NOTE 15 — SUBSEQUENT EVENTS

Pallini agreement extension and amendment - In October 2015, CB-USA entered into an extension and amendment agreement (“New Agreement”) with Pallini S.p.A. (f/k/a Pallini Internazionale S.r.l.) (“Pallini”), regarding the importation and distribution of certain Pallini brand products. The New Agreement amends that certain Agreement dated as of January 12, 2011 between Pallini and CB-USA (“Original Agreement”), as amended. The terms of the New Agreement are effective as of April 1, 2016.

The New Agreement expires on March 31, 2021, subject to successive five-year renewal periods unless either party delivers a notice of non-renewal six months prior to the end of the term. The Original Agreement had an expiration date of March 31, 2016. Under the New Agreement, if minimum shipment targets are not achieved and not cured, Pallini has the right to terminate the agreement without payment of termination fees to CB-USA. The New Agreement also granted CB-USA the right to distribute the following additional products: Maraschino Pallini and Ferro China Baliva.