Smart Cannabis Corp. (SCNA)

[DieselJoe]

(4) During the first half of 2017, the company completed the stock exchange from ownership and
management change in October 2016. The company cancelled 4,150,000 common shares from previous
ownership and re-issued those restricted shares to company officers and additional shareholders. In addition, the
company cancelled 440,000 shares of preferred stock from previous management and re-issued 440,000 shares of
preferred stock to company officers.

The company has set aside 205,000,000 common shares as compensation for key personnel. The shares will be vested and issued on or about November 1, 2017

Quarterly Report Submitted 8/14/2017