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Distribution Operations The primary activities involved in the operation of the commercial cannabis Distribution business would involve the wholesale purchase and resale of cannabis goods, as well as the provision of contract services for packaging, labeling, storage for lab testing, and transportation of cannabis goods to licensed retailers and distributors, including cannabis flower, cannabis concentrates, and edible cannabis goods. All cannabis products for wholesale purchase or taken in for service by MLC shall be sourced only from State-Licensed Cultivators, Manufacturers and Distributors. Such cannabis goods may arrive pre-packaged for distribution into the commercial market, or in bulk to be packaged, and labeled by MLC prior to testing and distribution to retailers and distributors. All product transactions, including the physical transfer of cannabis goods, shall take place wholly inside the interior of the distribution structure within the confines of the secure facility perimeter. Storage Once Packaged,the cannabis flower shall be organized and stored on shelves located the Safe Room where they will be quarantined for L,ab Testing. Once, the finished product is appropriately bagged, organized, and labeled for distribution,the Product Packages shall remain within the Safe Room until ready for distribution off-site following compliance lab testing and receipt of a Certificate of Analysis for the batch to be distributed_ L.ab Testing After taking physical possession of a cannabis goods batch, MLC tenant operators shall contact a testing laboratory and arrange for a laboratory employee to come to the facility to select a representative sample for laboratory testing. At the time a batch sample is tested, the Distribution Manager shall ensure that the batch size from which the sample is taken meets state law requirements. The Distribution Manager shall be physically present to observe the laboratory employee obtaining the sample of cannabis goods for testing, and ensure that increments of the sample are taken from throughout the batch. The sampling shall be video recorded with the batch number stated at the beginning of the video and a visible time and date indication on the video recording footage. The video recordings shall be maintained for 180 days. After the sample has been selected, MIX tenant-operator Distribution Manager and the laboratory employee shall sign and date the chain of custody form attesting to the sample selection having occurred. However, MI.,C tenant-operators shall not assist the laboratory employee nor touch the cannabis goods or the sampling equipment while the laboratory employee is obtaining the sample. Morada I-and Company 21