GLORIETTA MANAGEMENT GROUP | 9219 INDUSTRY WAY | ADELANTO, CA 92301800.514.3860 | WWW.GLORIETTAMG.COM

Consolidated pro-forma finanCials ofGlorietta manaGement Group & Bay View farmstHe finanCial foreCasts are prepared Based on tHe followinG assumptions:

- 5,300 Plants- 4 Ounces per plant- $1,000 per pound

pro forma profit and loss

year 1 year 2 year 3Revenue $0 $6,674,194 $10,158,900Cost of Revenue $56,800 $4,334,801 $5,535,989

Gross Profit ($56.800) $2,339,392 $4,622,911Gross Profit Margin 0% 35.05% 45.51%

Operating Expenses Accounting/Legal $18,000 $18,000 $18,000 Insurance $12,000 $12,000 $12,000Total Operating Expenses $30,000 $30,000 $30,000

operating profit ($86,800) $2,309,392 $4,592,911Taxes $0.0 $692,818 $1,377,873

280(e) Expenses Accounting/Legal $0 $3,000 $3,000 Insurance $0 $12,000 $12,000 Office Misc. $0 $6,000 $6,000Total 280(e) Expenses $0 $21,000 $21,000

net profit ($86,800) $1,595,575 $3,194,038Net Profit Margin 0% 23.91% 31.44%

use of Capital ConstruCtion Cost- Develop property and build a state of the art greenhouse facility including all internal components.

operatinG Cost - Cover monthly overhead until funds from operation cover budgetary requirements.

THIS MATERIAL DOES NOT CONSTITUTE AN OFFER AND IS FOR GENERAL INFORMATIONAL PURPOSES ONLY. AN OFFER CAN ONLY BE MADE AFTER SUITABILITY IS VERIFIED AND THE PRIVATE PLACEMENT MEMORANDUM HAS BEEN DELIVERED AND REVIEWED IN ITS ENTIRETY.

California marketplaCe

& Consolidated finanCials

California market summary2017 Legal Status .........................Adult Use and MedicalAdult Use Begins .....................................................20182017 Population ........................................... 39.6 Million2017 Legal Spending ............................. $2,994.4 Million2021 Legal Spending ............................. $7,742.5 Million

Source: Arcview Market Research

startup assets

Building .........................................................$2,471,689Equipment .......................................................$285,723Land Improvements ..........................................$279,725Deposits ...............................................................75,000total startup assets ...................................$3,112,137

startup eXpenses

Expenses to Date ..............................................$190,835

total reQuirements

Expenses to Date ..............................................$190,835Total Startup Assets .......................................$3,112,137total requirements ....................................$3,302,972

startup liaBilities

Liabilities .....................................................................$0 Current Borrowings ...................................................$0

startup inVestments

Capital Raised to Date ...................................$1,706,460Remaining Investment ...................................$3,293,540total planned investment ..........................$5,000,000

startup fundinG

Total Liabilities .............................................................$0Total Planned Investment ...............................$5,000,000total funding ..............................................$5,000,000

tHe California leGal CannaBis market is eXpeCted to Grow at a 32% Compounded annual rate Between 2017 and 2021.