AnnualMarketReview

03MESSAGE FROM OUR EVP OF CORPORATE SERVICESMESSAGE FROM OUR EVP OF CORPORATE SERVICES

OTCQX INTERNATIONAL

2017 EVENTS & INITIATIVES

OTCQX BANKS

THE OTCQB VENTURE MARKET

OUR MISSION

OTCQX U.S.

OTC MARKETS INDICES

THE OTCQX BEST MARKET

OTCQX BEST 50

CORPORATE SERVICES TEAM

03

23

06

28

34

04

25

33

22

30

38

2017 was an exciting year at OTC Markets. We saw major developments and made significant inroads championing access to efficient public trading markets for global blue chips and innovative small- cap companies alike.

This year, OTC Markets Group continued the active dialogue with state regulators to apprise them of the easily accessible, public online disclosure offered by companies traded on our SEC recognized, established public markets. As we closed out the year, our markets gained Blue Sky exemption in twenty-nine states (and counting!).

More than 1,400 U.S. and international securities traded on the OTCQX and OTCQB markets in 2017. Our companies continued

to share and amplify their stories through our OTCQX Virtual Investor Conferences, OTCQX Video Series and OTCQB podcast series, expanding their audience and viewership.

As part of the JOBS Act, Regulation A+ provided an exciting opportunity for startups, early-stage, small-cap companies and entrepreneurs to raise capital and grow their businesses. We continued our work with legislators, helping guide the Improved Access to Capital Act, which will ultimately extend Regulation A+ to SEC Reporting companies.

Continued investments in technology and new initiatives allowed for more companies to access the U.S. public markets and maximize visibility. In 2018, our collaboration with Issuer Direct will offer OTCQX and OTCQB issuers an enhanced suite of services designed to help companies manage their investor relations communications and compliance requirements all while lowering the cost of being public.

2018 will also mark the expansion of our strategic alliance with the Canadian Securities Exchange, providing a unique, cost-effective North American capital market and

visibility solution for international issuers seeking to build global investor awareness and have their shares trade in two of the world’s largest financial markets.

Also, in 2018, look for the launch of a more dynamic otcmarkets.com. We’ve added new features, improved the site’s navigation and created a mobile-friendly experience that provides investors with more convenient access to research our OTCQX and OTCQB companies and learn about our markets.

Our travels took us to various cities across the U.S. and the world in 2017, giving us an opportunity to reach new markets and market participants. We look forward to welcoming more companies in the year ahead, expanding our footprint and making our markets more easily accessible for companies wherever they are domiciled.

On behalf of the entire OTC Markets team, I thank you for your continued partnership and support and look forward to a successful year ahead.

Jason Paltrowitz

Data as of December 31, 2017

05OUR MISSION04 OUR MISSION

We Operate World-Leading Securities Markets By:

To create better informed and more efficient financial markets

Sharing information widely through open networks that foster greater transparency

U.S. & International

Securities

Connecting broker-dealers, organizing markets and informing investors

New OTCQX & OTCQB Securities

Added In 2017

Delivering elegant, reliable and cost-effective subscription-based solutions

Annual Dollar Volume

10,357 400 $246.7 bn

0706 2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

Reducing the Pain of Being Public

Going Public on OTCQX and OTCQB

OTC Markets 2017 Small Cap Survey

Small Cap IR Whitepaper Series

Bloomberg OpEd: “Give Companies Easier Access to

Public Markets”

IR Magazine Small Cap Awards & Conference – New York, NY – September 2017

OTC Markets Small Cap Forum – New York, NY – June 2017

Providing a market that makes it more efficient for innovative and entrepreneurial companies to raise capital and to attract investors.

With more than 6,000 small and micro-cap companies trading on our markets, we are uniquely positioned to understand the issues they face and help them effectively navigate the public markets.

The public markets offer tremendous benefits for small companies seeking to raise capital and grow their businesses.

Designed to raise awareness about key capital markets issues impacting small-cap companies and our markets.

Challenges for small-cap companies included changes in market structure, increased requirements and decline in research sponsorship.

A 4-part series that addresses the unique challenges in navigating the public markets

Part I: Laying the Foundation of a Small Cap IR Program

Part II: 3 IPO Alternatives for Small Companies

Part III: The Pros and Cons of Four Financing Options

Part IV: Attracting Investors

“If we want growing companies to go public, we need our public markets to be a competitive source of growth capital. One easy solution is to let public companies sell their shares in the same way they can now buy them back through brokers directly into their established public markets. Removing the outdated restrictions on selling shares publicly will lower the cost of capital and attract more growth companies to our markets.”

Hosted by OTC Markets and IR Magazine, the first event in NYC designed exclusively for CEOs, CFOs, IROs and advisors from small cap companies focusing on their key issues

Our NYC conference tailored to help small cap companies further develop their business, attract investors and achieve their capital raise goals.

Topics covered: Capital Raising, IR Strategy and Understanding the Value of Research

An IPO on an exchange: Typically $1M to $2MAnnual Costs: $1.5M

OTCQX and OTCQB are designed to provide companies the benefit of being public without the burdens and undo complexity associated with an exchange listing.

0908 2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

Regulation A: A Simpler Path to the Public Market

Introducing a New Suite of IR Solutions

Issuer Direct

EQS Group

Improving the capital raising process for small companies and easing the burdens of entry to the public markets.

New collaborations provide cost-effective and efficient investor relations and communications solutions for OTCQX and OTCQB companies.

A robust portfolio of communications and investor relations tools to help issuers efficiently manage corporate visibility goals, reporting, disclosure and compliance requirements.

“We are very pleased to announce our partnership with OTC Markets, which creates a great platform for our domestic and international clients to access U.S. investors.”Achim Weick, CEO, EQS Group

“We are excited to welcome issuers on the OTCQX and OTCQB premium markets to our disclosure and communication platform. With over 2,000 clients, we are confident we can be a significant value-add to the premium OTC Markets client base under this strategic alliance.”Brian R. Balbirnie, CEO, Issuer Direct Corporation

• Accesswire – Industry-leading, flat-fee, premier news and communications network

• Webcasting – Earnings Event and webcast platform

• Mini-IR – Customized platform to inform and engage investors and meet compliance needs

• EDGAR Filing Service – Expert filing team to file all financial compliance forms

• EDGAR Filing Software – Cloud-based, cost-effective platform for financial reporting

• XBRL – XBRL tagging services to improve flow of financial reporting

Communications Solutions

Compliance Solutions

Expanding Regulation A to SEC Reporting Companies

OTC Markets EVP of Corporate Services, Jason Paltrowitz, Named to Crowdfunding Professional Association Board

In September 2017, the bipartisan bill, Improving Access to Capital Act (H.R. 2864), sponsored by Representative Sinema and Representative Hollingsworth, passed in the House of Representatives with an overwhelming majority vote of 403 to 3.

This effort is vital to lowering the cost of capital formation and fostering economic growth for US companies

In this role, Jason will be a valuable resource to provide constructive market insight and recommendations for new policies to enhance the mission of CfPA and enlist support for the growing Crowdfunding community.

Six companies on our markets leveraged Regulation A in 2017, including Novume Solutions, Inc. and iConsumer Corp.

2017 IR Magazine Awards

Canada – February 2017Air Canada (OTCQX: ACDVF) Best IR by a CFO and Best in Sector: Consumer Discretionary

Europe – June 2017BASF SE (OTCQX: BFFAF, BASFY) Best in Sector: Materials

Adidas AG (OTCQX: ADDDF, ADDYY) Best in Region: Germany

Deutsche Telekom AG (OTCQX: DTEGF, DTEGY) Best in Sector: Telecommunication Services

Danone (OTCQX: GPDNF, DANOY) Highly Commended, Best IR during a Corporate Transaction

Brazil – June 2017Kroton Educacional SA (OTCQX: KROTY)Best Investor Relations Executive – Large Cap and Best IR by CEO or CFO

1110 2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

Cross-Trading in the U.S.

Offering international companies efficient access to the U.S. markets

OTCQX 10 Year Anniversary: Founding Companies

Two Markets – One Path

Adidas AGAkzo Nobel N.V.BASF SEComputer Services, Inc. Fresenius SE & Co. KGaAGlobex Mining Enterprises Inc. Imperial Brands PLCMeritage Hospitality Group, Inc. Phosphagenics Ltd. Roche Holding Ltd.Starpharma Holdings Ltd. Tate & Lyle, PLCWal-Mart De Mexico S.A.B. de C.V.

Strategic Alliance Launched Between OTC Markets Group and the Canadian Securities Exchange

First-of-its-kind North American capital and visibility solution offers issuers the CSE’s IPO listing and trading services, coupled with the enhanced U.S. disclosure distribution and secondary trading on OTCQX or OTCQB.

“The CSE is thrilled to be embarking on this strategic alliance with OTC Markets. Capital formation for growth companies is one of Canada’s key strengths in the financial markets. Through our program with OTC Markets, we can offer a compelling proposition for globally respected entrepreneurial community: the benefits of public company status in Canada, with access to the funding and secondary market trading capabilities of the United States. We hope to be able to introduce a number of new and compelling investment opportunities to the North American marketplace.”Richard Carleton, CEO, Canadian Securities Exchange

1312 2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

We have teamed up with law firms, investment banking and industry experts to host events for international companies interested in efficiently cross-trading in the U.S. market and expanding their U.S. shareholder base.

For more events, please visit otcmarkets.com/about/events

OTC Markets & CSE Cross Border Listing SeminarVancouver, Canada – January 2017

4th Annual OTCQX Vancouver Issuer’s ForumVancouver, Canada – May 2017

EQS Germany RoadshowMunich & Frankfurt, Germany – October 2017

Accessing U.S. Capital MarketsSingapore – March 2017

Attracting U.S. Investors Breakfast Forum with Edison Research GroupLondon, U.K. – June 2017

5th Annual OTCQX Toronto Issuer’s ForumToronto, Canada – October 2017

A New, Streamlined IPO ExperienceTel Aviv, Israel – November 2017

Accessing U.S. Investors and Secondary Market Liquidity Workshop Tel Aviv, Israel – November 2017

1514 2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

Blue Sky Status

OTC Markets has worked with state regulators and NASAA to achieve Blue Sky status in 29 states through formal rule changes, no-action letters, administrative orders and trading exemptions.

blog.otcmarkets.com/2017/02/23/understanding-blue-sky-laws/

AlaskaArkansasColoradoDelawareGeorgiaHawaiiIdaho (OTCQX only)IndianaIowaKansas (OTCQX only) LouisianaMaineMississippi NebraskaNew JerseyNew MexicoOhioOregon PennsylvaniaRhode IslandSouth Dakota TennesseeTexasUtahVermont (OTCQX only) WashingtonWest Virginia WisconsinWyoming

OTCQX® & OTCQB® Are Established Public Markets

As of February 2018

1716

Policy on Stock Promotion

Timely disclosure of material information is fundamental to efficient trading markets.

Reputable public companies are expected to quickly release to the public any news or information which might reasonably be expected to materially affect the market for it securities.

We are working to publicly identify securities that are the subject of stock promotion by placing a “promotion” risk flag next to stock symbols on our website, including www.otcmarkets.com and our market data feeds to provide an alert regarding the potential risks associated with trading the security.

Visit our Investor Protection page for more information.

• Exegy Inc

• Silexx Financial Systems

New distributors of OTC Markets Real-Time Level 1 and Level 2 market data in 2017

Panel on OTC Markets, Legal/Regulatory Developments, and Microcap Risk Mitigation

This initiative, introduced in 2016, provides investors with current and reliable share data on OTCQX, OTCQB and Pink securities. Transfer agent verified share data is displayed on otcmarkets.com alongside a “Verified” logo and via market data feeds.

Awarded “Most Innovative Market Data Project (Vendor)” at the 2017 Inside Market Data/Inside Reference Data Awards.

A comprehensive, quantitative tool designed to help broker-dealers and investment managers automate risk processes and identify opportunities for OTCQX, OTCQB, Pink and Grey Market securities.

Visit our Compliance Data Products page for more information

New Data Distributors

SIFMA Anti-Money Laundering & Financial Crimes Conference – New York, NY – February 2017

Transfer Agent Verified Shares Program

OTC Compliance Analytics Product Recognized

Improving the quality and availability of unique market data to help broker-dealers, corporate clients and investors make better informed decisions.

• Securities added as Caveat Emptor, a designation intended to inform investors that there may be a public interest concern related to the security

• Downgrades from the OTCQX and OTCQB markets along with the reasons, including public interest concern, non-compliance with market standards, filing delinquency and no longer meeting one of the financial standards

Data and Transparency

Monthly Dissemination of New Caveat Emptor Designations and Compliance Downgrades

2017 EVENTS & INITIATIVES2017 EVENTS & INITIATIVES

• Broadridge Financial Solutions, Inc.

• ClearTrust, LLC

• Colonial Stock Transfer Co. Inc.

• Computershare US

• Continental Stock Transfer & Trust

• Corporate Stock Transfer

• Direct Transfer LLC

• Equity Stock Transfer

• Island Stock Transfer

• National Issuer Services, Inc.

• Nevada Agency and Transfer Company

• Olde Monmouth Stock Transfer

• Transfer Online, Inc.

• VStock Transfer

• West Coast Stock Transfer, Inc.

Participating Transfer Agents:

1918

Recognized for “Best ATS Client Service” at the Fund Technology and Wall Street Letter Awards. Our trading services team continues to provide an efficient trading experience for the broker dealer community.

STA Sponsors

OTCQX Video Series – 18 Videos in 2017

Virtual Investor Conferences OTCQB PodcastsCommunity Spotlight

Our Monthly Community Spotlight was expanded, featuring 19 companies.

Visit our Newsletters page to subscribe or view past newsletters.

• 1,469 minutes of air time in 2017

• Over 58,500 views since the launch of the OTCQX Video Series

• Collaborated with Edison Research to film interviews with easyJet and Britvic in London

Visit our YouTube channel

• Over 2,600 attendees

• 57% individual investors

• 9% advisor/brokers

• 12% institutional investors

• Discounted rates for OTCQB companies

• 21 companies featured in 2017

• Over 4,000 average listeners per episode

• Collaborated with LD Micro to record on site at June conference in LA

Visit our Podcast page to subscribe or listen to past episodes.

Helping companies deliver their story to a broader audience.

Visibility Programs

2017 EVENTS & MILESTONES

STANY Annual Conference and Dinner – New York, NY – March 2017

STA Annual Market Structure Conference – Washington DC – September 2017

Panel on Reg A+ After the Offering Panel on Capital Formation: The New Playbook

Trading Services

2017 EVENTS & MILESTONES

2120

A New and Improved, Responsive OTCMarkets.com

2017 EVENTS & MILESTONES2017 EVENTS & MILESTONES

Social – Sharing with over 13,200 followers

Our Blog

Company Resource Center on YouTube

We feature your latest news, corporate earnings and meaningful corporate actions of OTCQX and OTCQB companies. Make sure to tag us @otcmarkets so that we can highlight your company.

We’ve added new features, improved the site’s navigation and created a mobile-friendly experience. Go to otcmarkets.com to see the redesign.

Our channel provides companies with access to resources designed to help improve investor relations programs, corporate governance processes and stay up-to-date on regulatory changes that impact investment behavior.

What IROs need to know about the rise of ETFs with ETF Global

Accessing Investors: Best Practices on the Road with Harbor Access LLC

Corporate Governance Best Practices & Communication Strategies with Compass Investor Relations

The Value of Equity Research – with Edison Investment Research

Social Media Strategies for Reaching Investors with PCG Advisory Group

2017 saw the expansion of our blog covering more topics that matter to our markets. See more posts on our blog.

2322

Anglo American plc (OTCQX: AAUKF, NGLOY)

Clean TeQ Holdings Ltd, Melbourne (OTCQX: CTEQF)

Covalon Technologies Ltd. (OTCQX: CVALF)

Emerald Health Therapeutics Inc. (OTCQX: EMHTF)

Gold Reserve, Inc. (OTCQX: GDRZF)

Leagold Mining Corporation (OTCQX: LMCNF)

Ocean Yield ASA (OTCQX: OYIEF)

50 New Securities in 2017

INTERNATIONALOTCQX THE BEST MARKET

The OTCQX Best Market offers transparent and efficient trading of established, investor-focused U.S. and international companies without the cost and complexity of a U.S. exchange listing.

Number of Securities

Total Market Cap

Number of Securities

Total Market Cap

Annual Dollar VolumeMedian Market Cap

Annual Dollar Volume

Number of Trades

Avg. Daily Trades

Number of Countries

425

$1.59 tn

272

$1.57 tn

$36.71 bn$91.52 m

$55.89 bn

5.65 m

22.5 k

25

“Being traded on OTCQX provides a recognized, transparent trading platform for our shares and helps position our company as we continue to build our US shareholder base. The OTCQX Visibility initiatives have also helped increase awareness of our company in the US. Since joining in 2011, our US institutional ownership has grown nearly 70%. This year we presented our story during an OTCQX Virtual Investor Conference and found that it was an effective way to reach a broader range of potential retail and institutional investors that we would not normally have access to during a traditional roadshow.”Luis Pedrosa, Investor Relations, Repsol S.A. (OTCQX: REPYF; REPYY)

“We have a primary listing on the London Stock Exchange and we are aware that a number of US domestic investors are unable to buy UK listed shares. Given the size of the US domestic equity market and the fact that the US is where our largest business is located, it is a key priority for us to continue to market our shares there. The OTCQX market has been a critical component in our IR program, as it has allowed us to offer our shares to domestic US investors in an efficient way, opening up a much larger potential shareholder base to the Company.”Mark Fearon, Director of Communications and Investor Relations of Ferguson plc (OTCQX: WOSCF; FERGY)

2524 U.S.

SECTOR

REGION

NO. OF COMPANIES

NO. OF COMPANIES

MARKET CAP ($BN)

MARKET CAP ($BN)

Sectors

Regions

INTERNATIONAL

Materials

Healthcare

Energy

Consumer Discretionary

Financials

Consumer Staples

Industrials

Technology

Communications

Utilities

Canada

EMEA

Asia

Latin America

87

27

22

20

16

14

13

11

8

3

121

67

22

11

$246.00

$267.02

$50.41

$100.58

$383.80

$286.87

$40.26

$61.68

$123.60

$10.92

$35.94

$1,403.46

$22.25

$109.49

28 New Securities in 2017Number of Securities

Total Market Cap

Annual Dollar Volume

73

$11.59 bn

$18.46 bn

“Over the last 10 years, the compliance cost of Sarbanes-Oxley has grown from approximately $1 million to $2.5 million. We believe conservatively that we have saved $15 million in costs by trading on the OTCQX as opposed to paying for compliance fees, and we have basically taken that $15 million and reinvested it into our business.”Robert Schermer, CEO of Meritage Hospitality Group, Inc. (OTCQX: MHGU, MHGUP)

Amplify Energy Corp. (OTCQX: AMPY) Forbes Energy Services Ltd. (OTCQX: FLSS) IDW Media Holdings, Inc. (OTCQX: IDWM) Mace Security International, Inc. (OTCQX: MACE) Vanguard Natural Resources, Inc. (OTCQX: VNRR)

2726 U.S.

Jim BoneCFO, First National Community Bancorp

(OTCQX: FNCB)

Dr. Steven TsengasCEO, OurPet’s

Company (OTCQX: OPCO)

Charles NjugunaCFO, Deep Down, Inc.

(OTCQX: DPDW)

Craig UnderhillCEO, Freedom Bank VA (OTCQX: FDVA)

Bob SchermerCEO, Meritage

Hospitality (OTCQX: MHGU; MHGUP)

Jim GasiorCEO, Cortland Bancorp

(OTCQX: CLDB)

Phil WilliamsCEO, Kansas City

Life Insurance (OTCQX: KCLI)

Tim SchoolsCEO, Highlands

Bankshares (OTCQX: HLND)

Steve HandyCFO, Tix Corporation

(OTCQX: TIXC)

David SimonCFO, Computer

Services (OTCQX: CSVI)

The OTCQX U.S. Advisory Council was introduced to give our OTCQX companies a voice in shaping their market and to help us improve the overall experience for investors. The Advisory Council is comprised of senior management from U.S. companies traded on OTCQX.

• Blue Sky status in U.S. states and its importance to issuers

• Continued work on margin eligibility issues and Regulation A and the Improving Access to Capital Act

• Design of our 2017 Small Cap Survey

• Key feedback and insights on the revamping of OTCIQ

U.S. Advisory Council

2017 Discussions

U.S.

2928 BANKS BANKS

“I’d sum up [the value of OTCQX] in one word which is visibility. Being on OTCQX has helped us to increase our profile and increase our exposure beyond the Central Valley of California and right across the entire country, and it helped us broaden not only our retail investor base, but also our institutional investor base.”Ciaran McMullan, CEO & President of Suncrest Bank (OTCQX: SBKK)

Number of Securities

Total Market Cap

Annual Dollar Volume

80

$7.73 bn

$720 m

9 New Securities in 2017

Banks Paid a Dividend in 2017

Total Assets

55

$50.8 bn

Banks that moved to OTCQX from a U.S. national exchange in 2017

Banks that went public and joined OTCQX in 2017

California First National Bancorp (OTCQX: CFNB)

Peoples Financial Corp. (OTCQX: PFBX)

Wayne Savings Bancshares, Inc. (OTCQX: WAYN)

Westbury Bancorp, Inc. (OTCQX: WBBW)

CoastalSouth Bancshares, Inc. (OTCQX: COSO) Mountain Commerce Bancorp Inc. (OTCQX: MCBI)

Virginia Partners Bank Fredericksburg VA (OTCQX: PTRS)

CoastalSouth Bancshares, Inc. (OTCQX: COSO)

Mountain Commerce Bancorp Inc. (OTCQX: MCBI)

Trinity Capital Corporation (OTCQX: TRIN)

Virginia Partners Bank Fredericksburg VA (OTCQX: PTRS)

Wayne Savings Bancshares, Inc. (OTCQX: WAYN)

Westbury Bancorp, Inc. (OTCQX: WBBW)

Average Total Return in 2017

2017 Dollar Volume Companies on the OTCQXINT Index

US Community Banks120% $19.9 bn 17 21

3130 BEST 50BEST 50

RANK RANKSYMBOL SYMBOLCOMPANY COMPANY

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

32

GBTC

ARREF

NSRPF

VFFIF

MVLY

IMMVF

KROTY

MBAIF

FWVB

FCNH

FRSB

OPCO

FMBM

BHWB

PBCA

EXMGF

CRECF

ECPCY

PMHG

ONCYF

CORVF

NMKEF

MGPHF

IVPAF

SPHRY, SPHRF

CBWA

PKKW

MHGU

RYFL

CBGDF

NGPHF

DLAKY, DKALF

Bitcoin Investment Trust

Amerigo Resources Ltd.

Novo Resources Corp

Village Farms International Inc.

Mission Valley Bancorp

Immunovaccine Inc.

Kroton Educacional SA

CIBT Education Group, Inc.

First West Virginia Bancorp, Inc.

First Colebrook Bancorp, Inc.

First Resource Bank (Exton, PA)

OurPet’s Company

F & M Bank Corp.

Blackhawk Bancorp, Inc.

PBB Bancorp

Excelsior Mining Corp.

Critical Elements Corp

Estacio Participacoes S.A.

Prime Meridian Holding Co.

Oncolytics Biotech Inc.

Corvus Gold, Inc.

Nemaska Lithium, Inc.

Mason Graphite Inc.

Ivanhoe Mines Ltd.

Starpharma Holdings Ltd.

Commencement Bank (WA)

Parkway Acquisition Corp

Meritage Hospitality Group, Inc.

Royal Financial, Inc.

Columbus Gold Corp.

Northern Graphite Corp.

Deutsche Lufthansa AG

The 2018 OTCQX Best 50 is a ranking of top performing companies on the OTCQX Best Market based on 2017 total return and average daily dollar volume growth. Congratulations to our top performers.

2018 2018

3332 INDICESBEST 50

RANK SYMBOL COMPANY

33

34

35

36

37

38

39

40

41

42

43

44

45

46

47

48

49

50

SBKK

CBCO

REPR

FVCB

BNPQY, BNPQF

KTYB

ACDVF

RIVE

VABK

KTHN

OMCM

RCKXF

FDVA

AMAZ

FNCB

MXCYY

FPBK

SMID

Suncrest Bank (Visalia, CA)

Coastal Banking Company, Inc.

Repro Med Systems, Inc.

FVCBankcorp, Inc.

BNP Paribas

Kentucky Bancshares, Inc.

Air Canada

Riverview Financial Corp.

Virginia National Bankshares Corporation

Katahdin Bankshares Corp.

OmniComm Systems, Inc.

Rocky Mountain Dealerships Inc.

Freedom Bank of Virginia (Fairfax)

Amazing Energy Oil & Gas Co.

FNCB Bancorp, Inc.

Metso Corporation

First Priority Financial Corp.

Smith-Midland Corp.

INDEX 2017 TOTAL RETURN

OTCQX Composite Index (OTCQX)

OTCQX Banks Index (OTCQXBK)

OTCQX Billion+ Index (OTCQXBIL)

OTCQX Canada Index (OTCQXCAN)

OTCQX Dividend Index (OTCQXDIV)

OTCQX International Index (OTCQXINT)

OTCQX U.S. Index (OTCQXUS)

OTCM QX ADR 30 Index (OTCQX30)

OTCQB Index (OTCQB)

OTCM ADR Index (OTCDR)

23.3%

29.6%

23.0%

43.2%

22.7%

23.1%

57.8%

19.5%

6.5%

25.8%

Our indices provide investors with real-time benchmarks to track the performance of the U.S. and international companies traded on our markets.

2018

The OTCQB Venture Market provides the public trading and transparency needed today, so that developing companies can grow for tomorrow.

Many companies have audited financials and use the Alternative Reporting disclosure guidelines as an efficient way to provide timely information. Beginning in 2017, companies following the Alternative Reporting Standard are eligible to qualify for OTCQB. The new rules enable these companies to raise their profile among the investor and broker-dealer communities, access greater liquidity and trade on an established public market.

35THE VENTURE MARKET34 THE VENTURE MARKET

CB Financial Corp. (OTCQB: CBFA)

Diagnos Inc. (OTCQB: DGNOF)

Drone Delivery CDA Corp (OTCQB: TAKOF)

MGT Capital Investments, Inc. (OTCQB: MGTI)

Nemaura Medical, Inc. (OTCQB: NMRD)

NRG Metals NC (OTCQB: NRGMF)

AltiGen Communications, Inc. (OTCQB: ATGN)

Assure Hldgs Corp (OTCQB: ARHH)

Empire Diversified Energy, Inc. (OTCQB: MPIR) Progressive Care, Inc. (OTCQB: RXMD)

Talon International, Inc. (OTCQB: TALN) Tapinator, Inc. (OTCQB: TAPM) WhereverTV Broadcasting Corp. (OTCQB: TVTV)

“Providing a level of liquidity at this stage of our growth is critical as we continue to build the company. OTCQB has provided a tool that helps us bring in the necessary capital to grow our business.” Dennis Calvert, President & CEO of BioLargo, Inc. (OTCQB: BLGO)

Number of Securities

Total Market Cap

Number of Trades

Avg. Daily Trades

No. of Countries

Annual Dollar Volume

Median Market Cap

998

$64.99 bn

7.81 m

31.1 k

26

$22.70 bn

$15.00 m

300+ New Securities in 2017

Alternative Reporting Companies that Joined OTCQB in 2017

Companies Upgraded from Pink to OTCQB

in 2017

Companies from 10 International

Exchanges Cross-Trade on OTCQB

261 256

36 THE VENTURE MARKET 37THE VENTURE MARKET

Distribution of Companies by Market Cap

Cision’s PR Newswire now offers discounted pricing for OTCQB companies participating in their Virtual Investor Conferences. Co-hosted by BetterInvesting and PR Newswire, Virtual Investor Conferences enable companies to reach more investors.

4,000+ listeners per episode

Preferred OTCQB Pricing for Participation in Virtual Investor Conferences

The OTCQB Podcast Series

“We’ve been a publicly-traded company for decades, but traditionally we hadn’t really taken advantage of being a public entity. So, one of the things that I’ve been focused on for the last couple of years is to increase awareness among the investing community of IEH as a company and as a good potential investment. We’ve got a very good story to tell, and part of that is one that includes moving our company from the Pink market to OTCQB.”

David Offerman, CEO of IEH Corp. (OTCQB: IEHC)

Of VIC Audiences Are Long-Term

Investors

81%

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3938 CORPORATE SERVICES TEAMCORPORATE SERVICES TEAM

JASON PALTROWITZ Executive Vice President, Corporate ServicesJason Paltrowitz is an Executive Vice President overseeing Corporate Services, Relationship Management and Enterprise Business Development at OTC Markets Group. He is responsible for guiding the team as they develop new business for our OTCQX and OTCQB markets across all regions and the sales team focused on growth for OTC Markets Trading Services and Market Data offerings. Prior to OTC Markets, Jason served in various roles at JP Morgan and BNY Mellon that covered Clearing, Collateral Management and Depositary Receipts. Jason has an MBA from the NYU Stern School of Business and a BA from Boston University in International Relations.

CHRIS D’AMBROSIO Associate Vice President, International Corporate ServicesChris D’Ambrosio focuses on new business and providing international issuers guidance on trading in the North American capital markets, as well as how to enhance shareholder value. Prior to OTC Markets, Chris was Vice President of Sales, Marketing and Business Development at an automated private wealth advisor and Managing Director at a global macro hedge fund. Chris has an MBA from NYU Stern School of Business and a BA from the University of Rochester.

RACHEL NUSSBAUM Associate Vice President, Domestic Corporate ServicesRachel Nussbaum focuses on fostering business development in the U.S. In this role, Rachel engages and strategizes with companies on how to optimize their experience for U.S. investors. Prior to OTC Markets, Rachel worked in client development and inside sales at an early-stage tech company. Rachel has a BS in Management from the AB Freeman School of Business at Tulane University with a concentration in Marketing and Legal Studies.

JOSEPH OLTMANNS Vice President, Domestic Corporate ServicesJoseph Oltmanns leads the Domestic Corporate Services group at OTC Markets. In this role, he works with public and private companies to better understand their needs and objectives to maximize investor engagement. Prior to OTC Markets, Joe was Director of Listing & Client Services at NYSE Amex where he consulted with various companies seeking to list on a national exchange. Joe has an MBA from Fordham University and a BS from Villanova University.

CHRIS KINGSenior Vice President, International Corporate ServicesChris King leads the International Corporate Services group at OTC Markets, focusing on business development in Europe, Latin America and Asia. At OTC Markets, Chris has also worked with smaller U.S. companies to implement best practices as they grow, supported private companies interested in going public on the OTCQX and OTCQB markets, and helped companies already trading on our markets increase investor engagement and achieve fair valuation. Prior to OTC Markets, Chris served in various roles at DF King Worldwide, Capital Precision and Precision IR, helping hundreds of multinational blue chip companies achieve their corporate objectives. Chris holds a BA from the University of Wolverhampton, UK.

LAURA HAMILTON Associate Vice President, U.S. Banks Corporate ServicesLaura Hamilton manages the domestic OTC Community Banks Market. In this role, Laura provides small and mid-size private and public banks with guidance on trading in the US equity markets. Prior to OTC Markets, Laura worked in Corporate Development and Corporate Finance at JP Morgan Chase. Laura has a BS in Finance from the University of Maryland.

40 CORPORATE SERVICES TEAM

ANDY KYZYK Senior Vice President, Advisor RelationsAndrew Kyzyk leads our Advisor Relations group at OTC Markets. Focused on outreach to our advisor community, Andy is dedicated to enhancing existing relationships and nurturing new contacts, all in an effort to raise awareness of OTC Markets’ core initiatives. Previously Andy ran International Business Development. Prior to OTC Markets, Andy served as Vice President/ Executive Director in the Equities division of Goldman Sachs and as Head of the American Depositary Receipts Group for the Goldman Sachs NYSE Specialist Division. Andy has an Executive MBA from the A.D. Little School of Management and a BA from NYU.

MARY TWISS Associate Vice President, Client RelationsMary Twiss manages client relations for our OTCQB Venture Market. In this role, Mary engages with developing companies to help them gain visibility and optimize their experience. At OTC Markets, Mary also worked with domestic issuers on the corporate services team. Prior to OTC Markets, Mary was a project consultant at Clarkson University’s Shipley Center for Innova-tion. Mary has a BS in Innovation and Entrepreneurship from Clarkson University with minors in Communica-tions and Project Management.

BOB POWER Vice President, Client RelationsBob Power leads our Client Relations team, focusing on helping companies that trade on our OTCQX and OTCQB Markets maximize their visibility and achieve fair valuation, while providing their investors with a transparent trading experience in an efficient and cost-effective manner. Prior to OTC Markets, Bob spent over 20 years at the NYSE and NASDAQ working with publicly traded companies to increase engagement with their investors. Bob has an MBA from Pace University and a BA from SUNY Oneonta.

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CONTACT US TO LEARN MORE ABOUT THE OTCQX AND OTCQB MARKETS

OTC Markets GroupCORPORATE SERVICESissuers@otcmarkets.com+1 212.896.4420www.otcmarkets.com

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