Mr. John Fowler reports

SUPREME COMPLETES PRE-LICENSE UPGRADES AT KINCARDINE GREENHOUSE

Supreme Pharmaceuticals Inc. has completed the security and infrastructure upgrades at the hybrid industrial greenhouse facility in Kincardine, Ont., and is ready for the Health Canada prelicence inspection of the facility.

Since the acquisition of the 342,000-square-foot facility in May, 2014, the company has spent approximately $4-million in upgrades to transform the facility from an out-of-use tomato greenhouse to a highly secured, state-of-the-art, automated medical marijuana facility. These upgrades include a level 9 security vault capable of storing up to $150-million of dried marijuana, a sophisticated digital security system including intrusion detection and visual surveillance, as well as sanitation and automation, all of which meet or exceed the regulatory requirements set by Health Canada.

The company and its management team have carefully planned the upgrades of the facility to provide an optimal environment to manufacture high-quality, low-cost medical marijuana. If successful in obtaining the licence to produce medical marijuana subsequent to the prelicence inspection, the company expects to immediately commence growing in its first completed phase of the facility. Subsequent phases of the facility are expected to be built out later in 2015 which will increase the productive capacity of the facility. No date has been set yet for the Health Canada inspection.

John Fowler, the company's director of operations, stated: "The construction thus far has been a massive undertaking for us. We are excited to move forward in the licensing process and stay on track with our goal of providing high-quality, low-cost medical marijuana in the coming months."

We seek Safe Harbor.