Funr (FUNR)

[justanothercityboy]

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Distribution methods of the products or services

The Company distributes products through a traditional distribution system and also utilizes a hybrid
distribution model, or a combination of warehouse and Direct Store Delivery (DSD). The Company
also distributes through a combination of Independent bottlers and regional distributors who sell the
Company’s products on a “best efforts basis.”
The Company has strong marketing and distribution contacts in the USA, the Caribbean, China and
Europe. Cuba is placing a high importance on exportation to China and specifically the Guangdong
Province. The continuing trade imbalance between the two most dominant markets in the world has
created opportunities with respect to the increased ability to import from the United States. The
Company has recently exported to Turkey and expects to export more products to this region in the near
future. The company has found great markets internationally and a strong reception to the brand, the
packaging and the all-natural ingredients. The company has negotiated a licensing deal for multiple
countries, which became effective during the 2nd quarter of fiscal 2015.

CUBV