Pineapple, Inc. Issues Mid-Q3 2020 Letter to Shareholders
Cannabis Delivery Business Reports 2x Growth in New Member Registrations Despite Pandemic
Appointment of New Chief Strategy Officer Bolsters Executive Leadership Team
CEO Joins Invite-Only National Cannabis Counsel to Increase Brand Visibility and Provide Thought Leadership to Guide the Future of the Industry
LOS ANGELES, Aug. 04, 2020 (GLOBE NEWSWIRE) -- PINEAPPLE, INC. (OTC Grey: PNPL) (the “Company” or “Pineapple”) is a publicly traded company in the legal cannabis industry with a portfolio of assets spanning operational management, technology, IP licensing, cannabis property rentals, and equity ownership in cannabis retail and production facilities. The Company today issued a comprehensive update to its shareholders from CEO Shawn Credle. The complete letter follows:
Dear Pineapple Stakeholders:
Let me start by saying that I hope you and your loved ones are all staying safe and healthy. Given the unprecedented nature of the past several months, I would like to provide you with an update on what we have observed thus far with regard to the impact that the COVID-19 pandemic is having on the cannabis delivery business, Pineapple Express, being operated by our 40% owned portfolio asset, Pineapple Ventures, Inc., of which I also serve as CEO. We believe in the sustainability of our model and resilience of our community, both of which were underscored by the early data we have seen amid the pandemic. We noted a marked increase in sales starting in February of this year, likely due to a combination of the rollout of the retooled PineappleExpress.com e-commerce platform and new stay at home orders being in place. Sales have consistently increased week over week, leading to record profitability in the month of April and a 50% boost in new account registrations in March. While the development of the pandemic is uncertain and likely far from over, we are encouraged to see that our marketplace maintained steady growth. Our takeaway is simple - consumers are looking for fast and dependable delivery options for their cannabis products. In these times we feel an increased sense of responsibility to our team and community and we are committed to our mission and core values now more than ever:
Our mission is to deliver quality cannabis products and excellent service at competitive prices to our consumers. With sustainability at our core, we’ll continue to grow our organization with the same integrity and transparency that we use to cultivate our products.
Our core values:
• Compassion – for our consumers
• Commitment – to produce quality products with integrity and care
• Consistency – to deliver fast and dependable service
• Courage – to be an industry leader
The following highlights demonstrate how far our public company has come in a relatively short time and amidst unprecedented global challenges:
Trading Tier Elevation Update: We are encouraged by the fact that we have cleared all but one comment with the SEC concerning our registration statement and will be addressing that comment, with their acknowledgment, in a ‘Super 10-K’ filing that is anticipated within weeks. Our 2019 financials are in the process of being audited and will accompany the filing. Management anticipates that upon regaining current status with the SEC the Company will be in a position to apply for OTCQB listing.
Corporate Rebrand to Pineapple, Inc.: As stated in our prior SEC reports and press releases, the Company has completed a redomicile and changed its name to Pineapple, Inc. We felt this change was necessary to differentiate the name of our publicly traded corporation from our 40% owned portfolio asset, Pineapple Ventures, Inc. (PVI), which as stated previously, operates the cannabis delivery service, Pineapple Express, via PineappleExpress.com as well as the hemp CBD e-commerce company, Pineapple Wellness, via PineappleWellness.com. Our redomicile and name change will be filed with FINRA upon regaining current filing status with the SEC. As part of the rebrand, we introduced a fresh new look and feel for the corporate website, www.PineappleInc.com.
Pineapple Express E-Commerce Platform Upgrade: In February 2020 we completed the rollout of our retooled e-commerce platform for PineappleExpress.com. The new online shopping experience is the latest move in our evolving e-commerce strategy, focusing on streamlining business operations and driving consumer sales. The site features all new imagery and content designed to inspire and educate the cannabis consumer. Its mobile-responsive design and intuitive user interface make it easy for customers to uncover new products, get recommendations and to purchase from any device with electronic payment options.
Appointment of Marco Rullo as Chief Strategy Officer of Pineapple, Inc. & President of Pineapple Ventures, Inc.: With more than a dozen years of senior leadership experience, Marco has successfully led and scaled organizations across numerous sectors, including multi-state cannabis operators. With an MBA in behavioral sciences, he has already positively impacted our overall company structure and, alongside me and the rest of the executive team, has identified additional revenue growth opportunities that continue to strengthen the value of the organization for our employees, investors and partners.
Addition to Benzinga’s Cannabis Advisory Council: In June I was invited to join a national panel discussion about navigating cannabis delivery in a major market during a pandemic and civil unrest, hosted by the top 30 global financial news and data site as well as one of the most prominent cannabis platforms in the country, Benzinga (8.5M monthly visitors). Because of my military experience and being a minority CEO of a publicly traded cannabis company, I was asked to provide more insights from those perspectives as it relates to the state of the industry and our society.
Cannabis Advisory Council - I’m honored and humbled to share that as a result of my participation in the panel, I was appointed to the Benzinga’s Cannabis Advisory Council alongside prominent names in the industry including John Salley, Al Harrington, Kim Rivers and Rachael Rapinoe. The council comprises key thought leaders in the cannabis industry who will share their expertise through a series of articles, opinion pieces, live conversations at upcoming Benzinga Cannabis Capital Conferences and quotes on relevant news. The official press release announcing the council can be found here and the link to the Cannabis Advisory Council can be accessed here.
Cannabis Hour Podcast - I was also recently a featured guest on the Benzinga Cannabis Hour podcast to discuss cannabis delivery amidst the current pandemic compounded with the current civil unrest and social equity in the industry; the full interview is available here and can also be streamed on Spotify.
Future of the Cannabis Industry Article - Pineapple, Inc., was prominently featured in an article about my take on the future of cannabis, which was syndicated across additional news sites including Yahoo Finance (3.4M monthly visitors). The article can be found here.
Increased National Media Attention: Our portfolio company’s attention has long been on developing our retail infrastructure through a focus on consumer delivery. The process is explained in greater detail here.
TMZ - As part of this drive, we introduced a sweepstakes series of celebrity deliveries, featuring Pineapple Express brand ambassador Tommy “Tiny” Lister, who starred as Debo in the popular “Friday” movie franchise. This garnered attention from entertainment news outlet TMZ, which featured us in a national TV segment (3M viewers/day) as well as in an online article (53.4M monthly visitors). The on-air mention about us can be found by clicking here and the online article here.
KPWR-FM 105.9 (Power 106 & K-Day) - As a direct result of our placements on TMZ, and of the credibility it brought to our Pineapple Express brand, we were approached by one of Southern California’s largest radio stations, KPWR-FM to do a public service announcements (PSA) about our delivery service. The importance of this is that it marks the first time any major radio station in California has featured a cannabis delivery brand. This is just another example of how we are blazing trails in the industry and pushing for greater acceptance by the mainstream. The PSA, which was featured over 40 times in April and May, can be heard by clicking here. To supplement the campaign, Tommy "Tiny" Lister joined me to further promoted Pineapple Express during a live interview on 4/20, available here.
In closing, we believe that our assets are positioned to scale with the market. We stand ready to take advantage of further market developments with a clear plan, a strong team and an unwavering commitment to lead the industry which speaks directly to our fourth core value; courage. Answers about the duration of the global pandemic and the shape of the recovery remain unknown. However, our business model is proving to be well suited for the current environment, setting the foundation for strong returns for those investors focused on the long term.
Thank you for your continued support; we’re grateful and appreciative for everyone's loyalty, dedication, and passion for Pineapple. Amid the uncertainty of our times, I ask you to make a difference by supporting each other. When you strip away all the societal and man-made labels placed upon every one of us, the one common denominator any person on this planet truly has is being a human being. We wish you and your loved ones well during these times and look forward to continued growth and more success together.
Best regards,
Shawn Credle, CEO & President
U. S. Marine Corps Veteran
About Pineapple, Inc.
Pineapple, Inc. (the “Company” or “Pineapple”) is based in Los Angeles, California. Through our operating subsidiary Pineapple Express Consulting, Inc., as well as our 40% owned portfolio asset, Pineapple Ventures, Inc. (“PVI”), the Company runs a cannabis delivery service, Pineapple Express, via PineappleExpress.com as well as hemp CBD e-commerce company, Pineapple Wellness, via PineappleWellness.com. PVI also provides capital to its canna-business clientele, lease real properties to those canna-businesses, take equity positions and manage those operations, and provide consulting and technology to develop, enhance, or expand existing and newly formed infrastructures. Pineapple Express is built to become the leading portfolio management company in the U.S. cannabis sector. The Company’s executive team blends enterprise-level corporate expertise with a combined three decades of experience operating in the tightly-regulated cannabis industry. Pineapple Express’s strategic asset integration has provided it with the infrastructure to support its subsidiaries with cost-effective access to all segments of the vertical: from cultivation and processing, to distribution, retail and delivery. With its headquarters in Los Angeles, California Pineapple Express’s portfolio company, PVI, is rapidly increasing its footprint throughout the state and looking to scale into underdeveloped markets.
Forward-Looking Statements:
All statements other than statements of historical facts contained in this press release are “forward-looking statements,” which may often, but not always, be identified by the use of such words as “expects”, “anticipates”, “intends”, “estimates”, “plans”, “potential”, “possible”, “probable”, “believes”, “seeks”, “may”, “will”, “should”, “could” or the negative of such terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements. These factors include uncertainties as to the application and enforcement of U.S. and state federal laws in the cannabis industry (including to the Company’s business activities and the business activities of some of its customers and counterparties), ability to attract new canna-business clientele, successfully implementing the Company’s growth strategy (including relating to the Company’s intention to create a nationally branded and vertically integrated chain of cannabis retail stores under the “Pineapple Express” name and anticipated development of Company-owned cultivation and processing facilities), dependence on key Company personnel, timing of the filing the Company’s Form 211 with FINRA and clearing related comments, obtaining approval for the Company’s common stock to be quoted on one of the three OTC Markets, changes in economic conditions, competition and other risks including, but not limited to, those described from in the Company’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission on April 1, 2020 (the “SEC”), and other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof and the Company disclaims any obligations to update these statements except as may be required by law.
Company Contact:
Matthew Feinstein, Director
Pineapple Express, Inc.
Office: 877-310-PNPL
