Ann: Agreement Signed with Major South American Telco Provider, page-3

First South and Latin American Customer Agreement Executed – Globalsat Group LLC Highlights • Memorandum of Understanding signed with Globalsat Group LLC to jointly explore the provision of SAS’s narrow-band communication services to Globalsat end-users • Globalsat provides Mobile Satellite Services, with a strong local presence across the major markets in South and Latin America • Key outcome of the MOU is to establish a commercial agreement for the bandwidth provided by SAS’s narrow-band satellite communication services to Globalsat end-user customers • Parties to perform a commercial demonstration of the services during H2 2017 in South and Latin America following the successful launch of the 3 Diamonds • Globalsat Group sees potential in the Sky and Space Global system as a way to expand M2M / IoT beyond current use of traditional satellite technology • The MOU represents the Company’s first entry into the large equatorial markets across South and Latin America • Provides material validation from a leading South American communications provider