Ann: Notice of General Meeting/Proxy Form, page-7

I currently have a shareholding in 1PG.

In general I believe the new Cannabis opportunity is likely to be a much better opportunity than the old business model as long as it is implemented for the benefit of all shareholders.

My concerns after reading the notice of meeting and corresponding with both the ASX and the company are:

1. No roadmap for listing in another jurisdiction. Once the business is delisted from the ASX shareholder protection is greatly reduced unless and until such time as another listing is arranged.

2. No mechanism explained for the valuation of shares in the post ASX delisting share sale facility. Any buyback must include a premium for the HAPA business and new business model, plus the cash backing per share as at the date of suspension

3. Karelis Options - 12,500,000 - it is possible this payment was pre agreed as part of the arrangement to source the HAPA opportunity if that is the role played by Karelis. If so the proposed payment should have been submitted to shareholders for approval as part of the HAPA deal

4. McGrouther and Chapman options - 7,500,000 each - as Directors this constitutes a clear conflict of interest. In effect a bonus of $1.5m each resulting in an increase in ownership once the entity is relisted to the detriment of all other shareholders who are not part of the proposed insider deal.

5. Dilutive effect of the HAPA transaction and the options above - of approximately 50% to all other shareholders who are not part of the proposed insider deal.

All of us need to do our own research. If you do so and agree with my concerns above I urge you to consider voting against all of the proposals in the Notice of Meeting.