Mr. Ray Grimm Jr. reports

LAGUNA CONTINUES TO WORK TOWARDS A DEFINITIVE AGREEMENT WITH CARLSBAD

The letter of intent for Laguna Blends Inc. and Carlsbad Naturals LLC, doing business as CBD Naturals, expired on Dec. 31, 2016. With new management coming into Laguna Blends, both parties have agreed to new terms and conditions regarding the prior LOI. A new agreement regarding this transaction will be announced prior to Jan. 13, 2017.

Laguna Blends chief executive officer Ray Grimm Jr. stated: "Unfortunately, we were unable to get this deal completed under the original terms and conditions prior to year-end 2016. However, we are working on new terms and conditions and look forward to completing the new agreement within the next 10 business days. Laguna Blends is continuing to execute on our business plan by bringing new hemp/cannabidiol products to the market while evaluating potential acquisitions in this growing sector of the market."

About Laguna Blends

Laguna Blends is a distributor of hemp and CBD products. Lagunas growth strategy includes acquiring and incubating companies that formulate and or manufacture hemp products.

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