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Generative AI Solutions Corp. Financial Update

Overview of the Current Situation

On June 23, 2025, Generative AI Solutions Corp., commonly referred to as GenAI, released an important update regarding its annual financial statements. This update is particularly pertinent as it addresses a management cease trade order (MCTO) issued by the British Columbia Securities Commission (BCSC). The MCTO, under National Policy 12-203, restricts trading of the Company's securities by specific executives until certain financial documents are filed and approved.

Details of the Management Cease Trade Order (MCTO)

The MCTO specifically applies to GenAI's CEO, Patrick Gray, and CFO, Paul Ciullo, prohibiting them from trading shares until the submission of the following essential documents relating to the fiscal year ended January 31, 2025:

• - Annual audited financial statements
• - Management’s discussion and analysis
• - Relevant certifications

While it does not curtail other shareholders from trading their shares, its implications are significant for the company’s management and their oversight responsibilities. As highlighted, GenAI is currently in the process of finalizing these documents, with an original intent to complete the filing by June 30, 2025. However, due to unforeseen complications in quality review processes with external auditors, it is now anticipated that these documents will be submitted by July 31, 2025.

Reasons for the Delay

The delays cited are not due to management negligence but rather stem from intricate auditing processes. The rigorous review of audit procedures, especially concerning the accounting treatment of various acquisitions and their representation within the financial statements, necessitated additional time. These measures are crucial for maintaining transparency and reliability in the reporting process, ensuring that the financial statements comply with necessary regulations and standards.

Compliance and Future Communication

GenAI has committed to fulfilling the stipulations outlined in NP 12-203. The company plans to issue bi-weekly status reports regarding its progress until it resolves the financial filing requirement. This will include declarations of any material changes to circumstances, efforts undertaken to address the default, or additional defaults that may arise. Keeping shareholders informed through consistent communication reflects the company’s commitment to transparency.

The Road Ahead for GenAI

Despite these financial reporting challenges, GenAI remains steadfast in its mission to advance artificial intelligence solutions across various industries through its MAI Cloud™ platform. The company is dedicated to developing innovative AI-powered tools that promise significant value to users in both business and consumer sectors. With a strong team of AI professionals and engineers, GenAI aims to adhere to high standards of efficiency and productivity in its offerings.

Having transformed its strategic direction with AI technologies, the future will demand resilience and agility from GenAI as it navigates these financial landscape challenges. The anticipated publication of its financial results will be a critical milestone, affecting both investor confidence and market perception.

Conclusion

In summary, while GenAI faces challenges regarding its annual financial statements, the proactive measures taken to inform stakeholders and ensure compliance underscore the company’s commitment to integrity and transparency. As the company continues to operate and expand its innovative AI solutions, timely communication will be pivotal in maintaining investor trust and fulfilling regulatory obligations. Further updates will be shared as the company moves closer to resolving its filing issues, reinforcing its commitment to an accountable business model.