Alcanna Inc.and Ace Liquor Corporation have completed a series of transactions to form and vend stores into the Canadian Liquor Retailers Alliance Limited Partnership as broadly contemplated in the Company's November 8, 2018 news release. In that release, the Company announced a non-binding letter of intent with a discount liquor store operator in Alberta, Ace, to form a new partnership in the discount liquor store business. At this time, Liquor Stores Limited Partnership, a wholly owned subsidiary of Alcanna, and Ace are the only limited partners of the Alliance with initial ownership of the Alliance partnership units of approximately 71% held by LSLP and 29% held by Ace; such percentage interests subject to customary post-closing adjustments. The Alliance's general partner is wholly owned by Alcanna. LSLP a wholly owned subsidiary of Alcanna, entered into a series of agreements to transfer 50 stores to the Alliance effective January 1, 2019. Thereafter, effective January 14, 2019, similar transactions occurred transferring substantially all of Ace's assets, including 12 opened, and 3 unopened stores from Ace to the Alliance and one unopened store from Ace to LSLP.