Pegasus Mercantile to settle $122,000 debt with shares

Ms. Meris Kott reports PEGASUS MERCANTILE INC. ANNOUNCES DEBT SETTLEMENT Pegasus Mercantile Inc. has agreed to settle an aggregate of $122,000 in debt through the issuance of restricted common shares. The company has agreed with certain of its creditors to issue an aggregate of 2.44 million common shares to such creditors in exchange for their accounts payable and loans in the aggregate amount of $122,000 owing to certain creditors. The settlement shares are being issued at a deemed price of five cents, in accordance with the policies of the Canadian Securities Exchange. The securities issued in connection with the debt settlement will be subject to a statutory hold period of four months plus one day from the date of issuance in accordance with applicable securities legislation. Pursuant to the policies of the CSE, the debt settlement will close five business days from the date of this press release. The shares-for-debt transaction remains subject to CSE acceptance. "The company is working diligently to file our annual statement next month. This debt settlement will help improve our financial position by reducing our existing liabilities. We are reviewing new opportunities from our current advisers and looking forward to sharing them with our shareholders in the near future," said Meris Kott, chief executive officer. About Pegasus Mercantile Inc. The company is a prospect generator that provides high-growth companies with advisory services, including technology, financial, operational and management assistance. It is currently focused on the fast-growing market for global wellness products and novel consumer goods and services. We seek Safe Harbor.