Mr. Justin Schroenn reports

SWMBRD ANNOUNCES SETTLEMENT OF DEBT AND PROVIDES UPDATE ON PREVIOUSLY ANNOUNCED FINANCING

SWMBRD Sports Inc. intends to enter into settlement agreements to settle an aggregate amount of $97,200 of indebtedness through the issuance of an aggregate of 3.24 million units at a deemed price of three cents per settlement unit. Each settlement unit consists of one common share in the capital of the company and one common share purchase warrant exercisable at 7.5 cents for a period of two years from closing. The debt settlement transaction is anticipated to close on or around Jan. 19, 2024.

The indebtedness relates to fees for services performed by certain insiders of the company from May 1, 2023, through to Sept. 30, 2023. The company will enter into debt settlement agreements with each creditor in connection with the debt settlement.

The issuance of the aggregate of 3.24 million settlement units to certain insiders of the company constitutes a related party transaction, as such term is defined in Multilateral Instrument 61-101, Protection of Minority Securityholders in Special Transactions. The company intends to rely on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of such settlement shares nor the debt exceeds 25 per cent of the company's market capitalization.

Pursuant to the news release dated Oct. 11, 2023, the terms of the previously announced private placement have been amended. The company has received approval by the Canadian Securities Exchange to amend the price of the units from three cents to 1.5 cents per unit.

Each financing unit will consist of one common share in the capital of the company and one common share purchase warrant. Each warrant will entitle the holder to acquire one additional common share at a price of five cents per common share for a period of two years from the date the financing units are issued. The private placement is anticipated to close on or around Jan. 31, 2024.

The debt settlement transaction and private placement are both subject to CSE acceptance. The settlement units and financing units will be subject to a four-month-and-one-day hold period in accordance with applicable securities laws.

About SWMBRD Sports Inc.

SWMBRD Sports is a sporting goods company based in Vancouver, B.C., looking to enable millions to rethink their way of recreating in the water. Management believes that SWMBRD's proprietary aquatic sports board, by virtue of its patented design, is revolutionary in how it empowers the human body in the water like nothing before, giving water lovers of all ages and abilities the freedom to explore all aquatic environments with ease. By offering an aquatic board sport that is versatile, easy to use and easy to store and which can be used by all ages and body types in any body of water (rivers, oceans, lakes and pools), the company believes SWMBRD and the sport of swimboarding has the potential to become one of the most popular board sports in the world and a great aquatic brand. The company has refined manufacturing techniques most relevant to the SWMBRD and has successfully produced demonstration fleets of fully functioning boards, which have been in rigorous real-world use in Hawaii, Canada and Greece. The company has now commenced large-scale mass production under an OEM (original equipment manufacturing) agreement with Tahe Outdoors of Vannes, France -- the pre-eminent board sport manufacturer in Europe.

We seek Safe Harbor.