Charlie's is the ONLY company to have received California Unflavored Tobacco List ("UTL") authorization for FOUR modern disposables:

Virginia Tobacco SBX, PACHA 10K, 15K, and 20K are all UTL authorized.

COSTA MESA, CA, May 18, 2026 (GLOBE NEWSWIRE) -- Charlie's Holdings, Inc. (OTCQB: CHUC) ("Charlie's" or the "Company"), an industry leader in the premium vapor products space, today announced the Company has launched SBX 25K Virginia Tobacco disposables across the State of California - in partnership with the nation's second-largest convenience store chain. 

The Unflavored Tobacco List ("UTL") is a list of covered tobacco products that are permissibly unflavored under California law. Only products appearing on the UTL are legal to sell in the State of California. Charlie's SBX listing on California’s UTL, as well as the product's newly secured retail placement beside e-cigarette market leaders Juul and Vuse, represents a significant milestone and a sizable market opportunity for Charlie's.

"Charlie's has long been a leader in compliant offerings for adult consumers. Partnering with one of the country's largest and most successful c-store chains will allow us to expand SBX distribution across America's most populous state," explained Doug Christian, Charlie's National Sales Manager. "What's more, now that Charlie's has also secured UTL authorizations for PACHA 10K, 15K, and 20K disposables, we intend to introduce these popular products throughout California as well."

Increasing Regulatory Enforcement Greatly Benefits Charlie's

Unlike many competitors in the vapor products industry, Charlie's has focused on achieving regulatory compliance with both FDA and state regulations. Charlie's has a portfolio of more than 650 PMTA submitted products, as well as "regulatory good standing" in host of states, that have enacted legislation defining exactly what Electronic Nicotine Delivery System ("ENDS") products can be sold legally.

Last week, as part of a targeted initiative called Operation Red Mist, U.S. Customs and Border Protection, in collaboration with the U.S. Coast Guard and the U.S. Food and Drug Administration, seized more than 18 million ENDS products (illicit Chinese vapes) valued at more than $175 million. Charlie's products were unaffected by the seizures.

"Though illicit Chinese products have again been flooding the market this year, in an environment where FDA regulations are actually enforced - and even enhanced by the growing number of states instituting ENDS product registries - Charlie's commitment to regulatory compliance, youth access prevention, and responsible business practices is what will set us apart," explained Henry Sicignano, Charlie’s President. "Going forward, as regulatory enforcement continues to increase, we expect to see Charlie's competitive advantages expand… significantly."

About Charlie's Holdings, Inc.

Charlie's Holdings, Inc. (OTCQB: CHUC) is an industry leader in the premium vapor products space. The Company's products are sold around the world to select distributors, specialty retailers, and third-party online resellers through subsidiary company Charlie's Chalk Dust, LLC has developed an extensive portfolio of brand styles, flavor profiles, and innovative product formats.

For additional information, please visit Charlie’s corporate website at: Chuc.com and the Company's branded online websites: sbxvape.com, CharliesChalkDust.com, enjoypachamama.com, and Pacha.co.

Safe Harbor Statement 

This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements regarding the Company's overall business, existing and anticipated markets and expectations regarding future sales and expenses. Words such as "expect," "anticipate," "should," "believe," "target," "project," "goals," "estimate," "potential," "predict," "may," "will," "could," "intend," variations of these terms or the negative of these terms, and similar expressions, are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the Company's control. The Company's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: the Company's ongoing ability to quote its shares on the OTCQB; whether the Company will meet the requirements to up-list to a national securities exchange in the future; the Company’s ability to successfully increase sales and enter new markets; whether the Company’s PMTA’s for its nicotine-containing products will be authorized by the FDA, and the FDA’s decisions with respect to the Company's future PMTA’s for nicotine products; the Company's ability to manufacture and produce products for its customers; the Company's ability to formulate new products; the acceptance of existing and future products; the complexity, expense and time associated with compliance with government rules and regulations affecting nicotine, synthetic nicotine, products containing nicotine substitutes, and products containing cannabidiol; litigation risks from the use of the Company's products; risks of government regulations; the impact of competitive products; and the Company's ability to maintain and enhance its brands, as well as other risk factors included in the Company's most recent quarterly report on Form 10-Q, annual report on Form 10-K, and other SEC filings. These forward-looking statements are made as of the date of this press release and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Except as required by law, the Company undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations.

Investors Contact:
IR@charliesholdings.com
Phone: 949-570-069