Stacey Torres, ICEO
Tonner One World Holdings, Inc.
Shareholder Letter
From the Desk of Stacey Torres, Interim CEO
April 19, 2024
Dear Valued Shareholders,
As we adapt to an ever-changing landscape, our dedication to enhancing shareholder value, refining our product offerings and sales strategies, and reducing or eliminating debt at Tonner One World Holdings remains unwavering. In the following discourse, I will outline my comprehensive plan for the future, addressing both the challenges and opportunities ahead, and elucidating how I intend to steer Tonner One World towards becoming a fully reporting, uplisted company with a streamlined share structure, reduced debt burden, and increased market share for our Maddie conversational AI product line—a vision that we can all take pride in.
Upon reviewing the company’s market positioning in recent years, it has become evident to me, as the newly appointed CEO, that my foremost responsibility is to clarify and strengthen Tonner One World’s consumer-facing brand, fostering clear understanding and widespread acceptance among shareholders, customers, employees, and partners. While my predecessor faced numerous challenges upon assuming leadership in 2021, including decisions by prior management that led to confusion and uncertainty surrounding the Tonner brand, I commend Ms. Melton for her adeptness in identifying our niche and capitalizing on opportunities for growth with precision and foresight. However, the proliferation of multiple product lines, while sensible in principle, contributed to confusion and uncertainty among shareholders and partners alike. While Tonner One World has indeed developed outstanding products under the TradeScore brand and made commendable strides towards realizing the potential of the Maddie project, I am committed to building upon Ms. Melton’s foundation with immediate changes and initiatives aimed at positioning the company for significant market share growth in the conversational AI space, while maintaining a laser focus on our core mission of driving sales over the next six months.
First, let us address the challenges. Our current share structure, with over 8 billion shares in circulation, presents a daunting picture for potential investors. While this is far from ideal, given the circumstances Ms. Melton and her team faced, I understand the rationale behind their decisions and am committed to improving the situation. However, in the short term, certain measures may exacerbate our position. It is clear that the company requires financing, which may not be attainable on favorable terms at present. Nevertheless, through continued efforts to reduce debt and negotiations with current and former noteholders, progress can be made. To this end, I have recently engaged with one of Tonner’s founders and major noteholders, who has agreed to acquire a note carrying over $250,000 in principal and over $700,000 in penalties and interest. This note, with an exorbitant annual interest rate of over 25% due to default penalties and fees, posed a significant threat to the company’s stability. Through collaboration with this noteholder, facilitated by Ms. Melton, we have successfully renegotiated the terms, resulting in a substantial reduction in principle and a manageable interest rate of 4%, with no default penalties or fees. Furthermore, we have secured a $250,000 financing commitment from this investor over the next 12 months, contingent upon the allocation of a 750 million share reserve for future conversion, with the stipulation that at least 40% of funds generated by these shares be reintroduced into the company under an equity structure. While this arrangement necessitates an authorized share increase, it represents a significant step towards securing non-toxic financing for the company, without the burdensome requirements associated with filing a Reg. A. Consequently, effective May 1, 2024, I am lifting the moratorium on share reserves imposed by previous management and authorizing an increase of up to 825 million shares, solely to fulfill the terms negotiated with the new funding noteholder and to attract talent for Tonner’s expansion into the conversational AI sector. While a share increase is never ideal, it is a necessary step towards securing the financing essential for our growth. Importantly, Ms. Melton and I have endeavored to ensure that these additional shares are issued in a manner that minimizes dilution and maximizes their benefit to the company.
Turning our attention to our product lines, it is evident that TradeScore Indicators for Trading View and our associated products hold significant potential as best-sellers, particularly given our partnership with BizIQ, which has generated increased traffic to tradescorepro.com and expanded our customer base both domestically and
internationally. However, to fully capitalize on this potential, it is imperative that we refine our marketing strategy and brand messaging to ensure clarity and resonance with our target audience. Accordingly, effective May 1, I am reallocating all budgetary resources earmarked for research and development on the TradeScore product line towards the expansion of our Maddie Conversational AI platform. While we will continue to market and sell our existing TradeScore products, no new products will be introduced until at least 2026.
Maddie represents a paradigm shift for Tonner One World, with significant implications for our future growth and market penetration. In recent weeks, we have secured partnerships to integrate Maddie into the operations of major brands, non-profit organizations, and universities nationwide. Notably, Maddie has been adopted by a prominent real estate firm, one of the largest casino party companies in the South, and is poised to serve as the primary customer communication portal for leading Autism services clinics in the U.S. The conversational AI space is our strategic focus, and we are committed to dedicating our resources and efforts towards its continued development and expansion over the next two years.
Regarding mergers, while I recognize the potential benefits of strategic alliances and synergies, I am cautious about pursuing mergers under our current circumstances. With our existing share structure, elevated debt levels, and annual sales below $500,000, merging at this juncture could compromise our autonomy and hinder our ability to achieve long-term success. Consequently, I have decided to terminate all merger and acquisition discussions, prioritizing our independence and focusing instead on driving growth and expansion through increased sales, secure financing, and debt reduction. While this decision may disappoint some stakeholders, it is imperative that we prioritize the long-term viability and sustainability of Tonner One World, rather than succumbing to short-term pressures or ill-conceived ventures. Transparency and accountability will guide our actions as we navigate the path towards sustainable growth and success.
As part of my core belief that to sell a product, one must embody the product, I am excited to announce an initiative that aligns with this principle. Beginning May 1, 2024, Tonner One World will integrate Maddie’s conversational AI capabilities into our investor relations strategy. As a demonstration of our commitment to our products, we will leverage Maddie as a virtual investor relations tool on our website, tonnerow.com.
A Maddie Conversational AI widget will be installed on the Tonner website, enabling shareholders to communicate questions, suggestions, concerns, and more. This innovative feature will provide us with an opportunity to showcase Maddie’s capabilities as a virtual brand ambassador, while also serving as a compelling case study for other public companies considering adopting Maddie technology to enhance shareholder communication.
For example, Maddie will be equipped with the ability to ingest data from financial disclosures and press releases, allowing her to engage shareholders in real-time, conversational discussions about company updates and developments. It is important to note that Maddie will not serve as a disclosure tool, but rather as a contextual vehicle for facilitating meaningful dialogue between the company and its shareholders.
Lastly, as the new CEO, I am dedicated to fostering a culture of positivity and focus, while eliminating negativity in all aspects. I have observed with disappointment the manner in which interactions occur on the company’s Discord channel, which has devolved into unprofessional and petty dialogue on both sides. I am taking decisive action to address this issue. Effective May 1, the Discord channel will be moderated by AI bots that will filter out dialogue that does not meet community standards and rules, and will enforce suspensions and restrictions on community members as necessary. Our Discord channel is not a forum for venting frustration, spreading rumors, or engaging in wild speculation. It will be treated as a platform for positive discussion and appropriate dialogue. Should the AI bots fail to achieve the desired effect, the Discord channel will be discontinued for public access, with access granted only to selected users who undergo a rigorous selection process. While this approach may seem radical, online shareholder activity is also part of the problem, and it will cease under my leadership.
Thank you for your continued support and trust in Tonner One-World.
Sincerely,
Stacey Torres
Interim CEO
Tonner One-World Holdings, Inc.