PowerBand Provides Update on Filing of Financial Statements

TORONTO, ON / ACCESSWIRE / April 16, 2024 / PowerBand Solutions Inc. (TSXV:PBX)(OTC Pink:PWWBF) ("PowerBand" or the "Company") announces that as a result of delays in the completion of its audit, the Company will be unable to meet its filing deadline of April 29, 2024, for filing of its audited annual financial statements for the year ended December 31, 2023 and 2022 and management's discussion and analysis for the year ended December 31, 2023 and 2022 (collectively, the "Annual Filings")

The Company was not able to complete the Annual Filings within the time periods required by National Instrument 51-102 - Continuous Disclosure Obligations, due to the delay in commencing the audit owing to the resignation of its previous auditor and the appointment of its successor auditor, HDCPA Professional Corporation. As a result, the Company requires additional time to complete the Annual Filings.

In response to the Annual Filings delay, the Company has applied to the Ontario Securities Commission for a management cease trade order ("MCTO") under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203") that will prohibit the management of the Company from trading in the securities of the Company until such time as the Annual Filings are filed. No decision has yet been made by the Ontario Securities Commission on this application. The Ontario Securities Commission may grant the application and issue the MCTO or it may impose an issuer cease trade order if the Annual Filings are not filed in a timely fashion.

The Company continues to work to complete its annual financial statements for the year ended December 31, 2023 and expects to file the Annual Filings no later than June 29, 2024, and will issue a news release once they have been filed. Until the Company files the Annual Filings, it will comply with the alternative information guidelines set out in NP 12-203. The guidelines, among other things, require the Company to issue bi-weekly default status reports, in the form of news releases, for so long as the Annual Filings have not been filed.

Until the ‎Company has filed the Annual Filings, members of the Company's management and other insiders are subject to an insider trading black-out policy as per its internal Insider Trading Policy that is consistent with the principles in Section 9 of National Policy 11-207 - Failure-to-File ‎Cease Trade Orders and Revocations in Multiple Jurisdictions. The Company confirms that, other than as disclosed in prior press releases and material change reports, there have been no material business developments since the filing on November 30, 2023 of the Company's ‎interim financial reports for the period ended September 30, 2023‎. There are no insolvency proceedings involving the Company.