiary

Income Statements - Year-to-Date

(Unaudited)

Twelve Months Ended

Dec 31, 2021

Dec 31, 2020

INTEREST INCOME

Loans, including fees

$

66,213,473

$

50,476,782

Investment securities



1,089,957



859,462

Fed funds & int-bearing balances



469,752



478,724

Total interest income



67,773,182



51,814,968


INTEREST EXPENSE

Deposits



2,053,686



3,880,133

Other borrowings



1,308,369



1,989,988

Total interest expense



3,362,055



5,870,121


Net interest income



64,411,127



45,944,847


Provision for loan losses



1,200,000



4,552,000


Net interest income after provision for loan losses



63,211,127



41,392,847


NONINTEREST INCOME

Service charges, fees and other income



2,031,506



1,454,912

Income on bank owned life insurance



785,606



360,780

Gains on loan sales



919,722



-

OREO, investment, other gains



777,201



481,016

Total noninterest income



4,514,035



2,296,708


NONINTEREST EXPENSE

Salaries and benefits



34,883,298



21,690,611

Occupancy and equipment



4,883,908



3,784,946

Strategic and other non-operating expense



3,088,514



4,618,053

Other expense



10,682,877



6,827,703

Total noninterest expense



53,538,597



36,921,313


Income before income tax expense



14,186,565



6,768,242


Income tax expense



3,477,478



2,045,754


Net Income

$

10,709,087

$

4,722,488


Diluted earnings per share

$

0.72

$

0.49

Average shares outstanding



14,250,653



9,480,736

Pre-tax, pre-provision income

$

15,386,564

$

11,320,242

Southern California Bancorp

and Subsidiary

Average Balance Sheets and Yield Analysis

(Unaudited)



Three Months Ended

December 31, 2021

September 30, 2021

Average

Income/

Yield/

Average

Income/

Yield/

Balance

Expense

Cost

Balance

Expense

Cost

Assets

Interest-earning assets:

Total loans-non-PPP

$

1,366,239,712

$

15,771,875



4.58

%

$

967,043,748

$

11,210,529



4.60

%

Total loans-PPP



120,480,607



4,796,404



15.79

%



259,808,941



5,163,261



7.88

%

Total loans



1,486,720,319



20,568,279



5.49

%



1,226,852,689



16,373,790



5.29

%

Debt securities



43,192,089



137,149



1.26

%



23,610,793



84,908



1.43

%

Deposits in other financial institutions



594,957,465



210,588



0.14

%



460,391,353



155,497



0.13

%

Fed fund sold/resale agreements



17,572,522



5,933



0.13

%



12,889,916



4,475



0.14

%

Restricted stock investments and other bank stock



12,927,516



192,179



5.90

%



11,270,350



160,618



5.65

%

Total interest-earning assets



2,155,369,910



21,114,128



3.89

%



1,735,015,102



16,779,288



3.84

%





Total non-interest-earning assets



138,007,235





88,530,081







Total assets

$

2,293,377,145



$

1,823,545,183







Liabilities and Shareholders' Equity





Interest-bearing liabilities:





Interest-bearing NOW accounts

$

186,207,318



99,900



0.21

%

$

131,864,224



32,392



0.10

%

Money market and savings accounts



694,506,117



219,684



0.13

%



609,193,692



263,782



0.17

%

Time deposits



109,745,218



133,411



0.48

%



89,376,853



155,008



0.69

%

Total interest-bearing deposits



990,458,653



452,995



0.18

%



830,434,768



451,181



0.22

%

Borrowings:





FHLB advances



6,652,174



24,879



1.48

%



-



-



0.00

%

PPPLF



-



-



0.00

%



-



-



0.00

%

Subordinated debts



17,663,737



271,261



6.09

%



17,640,063



271,261



6.10

%

TruPS



2,729,792



31,651



4.60

%



2,722,144



29,445



4.29

%

Total borrowings



27,045,702



327,791



4.81

%



20,362,206



300,706



5.86

%

Total Interest-bearing liabilities



1,017,504,356



780,786



0.30

%



850,796,974



751,886



0.35

%





Non-interest-bearing liabilities:

Avg NIB/Avg TTL Deposits

Avg NIB/Avg TTL Deposits

Demand deposits



1,007,192,235



777,972,703

Other liabilities



23,886,118

50.4%



19,480,875

48.4%

Shareholders' equity



244,794,436





175,294,630







Total Liabilities and Shareholders' Equity

$

2,293,377,145



$

1,823,545,183







Net interest spread



3.58

%



3.49

%

Net interest income and margin

$

20,333,342



3.74

%

$

16,027,402



3.67

%

Cost of deposits

0.09

%

0.11

%

Cost of funds

0.15

%

0.18

%

Southern California Bancorp and Subsidiary

Average Balance Sheets and Yield Analysis

(Unaudited)



Twelve Months Ended

December 31, 2021

December 31, 2020

Average

Income/

Yield/

Average

Income/

Yield/

Balance

Expense

Cost

Balance

Expense

Cost

Assets

Interest-earning assets:

Total loans-non-PPP

$

1,029,701,618

$

48,523,110



4.71

%

$

784,700,111

$

38,464,077



4.90

%

Total loans-PPP



326,063,957



17,690,363



5.43

%



325,036,933



12,012,706



3.70

%

Total loans



1,355,765,575



66,213,473



4.88

%



1,109,737,044



50,476,782



4.55

%

Debt securities



28,751,129



454,641



1.58

%



21,477,174



421,958



1.96

%

Deposits in other financial institutions



358,905,466



452,427



0.13

%



88,388,796



334,841



0.38

%

Fed fund sold/resale agreements



15,559,390



17,325



0.11

%



26,816,485



143,883



0.54

%

Restricted stock investments and other bank stock



11,185,576



635,316



5.68

%



8,596,857



437,504



5.09

%

Total interest-earning assets



1,770,167,136



67,773,182



3.83

%



1,255,016,356



51,814,969



4.13

%





Total non-interest-earning assets



97,435,768





68,602,952







Total assets

$

1,867,602,904



$

1,323,619,307







Liabilities and Shareholders' Equity





Interest-bearing liabilities:





Interest-bearing NOW accounts

$

135,765,096



206,655



0.15

%

$

77,699,989



109,393



0.14

%

Money market and savings accounts



589,383,979



1,112,670



0.19

%



351,700,863



1,537,042



0.44

%

Time deposits



105,101,253



734,361



0.70

%



144,697,500



2,233,699



1.54

%

Total interest-bearing deposits



830,250,328



2,053,686



0.25

%



574,098,352



3,880,133



0.68

%

Borrowings:





FHLB advances



5,169,863



24,879



0.48

%



42,825,126



794,350



1.85

%

PPPLF



17,149,983



59,834



0.35

%



133,530,317



468,646



0.35

%

Subordinated debts



17,628,403



1,085,042



6.16

%



11,060,730



666,972



6.03

%

TruPS



2,718,230



138,613



5.10

%



1,843,817



60,020



3.26

%

Total borrowings



42,666,479



1,308,369



3.07

%



189,259,990



1,989,988



1.05

%

Total Interest-bearing liabilities



872,916,807



3,362,055



0.39

%



763,358,342



5,870,122



0.77

%



Non-interest-bearing liabilities:

Avg NIB/Avg TTL Deposits

Avg NIB/Avg TTL Deposits

Demand deposits



783,753,552



421,387,811

Other liabilities



19,787,736

48.6%



11,030,772

42.3%

Shareholders' equity



191,144,809



127,842,383





Total liabilities and shareholders' equity

$

1,867,602,904

$

1,323,619,307





Net interest spread

3.44

%



3.36

%

Net interest income and margin

$

64,411,127



3.64

%

$

45,944,847



3.66

%

Cost of deposits

0.13

%

0.39

%

Cost of funds

0.20

%

0.50

%

$SGMD Sugarmade Signs Binding LOI to Enter Rare Cannabinoid Market via License Agreement for Patented THC-V Rich Chemovars
Press Release | 01/24/2022
Sugarmade Signs Binding LOI to Enter Rare Cannabinoid Market via License Agreement for Patented THC-V Rich Chemovars




NEW YORK, NY, Jan. 24, 2022 (GLOBE NEWSWIRE) via InvestorWire (OTC Pink: SGMD) ("Sugarmade", "SGMD" or the "Company") an emerging leader in the licensed cannabis sector, is pleased to announce the signing of a binding Letter of Intent (the LOI) with GenCann, Inc. (GenCann), the exclusive licensor for a set of cannabis chemovars particularly rich in the cannabinoid Tetrahydrocannabivarin (THC-V) (the GenCann Chemovars).

Under the terms outlined in the LOI, Sugarmade and its licensed cannabis cultivator partners will be granted a 5-year license to cultivate what the Company believes to be some of the highest THC-V-containing strains in existence. Sugarmade and GenCann plan to begin clone production immediately upon the signing of the final agreement with a cultivation program beginning in Lake County, California, this spring.

While THC-V is sometimes referred to as a rare cannabinoid, we believe the term no longer applies relative to our planned cultivation effort using GenCanns Chemovars, commented Jimmy Chan, CEO of Sugarmade. The test results from certified California laboratories of these chemovars are certainly impressive, with THC-V yields in flower of up to 8%. We think the GenCann Chemovars are a game-changer in the cannabinoid space. Sugarmade plans to make a substantial commitment to bring products based on THC-V to the California market and perhaps to other states in the future. Stay tuned for our upcoming product plan announcements.

The GenCann Chemovars are covered by multiple issued U.S. patents, including patent numbers PP33212 for the plant called V1, patent number PP33211 for the plant called V2 and patent number PP33210 for the plant called V3. All three of these chemovars contain abundant THC-V, with the V1 variety being especially distinguished by producing more THC-V than THC by percent weight. The V3 strain, also known as Skelator, will be the predominant strain utilized for spring cultivation due to its early finishing characteristics and its higher THC-V content, although the V1 and V2 varieties are also planned for Sugarmades cultivation effort.

Sugarmade plans to utilize the THC-V rich biomass in a series of products it plans to introduce to the licensed California marketplace. The first of these will be THC-V-rich smokeable flower and THC-V-rich gummy candies. In the future, Sugarmade plans to also produce distillate and isolate products based on its cultivated biomass.

Chan continued, The THC-V smoking and edibles consumption experience is very different compared to traditional cannabis. Where legacy cannabis strains often produce a sedating effect, consumption of THC-V rich products produces a pleasant and uplifting effect. Its a remarkable experience and we believe consumers will gravitate to it.

In addition to seeking to supply the mainstream cannabis marketplace with THC-V products, Sugarmade also plans to seek pharmaceutical and nutraceutical partners for supply agreements as many of these companies are already stating their intentions to conduct trials or to produce products containing rare cannabinoids.

The cultivated THC-V cannabinoids from the GenCann Chemovars differ significantly from the current generation of THC-V products presently available in the marketplace, most of which are converted via a chemical process from hemp-based isolates. This generation of products is also very expensive, often priced in the $50 per gram range, and is typically not tested by certified laboratories. Additionally, the cannabinoids produced by the GenCann Chemovars differ from planned offerings by other companies that utilize genetically modified organisms, such as bacteria or yeast, to create cannabinoids outside of the cannabis plant varieties. All of the cannabinoids to be generated via the GenCann Chemovars and Sugarmades cultivation will be produced from real cannabis plants that have been specifically bred for this purpose and grown in an outdoor setting.

Sugarmade and GenCann believe outdoor cultivation of THC-V-rich strains will yield higher desirable cannabinoid content due to optimal ultraviolet light levels inherent in natural sunlight.



About THC-V
THC is found in the form of Tetrahydrocannabinolic acid (THCA) that is converted to THC during drying or under high heat. Similarly, THC-V in live plants is in the form of tetrahydrocannabivarin carboxylic acid (THCVA). THC and THC-V both bind to the cannabinoid receptors 1 (CB1) and 2 (CB2) although the exact effects of binding are not fully understood. Binding of CB1 by its endogenous ligands, anandamide or 2-arachidonoylglycerol, stimulates food intake (Silvestri, C., Di Marzo, V. 17 Cell Metabolism 475-490 (2013)). THC acts as an agonist of CB1 and stimulates appetite. THC-V has been shown to be a mild antagonist of CB1 and lessens sensations of hunger (Pertwee, R G. 153 British Journal of Pharmacology 199-215 (2008)). The ability of THC-V to act as an antagonist of CB1 has led to investigation of using THC-V to treat metabolic syndrome and obesity (Riedel, G., et al., 156 British Journal of Pharmacology 1154-1166 (2009)). Selection of a variety producing increased amounts of THC-V allows optimized isolation of THC-V which may be used in treatment of metabolic syndrome.



About Sugarmade
Sugarmade, Inc. (OTC Pink: SGMD) is a product and branding marketing company investing in operations and technologies with disruptive potential. Our Brand portfolio includes CarryOutsupplies.com, SugarRush, NUG Avenue, Lemon Glow and Budcars. Sugarmade is also the first licensee of the unique and patented GenCann, Inc. THC-V rich chemovars.

For more information, please visit www.Sugarmade.com.

FORWARD-LOOKING STATEMENTS: This release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements also may be included in other publicly available documents issued by the Company and in oral statements made by our officers and representatives from time to time. These forward-looking statements are intended to provide management's current expectations or plans for our future operating and financial performance, based on assumptions currently believed to be valid. They can be identified by the use of words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "would," "could," "will" and other words of similar meaning in connection with a discussion of future operating or financial performance. Examples of forward-looking statements include, among others, statements relating to future sales, earnings, cash flows, results of operations, uses of cash and other measures of financial performance.

Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties and other factors that may cause the Company's actual results and financial condition to differ materially from those expressed or implied in the forward-looking statements. Such risks, uncertainties and other factors include, among others, such as but not limited to; economic conditions, changes in the laws or regulations, demand for products and services of the company, the effects of competition, uncontrollable forces of nature and other factors that could cause actual results to differ materially from those projected or represented in the forward-looking statements.

Any forward-looking information provided in this release should be considered with these factors in mind. We assume no obligation to update any forward-looking statements contained in this report.



Corporate Contact:
Jimmy Chan
+1-(888)-982-1628
info@Sugarmade.com


Investor Relations Contact:
EDM Media, LLC
https://edm.media


Corporate Communications:

InvestorBrandNetwork (IBN)
Los Angeles, California
www.InvestorBrandNetwork.com
310.299.1717 Office
Editor@InvestorBrandNetwork.com

$SGMD Sugarmade Signs Binding LOI to Enter Rare Cannabinoid Market via License Agreement for Patented THC-V Rich Chemovars
Press Release | 01/24/2022
Sugarmade Signs Binding LOI to Enter Rare Cannabinoid Market via License Agreement for Patented THC-V Rich Chemovars




NEW YORK, NY, Jan. 24, 2022 (GLOBE NEWSWIRE) via InvestorWire (OTC Pink: SGMD) ("Sugarmade", "SGMD" or the "Company") an emerging leader in the licensed cannabis sector, is pleased to announce the signing of a binding Letter of Intent (the LOI) with GenCann, Inc. (GenCann), the exclusive licensor for a set of cannabis chemovars particularly rich in the cannabinoid Tetrahydrocannabivarin (THC-V) (the GenCann Chemovars).

Under the terms outlined in the LOI, Sugarmade and its licensed cannabis cultivator partners will be granted a 5-year license to cultivate what the Company believes to be some of the highest THC-V-containing strains in existence. Sugarmade and GenCann plan to begin clone production immediately upon the signing of the final agreement with a cultivation program beginning in Lake County, California, this spring.

While THC-V is sometimes referred to as a rare cannabinoid, we believe the term no longer applies relative to our planned cultivation effort using GenCanns Chemovars, commented Jimmy Chan, CEO of Sugarmade. The test results from certified California laboratories of these chemovars are certainly impressive, with THC-V yields in flower of up to 8%. We think the GenCann Chemovars are a game-changer in the cannabinoid space. Sugarmade plans to make a substantial commitment to bring products based on THC-V to the California market and perhaps to other states in the future. Stay tuned for our upcoming product plan announcements.

The GenCann Chemovars are covered by multiple issued U.S. patents, including patent numbers PP33212 for the plant called V1, patent number PP33211 for the plant called V2 and patent number PP33210 for the plant called V3. All three of these chemovars contain abundant THC-V, with the V1 variety being especially distinguished by producing more THC-V than THC by percent weight. The V3 strain, also known as Skelator, will be the predominant strain utilized for spring cultivation due to its early finishing characteristics and its higher THC-V content, although the V1 and V2 varieties are also planned for Sugarmades cultivation effort.

Sugarmade plans to utilize the THC-V rich biomass in a series of products it plans to introduce to the licensed California marketplace. The first of these will be THC-V-rich smokeable flower and THC-V-rich gummy candies. In the future, Sugarmade plans to also produce distillate and isolate products based on its cultivated biomass.

Chan continued, The THC-V smoking and edibles consumption experience is very different compared to traditional cannabis. Where legacy cannabis strains often produce a sedating effect, consumption of THC-V rich products produces a pleasant and uplifting effect. Its a remarkable experience and we believe consumers will gravitate to it.

In addition to seeking to supply the mainstream cannabis marketplace with THC-V products, Sugarmade also plans to seek pharmaceutical and nutraceutical partners for supply agreements as many of these companies are already stating their intentions to conduct trials or to produce products containing rare cannabinoids.

The cultivated THC-V cannabinoids from the GenCann Chemovars differ significantly from the current generation of THC-V products presently available in the marketplace, most of which are converted via a chemical process from hemp-based isolates. This generation of products is also very expensive, often priced in the $50 per gram range, and is typically not tested by certified laboratories. Additionally, the cannabinoids produced by the GenCann Chemovars differ from planned offerings by other companies that utilize genetically modified organisms, such as bacteria or yeast, to create cannabinoids outside of the cannabis plant varieties. All of the cannabinoids to be generated via the GenCann Chemovars and Sugarmades cultivation will be produced from real cannabis plants that have been specifically bred for this purpose and grown in an outdoor setting.

Sugarmade and GenCann believe outdoor cultivation of THC-V-rich strains will yield higher desirable cannabinoid content due to optimal ultraviolet light levels inherent in natural sunlight.



About THC-V
THC is found in the form of Tetrahydrocannabinolic acid (THCA) that is converted to THC during drying or under high heat. Similarly, THC-V in live plants is in the form of tetrahydrocannabivarin carboxylic acid (THCVA). THC and THC-V both bind to the cannabinoid receptors 1 (CB1) and 2 (CB2) although the exact effects of binding are not fully understood. Binding of CB1 by its endogenous ligands, anandamide or 2-arachidonoylglycerol, stimulates food intake (Silvestri, C., Di Marzo, V. 17 Cell Metabolism 475-490 (2013)). THC acts as an agonist of CB1 and stimulates appetite. THC-V has been shown to be a mild antagonist of CB1 and lessens sensations of hunger (Pertwee, R G. 153 British Journal of Pharmacology 199-215 (2008)). The ability of THC-V to act as an antagonist of CB1 has led to investigation of using THC-V to treat metabolic syndrome and obesity (Riedel, G., et al., 156 British Journal of Pharmacology 1154-1166 (2009)). Selection of a variety producing increased amounts of THC-V allows optimized isolation of THC-V which may be used in treatment of metabolic syndrome.



About Sugarmade
Sugarmade, Inc. (OTC Pink: SGMD) is a product and branding marketing company investing in operations and technologies with disruptive potential. Our Brand portfolio includes CarryOutsupplies.com, SugarRush, NUG Avenue, Lemon Glow and Budcars. Sugarmade is also the first licensee of the unique and patented GenCann, Inc. THC-V rich chemovars.

For more information, please visit www.Sugarmade.com.

FORWARD-LOOKING STATEMENTS: This release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements also may be included in other publicly available documents issued by the Company and in oral statements made by our officers and representatives from time to time. These forward-looking statements are intended to provide management's current expectations or plans for our future operating and financial performance, based on assumptions currently believed to be valid. They can be identified by the use of words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "would," "could," "will" and other words of similar meaning in connection with a discussion of future operating or financial performance. Examples of forward-looking statements include, among others, statements relating to future sales, earnings, cash flows, results of operations, uses of cash and other measures of financial performance.

Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties and other factors that may cause the Company's actual results and financial condition to differ materially from those expressed or implied in the forward-looking statements. Such risks, uncertainties and other factors include, among others, such as but not limited to; economic conditions, changes in the laws or regulations, demand for products and services of the company, the effects of competition, uncontrollable forces of nature and other factors that could cause actual results to differ materially from those projected or represented in the forward-looking statements.

Any forward-looking information provided in this release should be considered with these factors in mind. We assume no obligation to update any forward-looking statements contained in this report.



Corporate Contact:
Jimmy Chan
+1-(888)-982-1628
info@Sugarmade.com


Investor Relations Contact:
EDM Media, LLC
https://edm.media


Corporate Communications:

InvestorBrandNetwork (IBN)
Los Angeles, California
www.InvestorBrandNetwork.com
310.299.1717 Office
Editor@InvestorBrandNetwork.com

$VTXB Vortex Brands Purchases 8 Additional S19j Pros, Brings Total On Order to 14
Press Release | 01/24/2022
Vortex Brands Purchases 8 Additional S19j Pros, Brings Total On Order to 14
Increasing Current Bitcoin Mining Capacity by 100%
PR Newswire

DENVER, Jan. 24, 2022

DENVER, Jan. 24, 2022 /PRNewswire/ -- Vortex Brands Co. (OTC: VTXB) announces it has acquired 8 additional S19j Pro (100th) for its Bitcoin Mining operations increasing its current order of S19j Pro to 14. The Company is expecting its S19j Pros to begin coming on-line in the coming weeks. These 14 total units represent an increase in mining capacity of approximately 100% to 2,800 terrahash.

We launched our bitcoin mining in September 2021. Since that time, we have expanded our bitcoin mining operations and began executing on our dividend policy of 15% of the net proceeds generated from the bitcoin mining operations.

As promised, we will provide as much transparency as possible to our shareholders regarding our Bitcoin Mining operations. As part of this, we will provide updates from the mining results to provide our shareholders with up-to-date information instead of making them wait until quarterly filings are made. Shareholder are encouraged to follow progress by viewing our corporate Bitcoin wallet address as provided below, to track our daily progress.

The wallet can be viewed by shareholders at: https://www.blockchain.com/btc/address/38xnQP3mbWoDQTqLZy3GFMZyd2bwigvwCp

About Vortex Brands Co.: The Company operates as Technology Holdings Company that focuses on cryptocurrency sector, particularly Bitcoin Mining. Additional information is available by visiting company's website at www.vortexbrands.us or on twitter at https://twitter.com/Vortexbrands.

*Revenue related calculations. Please note that the Company believes that any revenue related calculations are accurate and based on factual information, there can be no assurance that the Company will be able to achieve all projections due to number of business-related factors, such as power pricing, mining equipment availability, bitcoin mining difficulty, bitcoin market pricing and other unforeseen issues in deploying its mining rigs. You can view update information on Bitcoin Mining by visiting https://minerstat.com/coin/BTC

Certain statements in this release constitute forward-looking statements. These statements include the capabilities and success of the Company's business and any of its products, services or solutions. The words "believe," "forecast," "project," "intend," "expect," "plan," "should," "would," and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, any of which could cause the Company to not achieve some or all of its goals or the Company's previously reported actual results, performance (finance or operating) to change or differ from future results, performance (financing and operating) or achievements, including those expressed or implied by such forward-looking statements. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the SEC, copies of which may be obtained from the SEC's website at www.sec.gov. The Company assumes no, and hereby disclaims any, obligation to update the forward-looking statements contained in this press release.

Cision View original content:https://www.prnewswire.com/news-releases/vortex-brands-purchases-8-additional-s19j-pros-brings-total-on-order-to-14-301466476.html

SOURCE Vortex Brands Co.

$VTXB Vortex Brands Purchases 8 Additional S19j Pros, Brings Total On Order to 14
Press Release | 01/24/2022
Vortex Brands Purchases 8 Additional S19j Pros, Brings Total On Order to 14
Increasing Current Bitcoin Mining Capacity by 100%
PR Newswire

DENVER, Jan. 24, 2022

DENVER, Jan. 24, 2022 /PRNewswire/ -- Vortex Brands Co. (OTC: VTXB) announces it has acquired 8 additional S19j Pro (100th) for its Bitcoin Mining operations increasing its current order of S19j Pro to 14. The Company is expecting its S19j Pros to begin coming on-line in the coming weeks. These 14 total units represent an increase in mining capacity of approximately 100% to 2,800 terrahash.

We launched our bitcoin mining in September 2021. Since that time, we have expanded our bitcoin mining operations and began executing on our dividend policy of 15% of the net proceeds generated from the bitcoin mining operations.

As promised, we will provide as much transparency as possible to our shareholders regarding our Bitcoin Mining operations. As part of this, we will provide updates from the mining results to provide our shareholders with up-to-date information instead of making them wait until quarterly filings are made. Shareholder are encouraged to follow progress by viewing our corporate Bitcoin wallet address as provided below, to track our daily progress.

The wallet can be viewed by shareholders at: https://www.blockchain.com/btc/address/38xnQP3mbWoDQTqLZy3GFMZyd2bwigvwCp

About Vortex Brands Co.: The Company operates as Technology Holdings Company that focuses on cryptocurrency sector, particularly Bitcoin Mining. Additional information is available by visiting company's website at www.vortexbrands.us or on twitter at https://twitter.com/Vortexbrands.

*Revenue related calculations. Please note that the Company believes that any revenue related calculations are accurate and based on factual information, there can be no assurance that the Company will be able to achieve all projections due to number of business-related factors, such as power pricing, mining equipment availability, bitcoin mining difficulty, bitcoin market pricing and other unforeseen issues in deploying its mining rigs. You can view update information on Bitcoin Mining by visiting https://minerstat.com/coin/BTC

Certain statements in this release constitute forward-looking statements. These statements include the capabilities and success of the Company's business and any of its products, services or solutions. The words "believe," "forecast," "project," "intend," "expect," "plan," "should," "would," and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, any of which could cause the Company to not achieve some or all of its goals or the Company's previously reported actual results, performance (finance or operating) to change or differ from future results, performance (financing and operating) or achievements, including those expressed or implied by such forward-looking statements. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the SEC, copies of which may be obtained from the SEC's website at www.sec.gov. The Company assumes no, and hereby disclaims any, obligation to update the forward-looking statements contained in this press release.

Cision View original content:https://www.prnewswire.com/news-releases/vortex-brands-purchases-8-additional-s19j-pros-brings-total-on-order-to-14-301466476.html

SOURCE Vortex Brands Co.

$INND InnerScope Hearing Technologies (OTC: INND) Retains PCAOB Auditor Paris, Kreit & Chiu LLP to Perform 2019, 2020, and Q1-Q3 2021 Audits
Press Release | 01/24/2022
ROSEVILLE, Calif., Jan. 24, 2022 (GLOBE NEWSWIRE) -- via InvestorWire -- InnerScope Hearing Technologies Inc. (OTC: INND) ("InnerScope" or the "Company"), an emerging and disruptive leader in the Direct-to-Consumer Hearing Technology space, is pleased to announce that it has retained the audit services of CPA firm Paris, Kreit & Chiu LLP ("PKC LLP") to perform an independent audit of the Company's 2019, 2020, and Q1-Q3 2021 financial statements. In addition, InnerScope intends to file a Form-10 or S-1 to become an SEC Fully Reporting company once the audit is complete and submitted to the SEC, FINRA, and other regulatory agencies.

Matthew Moore, President, and CEO of InnerScope commented: "InnerScope is pleased to announce the Company has formally retained CPA firm Paris, Kreit & Chiu LLP to conduct an independent audit of our 2019, 2020 and Q1-Q3 2021 financial statements. PKC LLP is a public accounting firm with offices worldwide and possesses significant experience in auditing public companies."

About InnerScope Hearing Technologies, Inc. (OTC PINK: INND):

InnerScope Hearing Technologies Inc. is a leading Direct-to-Consumer (DTC) manufacturer and distributor of FDA-registered hearing aids, hearing assistive devices, hearing health-related products, and Personal Sound Amplifier Products (PSAPs) ("Hearing Products") dedicated to addressing the global demand for affordable hearing solutions. InnerScope's Hearing Products and its business model break through the persistent barriers that prevent access to effective hearing solutions.

InnerScope's recent acquisition of iHear Medical Inc., a DTC cloud-based hearing solution provider, gives the Company access to over 40 patents and an FDA-registered manufacturing and R&D facility. In addition, InnerScope has acquired HearingAssist, an established leader in the direct-to-consumer hearing aid market with a customer base of over 400,000. These acquisitions, combined with a partnership with Atlazo Inc., a semiconductor innovator for next-generation AI smart devices, will allow InnerScope to better position itself in the direct-to-consumer hearing solutions market by selling advanced hearing products through Walmart and other major retailers.

InnerScope's full line of Hearing Health products is currently available through these multiple retail/wholesale channels: Walmart.com, Amazon.com, Giant Eagle, Hy-Vee, Hartig Drug, Food City, and Cardinal Health dba RGH Enterprises Inc. Additional major retailers in-store and online are launching soon.

For information related to InnerScope Hearing Technologies latest hearing aids and related hearing products, please visit:

http://iheardirect.com

http://hearingassist.com

For the most up-to-date information about InnerScope Hearing Technologies (OTC: INND), please visit and follow our official Twitter account @inndstock page:

https://twitter.com/inndstock

InnerScope Hyperlinks:

HearingAssist

hearing assist - Walmart.com

Acquisition of iHear Medical Inc.

Acquisition of HearingAssist

Direct-to-Consumer Hearing Products.

InnerScope's Hearing Health Flexible Subscription Plans

Safe Harbor

This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended intended to be covered by the "safe harbor" created by those sections. Any statements that are not historical facts contained in this press release are also "forward-looking statements," as that term is defined under the Private Securities Litigation Reform Act of 1995 (PSLRA). Such statements may be identified by words such as "expects," "plans," "projects," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be canceled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions, the performance of management and our employees, our ability to obtain financing or maintain contractual relationships with vendors and customers, competition, general economic conditions and other factors that are detailed in our periodic reports filed with the Securities and Exchange Commission ("S.E.C."). We intend that all forward-looking statements be subject to the safe-harbor provisions of the PSLRA, Securities Act, and Securities Exchange Act.

Contact:

InnerScope Hearing Technologies, Inc.

Investor Relations

ir@innd.com

833-788-0506

www.innd.com

Investor Relations Agency Contact:

Skyline Corporate Communications Group, LLC
Lisa Gray, Senior Account Manager

One Rockefeller Plaza, 11th Floor
New York, NY 10020
Office: (646) 893-5835
Email: lisa@skylineccg.com

For the most up-to-date information about InnerScope Hearing Technologies (OTC: INND), please visit and follow our official Twitter account @inndstock page.

Wire Service Contact
InvestorWire (IW)
Los Angeles, California
www.InvestorWire.com
212.418.1217 Office
Editor@InvestorWire.com

$INND InnerScope Hearing Technologies (OTC: INND) Retains PCAOB Auditor Paris, Kreit & Chiu LLP to Perform 2019, 2020, and Q1-Q3 2021 Audits
Press Release | 01/24/2022
ROSEVILLE, Calif., Jan. 24, 2022 (GLOBE NEWSWIRE) -- via InvestorWire -- InnerScope Hearing Technologies Inc. (OTC: INND) ("InnerScope" or the "Company"), an emerging and disruptive leader in the Direct-to-Consumer Hearing Technology space, is pleased to announce that it has retained the audit services of CPA firm Paris, Kreit & Chiu LLP ("PKC LLP") to perform an independent audit of the Company's 2019, 2020, and Q1-Q3 2021 financial statements. In addition, InnerScope intends to file a Form-10 or S-1 to become an SEC Fully Reporting company once the audit is complete and submitted to the SEC, FINRA, and other regulatory agencies.

Matthew Moore, President, and CEO of InnerScope commented: "InnerScope is pleased to announce the Company has formally retained CPA firm Paris, Kreit & Chiu LLP to conduct an independent audit of our 2019, 2020 and Q1-Q3 2021 financial statements. PKC LLP is a public accounting firm with offices worldwide and possesses significant experience in auditing public companies."

About InnerScope Hearing Technologies, Inc. (OTC PINK: INND):

InnerScope Hearing Technologies Inc. is a leading Direct-to-Consumer (DTC) manufacturer and distributor of FDA-registered hearing aids, hearing assistive devices, hearing health-related products, and Personal Sound Amplifier Products (PSAPs) ("Hearing Products") dedicated to addressing the global demand for affordable hearing solutions. InnerScope's Hearing Products and its business model break through the persistent barriers that prevent access to effective hearing solutions.

InnerScope's recent acquisition of iHear Medical Inc., a DTC cloud-based hearing solution provider, gives the Company access to over 40 patents and an FDA-registered manufacturing and R&D facility. In addition, InnerScope has acquired HearingAssist, an established leader in the direct-to-consumer hearing aid market with a customer base of over 400,000. These acquisitions, combined with a partnership with Atlazo Inc., a semiconductor innovator for next-generation AI smart devices, will allow InnerScope to better position itself in the direct-to-consumer hearing solutions market by selling advanced hearing products through Walmart and other major retailers.

InnerScope's full line of Hearing Health products is currently available through these multiple retail/wholesale channels: Walmart.com, Amazon.com, Giant Eagle, Hy-Vee, Hartig Drug, Food City, and Cardinal Health dba RGH Enterprises Inc. Additional major retailers in-store and online are launching soon.

For information related to InnerScope Hearing Technologies latest hearing aids and related hearing products, please visit:

http://iheardirect.com

http://hearingassist.com

For the most up-to-date information about InnerScope Hearing Technologies (OTC: INND), please visit and follow our official Twitter account @inndstock page:

https://twitter.com/inndstock

InnerScope Hyperlinks:

HearingAssist

hearing assist - Walmart.com

Acquisition of iHear Medical Inc.

Acquisition of HearingAssist

Direct-to-Consumer Hearing Products.

InnerScope's Hearing Health Flexible Subscription Plans

Safe Harbor

This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended intended to be covered by the "safe harbor" created by those sections. Any statements that are not historical facts contained in this press release are also "forward-looking statements," as that term is defined under the Private Securities Litigation Reform Act of 1995 (PSLRA). Such statements may be identified by words such as "expects," "plans," "projects," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be canceled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions, the performance of management and our employees, our ability to obtain financing or maintain contractual relationships with vendors and customers, competition, general economic conditions and other factors that are detailed in our periodic reports filed with the Securities and Exchange Commission ("S.E.C."). We intend that all forward-looking statements be subject to the safe-harbor provisions of the PSLRA, Securities Act, and Securities Exchange Act.

Contact:

InnerScope Hearing Technologies, Inc.

Investor Relations

ir@innd.com

833-788-0506

www.innd.com

Investor Relations Agency Contact:

Skyline Corporate Communications Group, LLC
Lisa Gray, Senior Account Manager

One Rockefeller Plaza, 11th Floor
New York, NY 10020
Office: (646) 893-5835
Email: lisa@skylineccg.com

For the most up-to-date information about InnerScope Hearing Technologies (OTC: INND), please visit and follow our official Twitter account @inndstock page.

Wire Service Contact
InvestorWire (IW)
Los Angeles, California
www.InvestorWire.com
212.418.1217 Office
Editor@InvestorWire.com

$STRH RARI Nutrition Pre-Workout Flavor Candy Watermelon INFINITY Now Available
Press Release | 01/24/2022
MIAMI, FL / ACCESSWIRE / January 24, 2022 / Star8 Corporation (OTC PINK:STRH) subsidiary RARI Nutrition, is excited to announce Candy Watermelon, an INFINITY lineup of pre-workout performance supplement is now available not only online on our website but also on Amazon.

Candy Watermelon INFINTY has a sweet flavor profile, balanced by the freshness of watermelon. Reminiscent of a warm summer day, Candy Watermelon INFINTY gives the boost needed to get through even the toughest of workouts.

RARI's INFINITY lineup of pre-workout supplements are 100% American made and contain a vigorous dose of caffeine, which is shown to enhance thermogenesis, increase energy, and improve mental focus. A blend of Citrulline Malate is added to increase performance and endurance in athletes.

"Super excited that our fans and new clients can finally order our new Candy Watermelon flavor,"

said Chris Bosco, Co-Founder and Director of Operations of RARI. "Our INFINITY line is the most popular supplement for a reason - the product just works."

INFINITY provides unrivaled energy, focus, intensity, to energize workouts while ensuring peak levels of pump and volume through safe nitric oxide booster ingredients. In addition to the new Candy Watermelon flavor, INFINITY is also available in Blue Raspberry, Strawberry Lemonade, and Sour Gummy Worm. For more information, please visit RariNutrition.com/products/infinity.

About Rari Nutrition

RARI Nutrition is a supplier of 100% natural sports nutrition products and nutraceuticals.
Founded in early 2015, RARI Nutrition's primary focus is on the science of sports nutrition. RARI Nutrition operates at the highest quality threshold in the sports nutrition industry by producing products that are clinically dosed, GMP quality, made in the USA, and third-party tested for purity. For more information, please visit RARINutrition.com.

About Star8 Corporation

Star8 Corporation (OTCPK: STRH) is a publicly traded company with expertise in technology and eCommerce driven solutions. Additionally, Star8 Corp. provides sustainable marketing, technology, sales and distribution consulting for clients. Its subsidiary companies are TempuCheck, Rari Nutrition, Media Hawk and Palm Nutrition. To learn more about Star8 Corp. please visit Star8Corp.com.

For inquiries please contact: info@star8corp.com | 1-866-316-0808

Investor Inquiries:

Star8 Corp.
1-866-316-0808

Safe Harbor

Statements about the Company's future expectations and all other statements in this press release other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. The above information contains information relating to the Company that is based on the beliefs of the Company and/or its management as well as assumptions made by and information currently available to the Company or its management. When used in this document, the words "anticipate," "estimate," "expect," "intend," "plans," "projects," and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. Such statements reflect the current view of the Company regarding future events and are subject to certain risks, uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended or projected. In each instance, forward-looking information should be considered in light of the accompanying meaningful cautionary statements herein. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, the impact of competitive services and pricing and general economic risks and uncertainties. The Company disclaims any obligation to update or revise any forward-looking statements.

$STRH RARI Nutrition Pre-Workout Flavor Candy Watermelon INFINITY Now Available
Press Release | 01/24/2022
MIAMI, FL / ACCESSWIRE / January 24, 2022 / Star8 Corporation (OTC PINK:STRH) subsidiary RARI Nutrition, is excited to announce Candy Watermelon, an INFINITY lineup of pre-workout performance supplement is now available not only online on our website but also on Amazon.

Candy Watermelon INFINTY has a sweet flavor profile, balanced by the freshness of watermelon. Reminiscent of a warm summer day, Candy Watermelon INFINTY gives the boost needed to get through even the toughest of workouts.

RARI's INFINITY lineup of pre-workout supplements are 100% American made and contain a vigorous dose of caffeine, which is shown to enhance thermogenesis, increase energy, and improve mental focus. A blend of Citrulline Malate is added to increase performance and endurance in athletes.

"Super excited that our fans and new clients can finally order our new Candy Watermelon flavor,"

said Chris Bosco, Co-Founder and Director of Operations of RARI. "Our INFINITY line is the most popular supplement for a reason - the product just works."

INFINITY provides unrivaled energy, focus, intensity, to energize workouts while ensuring peak levels of pump and volume through safe nitric oxide booster ingredients. In addition to the new Candy Watermelon flavor, INFINITY is also available in Blue Raspberry, Strawberry Lemonade, and Sour Gummy Worm. For more information, please visit RariNutrition.com/products/infinity.

About Rari Nutrition

RARI Nutrition is a supplier of 100% natural sports nutrition products and nutraceuticals.
Founded in early 2015, RARI Nutrition's primary focus is on the science of sports nutrition. RARI Nutrition operates at the highest quality threshold in the sports nutrition industry by producing products that are clinically dosed, GMP quality, made in the USA, and third-party tested for purity. For more information, please visit RARINutrition.com.

About Star8 Corporation

Star8 Corporation (OTCPK: STRH) is a publicly traded company with expertise in technology and eCommerce driven solutions. Additionally, Star8 Corp. provides sustainable marketing, technology, sales and distribution consulting for clients. Its subsidiary companies are TempuCheck, Rari Nutrition, Media Hawk and Palm Nutrition. To learn more about Star8 Corp. please visit Star8Corp.com.

For inquiries please contact: info@star8corp.com | 1-866-316-0808

Investor Inquiries:

Star8 Corp.
1-866-316-0808

Safe Harbor

Statements about the Company's future expectations and all other statements in this press release other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby. The above information contains information relating to the Company that is based on the beliefs of the Company and/or its management as well as assumptions made by and information currently available to the Company or its management. When used in this document, the words "anticipate," "estimate," "expect," "intend," "plans," "projects," and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. Such statements reflect the current view of the Company regarding future events and are subject to certain risks, uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended or projected. In each instance, forward-looking information should be considered in light of the accompanying meaningful cautionary statements herein. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, the impact of competitive services and pricing and general economic risks and uncertainties. The Company disclaims any obligation to update or revise any forward-looking statements.

$SANP SZZT Electronics Co., Names Santo Blockchain Labs as Latin American Affiliates
Press Release | 01/24/2022
AVENTURA, FL / ACCESSWIRE / January 24, 2022 / Santo Mining Corp., d.b.a. Santo Blockchain Labs (OTC PINK:SANP) a vertically integrated blockchain and cryptocurrency development company with corporate subsidiaries in the Socialist Republic of Vietnam and the Republic of Panama, which manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service, today announces that SZZT Electronics Co., has named Santo an Affiliate for the Latin American market. This will allow for the use of Santo Pay on OEM terminal POS and ATM equipment sold to other companies in Latin America. The global crypto ATM market size was valued at $35,80 million in 2020, and is projected to reach $3,557.05 million by 2030, growing at a CAGR of 58.5% from 2021 to 2030.

Crypto ATMs provides instant transaction & easier growing demand for cryptocurrencies, thereby driving the growth of the global crypto ATM market. Moreover, crypto ATMs does not require customers to have bank accounts and allow customers to make a single or several transactions via crypto ATM in the market. Moreover, increased adoption of cryptocurrencies among financial institutions & large corporations and growing presence of crypto cards, which accelerate consumer interest to earn rewards in a new way on everyday spending are some of the major trends in the market. Restaurants, bars, general stores, and gas stations are the largest end users that adopted crypto ATMs in their existing businesses.

ABOUT SZZT ELECTRONICS:
SZZT Electronics Co., LTD was founded in 1993 and located in the SZZT Industrial Park in Shenzhen, China, where covers a building area of over 110,000 square meters, and a total investment of more than USD 46 million. More than 1800 employees, a registered capital of USD 35 million, 22 branches and 172 service offices all over of China. SZZT Electronics was listed on the Shenzhen Stock Exchange Center in 2007 with Stock Code:002197. As a high-technical company in financial payment information security filed, SZZT Electronics started as a small operation, but now has become one of the leading suppliers in China. Today, SZZT Electronics has been one of the top producers of quality secure payment and self-service terminal products, such as: EPP (Encrypting PIN Pad), POS (Point of Sales), and Kiosk.

ABOUT SANTO:
The Company is a vertically integrated blockchain and cryptocurrency development company with corporate subsidiaries in the Socialist Republic of Vietnam and the Republic of Panama, which manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service. The company manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service, similar to software-as-a-service, blockchain as a service lets businesses get applications up and running with minimal hassle. This allows higher agility and quicker blockchain adoption. Blockchain applications are becoming more and more desirable, but they can be challenging to set up for smaller businesses or organizations with limited IT resources. A blockchain-as-a- service provider can provide professional assistance in addition to their hosting services. Additionally, the Company develops solutions such as smart digital contracts, non-fungible tokens NFTs SKULLYS, digital to physical assets tokenization, eXetended reality, and IoT internet of things for everyday life.

FORWARD-LOOKING STATEMENTS:
This press release contains forward-looking statements within the meaning of the federal securities laws. All statements other than statements of historical fact included in this presentation are forward-looking statements. These statements relate to analyses and other information, which are based on forecasts of future results and estimates of amounts not yet determinable. These statements also relate to our future prospects, developments, and business strategies. These forward-looking statements may be identified by the use of terms and phrases such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "target," "will" and similar terms and phrases, including references to assumptions. However, these words are not the exclusive means of identifying such statements. Although we believe that our plans, intentions, and expectations reflected in or suggested by such forward-looking statements are reasonable, we cannot assure you that we will achieve those plans, intentions, or expectations. All forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those that we expected or may prove unachievable.

The Company's business and prospects must be considered in light of the risks, expenses, and difficulties frequently encountered by companies working with new and rapidly evolving technologies such as blockchain. These risks include, but are not limited to, an inability to create a viable product and risks related to the issuance of tokens. The Company cannot assure you that it will succeed in addressing these risks, and our failure to do so could have a material adverse effect on our business, financial condition, results of operations, and prospects. There can be no assurance as to whether or when (if ever) the Company will achieve profitability or liquidity.

The forward-looking statements included in this press release are made only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events, or otherwise, except as otherwise required by law.

Contact:
Frank Yglesias
Santo Mining Corp.
dba, Santo Blockchain Labs
info@sbl.dev
305-809-0807
https://santoblockchain.com

$SANP SZZT Electronics Co., Names Santo Blockchain Labs as Latin American Affiliates
Press Release | 01/24/2022
AVENTURA, FL / ACCESSWIRE / January 24, 2022 / Santo Mining Corp., d.b.a. Santo Blockchain Labs (OTC PINK:SANP) a vertically integrated blockchain and cryptocurrency development company with corporate subsidiaries in the Socialist Republic of Vietnam and the Republic of Panama, which manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service, today announces that SZZT Electronics Co., has named Santo an Affiliate for the Latin American market. This will allow for the use of Santo Pay on OEM terminal POS and ATM equipment sold to other companies in Latin America. The global crypto ATM market size was valued at $35,80 million in 2020, and is projected to reach $3,557.05 million by 2030, growing at a CAGR of 58.5% from 2021 to 2030.

Crypto ATMs provides instant transaction & easier growing demand for cryptocurrencies, thereby driving the growth of the global crypto ATM market. Moreover, crypto ATMs does not require customers to have bank accounts and allow customers to make a single or several transactions via crypto ATM in the market. Moreover, increased adoption of cryptocurrencies among financial institutions & large corporations and growing presence of crypto cards, which accelerate consumer interest to earn rewards in a new way on everyday spending are some of the major trends in the market. Restaurants, bars, general stores, and gas stations are the largest end users that adopted crypto ATMs in their existing businesses.

ABOUT SZZT ELECTRONICS:
SZZT Electronics Co., LTD was founded in 1993 and located in the SZZT Industrial Park in Shenzhen, China, where covers a building area of over 110,000 square meters, and a total investment of more than USD 46 million. More than 1800 employees, a registered capital of USD 35 million, 22 branches and 172 service offices all over of China. SZZT Electronics was listed on the Shenzhen Stock Exchange Center in 2007 with Stock Code:002197. As a high-technical company in financial payment information security filed, SZZT Electronics started as a small operation, but now has become one of the leading suppliers in China. Today, SZZT Electronics has been one of the top producers of quality secure payment and self-service terminal products, such as: EPP (Encrypting PIN Pad), POS (Point of Sales), and Kiosk.

ABOUT SANTO:
The Company is a vertically integrated blockchain and cryptocurrency development company with corporate subsidiaries in the Socialist Republic of Vietnam and the Republic of Panama, which manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service. The company manages, operates, and develops end-to-end "BaaS" Blockchain-as-a-Service, similar to software-as-a-service, blockchain as a service lets businesses get applications up and running with minimal hassle. This allows higher agility and quicker blockchain adoption. Blockchain applications are becoming more and more desirable, but they can be challenging to set up for smaller businesses or organizations with limited IT resources. A blockchain-as-a- service provider can provide professional assistance in addition to their hosting services. Additionally, the Company develops solutions such as smart digital contracts, non-fungible tokens NFTs SKULLYS, digital to physical assets tokenization, eXetended reality, and IoT internet of things for everyday life.

FORWARD-LOOKING STATEMENTS:
This press release contains forward-looking statements within the meaning of the federal securities laws. All statements other than statements of historical fact included in this presentation are forward-looking statements. These statements relate to analyses and other information, which are based on forecasts of future results and estimates of amounts not yet determinable. These statements also relate to our future prospects, developments, and business strategies. These forward-looking statements may be identified by the use of terms and phrases such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "target," "will" and similar terms and phrases, including references to assumptions. However, these words are not the exclusive means of identifying such statements. Although we believe that our plans, intentions, and expectations reflected in or suggested by such forward-looking statements are reasonable, we cannot assure you that we will achieve those plans, intentions, or expectations. All forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those that we expected or may prove unachievable.

The Company's business and prospects must be considered in light of the risks, expenses, and difficulties frequently encountered by companies working with new and rapidly evolving technologies such as blockchain. These risks include, but are not limited to, an inability to create a viable product and risks related to the issuance of tokens. The Company cannot assure you that it will succeed in addressing these risks, and our failure to do so could have a material adverse effect on our business, financial condition, results of operations, and prospects. There can be no assurance as to whether or when (if ever) the Company will achieve profitability or liquidity.

The forward-looking statements included in this press release are made only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events, or otherwise, except as otherwise required by law.

Contact:
Frank Yglesias
Santo Mining Corp.
dba, Santo Blockchain Labs
info@sbl.dev
305-809-0807
https://santoblockchain.com

$APETF Alpha Metaverse Technologies Announces signing of LOI to acquire 100% of Shape Immersive Entertainment Inc and Brokered Private Placement Financing for up to $4.0 Million
Press Release | 01/24/2022
Shape is an award-winning Metaverse agency and has a team comprised of experienced AR/VR technologists, 3D artists and software developers

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

VANCOUVER, British Columbia, Jan. 24, 2022 (GLOBE NEWSWIRE) -- Alpha Metaverse Technologies Inc. (CSE: ALPA) (FSE: 9HN), (OTC PINK: APETF) (“Alpha” or the “Company”) is pleased to announce that it has entered a letter of intent (the “LOI”) which contemplates the acquisition by Alpha of 100% of the issued and outstanding shares of Shape Immersive Entertainment Inc (“Shape”) in exchange for 14,840,000 common shares of Alpha and $1 million in cash. Shape was originally founded in 2018 and builds immersive experiences for Metaverse leading companies like Red Bull®, the Olympics®, and RTFKT® (recently acquired by Nike®). Shape is a leader in 3D NFTs, holograms, augmented and virtual reality, and play-to-earn game development. The Company’s obligations under the LOI are subject to completion of satisfactory due diligence and successful negotiation of a definitive agreement.

“The Shape team has a wealth of knowledge regarding the Metaverse and we look forward to working with them through the transaction process,” states Alpha Metaverse CEO Brian Wilneff.

“Shape has pushed the boundaries of digital experiences for a number of years for many of the world’s top brands,” states Shape CEO, James Basnett. “Our talented group of Metaverse makers are excited about potentially joining forces with Alpha. We look forward to building our team faster and powering the future of web3 and play-to-earn gaming experiences.”

The Company is also pleased to announce that it has entered into an agreement with Research Capital Corporation, as sole agent and sole bookrunner (the “Agent”), in connection with a best efforts, brokered private placement of up to 16,000,000 units of the Company (the “Units”) at a price of $0.25 per Unit (the “Offering Price”) for gross proceeds of up to $4,000,000 (the “Offering”).

Each Unit will be comprised of one common share of the Company (a “Common Share”) and one Common Share purchase warrant (a “Warrant”). Each Warrant shall be exercisable to acquire one additional Common Share (a “Warrant Share”) at an exercise price of $0.40 per Warrant Share for a period of 24 months after the Closing (as defined below).

The Agent will have an option (the “Agent’s Option”) to offer for sale up to an additional 15% of the number of Units being offered in the Offering or an additional 2,400,000 Units at the Offering Price for gross proceeds of $600,000, which Agent’s Option is exercisable, in whole or in part, at any time up to 48 hours prior to the Closing.

The Company intends to use the proceeds raised under the Offering for its business operations, working capital and general corporate purposes.

It is anticipated that the securities to be sold pursuant to the Offering will be offered by way of private placement in the provinces of British Columbia, Alberta and Ontario, and such other jurisdictions as may be determined by the Company and the Agent, in each case, pursuant to applicable exemptions from the prospectus requirements under applicable securities laws.

The Offering is expected to close on or about February 21, 2022, or on such other date as agreed upon between the Company and Agent (the “Closing”), and is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals. The Units and other securities to be issued under the Offering will have a hold period expiring on the date that is four months and a day from Closing.

In connection with the Offering, the Agent will receive an aggregate cash fee equal to 6.0% of the gross proceeds from the Offering (including in respect of any exercise of the Agent’s Option). In addition, the Company will grant the Agent, on date of Closing, such number of non-transferable broker warrants (the “Broker Warrants”) equal to 6.0% of the total number of Units sold under the Offering (including in respect of any exercise of the Agent’s Option). Each Broker Warrant will entitle the holder thereof to purchase one Unit at an exercise price equal to the Offering Price for a period of 24 months following the Closing. Furthermore, the Agent will also receive an aggregate cash corporate finance fee equal to 2.0% of the gross proceeds from the Offering (including in respect of any exercise of the Agent’s Option), as well as be granted such number of warrants (the “Corporate Finance Fee Warrants”) equal to 2.0% of the total number of Units sold under the Offering (including in respect of any exercise of the Agent’s Option). Each Corporate Finance Fee Warrant will entitle the holder thereof to purchase one Unit at an exercise price equal to the Offering Price for a period of 24 months following the Closing. The Company shall also pay the Agent a work fee of $45,000 plus GST.

The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation to buy any securities in any jurisdiction.

About Alpha Metaverse Technologies Inc.

Alpha Metaverse Technologies Inc. is a technology company that focuses on emerging industries in Esports, mobile gaming, ecommerce, and other high growth opportunities. Through a strong portfolio of technology assets and products such as GamerzArena, Alpha Metaverse Technologies brings a unique mass-appeal focus to modern gaming platforms. Learn more at: www.alphametaverse.com

Contact:
Investor Relations: ir@alphametaverse.com - 604 359 1256
Media and Public Relations: media@alphametaverse.com

On Behalf of The Board of Directors
Brian Wilneff
Chief Executive Officer

Forward Looking Statement
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of applicable securities laws. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the LOI, the potential to enter into a definitive agreement with, and to acquire all of the shares of, Share, the terms of the Offering, the anticipated closing date of the Offering, the use of proceeds of the Offering, the Company’s strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. For instance, the Company may not enter into a definitive agreement with Shape, nor close the Offering, in either case as currently contemplated or at all. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company’s MD&A for the most recent fiscal period. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.

The CSE has not reviewed, approved, or disapproved the content of this press release

$APETF Alpha Metaverse Technologies Announces signing of LOI to acquire 100% of Shape Immersive Entertainment Inc and Brokered Private Placement Financing for up to $4.0 Million
Press Release | 01/24/2022
Shape is an award-winning Metaverse agency and has a team comprised of experienced AR/VR technologists, 3D artists and software developers

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

VANCOUVER, British Columbia, Jan. 24, 2022 (GLOBE NEWSWIRE) -- Alpha Metaverse Technologies Inc. (CSE: ALPA) (FSE: 9HN), (OTC PINK: APETF) (“Alpha” or the “Company”) is pleased to announce that it has entered a letter of intent (the “LOI”) which contemplates the acquisition by Alpha of 100% of the issued and outstanding shares of Shape Immersive Entertainment Inc (“Shape”) in exchange for 14,840,000 common shares of Alpha and $1 million in cash. Shape was originally founded in 2018 and builds immersive experiences for Metaverse leading companies like Red Bull®, the Olympics®, and RTFKT® (recently acquired by Nike®). Shape is a leader in 3D NFTs, holograms, augmented and virtual reality, and play-to-earn game development. The Company’s obligations under the LOI are subject to completion of satisfactory due diligence and successful negotiation of a definitive agreement.

“The Shape team has a wealth of knowledge regarding the Metaverse and we look forward to working with them through the transaction process,” states Alpha Metaverse CEO Brian Wilneff.

“Shape has pushed the boundaries of digital experiences for a number of years for many of the world’s top brands,” states Shape CEO, James Basnett. “Our talented group of Metaverse makers are excited about potentially joining forces with Alpha. We look forward to building our team faster and powering the future of web3 and play-to-earn gaming experiences.”

The Company is also pleased to announce that it has entered into an agreement with Research Capital Corporation, as sole agent and sole bookrunner (the “Agent”), in connection with a best efforts, brokered private placement of up to 16,000,000 units of the Company (the “Units”) at a price of $0.25 per Unit (the “Offering Price”) for gross proceeds of up to $4,000,000 (the “Offering”).

Each Unit will be comprised of one common share of the Company (a “Common Share”) and one Common Share purchase warrant (a “Warrant”). Each Warrant shall be exercisable to acquire one additional Common Share (a “Warrant Share”) at an exercise price of $0.40 per Warrant Share for a period of 24 months after the Closing (as defined below).

The Agent will have an option (the “Agent’s Option”) to offer for sale up to an additional 15% of the number of Units being offered in the Offering or an additional 2,400,000 Units at the Offering Price for gross proceeds of $600,000, which Agent’s Option is exercisable, in whole or in part, at any time up to 48 hours prior to the Closing.

The Company intends to use the proceeds raised under the Offering for its business operations, working capital and general corporate purposes.

It is anticipated that the securities to be sold pursuant to the Offering will be offered by way of private placement in the provinces of British Columbia, Alberta and Ontario, and such other jurisdictions as may be determined by the Company and the Agent, in each case, pursuant to applicable exemptions from the prospectus requirements under applicable securities laws.

The Offering is expected to close on or about February 21, 2022, or on such other date as agreed upon between the Company and Agent (the “Closing”), and is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and stock exchange approvals. The Units and other securities to be issued under the Offering will have a hold period expiring on the date that is four months and a day from Closing.

In connection with the Offering, the Agent will receive an aggregate cash fee equal to 6.0% of the gross proceeds from the Offering (including in respect of any exercise of the Agent’s Option). In addition, the Company will grant the Agent, on date of Closing, such number of non-transferable broker warrants (the “Broker Warrants”) equal to 6.0% of the total number of Units sold under the Offering (including in respect of any exercise of the Agent’s Option). Each Broker Warrant will entitle the holder thereof to purchase one Unit at an exercise price equal to the Offering Price for a period of 24 months following the Closing. Furthermore, the Agent will also receive an aggregate cash corporate finance fee equal to 2.0% of the gross proceeds from the Offering (including in respect of any exercise of the Agent’s Option), as well as be granted such number of warrants (the “Corporate Finance Fee Warrants”) equal to 2.0% of the total number of Units sold under the Offering (including in respect of any exercise of the Agent’s Option). Each Corporate Finance Fee Warrant will entitle the holder thereof to purchase one Unit at an exercise price equal to the Offering Price for a period of 24 months following the Closing. The Company shall also pay the Agent a work fee of $45,000 plus GST.

The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation to buy any securities in any jurisdiction.

About Alpha Metaverse Technologies Inc.

Alpha Metaverse Technologies Inc. is a technology company that focuses on emerging industries in Esports, mobile gaming, ecommerce, and other high growth opportunities. Through a strong portfolio of technology assets and products such as GamerzArena, Alpha Metaverse Technologies brings a unique mass-appeal focus to modern gaming platforms. Learn more at: www.alphametaverse.com

Contact:
Investor Relations: ir@alphametaverse.com - 604 359 1256
Media and Public Relations: media@alphametaverse.com

On Behalf of The Board of Directors
Brian Wilneff
Chief Executive Officer

Forward Looking Statement
Certain statements contained in this press release constitute “forward-looking statements” within the meaning of applicable securities laws. All statements other than statements of historical fact contained in this press release, including, without limitation, those regarding the LOI, the potential to enter into a definitive agreement with, and to acquire all of the shares of, Share, the terms of the Offering, the anticipated closing date of the Offering, the use of proceeds of the Offering, the Company’s strategy, plans, objectives, goals and targets, and any statements preceded by, followed by or that include the words “believe”, “expect”, “aim”, “intend”, “plan”, “continue”, “will”, “may”, “would”, “anticipate”, “estimate”, “forecast”, “predict”, “project”, “seek”, “should” or similar expressions or the negative thereof, are forward-looking statements. These statements are not historical facts but instead represent only the Company’s expectations, estimates and projections regarding future events. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict. Therefore, actual results may differ materially from what is expressed, implied or forecasted in such forward-looking statements. For instance, the Company may not enter into a definitive agreement with Shape, nor close the Offering, in either case as currently contemplated or at all. Additional factors that could cause actual results, performance or achievements to differ materially include, but are not limited to the risk factors discussed in the Company’s MD&A for the most recent fiscal period. Management provides forward-looking statements because it believes they provide useful information to investors when considering their investment objectives and cautions investors not to place undue reliance on forward-looking information. Consequently, all of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, the Company. These forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect subsequent information, events or circumstances or otherwise, except as required by law.

The CSE has not reviewed, approved, or disapproved the content of this press release

$XCPL XCPCNL Business Services Announces Launch of New Subsidiary
Press Release | 01/24/2022
Charlotte, North Carolina , Jan. 24, 2022 (GLOBE NEWSWIRE) -- Venture development company XCPCNL Business Services Corporation is pleased to announce the launch of its new subsidiary XCPCNL Tech, a boutique tech company that plans to leverage its knowledge, skills, and experience to provide pre-seed investment, mentorship, infrastructure and connections to developers of new products and start-ups. We want Entrepreneurs to be able to build their product and services under the guidance of other successful entrepreneurs, product experts, and investors — taking it from an idea to a fundable business. The subsidiary intends to launch three new projects that are designed to: (i) assist consumers in securing funding for cannabis businesses, (ii) support individuals in understanding how blockchain works, and (iii) help empower people to use their skills to earn money in the NFT marketplace.

“We are thrilled about launching our new subsidiary and XCPCNL Tech is the just beginning” said CEO Tim Matthews. “The leadership team is looking forward to working with our strategic partners and building value for our current and future investors. While the parent company keeps its core mission of providing marketing and other business services to companies such as Nielsen and Costco, we intend for our new subsidiary to allow us to leverage our knowledge, skills, and experience to help entrepreneurs bring their visions to life”

The three new projects are:

Token

Token is designed to offer a solution to the difficulties surrounding raising capital and investing in new cannabis ventures, initiatives, and companies due to strict and spanning regulations on traditional banking and capital markets. As a fintech platform and digital asset provider, Token takes the primary market directly to investors. Token’s aim is to create system that by allows for access to any qualified company that is seeking a fair way to raise capital.

NFT Incubator

As the hype around NFTs continues to grow and companies like Opensea dominate the marketplace, more and more artists and investors want to get into the NFT industry. Many are intimated by the highly technical and often risky process. NFT Incubator plans to offer a team of NFT experts equipped to help these artists turn their NFT ideas into a profitable reality.

2bitmine.com?

Bitcoin and blockchain are becoming more prominent and revolutionary technologies. However, they can be difficult to understand how to mine, buy or sell. 2bitmine.com is a mining farm created in conjunction with BitcoinU, a website that offers mining-as-a-service and Bitcoin mining education.

The first mining farm will be built in Indianapolis through the partnership. We will maximize earnings by using the best mining strategies. Our goal is to ensure all miners have access to a high-speed mining rate and 2x profits.

Forward Looking Statements Disclaimer:
This press release may include, and oral statements made from time to time by representatives of the Company may include, “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements regarding possible business combinations and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this press release are forward-looking statements. When used in this press release, words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions, as they relate to us or our management team, identify forward-looking statements. Such forward-looking statements are based on the beliefs of management, as well as assumptions made by, and information currently available to, the Company’s management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors detailed in the Company’s filing with the Over the Counter Market (“OTC”). All subsequent written or oral forward-looking statements attributable to us or persons acting on our behalf are qualified in their entirety by this paragraph. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

About XCPCNL

Charlotte, NC-based XCPCNL Business Services is a venture development business that leverages its knowledge, skills, and experience in the consumer products industry. Our primary mission is to provide marketing, technology, and other business services to fast-growing consumer product companies and big box retailers. XCPCNL is a minority-owned and controlled firm. To learn more about our businesses, services, and opportunities, please contact: info@xcpcnl.com

To learn more about XPCNL, visit www.xcpcnl.com.

2bitmine.com



Media inquiries:
Tel: (212) 433-2728
Email: ir@xcpcnl.com

$XCPL XCPCNL Business Services Announces Launch of New Subsidiary
Press Release | 01/24/2022
Charlotte, North Carolina , Jan. 24, 2022 (GLOBE NEWSWIRE) -- Venture development company XCPCNL Business Services Corporation is pleased to announce the launch of its new subsidiary XCPCNL Tech, a boutique tech company that plans to leverage its knowledge, skills, and experience to provide pre-seed investment, mentorship, infrastructure and connections to developers of new products and start-ups. We want Entrepreneurs to be able to build their product and services under the guidance of other successful entrepreneurs, product experts, and investors — taking it from an idea to a fundable business. The subsidiary intends to launch three new projects that are designed to: (i) assist consumers in securing funding for cannabis businesses, (ii) support individuals in understanding how blockchain works, and (iii) help empower people to use their skills to earn money in the NFT marketplace.

“We are thrilled about launching our new subsidiary and XCPCNL Tech is the just beginning” said CEO Tim Matthews. “The leadership team is looking forward to working with our strategic partners and building value for our current and future investors. While the parent company keeps its core mission of providing marketing and other business services to companies such as Nielsen and Costco, we intend for our new subsidiary to allow us to leverage our knowledge, skills, and experience to help entrepreneurs bring their visions to life”

The three new projects are:

Token

Token is designed to offer a solution to the difficulties surrounding raising capital and investing in new cannabis ventures, initiatives, and companies due to strict and spanning regulations on traditional banking and capital markets. As a fintech platform and digital asset provider, Token takes the primary market directly to investors. Token’s aim is to create system that by allows for access to any qualified company that is seeking a fair way to raise capital.

NFT Incubator

As the hype around NFTs continues to grow and companies like Opensea dominate the marketplace, more and more artists and investors want to get into the NFT industry. Many are intimated by the highly technical and often risky process. NFT Incubator plans to offer a team of NFT experts equipped to help these artists turn their NFT ideas into a profitable reality.

2bitmine.com?

Bitcoin and blockchain are becoming more prominent and revolutionary technologies. However, they can be difficult to understand how to mine, buy or sell. 2bitmine.com is a mining farm created in conjunction with BitcoinU, a website that offers mining-as-a-service and Bitcoin mining education.

The first mining farm will be built in Indianapolis through the partnership. We will maximize earnings by using the best mining strategies. Our goal is to ensure all miners have access to a high-speed mining rate and 2x profits.

Forward Looking Statements Disclaimer:
This press release may include, and oral statements made from time to time by representatives of the Company may include, “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements regarding possible business combinations and the financing thereof, and related matters, as well as all other statements other than statements of historical fact included in this press release are forward-looking statements. When used in this press release, words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions, as they relate to us or our management team, identify forward-looking statements. Such forward-looking statements are based on the beliefs of management, as well as assumptions made by, and information currently available to, the Company’s management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors detailed in the Company’s filing with the Over the Counter Market (“OTC”). All subsequent written or oral forward-looking statements attributable to us or persons acting on our behalf are qualified in their entirety by this paragraph. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

About XCPCNL

Charlotte, NC-based XCPCNL Business Services is a venture development business that leverages its knowledge, skills, and experience in the consumer products industry. Our primary mission is to provide marketing, technology, and other business services to fast-growing consumer product companies and big box retailers. XCPCNL is a minority-owned and controlled firm. To learn more about our businesses, services, and opportunities, please contact: info@xcpcnl.com

To learn more about XPCNL, visit www.xcpcnl.com.

2bitmine.com



Media inquiries:
Tel: (212) 433-2728
Email: ir@xcpcnl.com

$FFMH First Farmers and Merchants Corporation Reports Improved 2021 Results
Press Release | 01/24/2022
First Farmers and Merchants Corporation (OTC Pink: FFMH), the holding company for First Farmers and Merchants Bank, today announced double digit growth in net income and adjusted net income for 2021, compared with 2020. The Company also reported record assets and deposits for the year ended December 31, 2021.

Key highlights of First Farmers’ results for 2021 include:

Net income rose 10% to $15.6 million in 2021 compared with $14.2 million for 2020. Net income per common share increased 10.5% to $3.59 in 2021 from $3.25 in 2020. The 2021 results include one-time executive retirement benefit expenses of $1.5 million ($1.1 million net of tax);
Adjusted net income, which excludes special items, rose 14% to $14.8 million in 2021, or $3.40 per common share, compared with $13.0 million, or $2.98 per common share, in 2020 (see “Non-GAAP Financial Measures” section);
Net interest income after provision increased 5.8% to $45.3 million in 2021 from $42.8 million in 2020;
Trust services fee income reached a record $4.0 million, up 11% from $3.6 million in 2020. Total administered trust assets climbed to a record $6.3 billion;
Mortgage banking activities revenue was a record $1.4 million in 2021, up 5.8% from $1.3 million in 2020; and
Total assets reached a record $2.0 billion and total deposits reached a record $1.8 billion.
Commenting on the results, T. Randy Stevens, Chairman and Chief Executive Officer of First Farmers, said, “First Farmers set new records in 2021 for assets, deposits, and trust assets under management. We are very proud of our record performance in 2021. We also remained focused on the safety and soundness of First Farmers and reported continued improvements in our loan quality at year-end 2021. Last year, we returned $5.3 million to First Farmers’ shareholders in cash dividends and stock repurchases as part of our program to build long-term shareholder value. We repurchased 42,432 shares of First Farmers’ stock in 2021, up from 20,133 shares repurchased in the prior year.”

Brian K. Williams, President, added, “First Farmers’ excellent results in 2021 benefited from growth in net interest income, non-interest income and low loan losses. We experienced growth across our markets in Middle Tennessee and our loan pipeline has improved at year-end 2021 compared with last year. We are very proud of our entire team at First Farmers who contributed to our growth as they continued to serve our customers at a high level, despite the challenges of the COVID economy.

“We are very positive about our opportunities in 2022. We are making significant investments in new systems and software to support our future growth. We plan to roll out new systems late in the first quarter that will expand First Farmers' online portal with best-in-class digital banking services, enhance our customer contact center and expand our platform of other banking products and services.

“Our focus for 2022 remains on maintaining our high asset quality to support our earnings and our capital base. Last year, we recorded no provision for loans losses for the last three quarters of 2021 and ended the year with a lower level of nonperforming assets than in 2020, no net charge-offs and a low level of past due loans and classified loans. We expect the high quality of our loan portfolio combined with our momentum in interest income and non-interest income to benefit our future growth,” continued Williams.

Fourth Quarter 2021 Results of Operations

Net income was $3.1 million in the fourth quarter of 2021, down $226,000, or 6.9%, from the year-earlier quarter. The decline in earnings was due to one-time executive retirement benefit expenses of $1.5 million ($1.1 million net of tax) recognized during the fourth quarter of 2021, partially offset by strong revenue growth of $1.3 million in the quarter. Adjusted net income, which excludes one-time items, rose 22.3% to $4.0 million, up $734,000 from the year-earlier quarter. Net interest income improved by $882,000 with growth in interest earning assets supported by an increase in interest on investments of $427,000 along with a reduction in interest expense of $455,000.

Non-interest income increased $451,000 driven by the gain on sale of available-for-sale securities of $254,000 coupled with an increase in service fees on deposit accounts of $144,000. Non-interest expense was up by $1.7 million from the year-earlier quarter due primarily to an increase in salaries and employee benefits expense, including the $1.5 million one-time executive retirement benefit expenses.

Net income for the fourth quarter of 2021 was down from the sequential third quarter by $1.0 million, or 24.5%. The decrease in earnings was due primarily to one-time executive retirement benefit expenses of $1.1 million, net of tax, recognized during the fourth quarter. Adjusted net income was higher at $4.0 million in the fourth quarter of 2021 and was up $96,000 compared with the sequential third quarter.

For the fourth quarter of 2021, outstanding loan balances decreased $16 million, or 1.8%, from the previous quarter to $887 million and decreased $78 million, or 8.1%, from the year-earlier quarter. Loan contraction for the quarter was driven by a high level of loan payoffs on commercial projects along with Small Business Administration Paycheck Protection Program (“SBA PPP”) loan forgiveness of $7 million. Loan balances, excluding SBA PPP loans of $568,000 at quarter’s end, decreased $9 million, or 1.0%, from the sequential third quarter, and decreased $10 million, or 1.1%, from the year-earlier quarter. Total deposits increased $55 million, or 3.1%, from the sequential third quarter to a record $1.791 billion, and increased $183 million, or 11.4%, from the year-earlier quarter.

Twelve Months Results

Net income rose 10.0% to $15.6 million, or $3.59 per share, for 2021 compared with $14.2 million, or $3.25 per share, for 2020. The increase in net income benefited from a 5.8% increase in net interest income after provision for loan losses to $45.3 million and a 16.2% increase in non-interest income to $16.8 million, including a $1.8 million gain on sale of the Visa stock.

First Farmers reported organic growth from banking services, trust services and mortgage banking activities in 2021. Service fees on deposits rose 7.2% to $7.1 million, trust services fee income increased 11.0% to $4.0 million and revenue from mortgage banking activities was up 5.9% to $1.4 million compared to 2020.

“We experienced organic loan growth through most of 2021 and also benefited from over $115 million in new loans through the SBA’s PPP loan program to support businesses and organizations through the pandemic. We made over 1,500 PPP loans and all but three loans totaling $568,000 were paid off or forgiven by the end of 2021. These loans contributed significant fee income for 2021 that benefited our interest income during the year,” concluded Williams.

Non-interest expenses rose 6.7% in 2021 to $43.0 million compared with 2020. The increases were due to higher salaries and employee benefits, including one-time executive retirement benefit expenses of $1.5 million, and higher software support, net occupancy expense, advertising and FDIC insurance premium expense; offset by lower data processing expense, legal and professional fees, audit and exams expenses and other non-interest expenses.

Asset Quality

Total asset quality improved in 2021 as measured by only $1.2 million in nonperforming assets that totaled 0.06% of total assets, down from $1.6 million or 0.08% from the previous quarter and down $343,000, or 0.09% of total assets, from the year-earlier quarter. Net charge-offs to average loans were 0.00% for the fourth quarter of 2021 compared with net charge-offs of 0.00% for the previous quarter and net recoveries of 0.01% for the year-earlier quarter. No provision for loan and lease losses expense was recorded during the fourth quarter of 2021. The allowance for loan and lease losses represented 1.08% of total loans outstanding for the fourth quarter of 2021 compared with 1.06% for the previous quarter and 1.01% for the year-earlier quarter.

Capital Management Initiatives

During the fourth quarter of 2021, First Farmers repurchased 10,125 shares of the Company’s common stock. Of this amount, 125 shares were repurchased under a Rule 10b-18 plan of the Securities Exchange Act of 1934 at an average price of $35.82 per share in accordance with the Company’s stock repurchase program. The Company also repurchased 10,000 shares through privately negotiated transactions at an average price of $39.98 per share. First Farmers extended the program to repurchase approximately 200,000 shares through December 2022.

About First Farmers and Merchants Corporation and First Farmers and Merchants Bank

First Farmers and Merchants Corporation is the holding company for First Farmers and Merchants Bank, a community bank serving the Middle Tennessee area through 22 offices in seven Middle Tennessee counties. As of December 31, 2021, First Farmers reported total assets of approximately $2.0 billion, total shareholders’ equity of approximately $159 million, and administered trust assets of $6.3 billion. For more information about First Farmers, visit us on the Web at www.myfirstfarmers.com under “Investor Relations.”

Cautionary Note Regarding Forward Looking Statements

This news release may contain certain “forward-looking statements” that represent First Farmers’ expectations or beliefs concerning future events and often use words or phrases such as “opportunities,” “prospects,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “intends” or similar expressions. Such forward-looking statements contained herein represent the current expectations, plans or forecast of First Farmers’ and are about matters that are inherently subject to risks and uncertainties. These statements are not guarantees of future results or performance and readers are cautioned to not place undue reliance on them, whether included in this news release or made elsewhere from time to time by First Farmers or on its behalf. First Farmers disclaims any obligation to update such forward-looking statements.

Non-GAAP Financial Measures

Statements included in this press release include non-GAAP financial measures and should be read along with the accompanying tables, which provide a reconciliation of non-GAAP financial measures to GAAP financial measures. First Farmers management uses non-GAAP financial measures, including: (i) adjusted net income and (ii) adjusted basic earnings per share, in its analysis of the Company’s performance. These non-GAAP financial measures exclude the following from net income: securities gains, gain on sale of Visa Class B stock, gain on sale of fixed assets, gain on redemption of bank-owned life insurance, one-time executive retirement benefits, and the income tax effect of adjustments. Management believes that non-GAAP financial measures provide additional useful information that allows readers to evaluate the ongoing performance of the Company.

FIRST FARMERS AND MERCHANTS CORPORATION AND SUBSIDIARIES

UNAUDITED RECONCILIATION OF NON-GAAP MEASURES PRESENTED IN EARNINGS RELEASE

(Dollars in thousands, except per share data)



Three Months Ended



Twelve

Months Ended



December 31,



September 30,



December 31,



2021



2020



2021



2021



2020

Total non-interest income

$

3,863





$

3,412



$

3,712





$

16,783





$

14,447



Gain on sale of securities



(254

)





-





(181

)





(621

)





(129

)

Gain on equity securities



-







-





-







(239

)





(242

)

Gain on sale of Visa Class B Stock



-







-





-







(1,811

)





-



Gain on sale of fixed assets



-







-





-







-







(102

)

Gain on redemption of bank-owned life insurance



-







-





-







-







(820

)

Adjusted non-interest income

$

3,609





$

3,412



$

3,531





$

14,112





$

13,154



Total non-interest expense

$

11,953





$

10,293



$

10,398





$

42,966





$

40,281



One-time executive retirement benefits



(1,553

)





-





-







(1,553

)





-



Adjusted non-interest expense

$

10,400





$

10,293



$

10,398





$

41,413





$

40,281



Net income as reported

$

3,071





$

3,297



$

4,069





$

15,619





$

14,194



Total adjustments, net of tax1



960







-





(134

)





(826

)





(1,170

)

Adjusted net income

$

4,031





$

3,297



$

3,935





$

14,793





$

13,024



Basic earnings per share

$

0.71





$

0.76



$

0.94





$

3.59





$

3.25



Total adjustments, net of tax1



0.22







-





(0.03

)





(0.19

)





(0.27

)

Adjusted basic earnings per share

$

0.93





$

0.76



$

0.91





$

3.40





$

2.98




(1) The effective tax rate of 26.1% is used to determine net of tax amounts.

FIRST FARMERS AND MERCHANTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS








(unaudited)







December 31,

December 31,



(dollars in thousands, except per share data)



2021



2020(1)

ASSETS

Cash and due from banks



$

19,791



$

29,126



Interest-bearing deposits



75,065



105,470



Federal funds sold



8,374



3,774



Total cash and cash equivalents



103,230



138,370



Securities:







Available-for-sale



876,987



594,649



Held-to-maturity (fair market value $15,932 and $18,195







as of the periods presented)



15,128



17,259





Equity securities



2,481





2,242



Loans held-for-sale



2,197



3,679



Loans, net of deferred fees



886,891



964,695



Allowance for loan and lease losses



(9,605

)

(9,715

)

Net loans



877,286



954,980



Bank premises and equipment, net



32,627



34,421



Bank-owned life insurance



35,354



34,016



Goodwill



9,018



9,018



Other assets



18,430



13,511





TOTAL ASSETS



$

1,972,738





$

1,802,145



LIABILITIES

Deposits:





Noninterest-bearing



$

522,725



$

427,073



Interest-bearing



1,268,481



1,181,101



Total deposits



1,791,206



1,608,174



Securities sold under agreements to repurchase



-



11,691





Accounts payable and accrued liabilities



22,901





22,286





TOTAL LIABILITIES



1,814,107





1,642,151



SHAREHOLDERS’

Common stock - $10 par value per share, 8,000,000 shares









EQUITY

authorized; 4,317,306 and 4,359,738 shares issued









and outstanding as of the periods presented



43,173





43,597



Retained earnings



119,507



108,761



Accumulated other comprehensive (loss) income



(4,144

)

7,541



Total shareholders’ equity attributable to First Farmers and Merchants Corporation



158,536



159,899



Noncontrolling interest - preferred stock of subsidiary



95



95



TOTAL SHAREHOLDERS’ EQUITY



158,631



159,994









TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY



$

1,972,738





$

1,802,145




(1) Derived from audited financial statements as of December 31, 2020.

FIRST FARMERS AND MERCHANTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(unaudited)


Three Months Ended

December 31,



Twelve Months Ended

December 31,



(dollars in thousands, except per share data)

2021



2020



2021



2020

INTEREST AND

Interest and fees on loans

$

9,600



$

10,078



$

38,491





$

40,316

DIVIDEND

Income on investment securities









INCOME

Taxable interest

2,016



1,130



6,789





4,852

Exempt from federal income tax

521



480



2,169





1,985

Interest from federal funds sold and other

14



36



88





170



Total interest income

12,151



11,724



47,537





47,323

INTEREST

Interest on deposits

400



847



2,380





3,750

EXPENSE

Interest on other borrowings

-



8



1





44

Total interest expense

400



855



2,381





3,794

Net interest income

11,751



10,869



45,156





43,529

Provision (provision credit) for loan and lease losses

-



-



(150

)



700



Net interest income after provision

11,751



10,869



45,306





42,829

NON-INTEREST

Mortgage banking activities

327



419



1,442





1,362

INCOME

Trust services fee income

1,029



931



4,045





3,643



Service fees on deposit accounts

1,840



1,696



7,093





6,617

Investment services fee income

85



79



341





371

Earnings on bank-owned life insurance

165



136



554





551

Gain on sale of investments

254



-



621





129



Gain on redemption of bank-owned life

insurance

-



-



-





820



Gain on sale of Visa class B stock

-



-



1,811





-

Other non-interest income

163



151



876





954



Total non-interest income

3,863



3,412



16,783





14,447

NON-INTEREST

Salaries and employee benefits

7,925



6,237



26,499





24,229

EXPENSE

Net occupancy expense

623



572



2,699





2,478

Depreciation expense

526



514



2,033





2,074

Data processing expense

786



770



3,034





3,132



Software support and other computer expense

667



664



2,875





2,554

Legal and professional fees

220



245



794





927

Audits and exams expense

116



194



637





726

Advertising and promotions

244



302



1,004





894

FDIC insurance premium expense

171



131



636





365

Other non-interest expense

675



664



2,755





2,902

Total non-interest expense

11,953



10,293



42,966





40,281

Income before provision for income taxes

3,661



3,988



19,123





16,995



Provision for income taxes

582



683



3,488





2,785

Net income

3,079



3,305



15,635





14,210

Noncontrolling interest - dividends on preferred stock subsidiary

8



8



16





16



Net income available to common shareholders

$

3,071



$

3,297



$

15,619





$

14,194



















Weighted average shares outstanding

4,326,090



4,359,738



4,345,665





4,363,539



Earnings per share

$

0.71



$

0.76



$

3.59





$

3.25

FIRST FARMERS AND MERCHANTS CORPORATION AND SUBSIDIARIES

CONSOLIDATED FINANCIAL HIGHLIGHTS

(unaudited)


For the Three Months Ended

(dollars in thousands, except per share data)

December 31,
2021



September 30,
2021



June 30,
2021



March 31,
2021



December 31,
2020

Results of Operations:




















Interest income

$

12,151






$

12,143





$

11,872





$

11,371





$

11,724



Interest expense

400






517





686





778





855



Net interest income

11,751






11,626





11,186





10,593





10,869



Provision (provision credit) for loan and lease losses

-






-





-





(150

)



-



Non-interest income

3,863






3,712





5,658





3,550





3,412



Non-interest expense and non-controlling interest – preferred stock of subsidiary

11,961






10,398





9,933





10,690





10,301



Income before income taxes

3,653






4,940





6,911





3,603





3,980



Income taxes

582






871





1,435





600





683



Net income for common shareholders

$

3,071






$

4,069





$

5,476





$

3,003





$

3,297



Per Share Data:




















Basic earnings per share

$

0.71






$

0.94





$

1.26





$

0.69





$

0.76



Weighted average shares outstanding per quarter

4,326,090






4,340,048





4,357,546





4,359,405





4,359,738



Financial Condition Data and Ratios:




















Total securities

$

894,596






$

848,223





$

785,606





$

828,466





$

614,150



Loans, net of deferred fees

$

886,891






$

903,234





$

908,510





$

927,232





$

964,695



Allowance for loan and lease losses

$

(9,605

)




$

(9,590

)



$

(9,581

)



$

(9,575

)



$

(9,715

)

Total assets

$

1,972,738






$

1,920,554





$

1,878,942





$

1,879,018





$

1,802,145



Total deposits

$

1,791,206






$

1,736,614





$

1,695,990





$

1,706,177





$

1,608,174



Net interest income, on a fully taxable-equivalent basis

$

12,013






$

11,899





$

11,484





$

10,841





$

11,115



Net interest margin

2.62

%




2.63

%



2.60

%



2.55

%



2.69

%






















Asset Quality Data and Ratios:




















Total nonperforming assets

$

1,217






$

1,579





$

1,347





$

1,546





$

1,560



Nonperforming assets to total assets

0.06

%




0.08

%



0.07

%



0.08

%



0.09

%

Allowance for loan and lease losses to total loans

1.08

%




1.06

%



1.05

%



1.03

%



1.01

%

Net (recoveries) charge-offs to average loans (annualized)

0.00

%




0.00

%



0.00

%



0.00

%



(0.01

%)