SBS Interactive, Co. SBS Interactive, Inc. 4211 Yonge Street, Suite 235 Toronto, Ontario M2P 2A9 Canada November 5, 2004 Arthur Cohn Gellertstrasse 18 4052 Basel, Switzerland Re: Reset Provision Secured Convertible Promissory Note ----------------------------------- Dear Mr. Cohn: Pursuant to Section 4(d)(v) of the Secured Convertible Promissory Note dated July 22, 2004 (the "Note"), I hereby advise you that the "Set Price" as such term is defined in Section 4(d)(i) of the Note is adjusted from $.50 to $.40 due to the closing of a recent offering of shares of Common Stock of SBS Interactive, Co. at a price of $.40 per share. Very truly yours, /s/ Todd E. Gotlieb Todd E. Gotlieb cc: Michael W. Conron, Esq. Mary Ann Sapone, Esq.