Fuse Science Inc (DROP)

[Jellyfish]

Fuse IR - Answers as permitted below.

Many of these are questions are subjective and as a result, the answers may not be as comprehensive.

Also, if we have not commented publicly on a topic, I will be unable to comment in the email on the subject.

Thanks for your interest and support.

Sincerely,



Main Office: (305) 503-FUSE (3873)
IR: [phone], ext. 2
Fax: [phone]
6135 NW 167th Street
Suite E-21
Miami Lakes, FL 33015

1. Some shareholders who bought into Fuse at .50, .30, or even .20 are quite frustrated with the way this stock has performed over the summer. While I understand that "it is the sole objective of management and your board of directors to create sustainable long-term shareholder value", what can you say to frustrated investors who feel like they will never get their initial investment back? Why does Fuse think the stock price has performed so badly as of late and what will it take to get back to the levels that we saw early in the year?

A: We have no control over the daily/weekly trading. Our focus is on the execution of our long-term business plan and if successful, we believe we will provide shareholders with significant value.

2. Does the Fuse Science management team feel that this year has been a success or failure? What has been your hardest thing to get done, what do you feel has been your greatest success, and what has surprised Fuse management the most this year?

A: As Brian stated in the press release today:"First, we must point out that Fuse’s executive team, including its majority independent board of directors have a proven breadth of experience which rivals the best of companies, ranging from start-ups to those in the Fortune 50. Their unwavering commitment over the past 15 months has advanced our company from a conceptual idea, with limited capital and theoretical IP -to a real company, with real science, real IP, real products, and a real platform for immediate and future growth."

So yes, in my opinion, it has been a successful year so far.

3. Does Fuse Science feel that you have partnered with too many athletes too fast? Have these athlete partnerships caused a significant amount of dilution to the stock or cost Fuse Science a significant amount of money to land these superstars? What exactly have these athletes done to promote Fuse Science?

A: I think we have done a tremendous job partnering with these world-class athletes. These professionals understand the long-term value and technology attributes we are bringing to the market.

4. How does Fuse Science feel that they have handled "raising capital" this year? Have shareholders been held hostage to unnecessary dilution? Are there any better ways to raise the necessary capital needed than to dilute "long-holding" shareholders who have been with you from the beginning?

A: We are very cognizant of our capital structure and maintain focus on long-term shareholder value in our capital raising needs.

5. Some feel that the Macular Health LOI is distracting and not a significant enough of a deal to matter. Why isn't more time and money being spent to get the PowerFuse and ElectroFuse drops out first and will the Macular Health partnership bring in any significant revenues?

A: We have not publicly discussed any revenue topics regarding our relationship with Macular Health. Additional updates on our Drop Technology is forthcoming.

6. Could you explain how Fuse Science came to acquire your "ground-breaking and game-changing" transdermal delivery system? How is Fuse's delivery system any different than the many others out there? Why would any pharma company be interested in Fuse's system and can Fuse Science really compete with all the big players in this industry?

A: Please refer to our 10K and S-1 filings for additional information on the genesis of our IP and our addressable markets.

7. When does Fuse Science expect to become a profitable company? When shall shareholders start seeing any significant types of revenues coming in? Do you have any future projections of how Fuse Science thinks EnerJel, PowerFuse, and ElectroFuse will sell.

A: We have not provided any public information on guidance or forecasted revenues.

8. Why are you spending so much time and money on scientific research and so many different "test cells"? Why not just try to be a sports nutrition and supplement company first? Why not get the "Drops" launched and then worry about other scientific advances later? Can you really be both a sports nutrition and supplement company and a major player in the biotech sector as well?

A: Additional info is provided in our filings, but here's an excerpt:

Fuse is a life sciences company which has developed and maintains the rights to sublingual and transdermal delivery systems for the efficient delivery to humans of energy, medicines, vitamins and minerals. We believe that these technologies will provide a wide array of solutions to common problems encountered with internal consumption. The strength of our proprietary technology is based on our advancement in molecular encapsulation, which we believe opens a new window of formulation capabilities with our delivery systems.

We plan to commercialize our proprietary technology through a dual strategy:

· The commercialization of select sports nutrition and performance products which showcase the efficacy and ease of use of the products to consumers leveraging the voice of and endorsement partnerships with prominent athletes to drive brand and product awareness; and

· Targeted licensing of the proprietary technology into major over-the-counter (“ OTC ”) and pharmaceutical product categories in which we believe the delivery system offers superior product efficacy and efficiency of consumption.

The Company is in the initial launch phase of its sports nutrition and performance products, beginning with the commercial online launch on December 30, 2011 of EnerJel™, a transdermal product designed to address muscle fatigue and soreness, before, during and after physical activity. Simultaneously, the Company is focusing on commercializing additional products in the sports nutrition category as well as undertaking its OTC and pharmaceutical licensing efforts beginning with analgesic, hypoglycemic, and hyperglycemic platforms. We believe that this will provide a foundation for our long-term strategy to deliver significant shareholder value.

9. How has your social media advertising campaign worked out so far? Are you happy with how it has progressed? With only a little over 3,000 likes on Facebook and less than 3,000 Twitter followers has the social media advertising campaign been a failure?

A: Social media certainly is a valuable tool for our products exposure and we will continue to build on what I believe is a solid foundation.

10. Why aren't all these athletes promoting Fuse Science better? Are these athletes going to be featured on ads online, in magazines, in newspapers, or on TV? How are you utilizing all your athlete endorsements to maximize sales?

A: We have every intention of developing additional marketing initiatives with our professional athletes.

11. Is a reverse stock split off the table? Is this something that Fuse has thought about?

A: It has never been publicly discussed.

12. Could you please provide the number of outstanding shares that are issued as well as the share float?

A: The outstanding shares can be found on the first or second page of our 10Q's an 10K. As of 8/13/12 we had 145,548,876 shares out and approximately 85MM in the float was the last public figure released.

13. Why has it taken so long to get your Fuse Science shirts and apparel available for sale online? Haven't you missed out on great advertising and potential revenues by not having them for sale? We have seen the Fuse Science athletes wearing these shirts for almost a year now so why can't Fuse Science shareholders, fans, and customers purchase any?

A: Work in progress.

14. Why has Fuse Science been so secretive with the PowerFuse and ElectroFuse launch? How come no investors know exactly what these products will look like, how they will be packaged and administered, and what they will sell for? Will PowerFuse be similar to a 5 hour energy shot? Will ElectroFuse be similar to Vitamin Water? Will you have to mix the drops with anything? Will the drops come in different flavors? Isn't it asking a lot of faith in shareholders to invest in this company when no details have been released for a product that is going to be launched soon?

A: TBA, we will provide comprehensive information on the Drop products as we get closer to sampling/launch

15. Does Fuse Science ever need people to help with promoting products? Does Fuse ever plan to have people go to races, cycling competitions, tennis tournments, swimming meets, other sporting activities, or industry trade shows to promote Fuse? And if you do need people to get the word out how would they contact Fuse Science?

A: Work in progress.