Mr. Jamie D'Alimonte reports

GREENWAY ANNOUNCES SECOND QUARTER FINANCIAL STATEMENTS

Greenway Greenhouse Cannabis Corp. today released its interim financial statements for the quarter ended Sept. 30, 2023.

The company is pleased to report these results for the quarter ended Sept. 30, 2023.

Highlights:

• The company announced the planned launch of its first branded products with the OCS (Ontario Cannabis Store), to be on store shelves in February of 2024. Management is pleased to transition a portion of production to retail sales with the introduction of two new brands to the consumer market: EPIC and MillRite.
• In a recent private placement, the company was oversubscribed for $3.5-million in gross funds, indicating continued investor support in an environment where fundraising is challenging in the cannabis industry.
• Over the quarter, Greenway reported $1,185,611 of revenue.
• Cost of sales comprised $826,836 of cash expenses and $229,577 of amortization expense resulting in a total gross margin before inventory impairment and fair value adjustments of 11 per cent.
• An average cash cost per gram expensed for the quarter of 67 cents, comprising all crop inputs and wages, bulk packaging, shipping and facility repairs, and maintenance.
• A weighted average cash cost per gram of 66 cents of finished goods inventory on hand as at Sept. 30, 2023.

"As the greater cannabis market feels price compression, we as wholesalers are feeling the same pressure. Although I am pleased we sold more cannabis this quarter than we did in the same quarter last year, we must continue to strive for innovative strains that differentiate us," said Jamie D'Alimonte, chief executive officer of Greenway. "We continue to operate a highly skilled and streamlined team, which continues to deliver one of the lowest costs of production in the industry -- one I am confident will help steer us back towards profitability.

"While this quarter's revenue experienced a slight dip at $1,185,611, our unwavering dedication to maintaining an industry-leading production cash cost of 75 cents per gram positions us strategically in the cannabis landscape. We understand the market's fluctuations and are steadfast in our commitment to optimizing processes and seizing opportunities. Our focus remains unwavering on turning Greenway into a household name, with the next step of that being launching our own consumer brands in early 2024."

A copy of the interim financial statements for the quarter ended Sept. 30, 2023, are prepared in accordance with international financial reporting standards (IFRS) and the related management's discussion and analysis are available under the company's profile on SEDAR+. All amounts expressed in this press release refer to Canadian dollars.

Non-IFRS measure reconciliation

Shares for debt settlement

The company is happy to announce a proposed settlement agreement with certain vendors regarding the construction of the recent facility expansion, and pursuant thereto shall settle an aggregate debt of $180,000 through the issuance of 720,000 shares at a deemed issuance price per share of 25 cents.

The settlement shares will be issued in reliance on a prospectus exemption pursuant to securities legislation and will be subject to a four-month-plus-one-day statutory hold period. The issuance of the settlement shares in settlement of the debt remains subject to all necessary regulatory approvals including final acceptance by the Canadian Securities Exchange.

About Greenway Greenhouse Cannabis Corp.

Greenway Greenhouse Cannabis is a federally licensed cultivator for the Canadian cannabis marketplace. Greenway is headquartered in Kingsville, Ont., and leverages its agriculture and cannabis expertise in its aspiration to be a leading cannabis cultivator in Canada.

We seek Safe Harbor.