Mr. Justin Rasekh reports

FUNDAMENTAL APPLICATIONS PROVIDES BUSINESS/FINANCING UPDATE, SUBMITS SERUM TO ITUNES

Fundamental Applications Corp. has submitted Serum the application to the iTunes store pending final stage of approval. Serum is officially out of beta and prepping for its live launch. Fundamental will launch Serum's public relations and marketing campaign officially upon Apple's approval.

Julian Ing, developer and co-founder, stated, "Our goal is to design, develop and launch a quality application that resonates with millennials and Generation X in a big way, and I'm proud to say that we've done just that."

Justin Rasekh, Fundamental's chief executive officer, commented on the company's progress: "We could not be happier with the development of Serum, our anonymous chat app. We look forward to additional functionality as we help shape this niche market in social chat apps."

In addition, the company also completed the first tranche of a previously announced non-brokered private placement for aggregate gross proceeds of $50,000. Pursuant to this first tranche, 125,000 units will be issued, with each unit comprising one common share and one common share purchase warrant exercisable at 40 cents per share for 12 months. Fundamental is continuing to raise funds for the balance of the private placement. All securities issued under the private placement are subject to a four-month hold period.

A finder's fee will be paid for 7 per cent cash and share purchase warrants to buy common shares at 40 cents per share for 12 months equal to 7 per cent of the number of shares issued under the offering.

We seek Safe Harbor.