Mr. Richard Schnoor reports

VODIS ARRANGES A LOAN FACILITY

Vodis Pharmaceuticals Inc. has received a loan in the principal amount of $100,000 from an arm's-length party.

The terms of the promissory note include an interest payment of $10,000 due on Aug. 30, 2015, and interest payments of $5,000 due on Sept. 30, 2015, Oct. 30, 2015, Nov. 30, 2015, Dec. 30, 2015, and Jan. 30, 2016. The principal amount of the note together with any and all unpaid interest accrued is payable in full on Jan. 30, 2016. Unpaid principal and interest payments will accrue interest at the rate of 12 per cent per annum or the maximum rate allowed by law, whichever is less.

To secure payment of the promissory note, the company's subsidiary Vodis USA, Inc. has granted a security interest to the lender over all of its assets. Vodis USA has also entered into an assignment agreement with the lender related to Vodis USA's option to purchase agreement with the seller of certain real property located in Bellingham, Wash.

In consideration of the loan, the company has issued warrants entitling the lender to purchase up to 750,000 common shares of Vodis exercisable at 18 cents per share until July 30, 2020.

We seek Safe Harbor.