Mr. Hess Moallem reports

CHARLOTTE'S WEB NAMES PHARMACEUTICAL INDUSTRY VETERAN STEPHEN LERMER AS CHIEF OPERATING OFFICER

Stephen Lermer has joined Charlotte's Web Holdings Inc. in the newly formed role of chief operating officer effective Jan. 28, 2019. Mr. Lermer, who comes to Charlotte's Web from the pharmaceutical industry, where he held senior leadership and executive positions at DuPont, Johnson & Johnson, Burroughs Wellcome (now GlaxoSmithKline), Rhone Poulenc (now Sanofi), Orion Oyj and Akela Pharma, will become responsible for overseeing all aspects of the company's manufacturing, supply chain, research and development, legal and regulatory affairs, quality assurance and control, engineering, cultivation, and operations management functions.

Mr. Lermer has over 38 years of experience overseeing start-up, mid- and large-scale global pharmaceutical, cosmetic and consumer packaged goods (CPG) operations, product development and commercialization, and manufacturing and distribution. He also brings a seasoned global business perspective to operational decision making having lived and worked in Europe, the Caribbean, Central America, South America and North America. Mr. Lermer's deep international business experience includes cross-border mergers and acquisitions, international drug development, and new market entry experience.

"Stephen is a valuable and timely addition to our evolving leadership team," said Hess Moallem, president and chief executive officer of Charlotte's Web. "His appointment dramatically expands our domestic and international operational capabilities and brings high-level pharmaceutical quality and operating expertise to our organization. I've had the privilege of working with Stephen in the past and consider him a trusted adviser. We've had the opportunity to apply tried and true formulas for scaling and growth at other organizations providing firsthand experience with Stephen's operational business sophistication and executional track record."

As the company's annual cultivation and production materially increase, operating efficiencies become increasingly critical. Applying big pharma operating discipline to large-scale processing can pay meaningful dividends in terms of product quality, consistency and cost.

Charlotte's Web chairman and co-founder Joel Stanley stated: "Stephen's hire further reaffirms Charlotte's Web's unwavering commitment to producing exceptionally high-quality products for our customers. The pharmaceutical industry operates under high regulatory and product quality standards and strict regulatory compliance protocols. Charlotte's Web is also committed to best practices for regulatory and operational oversight for our CBD (cannabidiol) manufacturing and products. Stephen brings tremendous global pharma operating experience to support this mission."

The appointment follows the recent addition of a global CPG industry veteran as the company's new chief growth officer. This pairing of CPG marketing and sales expertise with manufacturing and commercialization expertise positions Charlotte's Web favourably to lead within its category.

About Charlotte's Web Holdings Inc.

Charlotte's Web is the market leader in the production and distribution of innovative hemp-based cannabidiol wellness products. Founded by the Stanley brothers, the company's premium-quality products start with proprietary hemp genetics that are responsibly manufactured into whole-plant hemp extracts naturally containing a full spectrum of phytocannabinoids, including CBD, terpenes, flavonoids and other beneficial hemp compounds.

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