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Tuesday, 07/17/2018 8:24:38 AM

Tuesday, July 17, 2018 8:24:38 AM

Post# of 451
July 17, 2018, Lifestyle Delivery

Systems Inc. (CSE: LDS), (OTCQX: LDSYF), (Frankfurt: LD6, WKN: A14XHT)

("LDS" or the "Company") announces that its affiliate, CSPA Group, Inc.

("CSPA"), has received over CAD$200,000 (two hundred thousand dollars) in

revenue during the last week of June 2018.

The revenue was associated with sales of extracted distillate in the last

week of June 2018 marking the beginning of white label distillate

production. The Company has redesigned all of its packaging for Rêveur and

CannaStripsTM to meet the latest California regulations which went into

effect on July 1, 2018. The new packaging for Rêveur arrived on July 10,

2018, and CSPA estimates that repackaging of the inventory will be completed

by July 18, 2018. The new CannaStripsTM packaging is scheduled to arrive

during the last week of July 2018 at which time the production of

CannaStripsTM with their new flavours and advanced formulae will begin. The

Company will have updates as information becomes available.

Extension of Financial Milestones for Escrow Agreements

In addition, on June 28, 2018, the Company's Board of Directors resolved to

extend the deadline for satisfying certain financial milestones set out

under the terms of its escrow agreements with the former shareholders of

Canna Delivery Systems Inc. ("Canna"). Under the terms of the escrow

agreements, a total of 7,800,000 common shares issued to the former

shareholders of Canna (the "Performance Shares") were held in escrow,

subject to release upon the Company achieving certain financial milestones

by June 30, 2018 (as amended on December 29, 2017). The Company has agreed

to extend the deadline for satisfying the financial milestones until

September 30, 2018. As of the date of this news release, a total of

2,100,000 Performance Shares remain subject to escrow, of which 840,000

Performance Shares are held by the Company's CEO, Brad Eckenweiler.