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7.The signature of the HDC representative authorized to make. <br /> the sale or transfer acknowledging the accuracy of the cannabis products being shipped; <br /> 8.The signature of the purchaser or designated representative,acknowledging <br /> receipt or rejection of the cannabis product. <br /> Reporting and Tracking of Product and of Gross Sales: <br /> HDC shall maintain a point of sale and inventory management and tracking system to track and report all <br /> aspects of the commercial cannabis activity in which it engages,including tracking product,inventory <br /> data,and gross sales (by weight and by sale). <br /> Hybrid Development: <br /> HDC Nursery may also be geared toward the cultivation of immature,non-flowering cannabis plants for <br /> genetic identification,fortification,and diversification of its plant stock,as well as for wholesale of a <br /> diversified stock of immature cannabis clones for distribution only to cultivators and retailers with valid <br /> local and State licenses. <br /> The diversification of HDC's genetic stock will occur through the selection and combination of individual <br /> strains through cross-breeding.During this process,individual plant strains will be selected for their <br /> specific traits and pollinated from another plant with its own unique traits to create new and ideal varieties <br /> of cannabis. <br /> As plant seeds are harvested from HDC existing genetic stock,select plants will be cultivated to maturity, <br /> with one male plant isolated as a pollinator.As the male plant produces pollen,that pollen will be <br /> harvested and manually brushed onto the pistil of a female plant from a different strain,which,if <br /> successfully pollinated will produce a hybrid of the two. <br /> The hybrid strain will then be grown to maturity,with select clones harvested based on the strength of <br /> their individual characteristics.The selected plants will be grown to maturity,through flowering,so that <br /> the end-product can be analyzed strictly for research and development purposes.Cannabis flower <br /> produced through this process will not be distributed into the commercial cannabis market and shall be <br /> destroyed once analysis is complete. <br /> Cultivation Lighting Location <br /> The cultivation lights will be positioned directly above the rolling benches,with one(1)light placed <br /> every five feet running along the length of each bench. <br /> Cultivation Lighting Wattage <br /> 500-Watt Lights will be used in the Nursery Vegetation Process. <br /> Genetic Research and Evaluation <br /> HDC Nursery may also contain a grow area dedicated to research and development of mature,flowering <br /> cannabis plants,whose flowers shall not enter the regulated commercial market.As new strains are <br /> selected through hybrid development,and vegetated on-site,they will be grown to full maturity to <br /> evaluate determine the quality and consistency of the end product-cannabis flower.This will allow HDC <br /> to engage in on-site research and development of novel cannabis strains including their efficacy to <br /> address consumer needs and preferences. <br /> HE DEVELOPMENT CORP 7 <br />