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MMMQA

01/22/19 3:23 PM

#6614 RE: Aunt Fannie #6607

The foundations laid in the first and second quarter led to a very productive third quarter for Vystar. The Company assimilated the two acquired assets NHS and RXAIR and worked hard to build the product lines. NHS added a new line of pillows, covered toppers and recently launched the Vytex Cloud Bed in Box line with three models. Management believes this product category will yield substantial new revenues and profits in the near and long term becoming a major revenue component of Vystar. The mattresses are being produced in the USA so we see no issues with tariffs that are affecting so many in the bedding world. We are capable of high-speed production and management sees no barrier to ramping sales. Management believes our product offerings in this category to be better priced and made of higher quality materials than any of the competition in this space, providing current and increased future revenues. The websites Vytexbed.com and Vytexcloud.com should be ready to launch in the next few weeks and will include Vytex mattress toppers as well as our new pillows. We have also added some enhanced tools to our sites such as, integrated shipping and tracking software improving the customer’s experience.



Management believes this product line will have a significant impact on revenues and profits going forward. We made excellent progress on the “RXAIR” air purifiers, manufacturing of the first of four containers has been shipped and is due on November 26 th . We made some modifications to the unit; higher quality bulbs, an additional upsell replacement cartridge that will last two years vs. one, and error checking software allowing us to better service our customers. The new RXAIR.com website is ready and a significant addition to our online sale’s intellectual property portfolio. In keeping with management's promise to grow through acquisitions, management spent considerable time working on two new potential acquisitions. Vystar expanded retail and wholesale product offerings where higher margins exist, on the company's patented Vytex latex.