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THIS MONTH IN
AMERICAN GREEN
M AY 2 0 1 5
PRESIDENT ’S MESSAGE
Wow…could this industry be more ex-
Green H|E|A|L Line of CBD products.
well with our already industry-lead-
citing?! The old stigma and stereotypes
Our first product is now available in
ing Verified Vending technology for
associated with what should be viewed
an e-liquid form and multiple flavors.
point-of-sale secured purchasing with
as a miracle plant are being systemati-
This Line will continue to expand
the ZaZZZ machine.
cally wiped away with science.
with the introduction of other life-
With the initial group of ZaZZZ
style and medicinal delivery meth-
machines nearly organized, we have
ods, like Tinctures and Lozenges.
been able to create a process that in-
Who could have pictured the day
ten years ago when mainstream news
like National Geographic Magazine
American Green also continues its
cludes delivery, relocation, regulato-
and Dr. Mercola (pg. 3) would be doing
commitment to becoming the leader
ry compliance, product management
feature stories on the ‘Science of Can-
and innovator of technologies and
and more. The activation of the next
nabis” and its undeniable medicinal
processes within the Cannabis indus-
set of machines will be easier and en-
properties? What a tremendous break-
try and beyond. We are currently work-
able us to shorten the order-to-acti-
through for our industry.
ing on several options to set compli-
vation cycle. Best of all, we can now
Talk about great timing… on
ance standards enabling cannabis
turn more of our attention to machine
the coattails of the giant news re-
cultivators and government agencies
use by the public. Special deals, prizes,
ports, our marketing and develop-
alike to effectively manage all seed to
celebrity endorsements, and appear-
ment teams introduced the American
sale operations. This, of course will fit
continued pg 2.
PRESIDENT ’S MESSAGE CONTINUED
ances will all be part of a roll-out that we expect will
go on for years. With every completed installation, we
A M E R I CA N G R E E N
C O M PA N Y N E W S
learn more about what we have and what we can have.
The month of May saw the spring season getting into
We wouldn’t have done anything different getting to
full swing, and American Green leading the way, taking
this point because attempting to take shortcuts early
full swings of its own in the Cannabis Industry!
in the rollout process would have been nothing short
of reckless.
The first of our H|E|A|L Line of pure hemp-derived
CBD products was introduced in the form of e-liquid for
We continue to work toward maximum efficiency
vaporizers. H|E|A|L e-liquid comes in five tasty flavors
internally by beefing up sales and marketing while
including Café Macchiato and Zazzzleberry. There is
keeping costs of operations down with innovations
something enticing for every discerning palette.
and streamlining of our processes. We are literally lay-
The deployment and upgrade of ZaZZZ machines
ing the ground-work for sustained future success in
continued with two of the bigger MMJ Dispensaries on
order to maximize shareholder value over the long
the West Coast. American Green made headlines every-
term. It is a great time to be a part of American Green!
where as the ZaZZZ machine became the country’s first
stand-alone bud tender. When ZaZZZ went live at Ex-
ERBB on!
hale Dispensary in L.A., users could also pay for prod-
Stephen Shearin, President and C.O.O.
ucts with Bitcoin for the first time in U.S. history. Dimitry Muzychuk, managing partner at Exhale, who has
worked steadily to get the machine in place and online,
considers ZaZZZ to be a means of better servicing their
clients. “It won’t be for everyone, but it’s a great tool for
many and from product organization to general expansion, it’s a safe option for future growth,” he says. “This
is the first time we’ve seen something like this work
and it’s been worth the wait.”
A new ecommerce platform is ready to dovetail
with the efforts of our digital marketing partner, Digital Clarity. The flexible store is being produced by Fyresite (http://www.fyresite.com), and we expect their
digital skills to enhance our User Interface (UI) and
User Experience (UX) in many aspects of American
Green business.
American Green cultivation products, Truth Lighting and OG Tea continue to grow rapidly. May should
replace April as the biggest single month for OG Tea
sales to date while Truth Lighting continues to see
sales volume improve month after month.
American Green President & COO
Stephen Shearin, at the 2015
“Science of Cannabis Summit”
in Mesa, Arizona
T H I S M O N T H I N A M E R I C A N G R E E N - M AY 2 0 1 5
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THE INDUSTRY BUZZ
Science Seeks to Unlock
Marijuana’s Secrets
Marijuana Research Supports
its Safety and Benefits
By Hampton Sides
By Dr. Mercola
AS THE ONCE -VILIFIED DRUG
BECOMES MORE ACCEPTED,
RESEARCHERS AROUND THE
WORLD ARE TRYING TO UNDERSTAND HOW IT WORKS AND HOW
IT MIGHT FIGHT DISEASE.
There’s nothing new about cannabis,
of course. It’s been around humankind
pretty much forever.
In Siberia charred seeds have been
found inside burial mounds dating
back to 3000 B.C. The Chinese were
using cannabis as a medicine thousands of years ago. Marijuana is deeply
American too—as American as George
Washington, who grew hemp at Mount
Vernon. For most of the country’s history, cannabis was legal, commonly found
in tinctures and extracts…
Full story online >
The use of marijuana for medical
purposes is now legal in 23 states and,
as of this writing, 9 states have pending legislation or ballot measures to
legalize medical marijuana.1
Estimates are that between 85 and
95 percent of Americans are in favor
of medical cannabis, and nearly 60
percent support complete legalization
of marijuana.
And doctors agree. In 2014, a
survey found that the majority of physicians—56 percent—favor nationwide
legalization of medical cannabis, with
support being highest among oncologists and hematologists.2
However, many families are still unable, legally or otherwise, to obtain this
herbal treatment. Families with a sick
child are being forced to split up, just
so that one parent can live in a place
where medical cannabis can be legally
obtained in order to help their child.
A major part of the problem lies at
the federal level, where marijuana is
classified as a Schedule 13 controlled
substance—a category reserved for the
most dangerous of drugs, including
heroin, LSD, and ecstasy.
According to the 1970 Controlled
Substances Act, Schedule 1 drugs are
defined as those having a “high potential for abuse” and “no accepted medical
use.” Research to date shows that marijuana meets neither of these criteria.
The featured documentary covers some
of the most recent research on the
medical applications of marijuana. In
light of recent science, it’s clear that
marijuana does not meet Schedule 1
criteria and it’s high time to revise this
classification.
Story at-a-glance
Israel is the marijuana research capital
of the world, thanks to the work of Dr.
Raphael Mechoulam who’s spent his
entire career studying the health benefits of cannabis.
Your body has its own endocannabinoid system, with endogenous
chemical messengers very similar to
those in marijuana acting on matching
receptors located on cells throughout
your body.
Most research to date shows that
cannabis offers significant health benefits for minimal risk, thanks to your
endocannabinoid system.
Full story online >
Exclusive Chart: Marijuana
Industry to Create $10B+
Economic Impact in 2015,
$30B By 2019
By Becky Olson
The U.S. marijuana industry will pump
an estimated $10 billion into state and
local economies in 2015, with cannabis
sales via dispensaries and recreational
stores accounting for up to $3.1 billion
of that total, according to exclusive
continued pg 4
June 2015 Cover, National Geographic
Feature article by Hampton Sides
T H I S M O N T H I N A M E R I C A N G R E E N - M AY 2 0 1 5
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continued from pg 3
data released today in the new edition
of the Marijuana Business Factbook.
Produced by Marijuana Business
Daily, the report estimates that every
dollar of cannabis sold at the retail
level in states where medical or recreational cannabis is legal adds at least
another $2.60 to the economy, much of
it at the local level.
This “marijuana multiplier” highlights the substantial role the cannabis industry already plays in the
U.S. economy and its potential impact
going forward.
Using this metric, the industry is expected to generate $30 billion or more
annually in economic value by 2019.
Revenue generated by dispensaries
and retail stores is projected to more
than double over the next few years as
more states legalize and the industry
expands, hitting $6.5 billion-$8 billion
by 2019, according to the Factbook.
Sales in 2015 alone are expected to
hit $2.7 billion to $3.1 billion, rising
35%-55% from the estimated $2 billion-$2.4 billion dispensaries and retail
stores raked in last year.
The marijuana multiplier is a
highly conservative estimate, so the
industry’s impact could in reality be
much greater than projected.
The $2.60 per $1 in retail marijuana sales takes into account money
spent by growers, retailers, infused
product makers, testing labs and
ancillary product and services firms
on business expenses, ranging from
staff salaries to security. It is based in
part on financial data from over 800
businesses across all sectors of the
state-legal marijuana industry
These business expenses all represent income to another party – additional economic value that is almost
always generated entirely within the
local economy.
The marijuana multiplier does not
include:
• Cost of goods sold (the direct
cost of the product)
• Billions of dollars in
business taxes
• Paraphernalia sales (itself a
$1 billion industry)
• State revenues from related
fees and licensing
• Tangential industries such
as tourism and consumer
magazines
The $10 billion in value to the U.S.
economy in 2015 does not include any
black market sales; and, if the state-legal industry were to cease, the related
total marijuana GNP would disappear
as well.
The bottom line: Legal marijuana
businesses are valuable to their local
economies and, in turn, the national
economy.
As more states legalize and the industry goes mainstream, this economic
value will continue to migrate from
the black market to the legal markets
where it provides tremendous value for
local communities.
American Green became the first publicly traded medical marijuana dispensary brand in the
world, back in 2009. Since then, the company has developed retail, brand, and commercial
Puerto Rico governor, Alejandro Garcia Padilla
Photo by David Esteban Rojas
Puerto Rico Legalizes
Medical Marijuana
Puerto Rico’s governor unexpectedly on
Sunday signed an executive order allowing medical marijuana use – but where
it will be grown, how it will be distributed and which ailments can legally be
treated are still up in the air.
The executive order gives the
secretary of health the authority to “intervene extensively” with the island’s
controlled substances act. While he
didn’t say which ailments will qualify
for MMJ use, the governor mentioned
multiple sclerosis, AIDS, glaucoma, Alzheimer’s and migraines as conditions
that studies have shown can be treated
with cannabis.
The U.S. territory’s health secretary
now has three months to issue a report
on how the order will be implemented.
Proponents of the order say it’s a “step
in the right direction” that will help
patients find relief. Opponents said the
action leaves enforcement of controlled substances laws in “judicial limbo.” The executive order also said the
definitions of medical and non-medical
use must be established.
One legalization supporter told
the Associated Press that only time
will tell whether growers and dispensaries
would be authorized, or if MMJ will need
to be imported.
cultivating solutions in partnership with licensed retail medical marijuana dispensaries
nationwide, which are operated under the company owned brand, American Green. For more
info visit: www.americangreen.com
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