Sycamore Entertainment : SEPTEMBER 30, 2021 INTERIM FINANCIAL STATEMENTS

SYCAMORE ENTERTAINMENT GROUP, INC.

FINANCIAL STATEMENTS AND FOOTNOTES

(unaudited)

For the Three and Nine Months Ended

30-Sep-21

SYCAMORE ENTERTAINMENT GROUP, INC.

BALANCE SHEET

(UNAUDITED)

		September 30,		December 31,
		2021		2020
ASSETS
Current assets
Cash	$	(145)	$	355,187
Prepaid marketing costs		-		1,503,500
Restricted cash		30,000		-
Total current assets		29,855		1,858,687
Intangible assets - net		262,112		194,542
Total assets	$	291,967	$	2,053,229
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable and accrued expenses	$	6,537,280	$	5,894,458
Notes payable		7,186,914		3,218,914
Convertible notes payable		480,935		480,935
Derivative liability on convertible notes payable		18,567,446		232,987,000
Note payable - related party		270,938		377,224
Total current liabilities		32,772,575		242,958,531
Total liabilities		32,772,575		242,958,531
Stockholders' deficit
Common stock (Par value $0.001, 2,500,000,000 shares
authorized; 1,957,417,066 issued and outstanding as of
September 30, 2021 and December 31, 2020)		1,957,417		1,957,417
Accumulated deficit		(34,438,025)		(242,862,719)
Total stockholders' deficit		(32,480,608)		(240,905,302)
Total liabilities and stockholders' deficit	$	291,967	$	2,053,229
See accompanying notes to financial statements
F-1

SYCAMORE ENTERTAINMENT GROUP, INC.

STATEMENTS OF OPERATIONS (UNAUDITED)

	For the Three Months Ended September	For the Nine Months Ended September
			30,			30,
		2021		2020		2021		2020
VOD revenue
Cost of revenues	$	-	$	-	$	10,935	$	-
Gross (loss) profit		-		-		(10,935)		-
Operating expenses
General and administrative		35,364		96,250		5,706,577		295,750
Total operating expenses		35,364		96,250		5,706,577		295,750
Operating loss		(35,364)		(96,250)		(5,717,512)		(295,750)
Other income (expense)
Gain (loss) on derivative liability		(16,036,616)		-		214,419,554		-
Interest expense		221,693		(6,877)		(277,348)		(20,630)
Total other income (expense)		(15,814,923)		(6,877)		214,142,206		(20,630)
Income/(loss) before provision for income taxes		(15,850,287)		(103,127)		208,424,694		(316,380)
Provision for income taxes		-		-		-		-
Net income (loss)	$	(15,850,287)	$	(103,127)	$	208,424,694	$	(316,380)
Net loss per share of common stock:
Basic	$	(0.01)	$	(0.00)	$	0.11	$	(0.00)
Weighted average number of shares outstanding
Basic		1,957,417,066		1,957,417,066		1,957,417,066		1,957,417,066

See accompanying notes to financial statements

F-2

SYCAMORE ENTERTAINMENT GROUP, INC. STATEMENT OF STOCKHOLDERS' DEFICIT

Balance, December 31, 2019

Net loss, year ended December 31, 2020

Balance, December 31, 2020

Net income, nine months ended September 30, 2021

Balance, September 30, 2021

Common Stock
Shares	Amount	Accumulated Deficit		Total
1,957,417,066	$ 1,957,417	$	(11,141,949)	$	(9,184,532)

(231,720,770) (231,720,770)

1,957,417,066

$ 1,957,417

$

(242,862,719)

$

(240,905,302)

208,424,694208,424,694

1,957,417,066

$ 1,957,417

$

(34,438,025)

$

(32,480,608)

See accompanying notes to financial statements

F-3

SYCAMORE ENTERTAINMENT GROUP, INC.

STATEMENT OF CASH FLOWS

(UNAUDITED)

		For the Nine Months Ended
		September 30,
		2021		2020
Cash flows from operating activities
Net income (loss)	$	208,424,694	$	(316,380)
Adjustments to reconcile net income to net cash provided by operating activities:
(Gain) loss on derivative fair value		(214,419,554)		-
Accrued interest expense		(277,348)		20,630
Amortization expense		80,344
Changes in operating assets and liabilities:
Prepaid marketing costs		1,503,500		-
Accounts payable and accrued expenses		649,232		288,750
Net cash used in operating activities		(4,039,132)		(7,000)
Cash flows from investing activities
Purchase of intellectual property		(147,914)		-
Net cash used in investing activities		(147,914)		-
Cash flows from financing activities
Net borrowings from notes payable		3,968,000		-
Net (repayment) borrowings on note payable - related party		(106,286)		7,000
Net cash provided by financing activities		3,861,714		7,000
Net change in cash and cash equivalents		(325,332)		-
Cash and cash equivalents at the beginning of period		355,187		-
Cash and cash equivalents at the end of period	$	29,855	$	-
Supplemental disclosures of cash flow information:
Cash paid for interest	$	-	$	-
Cash paid for taxes	$	-	$	-

See accompanying notes to financial statements

F-4