Blakeford at Home Inc.

Part X, Line 2:

“Blakeford, Inc. is a 501 (c)(3) organization which is exempt from federal income taxes pursuant to Section 509(a) of the Internal Revenue Code. It is not considered a private foundation. The Blakeford at Green Hills Corporation is a 501(C)(3) Organization which is exempt from Federal Income Taxes Pursuant to Section 501(a) of the Internal Revenue Code. It is not considered a private foundation. Blakeford at Home, Inc. has been classified as a tax-exempt organization under Section 501(C)(4) of the internal revenue code and therefore is not subject to federal income tax. Livewell by Blakeford, Inc. is a 501 (c)(4) organization which is exempt from federal income taxes pursuant to Section 509(a) of the Internal Revenue Code. Other affiliates consisting of Blakeford Development Services, Inc. and Blakeford Management Services, Inc. are corporations subject to corporate and state income tax and taxable income, if any. The company follows financial accounting standards board accounting standards codification ("FASB ASC") guidance that clarifies the accounting for uncertainty in income taxes recognized in an entity's financial statements. This guidance prescribes a minimum probability threshold that a tax position must meet before a financial statement benefit is recognized. The minimum threshold is defined as a tax position that is more likely than not to be sustained upon examination by the applicable taxing authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit to be recognized is measured as the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. Tax years that remain open for examination include years ended December 31, 2013 through December 31, 2016. The company does not believe there are any uncertain tax positions at December 31, 2016. Additionally, the company has not recognized any tax related interest and penalties in the accompanying consolidated financial statements. Tax years that remain open for examination include years ended December 31, 2013 through December 31, 2016. The Company does not believe there are any uncertain tax positions at December 31, 2016. Additionally, the Company has not recognized any tax related interest and penalties in the accompanying consolidated financial statements.”