Mr. Paul Guedes reports

FIRST GROWTH AND WINEONLINE ANNOUNCE ACQUISITION OF A ROYAL LIQUOR MERCHANT LOCATION IN CALGARY

First Growth Holdings Ltd. and its wholly owned subsidiary, WineOnline Alberta Ltd., have purchased Royal Liquor Merchants' downtown Calgary retail liquor store, located near the city's core on 4th St. SW. The store will be rebranded as the WineOnline website, establishing a strong presence in Alberta.

"We have been evaluating opportunities that fit with our overall growth strategy in Alberta for several months now, and I am happy to report that we have now found a great business in a great location," said Paul Guedes, president of First Growth. "The acquisition of this Royal Liquor Merchants store, located in the downtown core, not only allows First Growth to expand the [WineOnline website] platform in Alberta but will contribute substantially to the revenue of WineOnline in Canada."

Having operated at this location since 1994 when the Alberta government first privatized the store, Royal Liquor Merchants has established a strong customer base within the downtown community. "Through this purchase, WineOnline will acquire an established in-store and thriving office delivery business that dovetails perfectly with WineOnline's strategy, the addition of this business not only represents a near doubling of revenue in Canada but also a strong market entry accelerant," said WineOnline co-founder and general manager Aaron Bick. "I'm excited to have a ready audience to introduce our selection of unique and wonderful wines to."

Alberta is Canada's fourth-largest wine market by sales and is growing at a steady, sustainable pace. Wine sales in Alberta grew by 26 per cent during the five-year period to 2013, when they reached nearly $495-million. While the wine market in Calgary is competitive and established, the WineOnline website looks forward to building on the success of the existing store by offering a unique selection of wines that previously have not been available in the province, a superior on-line wine experience and incredible customer service.

This acquisition, along with the recently announced third party operator status granted to WineOnline Silva Bay Services Ltd. to operate the Silva Bay liquor store in British Columbia, means that First Growth, through its wholly owned subsidiaries, is now selling wine directly to consumers in three of the four largest provincial markets: Ontario, British Columbia and Alberta. WineOnline is also operating as an agent in Quebec listing select products to the SAQ (Societe des alcools du Quebec).

In addition, subject to regulatory approval, the company will pay a finder's fee in accordance with the rules and regulations of the TSX Venture Exchange.

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