Mr. Scott Boyes reports

ALLEGIANCE EQUITY CORPORATION SEEKS APPROVAL FOR EQUITY FINANCING

Allegiance Equity Corp. (ANQ) has applied for TSX Venture Exchange approval to consummate a private placement of up to 15 million units at price of five cents per unit to raise up to $750,000 of new equity financing.

It is anticipated that the proceeds of the financing will be used as general working capital and to further develop the ANQ business model.

Each unit is to comprise one common share and one common share purchase warrant, with each warrant being exercisable for three years from the closing of the proposed private placement at an exercise price of five cents in the first year and 10 cents thereafter until expiry.

The private placement is non-brokered and no finders' fees are payable in association therewith.

All securities issued pursuant to this private placement will be subject to a hold period that will extend a minimum of four months subsequent to the closing of this proposed private placement.

ANQ currently has outstanding 18,165,957 common shares. Assuming consummation of the full amount of this private placement, there will be an additional 15 million common shares outstanding (being 33,165,957 common shares) and, on a fully diluted basis and after giving effect to the exercise of all outstanding share purchase warrants and incentive stock options granted under ANQ's stock option plan, ANQ anticipates it would have 48,663,957 common shares outstanding.

We seek Safe Harbor.