Mr. Denis Arsenault reports

ORGANIGRAM SUPPORTS HEALTH CANADA AUDITING IMPROVEMENTS

Organigram Holdings Inc. is providing this update regarding recent Health Canada announcements as well as the company's product recall announced Dec. 30, 2016, and Jan. 9, 2017.

Organigram has enhanced its testing protocol beyond the required regulatory testing to ensure that all products currently being sold on its store, and all products sold in the future, will be tested for an expanded quantity of possible contaminants, including bifenazate and myclobutanil. Since the recall dates, Organigram has grown, harvested and tested numerous lots of medical marijuana and all have passed the additional testing protocols.

"We completely support Health Canada's latest announcement to introduce random testing into their process to ensure the confidence of medical cannabis users across Canada," noted Denis Arsenault, Organigram chief executive officer. "This is very much in line with the steps we've taken internally, so we are very supportive of this industrywide initiative."

The company has identified seven key initiatives as part of the process to ensure this issue can not reoccur at Organigram. These initiatives include steps to test each input received from outside suppliers, a comprehensive screening process for existing and new suppliers, pesticide testing of every lot of final product prior to packaging, installation of cameras within mixing areas, and a full training program for all employees.

"We've taken this event very seriously and have a comprehensive plan in place to ensure our integrity and reputation remains intact," added Mr. Arsenault. "Our focus now is implementing change and maintaining our focus on client service."

As part of this process, Organigram also advises that its organic certification has been suspended as it undergoes a recertification process which is currently under way. Organigram is working diligently with the certification body to ensure that this process moves as expeditiously as possible. This process will also reflect Organigram's previously communicated intention to produce both organic and non-organic medical marijuana within the same facility.

About Organigram Holdings Inc.

Organigram's wholly owned subsidiary, Organigram Inc., is a licensed producer of medical marijuana in Canada. Organigram is focused on producing the highest-quality, condition-specific medical marijuana for patients in Canada. Organigram's facility is located in Moncton, N.B., and the company is regulated by the access to cannabis for medical purposes regulations.

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