Ms. Isabel Guerrero reports

TANGELO PRE-ANNOUNCES Q4 REVENUE AND PROVIDES CORPORATE UPDATE

Tangelo Games Corp. is providing a number of business and corporate updates. The company expects to report revenue for the fourth quarter of 2016 of approximately $9.36-million, up from $9.31-million in the third quarter of 2016.

Significant progress has been made on the conversion of the company's suite of games from Flash to Unity, the major operational initiative of 2016. Management believes that the migration to Unity is essential to both maintaining the broadest possible audience for the company's suite of games, as well as optimizing the efficiency of the development process going forward. This conversion is expected to be substantially complete by the end of the first quarter of 2017. The company has taken advantage of the migration process to enhance and upgrade its core games such as Bingo and Slots titles.

The company continues to negotiate and evaluate potential alternatives with a number of strategic investors and partners. The company is unable to provide further updates at this time due to the nature of these continuing discussions. The company will notify the market by way of announcement immediately if an agreement is reached.

As originally disclosed in a press release issued by the company on Feb. 2, 2015, the company owed a maintenance fee to its lender of $1-million (U.S.) that was due by Jan. 31, 2017. The company has agreed with its lenders to add the $1-million (U.S.) maintenance fee to the outstanding principal of the credit facility.

About Tangelo Games Corp.

Tangelo Games, the parent company of Diwip and Akamon, formerly known as Imperus Technologies Corp., is a developer of social and mobile gaming for PC, Mac, iOS and Android platforms. Diwip and Akamon design, develop and distribute their top-ranked social casino-themed games within on-line social networks (such as Facebook) and mobile platforms (such as Android and iPhone). All of the Diwip and Akamon games are free to play and generate revenue primarily through the in-game sale of virtual coins.

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