Company: SNBH
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001731122-25-001154
Chunk: 43

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 8
Chunk 43
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June 30, 2025

NOTE 1. ORGANIZATION AND NATURE OF OPERATIONS

Business description

The financial statements presented are those of Sentient Brands Holdings
Inc. (“the Company” or “SNBH”). The Company was incorporated under the laws of the State of California on March
22, 2004, and reincorporated in Nevada in 2021. Historically, the Company was engaged in media and IT equipment resales. The Company has
since transitioned into a brand management and consumer product development business.

Sentient Brands is currently a next-generation brand platform focused on
the acquisition, development, and commercialization of premium and functional consumer packaged goods (CPG) with an emphasis on wellness,
sustainability, and emergency preparedness. The Company has implemented a product innovation and acquisition-driven growth strategy through
its operating subsidiaries, focusing on consumer categories that offer long-term secular growth potential.

The Company’s flagship subsidiaries include:

1.AIG F&B, Inc., a wholly owned Nevada subsidiary, which operates as a manufacturing and distribution platform for food,
beverage, and wellness products, including shelf-stable and functional nutrition items. AIG F&B sources and produces consumer goods
for the Company’s brand portfolio and strategic partners, including Original New York Seltzer, Arctic Frost, and Burlone.

2.Aqua Emergency, Inc. (AENV), a 51%-owned subsidiary, is a Florida-based specialized manufacturer and distributor of emergency
water and meals-ready-to-eat (MREs). Aqua Emergency holds the exclusive license for American Red Cross® branded emergency water and
MREs and supplies federal, state, and municipal emergency agencies, NGOs, and commercial distributors. Products are engineered for extended
shelf life, regulatory compliance, and rapid deployment.

These entities serve as the operational and commercial backbone of SNBH’s
business model, allowing the Company to scale through strategic asset acquisition and production partnerships. The Company intends to
leverage its operating subsidiaries, brand equity, and licensing relationships to enter additional product categories aligned with health,
safety, and sustainability.

Strategic Developments

On April 10, 2025, the Company, through AIG F&B, closed a share exchange
agreement with American Industrial Group (“AIG”), pursuant to which AIG transferred select rights, assets, and business lines
to AIG F&B in exchange for Acquisition Credits convertible into shares of SNBH common stock under a performance-based earnout structure.
These assets include proprietary beverage and first