Mr. Brad Kirby reports

UPDATE: XTM INC. CLARIFIES RPAA-RELATED DISCLOSURE AND REGULATORY CONTINUITY

XTM Inc. is issuing this clarification regarding language contained in its Feb. 2, 2026, news release, referencing the Retail Payment Activities Act-aligned operational enhancements to the AnyDay/Everyday payment platform.

Certain statements in that release may have been interpreted to suggest that Everyday People Payments Inc. was itself registered or required to be registered under the Retail Payment Activities Act. It is not. This interpretation would be incorrect.

Regulatory status

There has been no change or interruption in the regulated status of XTM. XTM is and at all relevant times has been a registered money service business, and is registered with the Bank of Canada under the RPAA. All regulated MSB and payment activities have continuously been conducted under XTM's registrations -- with management and administration services being conducted by Everyday People Financial through EPPI pursuant to its master service agreement with EPPI dated Oct. 23, 2025. In this relationship, EPPI is not performing any MSB activities, nor is it subject to the RPAA.

Safeguarding of funds

XTM has: (i) remained the MSB; (ii) is registered with the Bank of Canada under the RPAA; and (iii) is the account holder and regulated entity for transaction processing and settlement. Transactions are conducted through XTM accounts. All cardholder funds associated with the platform are held in trust in accordance with applicable legal and safeguarding requirements, and are segregated from operating funds.

Operational enhancements

EPF as program manager is committed to strengthening the overall management of the program. These measures reflect an uplift in operating standards and are intended to support a best-in-class environment for merchants and end-users.

XTM remains committed to transparent disclosure and to supporting a secure, reliable and regulatorily aligned payments ecosystem for Canadian businesses and workers.

About XTM Inc.

XTM is a Toronto-based fintech enabler and the founder of AnyDay, a real-time payroll, tip and earned wage access platform. Designed as a compliance-first solution, AnyDay is widely adopted across the hospitality, personal care and retail sectors. Trusted by leading brands, XTM's platform delivers speed, transparency and regulatory-aligned payroll experiences.

We seek Safe Harbor.