Ann: Appendix 4C - quarterly, page-4

After reading the “Quarterly Review”, you’d be hard pressed to believe you were reading about the same Company we have been associated with in the past. And you’d be right! It appears to be substantially different from what we had become (sadly) accustomed to.

This Review and Update is more than different…… it is a TOTAL change and heralds positive confirmation, of a new and enhanced direction for the company.

"Cash receipts from customers of $2.m, up 28% on prior quarter". – very solid.

"Cash as at 30 June of $1.35m, an increase of 40% on the prior quarter" – this is indeed a first for the company by a LONG way.

The benefits of the July 2017 “cost restructuring” has proven to be a real winner in such a short period of time.

The foray of JHL owned MC2U into the NZ market, will herald the beginning of a global roll-out of P2U and BluePoint in countries when, (as a matter of process) they begin to support and legislate the restricted availability & dispensing of MC.

JHL is now perfectly positioned to maximize the global wave of MC acceptance. Systems, programming, kiosks and MC product will naturally compliment the global MC market as CBD / THC medically approved products become more and more accepted by governments and their regulatory bodies.

In Aust, “the company received a number of hospital installation orders for its Enlighten patient workflow platform….” Despite the hospital originated delays, the orders are there. Good job!

The largest positive impact on the company is its recent License Agreement with MediCann NZ Ltd to commercialize JHL technology as a means to distribute cannabis medical products prescribed to patients in New Zealand. The immediate benefits for shareholders can be seen via the dramatic 100+% increase in share price following the July 10^th announcement.

Time will see this agreement facilitate the rollout in other countries where MC is in the process of Regulator acceptance. This would include several States in the US, Canada, Europe and the UK. The potential market is massive, so too are the potential returns for shareholders as the roll-out gathers momentum.

My understanding is that currently JHL have kiosk screens in 68% of UK’s GP clinics. This gives JHL an immediate ‘in’ for these clinics for MC2U roll-out of P2U and Bluepoint remote dispensing when cannabis products and services are approved for patients across the UK.

I am somewhat staggered but very pleased with this unforeseen turnaround in the prospects that lay ahead for this company. Those who are yet to get up to speed with the growing global acceptance of MC, particularly in Western jurisdictions, run the risk of being left behind and missing riding the large wave of profits that lay ahead.

By the way, the announced additional 335,169 shares acquired by (Jayex Chairman) Michael Boyd’s Covenant Holdings is very positive IMO. I am always pleased to see Directors putting their hands in their own pockets, especially in this instance where Boyd currently holds a proverbial truckload of stock. Well done Michael and congrats on this excellent Quarterly Review / Update……… extremely promising future.


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