Thursday, April 21, 2022

QualityStocksNewsBreaks – Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Provides Update Regarding Restructuring, Strengthening of Balance Sheet

 Red White & Bloom (CSE: RWB) (OTCQX: RWBYF), a multistate cannabis operator and house of premium brands, has completed a companywide restricting, which resulted in the elimination of $115 million in liabilities and more than $22 million in annual expenses. Highlights of the strategic moves include the completion of the sale of its Granville, Illinois, facility; the repayment of $51.7 million secured debt and the elimination of $6.3 million of annualized debt servicing; and transitioning to an asset-light, brand-rich model that eliminated more than $13 million in associated annual operating expenses, inclusive of $8 million in cash operating costs. In addition, the company streamlined brands, contributing to the potential elimination of more than $60 million in future royalty payment liabilities that will impact the company’s third-quarter 2021 balance sheet. In addition, RWBYF completed reductions of employees, consultants and contractors that resulted in more than $2.5 million annualized cost savings and paid off $3.8 million in additional liabilities as well as repayment of secured debt. “Having recently obtained full operational control of our intellectual property, brands and operations across all assets, we’ve expeditiously mobilized our teams to optimize our strategy for the current and anticipated market conditions to maximize shareholder value,” said Red White & Bloom CEO Brad Rogers in the press release. “We are very pleased with the significant balance sheet and operational improvements we have made in a relatively short period of time. Today’s announcement is the culmination of an in-depth review and rationalization of assets and operations. We have reduced well over $100 million of liabilities without any dilution to our shareholders and have exited the one state that had not contributed any revenue from THC operations to our results since our inception.”

To view the full press release, visit https://ibn.fm/6NFfK

About Red White & Bloom Brands Inc.

Red White & Bloom is a multistate cannabis operator and house of premium brands in the U.S. legal cannabis and hemp sector. RWB is predominantly focusing its investments on the major U.S. markets, including Arizona, California, Florida, Illinois, Massachusetts and Michigan with respect to cannabis, and the United States and internationally for hemp-based CBD products. For more information about the company, please visit www.RedWhiteBloom.com

NOTE TO INVESTORS: The latest news and updates relating to RWBYF are available in the company’s newsroom at https://ibn.fm/RWBYF

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