<SEC-DOCUMENT>0001477932-18-004795.txt : 20181010
<SEC-HEADER>0001477932-18-004795.hdr.sgml : 20181010
<ACCEPTANCE-DATETIME>20181010165325
ACCESSION NUMBER:		0001477932-18-004795
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20181010
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20181010
DATE AS OF CHANGE:		20181010

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Loop Industries, Inc.
		CENTRAL INDEX KEY:			0001504678
		STANDARD INDUSTRIAL CLASSIFICATION:	CHEMICALS & ALLIED PRODUCTS [2800]
		IRS NUMBER:				272094706
		STATE OF INCORPORATION:			NV
		FISCAL YEAR END:			0228

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-38301
		FILM NUMBER:		181116433

	BUSINESS ADDRESS:	
		STREET 1:		480 FERNAND POITRAS
		CITY:			TERREBONNE
		STATE:			A8
		ZIP:			J6Y 1Y4
		BUSINESS PHONE:		781-821-6600

	MAIL ADDRESS:	
		STREET 1:		480 FERNAND POITRAS
		CITY:			TERREBONNE
		STATE:			A8
		ZIP:			J6Y 1Y4

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	FIRST AMERICAN GROUP INC.
		DATE OF NAME CHANGE:	20101101
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>loop_8k.htm
<DESCRIPTION>FORM 8-K
<TEXT>
<html><head><title>loop_8k.htm</title><!--Document Created by EDGARMaster--></head><BODY spellcheck="true" style="text-align:justify;font:10pt TIMES NEW ROMAN;margin:0px 7%"><p style="MARGIN: 0px" align="center"> <table style="FONT-SIZE: 1px" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td> <div style="HEIGHT: 4px; WIDTH: 100%; BACKGROUND: #000000; MARGIN: 0px 0px 2px" name="hrule"></div> <div style="HEIGHT: 2px; WIDTH: 100%; BACKGROUND: #000000" name="hrule"></div></td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center"><font size="3"><b>UNITED STATES</b></font></p> <p style="MARGIN: 0px" align="center"><font size="3"><b>SECURITIES AND EXCHANGE COMMISSION</b></font></p> <p style="MARGIN: 0px" align="center"><font size="3"><b>Washington, D.C. 20549</b></font></p> <p style="MARGIN: 0px" align="center">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b><font size="5">FORM 8-K</font></b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>CURRENT REPORT</b></p> <p style="MARGIN: 0px" align="center"><b>Pursuant to Section 13 or 15(d) of</b></p> <p style="MARGIN: 0px" align="center"><b>The Securities Exchange Act of 1934</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center">Date of Report (Date of earliest event reported)</p> <p style="MARGIN: 0px" align="center"><b>October 10</b><b>, 2018</b></p> <p style="MARGIN: 0px">&nbsp;</p> <table style="TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="55%" align="center" border="0"> <tr height="15"> <td style="BORDER-BOTTOM: 1px solid" valign="top" width="34%"> <p style="MARGIN: 0px" align="center"><b><font size="5">LOOP INDUSTRIES, INC.</font></b></p></td></tr> <tr height="15"> <td valign="top" width="34%"> <p style="MARGIN: 0px" align="center">(Exact name of registrant as specified in its charter)</p></td></tr></table> <p style="MARGIN: 0px">&nbsp;</p> <table style="TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="85%" align="center" border="0"> <tr height="15"> <td style="BORDER-BOTTOM: 1px solid" valign="top" width="21%"> <p style="MARGIN: 0px" align="center"><b>Nevada</b></p></td> <td valign="bottom" width="4%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="top" width="21%"> <p style="MARGIN: 0px" align="center"><b>000-54786</b></p></td> <td valign="bottom" width="4%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="top" width="21%"> <p style="MARGIN: 0px" align="center"><b>27-2094706</b></p></td></tr> <tr height="15"> <td valign="top" width="21%"> <p style="MARGIN: 0px" align="center">(State or other jurisdiction</p> <p style="MARGIN: 0px" align="center">of incorporation)</p></td> <td valign="bottom" width="4%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="top" width="21%"> <p style="MARGIN: 0px" align="center">(Commission</p> <p style="MARGIN: 0px" align="center">File Number)</p></td> <td valign="bottom" width="4%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="top" width="21%"> <p style="MARGIN: 0px" align="center">(IRS Employer</p> <p style="MARGIN: 0px" align="center">Identification No.)</p></td></tr></table> <p style="MARGIN: 0px" align="center">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>480 Fernand-Poitras</b></p> <p style="MARGIN: 0px" align="center"><b><u>Terrebonne, Quebec, Canada, J6Y 1Y4</u></b></p> <p style="MARGIN: 0px" align="center">(Address of principal executive offices, including zip code)</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b><u>(450) 951-8555</u></b></p> <p style="MARGIN: 0px" align="center">(Registrant&#8217;s telephone number, including area code)</p> <p style="MARGIN: 0px" align="center">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b><u>Not Applicable</u></b></p> <p style="MARGIN: 0px" align="center">(Former name or former address, if changed since last report)</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><font face="Wingdings">o </font>Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><font face="Wingdings">o </font>Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><font face="Wingdings">o </font>Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><font face="Wingdings">o </font>Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (&#167;230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (&#167;240.12b-2 of this chapter).</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">Emerging growth company <font face="Wingdings"><font style="FONT-FAMILY: Wingdings">&#168;</font></font></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. <font face="Wingdings"><font style="FONT-FAMILY: Wingdings">&#168;</font></font></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"> <table style="FONT-SIZE: 1px" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td> <div style="HEIGHT: 2px; WIDTH: 100%; BACKGROUND: #000000; MARGIN: 0px 0px 2px" name="hrule"></div> <div style="HEIGHT: 4px; WIDTH: 100%; BACKGROUND: #000000" name="hrule"></div></td></tr></table></p> <p style="MARGIN: 0px"> <table class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>Item 2.02. Results of Operations and Financial Condition</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px; TEXT-INDENT: 45px" align="justify">On October 10, 2018, Loop Industries, Inc. (the &#8220;Company&#8221;) issued a press release announcing its financial results for the second quarter of fiscal year ending February 28, 2019. A copy of the Company&#8217;s press release is attached hereto as Exhibit 99.1.</p> <p style="MARGIN: 0px; TEXT-INDENT: 45px" align="justify">&nbsp;</p> <p style="MARGIN: 0px; TEXT-INDENT: 45px" align="justify">The information in this Form 8-K (including Exhibit 99.1) shall not be deemed &#8220;filed&#8221; for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the &#8220;Exchange Act&#8221;), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>Item 9.01. Financial Statements and Exhibits.</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>(d) Exhibits.</b></p> <p style="MARGIN: 0px">&nbsp;</p> <table style="TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr height="15"> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="8%"> <p style="MARGIN: 0px"><b>Exhibit Number</b></p></td> <td valign="top" width="2%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="top" width="74%"> <p style="MARGIN: 0px"><b>Description</b></p></td></tr> <tr height="15" bgcolor="#cceeff"> <td valign="top" width="8%"> <p style="MARGIN: 0px"><a href="loop_ex991.htm">99.1</a></p></td> <td valign="top" width="2%"> <p style="MARGIN: 0px" align="justify">&nbsp;</p></td> <td valign="top" width="74%"> <p style="MARGIN: 0px"><a href="loop_ex991.htm">Press Release, dated October 10, 2018</a></p></td></tr></table> <p style="MARGIN: 0px" align="center"><br> <table id="pagebreake2e407bb-694c-4a27-9840-17d9838cdcec" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid; TEXT-ALIGN: center">2</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>SIGNATURES</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</p> <p style="MARGIN: 0px">&nbsp;</p> <table style="TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr height="15"> <td valign="top"> <p style="MARGIN: 0px">&nbsp;</p></td> <td colspan="2"> <p style="MARGIN: 0px"><b>LOOP INDUSTRIES, INC.</b></p></td> <td></td></tr> <tr height="15"> <td valign="top" width="50%"></td> <td width="3%">&nbsp;</td> <td valign="top" width="35%"></td> <td width="12%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr height="15"> <td valign="top"> <p style="MARGIN: 0px">Date: October 10, 2018</p></td> <td> <p style="MARGIN: 0px">By: </p></td> <td style="BORDER-BOTTOM: 1px solid" valign="top"> <p style="MARGIN: 0px"><em>/s/ Frank Zitella</em></p></td> <td></td></tr> <tr height="15"> <td valign="top"></td> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="top"> <p style="MARGIN: 0px">Frank Zitella</p></td> <td></td></tr> <tr height="15"> <td valign="top"></td> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="top"> <p style="MARGIN: 0px" align="left">Chief Financial Officer and Treasurer (principal accounting officer and principal financial officer)</p></td> <td></td></tr></table> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"> <table class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td style="BORDER-BOTTOM: black 1px solid; TEXT-ALIGN: center">3</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p></BODY><!--Document Created by EDGARMaster--></html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>loop_ex991.htm
<DESCRIPTION>PRESS RELEASE
<TEXT>
<html><head><title>loop_ex991.htm</title><!--Document Created by EDGARMaster--></head><BODY spellcheck="true" style="text-align:justify;font:10pt TIMES NEW ROMAN;margin:0px 7%"><p style="MARGIN: 0px" align="right"><b>&nbsp; EXHIBIT 99.1</b></p> <p style="MARGIN: 0px">&nbsp;</p><b> <p><img src="doc1_ex991img2.jpg"></p></b> <p style="MARGIN: 0px" align="center"><b>Loop Industries Reports Second Quarter of Fiscal 2019 Consolidated Results </b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="center"><em>Announced joint venture with Indorama Ventures to manufacture and commercialize Loop&#8217;s technology</em></p> <p style="MARGIN: 0px" align="center"><em></em>&nbsp;</p> <p style="MARGIN: 0px 0px 0px 42.55pt; TEXT-INDENT: 0px" align="center"><i>Announced multi-year supply agreement with Pepsico for Loop branded 100% sustainable plastic from Loop&#8217;s joint venture facility in the United States</i></p><em></em> <p style="MARGIN: 0px" align="center"><em></em>&nbsp;</p> <p style="MARGIN: 0px" align="center"><i>Completed agreement with Gatorade to help make Gatorade Gx packaging more sustainable</i></p> <p style="MARGIN: 0px" align="center"><em></em>&nbsp;</p> <p style="MARGIN: 0px" align="center"><i>Signed letter of intent with L&#8217;Or</i><i>&#233;al Group to expand Loop&#8482; PET into cosmetics sector</i></p> <p style="MARGIN: 0px" align="center"><em></em>&nbsp;</p><b> <p style="MARGIN: 0px 0px 0px 0in" align="justify"><b>Montreal, Quebec, October 10, 2018 (GLOBE NEWSWIRE)</b> -- Loop&#8482; Industries, Inc. (NASDAQ: LOOP) (the &#8220;Company&#8221; or &#8220;Loop&#8221;), a leading technology innovator in sustainable plastic resin and polyester, today announced financial results for its second quarter of fiscal 2019, ended August 31, 2018. </p></b> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">&#8220;We continued to pick up momentum throughout the second quarter by executing against Loop&#8217;s strategic business goals,&#8221; said Daniel Solomita, Loop&#8217;s Founder and CEO. &#8220;We successfully finalized a 50:50 joint venture to commercialize our breakthrough technology with Indorama Ventures, finalized a multi-year agreement with PepsiCo to supply them with Loop branded PET and have also made significant progress securing subscriptions from leading global consumer goods companies for the balance of the production capacity from our first facility. Moreover, we established new relationships that expand the breadth of sectors seeking to close the loop on their plastic, including with L&#8217;Oreal and Gatorade Gx.&#8221;</p> <p style="MARGIN: 0px">&nbsp;</p> <table style="WIDTH: 100%; TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td valign="bottom"> <p style="MARGIN: 0px"><b>Financial Highlights</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" colspan="6" align="center"> <p style="MARGIN: 0px" align="center"><b>Three months ended </b></p> <p style="MARGIN: 0px" align="center"><b>August 31,</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" colspan="6" align="center"> <p style="MARGIN: 0px" align="center"><b>Six months ended </b></p> <p style="MARGIN: 0px" align="center"><b>August 31,</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td></tr> <tr> <td valign="bottom"> <p style="MARGIN: 0px" align="left">(in US dollars, except per share information)</p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center">2017</p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px" align="center">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center">2017</p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Revenues</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>-</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>-</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Research and development expenses</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>1,066,292</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">950,775</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>2,132,371</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">1,447,309</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">General and administration expenses</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>2,394,398</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">1,081,634</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>4,749,948</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">1,971,216</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Depreciation and amortization</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>110,589</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">91,774</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>211,658</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">182,261</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Interest expense</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>13,321</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>26,234</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Foreign exchange (gain) loss </p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right"><b>(46,190</b></td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">52,529</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right"><b>(52,271</b></td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">98,268</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Total operating expenses</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right"><b>3,538,410</b></td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">2,176,712</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right"><b>7,067,940</b></td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">3,699,054</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Net loss</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 3px double" valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" style="BORDER-BOTTOM: 3px double" valign="bottom" width="9%" align="right"><b>(3,538,410</b></td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: 3px double" valign="bottom" width="9%" align="right">(2,176,712</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 3px double" valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" style="BORDER-BOTTOM: 3px double" valign="bottom" width="9%" align="right"><b>(7,067,940</b></td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: 3px double" valign="bottom" width="9%" align="right">(3,699,054</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Basic and diluted loss per share</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>(0.10</b></td> <td valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">(0.07</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>(0.21</b></td> <td valign="bottom" width="1%"><b>)</b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">(0.11</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Net cash used in operating activities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>1,737,562</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">1,285,846</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>3,908,623</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">2,269,615</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Net cash used in investing activities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>512,654</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">112,549</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"><b>$</b></td> <td id="ffcell" valign="bottom" width="9%" align="right"><b>1,104,970</b></td> <td valign="bottom" width="1%"><b> <p style="MARGIN: 0px">&nbsp;</p></b></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">168,002</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr></table> <p style="MARGIN: 0px">&nbsp; <table id="pagebreak93cb2b81-4423-4e13-89c4-73fc17810146" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page 2 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px"><b>Financial Results for the Second Quarter ended August 31, 2018</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Loop reported a net loss of $3.5 million for the three months ended August 31, 2018 compared to a net loss of $2.2 million for the same period in the prior year. The increase in net loss is primarily due to increased general and administrative expenses of $1.3 million.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Research and development expenses remained relatively stable and amounted to $1.1 million and $1.0 million for the three months ended August 31, 2018 and 2017, respectively. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">General and administrative expenses increased $1.3 million to $2.4 million, compared to $1.1 million for the same period last year. The increase was primarily due to higher employee related expenses of $0.8 million resulting from the increased number of employees as well as a retroactive compensation adjustment associated with the amended employment agreement of the CEO and higher non-cash stock-based compensation expense, in addition to higher legal fees related to commercialization efforts, and consulting and accounting fees of $0.5 million.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Net cash used in operating activities amounted to $1.7 million for the three-month period as compared to $1.3 million for the same period last year. The increase is due primarily to higher operating expenses as mentioned above. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">During the three months ended August 31, 2018, the Company made capital investments of $0.5 million. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>Financial Results for the Six Months Ended August 31, 2018</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Net loss for the six months ended August 31, 2018 increased to $7.1 million from $3.7 million for the same period in the prior year, primarily due to increased research and development expenses of $0.7 million as well as increased general and administrative expenses of $2.8 million.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Research and development expenses for the six months ended August 31, 2018 increased $0.7 million to $2.1 million, compared to the same period in the prior year. The increase was driven primarily by higher non-cash stock-based compensation expense of $0.4 million and higher compensation expense of $0.1 million resulting from the increased number of employees. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">General and administrative expenses for the six months ended August 31, 2018 increased $2.8 million to $4.7 million, compared to the same period last year. The increase was primarily due to higher employee related expenses of $1.3 million, comprised mainly of a retroactive compensation adjustment associated with the amended employment agreement of the CEO as well as non-cash stock-based compensation expense, in addition to higher legal fees related to legal proceedings and commercialization efforts, and consulting, accounting and public company related fees of </p>$1.3 million. <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Net cash used in operating activities amounted to $3.9 million for the six months ended August 31, 2018 as compared to $2.3 million for the same period last year. The increase is due primarily to higher operating expenses as mentioned above. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">During the six months ended August 31, 2018, the Company made capital investments of $1.1 million. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify"><b>Liquidity</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in" align="justify">We are a pre-revenue company and our ongoing operations have been financed by raising new equity capital. We are actively evaluating financing alternatives to continue to execute our growth strategy and commercialize our disruptive technology for sustainable plastic.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"> <table id="pagebreakdc9d1dc7-78cf-4d74-90af-2ed7d9956f5a" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page&nbsp;3 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px"><b>Joint Venture with Indorama Ventures Public Company Limited (IVL)</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">In September 2018, the Company announced a joint venture with a subsidiary of IVL to manufacture and commercialize Loop&#8217;s technology to meet the growing global demand from beverage and consumer packaged goods companies for 100% sustainable recycled PET and polyester fiber. IVL, listed in Thailand (Bloomberg ticker IVL.TB), is one of the world&#8217;s leading petrochemicals producers, with a global manufacturing footprint and consolidated revenue of $ 8.4 billion in 2017. This joint-venture brings together IVL&#8217;s world-class manufacturing footprint and our proprietary science and technology with a goal of becoming a reliable world leader in the circular economy for sustainable and recycled PET resin and polyester fiber. The 50:50 joint venture will have an exclusive world-wide license to retrofit existing facilities and use Loop&#8217;s technology to produce Loop&#8482; PET resin and polyester fiber with plans to begin commercial production in the first quarter of 2020. We expect that production from the facility will be fully subscribed by leading global consumer brands. </p> <p style="MARGIN: 0px">&nbsp;</p><b><b>PepsiCo Secures Multi-Year Supply Agreement for Loop Branded 100% Sustainable Plastic</b></b> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in" align="justify">In October 2018, the Company entered into a multi-year agreement with PepsiCo that will enable them to purchase production capacity from Loop&#8217;s joint venture facility in the United States and incorporate Loop&#8482; PET plastic, which is 100% recycled material, into its product packaging by early 2020. As one of the largest purchasers of recycled PET plastic in the consumer goods space, PepsiCo has identified Loop&#8482; PET as a commercially viable technology to expand the amount of recycled content in its product packaging and help meet its sustainability ambitions and consumer needs. This agreement aligns with PepsiCo&#8217;s Performance with Purpose vision and highlights the company&#8217;s commitment to adopt different and creative approaches to the challenges of plastics and waste. The deal will also include a marketing and communications plan to raise awareness of the importance of recycling, sustainability and the circular economy.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in" align="justify"><b>Making Gatorade GX Packaging More Sustainable</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in" align="justify">In July 2018, the Company announced a new program with Gatorade, a subsidiary of PepsiCo, providing consumers a simple way to return and upcycle used Gatorade Gx pods into products of greater value using Loop&#8217;s upcycling technology. When consumers order their Gx bottle and pods on Gatorade.com, they can elect to receive the free Gx/Loop mail-back pouch, seal it once full and drop it in the mailbox. The prepaid pouch is then sent to Loop&#8217;s facility where the PET segments of each pod are deconstructed into its base monomers, purified and upcycled into new virgin quality food-grade PET.</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in"><b>Expansion Into Cosmetics Sector with L&#8217;Or&#233;al</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px 0px 0px 0in" align="justify">Also in July 2018, the Company announced that it had signed a letter of intent with L&#8217;Or&#233;al Group (&#8220;L&#8217;Or&#233;al&#8221;), the global leader in the beauty industry, setting the stage for L&#8217;Or&#233;al to become the first major cosmetics company in the world to close the loop on their PET plastic packaging by incorporating Loop&#8482; PET resin. Loop and L&#8217;Or&#233;al intend to complete a definitive supply agreement for Loop&#8482; PET resin in the United States and the European Union before the end of 2018. </p> <p style="MARGIN: 0px">&nbsp;&nbsp;</p> <p style="MARGIN: 0px"> <table id="pagebreak1a757dbd-5440-4d9a-b4d5-16d8c6f7333d" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page&nbsp;4 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px"><b>About Loop Industries, Inc.</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Loop&#8217;s mission is to accelerate the world&#8217;s shift toward sustainable plastic and away from our dependence on fossil fuels. Loop has created a revolutionary technology poised to disrupt the plastics industry. This ground-breaking technology decouples plastic from fossil fuels by depolymerizing waste polyester plastic to its base building blocks (monomers).&nbsp;The monomers are then repolymerized to create virgin-quality polyester plastic that meets FDA requirements for use in food-grade packaging. Loop&#8482; branded polyester resin enables consumer goods companies to meet and exceed their stated sustainability goals and circular ambitions. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">For more information, please visit www.loopindustries.com. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>Cautionary Statements Regarding Forward-Looking Statements<u> </u></b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">This news release contains "forward-looking statements." Such statements may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential" or similar words.&nbsp;These forward-looking statements are based on our current assumptions, expectations and beliefs and are subject to substantial risks, estimates, assumptions, uncertainties and changes in circumstances that may cause the Company&#8217;s actual results, performance or achievements, as well as the Company&#8217;s expectations regarding materiality or significance and the restatement&#8217;s quantitative effects, to differ materially from those expressed or implied in any forward-looking statement. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to: commercialization of our technology and products, our need for and ability to obtain additional financing, our ability to continue as a going concern, industry competition, regulatory and other legal compliance, adverse effects on the Company&#8217;s business and operations as a result of increased regulatory, media or financial reporting issues and practices, rumors or otherwise, the volatility of the Company&#8217;s stock price and other risks described more fully in the Company&#8217;s filings with the SEC. In addition, please refer to the risk factors contained in the Company&#8217;s SEC filings, including without limitation, our most recent Quarterly Report on Form 10-Q and Annual Report on Form 10-K, which are available on the SEC's website at http://sec.gov. Further information on potential risks that could affect actual results will be included in other filings we make with the SEC from time to time. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this release. We cannot assure you that the results, events and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results, events or circumstances could differ materially from those described in the forward-looking statements. Because the risks, estimates, assumptions and uncertainties referred to above could cause actual results or outcomes to differ materially from those expressed in any forward-looking statements, you should not place undue reliance on any forward-looking statements. </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px" align="justify">Any forward-looking statement speaks only as of the date hereof, and, except as required by law, the Company assumes no obligation and does not intend to update any forward-looking statement to reflect events or circumstances after the date hereof.&nbsp;</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><b>Contact</b></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">Frank Zitella </p> <p style="MARGIN: 0px">Chief Financial Officer and Treasurer</p> <p style="MARGIN: 0px">Loop Industries, Inc. </p> <p style="MARGIN: 0px">Tel.: 450.951.8555 ext. 223</p> <p style="MARGIN: 0px" align="justify">FZitella@LoopIndustries.com </p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"> <table id="pagebreak7eff37a0-215e-41bc-9340-25f76b87d549" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page&nbsp;5 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>Loop Industries, Inc.</b></p> <p style="MARGIN: 0px" align="center"><b>Condensed Consolidated Statements of Operations </b></p> <p style="MARGIN: 0px" align="center"><b>(Unaudited)</b></p> <p style="MARGIN: 0px">&nbsp;</p> <table style="WIDTH: 100%; TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" colspan="6" align="center"> <p style="MARGIN: 0px" align="center"><b>Three Months Ended </b></p> <p style="MARGIN: 0px" align="center"><b>August 31,</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" colspan="6" align="center"> <p style="MARGIN: 0px" align="center"><b>Six Months Ended </b></p> <p style="MARGIN: 0px" align="center"><b>August 31,</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2017</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2017</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Revenue</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Operating Expenses -</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Research and development</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">1,066,292</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">950,775</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">2,132,371</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">1,447,309</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">General and administrative</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">2,394,398</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">1,081,634</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">4,749,948</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">1,971,216</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Depreciation and amortization</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">110,589</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">91,774</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">211,658</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">182,261</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Interest expense</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">13,321</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">26,234</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Foreign exchange (gain) loss</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">(46,190</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">52,529</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">(52,271</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">98,268</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px">Total operating expenses</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">3,538,410</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">2,176,712</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">7,067,940</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: 1px solid" valign="bottom" width="9%" align="right">3,699,054</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Net Loss</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">(3,538,410</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">(2,176,712</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">(7,067,940</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">(3,699,054</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Loss per share</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td style="MARGIN: 0px"> <p style="MARGIN-LEFT: 15px">-Basic and Diluted</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">(0.10</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">(0.07</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">(0.21</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td valign="bottom" width="9%" align="right">(0.11</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#cceeff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Weighted average common shares outstanding</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td style="MARGIN: 0px"> <p style="MARGIN-LEFT: 15px">-Basic and Diluted</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">33,805,706</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">32,625,928</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">33,768,516</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="9%" align="right">31,830,628</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr></table> <p style="MARGIN: 0px" align="center">&nbsp;</p> <p style="MARGIN: 0px" align="center"> <table id="pagebreake0977391-7967-4918-ac47-3a3682838aee" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page&nbsp;6 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>Loop Industries, Inc.</b></p> <p style="MARGIN: 0px" align="center"><b>Condensed Consolidated Balance Sheets</b></p> <p style="MARGIN: 0px" align="center"><b>(Unaudited)</b></p> <p style="MARGIN: 0px">&nbsp;</p> <table style="WIDTH: 100%; TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>August 31, </b></p> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>February 28, </b></p> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td valign="top"> <p style="MARGIN: 0px"><b>Assets</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td valign="top"> <p style="MARGIN: 0px">Current assets</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Cash</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">2,917,466</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">8,149,713</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Other current assets</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">469,410</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">876,207</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px" align="justify">Total current assets</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">3,386,876</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">9,025,920</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Property, plant and equipment, net </p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">5,146,920</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">4,036,903</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Intangible assets, net </p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">409,559</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">332,740</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Total assets</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">8,943,355</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">13,395,563</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px"><b>Liabilities and Stockholders' Equity</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Current liabilities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Accounts payable and accrued liabilities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">2,566,572</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">1,983,072</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Current portion of long-term debt </p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">53,619</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">54,649</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px" align="justify">Total current liabilities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">2,620,191</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">2,037,721</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Long-term debt</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">987,489</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">1,033,777</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px">Total liabilities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">3,607,680</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">3,071,498</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px"><b>Stockholders' Equity</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px" align="justify">Total stockholders' equity</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">5,335,675</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">10,324,065</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Total liabilities and stockholders' equity</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">8,943,355</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">13,395,563</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr></table> <p style="MARGIN: 0px" align="center">&nbsp;</p> <p style="MARGIN: 0px" align="center"> <table id="pagebreak20e6b58f-f25e-4189-a260-270775dd826a" class="pagebreak" style="FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td class="hpbhr">&nbsp;</td></tr> <tr> <td style="BORDER-BOTTOM: black 1px solid">&nbsp;</td></tr> <tr> <td> <div style="WIDTH: 100%; PAGE-BREAK-AFTER: always; LINE-HEIGHT: 0px"></div>&nbsp;</td></tr> <tr> <td>&nbsp;</td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"><i>Loop Industries, Inc.</i></p> <p style="MARGIN: 0px"><i>Page&nbsp;7 of 7</i></p> <p style="MARGIN: 0px"><em></em>&nbsp;</p> <p style="MARGIN: 0px" align="center"><b>Loop Industries, Inc.</b></p> <p style="MARGIN: 0px" align="center"><b>Condensed Consolidated Statements of Cash Flows</b></p> <p style="MARGIN: 0px" align="center"><b>(Unaudited)</b></p> <p style="MARGIN: 0px">&nbsp;</p> <table style="WIDTH: 100%; TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cellpadding="0" width="100%" border="0"> <tr> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" colspan="6" align="center"> <p style="MARGIN: 0px" align="center"><b>Six Months Ended </b></p> <p style="MARGIN: 0px" align="center"><b>August 31,</b></p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2018</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="hdcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" colspan="2" align="center"> <p style="MARGIN: 0px" align="center"><b>2017</b></p></td> <td style="PADDING-BOTTOM: 1px" valign="bottom"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr> <td valign="top"> <p style="MARGIN: 0px"><b>Cash Flows from Operating Activities</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" colspan="2" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Net loss</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">(7,067,940</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%">$</td> <td id="ffcell" valign="bottom" width="9%" align="right">(3,699,054</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Adjustments to reconcile net loss to net cash used in operating activities:</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px">Depreciation and amortization</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">211,658</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">182,261</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px">Stock-based compensation expense</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">2,191,139</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">920,373</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 30px">Changes in working capital</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">756,520</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">326,805</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Net cash used in operating activities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(3,908,623</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(2,269,615</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#cceeff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px"><b>Cash Flows from Investing Activities</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Additions to property, plant and equipment</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(1,038,775</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(168,002</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Additions to intangible assets</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">(66,195</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">-</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Net cash used in investing activities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(1,104,970</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(168,002</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#ffffff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px"><b>Cash Flows from Financing Activities</b></p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Repayment of long-term debt</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(26,808</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Proceeds from sales of common shares and exercise of warrants, net of share issuance costs</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">7,039,354</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Repayment of advances from majority stockholder</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">-</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(249,762</td> <td valign="bottom" width="1%">)</td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px 0px 0px 15px">Stock subscriptions</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">-</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">54,780</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Net cash (used) provided by financing activities</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(26,808</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">6,844,372</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Effect of exchange rate changes</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">(191,846</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">60,409</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Net change in cash</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">(5,232,247</td> <td valign="bottom" width="1%">)</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" valign="bottom" width="9%" align="right">4,467,164</td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#ffffff"> <td valign="top"> <p style="MARGIN: 0px">Cash, beginning of period</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">8,149,713</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td id="ffcell" style="BORDER-BOTTOM: black 1px solid" valign="bottom" width="9%" align="right">916,487</td> <td style="PADDING-BOTTOM: 1px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr> <tr bgcolor="#cceeff"> <td valign="top"> <p style="MARGIN: 0px">Cash, end of period</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">2,917,466</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td> <td style="BORDER-BOTTOM: black 3px double" valign="bottom" width="1%">$</td> <td id="ffcell" style="BORDER-BOTTOM: black 3px double" valign="bottom" width="9%" align="right">5,383,651</td> <td style="PADDING-BOTTOM: 3px" valign="bottom" width="1%"> <p style="MARGIN: 0px">&nbsp;</p></td></tr></table> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px">&nbsp;</p> <p style="MARGIN: 0px"> <table style="TEXT-ALIGN: justify; FONT: 10pt TIMES NEW ROMAN" cellspacing="0" cols="1" cellpadding="0" width="100%" align="center" border="0"> <tr> <td style="BORDER-BOTTOM: black 1px solid"> <p style="MARGIN: 0px">&nbsp;</p></td></tr></table></p> <p style="MARGIN: 0px">&nbsp;</p></BODY><!--Document Created by EDGARMaster--></html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>3
<FILENAME>doc1_ex991img2.jpg
<TEXT>
begin 644 doc1_ex991img2.jpg
M_]C_X  02D9)1@ ! 0$ 8 !@  #_VP!#  $! 0$! 0$! 0$! 0$! 0$! 0$!
M 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0'_
MVP!# 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0$!
M 0$! 0$! 0$! 0$! 0$! 0$! 0$! 0'_P  1" !' 2\# 2(  A$! Q$!_\0
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MU=;7V-G:XN/DY>;GZ.GJ\O/T]?;W^/GZ_]H # ,!  (1 Q$ /P#[*_X+T?\
M!9?XI_"_X@7_ .Q?^RAX@NOA]K_AW2-,N_CK\8-*N2GB?3]3UK1O[<T/X8^"
M=:*K_8 70-8T3Q3XS\4KN\6NNNQ^#(SX/!\7LOU'_P &O/B3Q%XO_9 _:/\
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MQ&\!^*+7.DZ]X<O$=<B,;M)/F>7)HNMQRR1@^&O$RI()#&'$:K+C^3O]N/\
MX-A_#WAOX=:_\1?V&O'OC_6_&'AG2]5UE/@G\5[S0_$ \6KY0E.D>!O&V@Z!
MX1?P_P"( WR%/%@\82>,GS_Q6G@V,>>WY)?\$4?V^_''[$?[8G@WP#XDU75+
M;X ?'7QCI?PS^+_A+5;\KIFA:KKVL-X?T'XG, P&A>(/"?B)B?&RN"H\&_\
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M=6)UX#P[H'P_CP1%XF\5^+5BD#"-W=SO4^K=;>=[?C?E,/K$+VZWMNNZ7?\
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MX2WP]I=DVI:IXM^#NNIG7_[#7<1K>O>$O$&A)XE"E8P/!^N^*L@NZ%_YR?\
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M'Q1>:5\,?@I\$_!7]L>)&T/2QK/_ !(_!NB[0%U_Q'XM\2:YGQOXH4*JCA0
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MA^TEX0\!^,M1U+2=*N_'?AVUTB3Q!\-;_P 5:&5UK^VM 7Q"#XC:-/$.C_\
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M1Y,@C!W*?G !\>_X;-_: \):7\6+_P 2-X*^(GA#X-6GP:^+7B/XQ>'/V?\
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M>-5\7/XN\%_.'PL_:._;L\;? #X2?M@^,X?V<?#?@WQ1XA^%UCJGP'TOP/\
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M;-Z4L5+!6BVN9=.B<+W_ / 7VVN?T*_MN?\ !M5H?[27QL^*'Q\^%W[4.I>
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M?!_XQ>'XM(;QSX2\=?"GP8_@+0_&0T77H?%?AG7U\5:!KFO>%_&_AAMZ>-/
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%HH __]D!

end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
