OVERVIEW

The Company maintains a low-cost structure as it has no employees, contracting the services of executives and support as required. Because of the low-cost structure, the Company anticipates that the proceeds from stock issues and revenue from service and system sales, will be sufficient to meet the Company's operating and capital requirements for approximately 12 months.

RESULTS AND PLAN OF OPERATIONS

The Company had accumulated losses from inception to June 30, 2021 of $14,195,118. Major components of the loss include capital raising costs, consulting and management fees, engineering fees and operations costs. The Company may be required to make significant additional expenditures in connection with the development of the BizjetMobile and fflya programs. The Company's ability to continue its operations is dependent upon its receiving funds through its anticipated sources of financing including capital raisings, borrowings and revenues from operations.

YEAR ENDED JUNE 30, 2021 COMPARED WITH YEAR ENDED JUNE 30, 2020

In the 2021 financial year, the Company's programs were severely impacted by the Covid19 pandemic with virtually every business jet customer program grounded. To ensure the ongoing viability of the Company and to continue the refinement and implementation of the fflya airline program, all payments to executives and associated engineering and support services were reduced by 50%, on the basis that they would be back


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to normal by May 2021. While Covid19 has still had an operational impact, business jet system sales have recovered, although the service revenue remains sluggish. On the airline front, the first airlines installation was completed on Wizz Air in February 2021.

The Company received revenue of $73,837 from its BizjetMobile business in the year ended June 30, 2021, compared to $36,205 in the year ended June 30, 2020. Revenue from BizjetMobile service fees decreased from $19,387 to $11,964 and BizjetMobile system sales increased from $16,818 to $61,873 in the years ended June 30, 2020 and June 30, 2021 respectively. The Company has been able to achieve increased system sales with the introduction of an ultra low cost system in Q3 2020.

Operating expenses increased from $653,841 for the twelve-month period ended June 30, 2020 to $733,962 for the twelve month period ended June 30, 2021 due mainly to increased marketing costs.

The Company recorded a net loss from operations for the twelve month period ended June 30, 2021 of $660,125, compared to a loss of $617,636 for the twelve month period ended June 30, 2020.

Other expenses increased from $147,548 in the year ended June 30, 2020, to $710,703 in the year ended June 30, 2021, due to higher interest costs, loss on the issuance of shares for settlement of liabilities and amortization of beneficial conversion feature.

The Company recorded a net loss for the twelve month period ended June 30, 2021 of $1,370,828, compared to a loss of $765,184 for the twelve month period ended June 30, 2020.

LIQUIDITY AND CAPITAL RESOURCES

The Company's cash and cash equivalents cash equivalents increased from $8,958 at June 30, 2020 to $157,601 at June 30, 2021.

The Company's revenue for the twelve months ended June 30, 2021 was $73,837, compared to $36,205 in the twelve month period to June 30, 2020. Operating costs increased for the period from July 1, 2020 to June 30, 2021 mainly as a result increased marketing costs. After loss on issuance of shares, amortization of beneficial conversion feature, issue of shares for interest, increased related party payables and issuance of common stock for related party payables, the Company had a net cash outflow of $417,053 from operating activities for the period from July 1, 2020 to June 30, 2021, compared to a net cash outflow from operating activities of $332,533 for the period from July 1, 2019 to June 30, 2020.

The Company had no cash flow from investing activities for the twelve months ended June 30, 2021, and June 30, 2020 respectively.

The cash flow of the Company from financing activities for the twelve months ending June 30, 2021 was from the issue of common stock and proceeds from loans. In the twelve months ended June 30, 2020, financing activities was from subscription for common stock.

The Company's business plan is based on developing the BizjetMobile business as well as expansion into the airline business with its fflya program. This plan may require significant capital from the Company for marketing and technical and product support. The Company may not have sufficient funds to finance its operations in which case it will have to seek additional capital. The Company may raise additional capital by the sale of its equity securities, through an offering of debt securities, or from borrowings. The Company does not have a policy on the amount of borrowing or debt that the Company can incur.

The Company has no commitment for capital expenditure in the near future.





OUTLOOK

The following are forward looking statements and should be read in conjunction with the Forward Looking Statement in Part I. of this Form 10-K.

The Company's current revenue was from service fees and system sales generated by BizjetMobile. Revenue was based on hardware sales of the Bluetooth systems, plus on-going revenue from monthly

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service charges for the provision of connectivity. The Company then contracted ASiQ to supply and support the Bizjet program. Covid damaged the Bizjet market grounding all aircraft, and the impact on ASiQ, the Company's industrial partner was severe.

In order to retain the services of Ron Chapman and ASiQ and continue to support the Companies fflya program. Effective October 1st, 2021, the company's revenue on BizjetMobile will be in the form of commissions only from ASiQ, on a case-by-case basis. This informal arrangement will be reviewed in December 2021 when ASiQ's position and Covid is much clearer.

ASiQ provides the airline facilities, systems and support services funded as required on a nominal month by month basis by the Company.

The Company's primary focus over the past 12 months has been development of fflya to support its Wizz Air program.

The company's fflya business model is based on offering free messaging to be paid for by general and destination specific advertising. In the post Covid environment, in which airlines are relying more on their Apps for boarding passes and other flight information, passengers on customer airlines will be able to access the fflya system for messaging as well as bookings for tours and attractions. Under the fflya program, an airline will receive the system on a revenue share basis on terms to be agreed. As the equipment cost is a fraction of a Wi-Fi platform, the Company needs minimal commissions to justify the cost of the hardware. The Company believes LCA's will be attracted to this business model.





REVENUE RECOGNITION

The Company recognizes revenue from the sales of goods and services under ASC 606 by applying the following steps: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to each performance obligation in the contract; and (5) recognize revenue when each performance obligation is satisfied. .Revenue is recognised on the basis of net proceeds received from the Company's representatives, after commissions are deducted.





GOING CONCERN

The financial statements appearing elsewhere in this report have been prepared assuming that the Company will continue as a going concern. As such, they do not include adjustments relating to the recoverability of recorded asset amounts and classification of recorded assets and liabilities. The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. Management's plans in regard to these matters are described in Note 1 to the financial statements. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The Company's ability to continue its operations is dependent upon its raising of capital through debt or equity financing in order to meet its working needs. These conditions raise substantial doubt about the Company's ability to continue as a going concern, and if substantial additional funding is not acquired or alternative sources developed, management will be required to curtail its operations.

The Company may raise additional capital by the sale of its equity securities, through an offering of debt securities, or from borrowing from a financial institution. The Company does not have a policy on the amount of borrowing or debt that the Company can incur. Management believes that actions presently being taken to obtain additional funding provide the opportunity for the Company to continue as a going concern.

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