Mr. Giulio Bonifacio has submitted his resignation as a Director of Earthworks Industries Inc.

Earthworks Industries Inc. has received notice that a Court Action was started in the California Superior Court on October 15, 2012 against itself and its wholly owned California subsidiary, Cortina Integrated Waste Management, Inc. by Cortina Landfill Company and North Bay Corporation claiming payment of $5,966,789.60. The claim is made pursuant to the earlier settlement agreement that the companies signed with the Plaintiffs relative to the repayment to the Plaintiffs of funding earlier supplied by the Plaintiffs for the Companies' integrated landfill project in California. The Companies have been in discussions with the Plaintiffs in an attempt to secure a new arrangement providing for the repayment of the monies that are owing. The companies will continue to seek to negotiate a compromise agreement with the Plaintiffs pursuant to which the monies that owe can be paid or settled on a basis that is acceptable to the Companies. While the companies acknowledge that monies are owing to the Plaintiffs they do not acknowledge that it is in the full amount stated in the Action ­ and the companies will be disputing the Action on that basis.

Earthworks Industries Inc., Annual General Meeting, Jun 15, 2012., at 11:00 Pacific Standard Time. Location: Tupper Jonsson & Yeadon. Agenda: To receive and consider the Report to the Shareholders from the Board of Directors; to receive and consider audited financial statements of the company and the Auditor's Report thereon; to elect Directors for the ensuing year; to reappoint MacKay LLP, Chartered Accountants, as the auditor of the company for the ensuing year, and to authorize the Directors to fix the remuneration to be paid to the Auditors; to consider re-approval of the company's Stock Option Plan; to consider approval of Directors' actions and activities during the period since the last shareholders' meeting; and to transact such other business as may properly come before the Meeting or any adjournment thereof.