Isodiol International Inc. Announces the Commencement of Efforts to Curb Shareholder Dilution

January 11, 2019 – Vancouver, BC – Isodiol International Inc. (CSE: ISOL) (OTCQB: ISOLF) (FSE: LB6B.F) (the “Company” or “Isodiol”) announced today that its Board of Directors is re-examining the Company’s stock commitments for 2019 and making efforts to curb dilution and enhance shareholder value.  The first of these efforts is the mutual termination of the Company’s license agreement with Level Brands Inc. (“Level”) for the kathy ireland® brand, which was effective as of January 7, 2019.

Isodiol and Level entered into the license on December 30, 2017.  Among the terms of the license, Isodiol was obligated to make quarterly license fee payments of US$750,000 in the form of Isodiol shares for a term of ten years.  The termination agreement concluded those payment requirements as of Isodiol’s fiscal quarter ended September 30, 2018 and included a final payment of 500,000 shares to be issued as of January 10, 2019.

“At the time Isodiol entered into the license, our stock price was $13.20, and the dilutive effect of the license fee was acceptable,” said Marcos Agramont, CEO of Isodiol.  “Unfortunately, our stock has not yet returned to that price, and our fixed monetary obligations to Level under the license that are payable in stock have become the equivalent of toxic debt.  While we greatly respect Mrs. Ireland, the cost of dilution to our shareholders for the license is simply too great at this time.”

Pursuant to the termination, the Company will retain the ability to sell products bearing the kathy ireland® brand through June 2019.

About Isodiol International Inc.

Isodiol International Inc. is focused on the nutritional health benefits that are derived from hemp and is a product development, sales, marketing and distribution company of hemp-based consumer products and solutions.

Isodiol has commercialized a 99%+ pure, naturally isolated CBD, including micro-encapsulations, and nano-technology for quality consumable and topical skin care products. Most recently, the Company received approval for its CBD designated as an Active Pharmaceutical Ingredient for use in Finished Pharmaceutical Products, as was announced on April 26, 2018.

Isodiol’s growth strategy includes the development of over-the-counter and pharmaceutical drugs and continued international expansion into Latin America, Asia, and Europe.

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ON BEHALF OF THE BOARD

Marcos Agramont, CEO & Director

INVESTOR RELATIONS:

[email protected]

www.isodiol.com

604-409-4409

Forward-Looking Information: This news release contains “forward-looking information” within the meaning of applicable securities laws relating to statements regarding the Company’s business, products and future of the Company’s business, its product offerings and plans for sales and marketing. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned not to place undue reliance on forward-looking information. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance and developments to differ materially from those contemplated by these statements depending on, among other things, the risks that the Company’s products and plan will vary from those stated in this news release and the Company may not be able to carry out its business plans as expected. Except as required by law, the Company expressly disclaims any obligation and does not intend, to update any forward-looking statements or forward-looking information in this news release. Although the Company believes that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct and makes no reference to profitability based on sales reported. The statements in this news release are made as of the date of this release.

The CSE has not reviewed, approved or disapproved the content of this press release.