Mr. Rory Armes reports

EIGHT ANNOUNCES THIRD QUARTER RESULTS

Eight Solutions Inc. has released its unaudited consolidated interim financial results for the nine months ended Sept. 30, 2015. (All figures are in Canadian dollars.)

Third quarter 2015 financial update:

• The move from a service-based business model to one of software licensing allowed the company to reduce its losses by 34 per cent compared with the three months ended Sept. 30, 2014, and reduce its loss over this period by two cents per share.
• Revenue for the first nine months ended Sept. 30, 2015, was $8,235,659 compared with $12,841,879 for the nine months ended Sept. 30, 2014.
• Net income for the nine months ended Sept. 30, 2015, was $2,594,509, an increase of 54 per cent compared with the nine months ended Sept. 30, 2014.

Third quarter 2015 operational update:

• The company commenced trading on the TSX Venture Exchange.
• The company entered into a services and licence agreement with Squirrel Systems of Canada Ltd., a hospitality point-of-sale software provider.
• The company announced its alliance with the BID group of companies (BID), a provider of forestry equipment and mill construction and entered into a software services and licence agreement with BID.
• The company completed several proposals and introductions of its Cumul8 products to prospective customers in the forestry, hospitality and entertainment, and digital media sectors.

                        THIRD QUARTER FINANCIAL SUMMARY
                                                         Three months ended
                                                    Sept. 30, 2015  Sept. 30, 2014

Revenue                                                  $ 994,858     $ 2,364,533
Net loss and comprehensive loss
attributable to the shareholders of the company        $ 1,226,271     $ 1,869,599
Basic loss per share                                        $ 0.02          $ 0.04

In other business, a director of the company provided a demand loan facility to the company to borrow up to $1-million. The director has agreed not to demand repayment of any drawings against the facility until after Jan. 1, 2017, although the company can make earlier repayments. The loan bears interest of 12 per cent and is secured by a general security agreement against the assets of the company.

The loan is a related-party transaction within the meaning of Multilateral Instrument 61-101 (protection of minority securityholders in special transactions). The company is relying on the exemption from the formal valuation requirement in Section 5.5 (b) of MI 61-101 (as a result of its shares being listed on the TSX Venture Exchange) and the exemption from the minority approval requirement in Section 5.7 (f) of MI 61-101 (as a result of the transaction involving a loan without any equity component). A material change report will be filed fewer than 21 days before the closing date of the transaction. This shorter period is reasonable and necessary in the circumstances to allow the company to obtain financing for working capital.

We seek Safe Harbor.