HLWD Almost Never Films Inc (CE)

Item 1.01 Entry into a Material Definitive Agreement.

On June 6, 2017, Almost Never Films, Inc. (“ANF”) issued a 2.5% promissory note (the “ANF Note”) to Weirong Zhang (the “Investor”). Pursuant to the ANF Note, ANF is receiving $200,000, which is due to the Lender ninety (90) days from the date the purchase price of $200,000 is paid. The ANF Note accrues interest at 2.5% per 90 days. Thereafter, on June 7, 2017, The Money Pool, LLC (“Money Pool”) issued a non-transferable promissory note to ANF for $200,000 (the “Money Pool Note”). ANF shall fund the Money Pool Note with the funds received from the Investor. Money Pool shall use the funds from the Money Pool Note, along with its own funds, in order to provide a bridge loan to Blue Rider San Juan, LLC (“Blue Rider”), in connection with the production of a motion picture known as “Speed Kills”. Blue Rider is the international sales agent for “Speed Kills.” The Money Pool Notes accrues interest of a flat 2.5% for the first 45 days from funding. In the event the Money Pool Note is not paid in full within 45 days, the flat interest rate will increase to 3.5% for each 45-day period any balance or accrued interest remains unpaid. The principal and interest shall be payable by Money Pool to ANF from payments made by Blue Rider on the bridge loan provided by Money Pool.

Prior to the date of the ANF Note and the Money Pool Note, respectively, ANF had no interaction, other than the negotiation of the ANF Note and the Money Pool Note, with the Investor or Money Pool.