Effective December 27, 2016, Capital Art, Inc. announced that Sean Goodchild and David Morton resigned as Chief Executive Officer and Chief Financial Officer, respectively, as well as their positions as Directors of company. Neither Mr. Goodchild nor Mr. Morton had any disagreements with regarding the operations, policies or practices of company. Also on December 27, 2016, to replace Messrs.

Goodchild and Morton, Sam D. Battisone was appointed as Chairman of Board of Directors and Co-Chief Executive Officer, Stuart Scheinman was appointed as President, Co-Chief Executive Officer and a director and Scott C. Black was appointed as Secretary, Treasurer, in-house counsel and a director pursuant to the provisions of its Bylaws, to hold such offices until the next annual meeting of shareholders, their resignation, removal or death, whichever comes first.