Eastside Distilling Inc (EAST)

[FUNMAN]

Eastside “Outlandish” CBD Beverages to Be Distributed in Oregon by Point Blank

https://www.businesswire.com/news/home/20190607005083/en/

Outlandish Beverages LLC to target CBD beverage market with unique line of mixers and tonics

June 07, 2019 09:00 AM Eastern Daylight Time
PORTLAND, Ore.--(BUSINESS WIRE)--Eastside Distilling, Inc. (NASDAQ: EAST) today announced that Point Blank, a leading distributor of alcoholic and non-alcoholic beverages, has agreed to distribute the Outlandish brand lineup of CBD-based beverages in Oregon. As previously disclosed, the initial Outlandish beverage, a seltzer, has been sampled to potential customers and has received an encouraging initial response. Eastside and Point Blank anticipate having product available to customers in the immediate future.

Point Blank Distributing, with over 80 employees across the state of Oregon, boasts distribution centers in Portland, Eugene and Bend. Formed in 2003 by Aaron Gardner and Scott Willis, Point Blank is one of the state’s leading independent beer, wine and spirits distributors servicing the North and Central Oregon markets, while also offering non-alcoholic beverages. Management at Point Blank prides itself on being on the leading edge of beverage innovation and is always looking for new and original products to supply to its customers.

Robert Manfredonia, President of Eastside, added, “We are excited to partner with our friends at Point Blank to distribute our new CBD-based Outlandish lineup in the state of Oregon. Point Blank is an extremely well qualified and innovative Oregon-based company. We are initially limiting distribution of Outlandish to Oregon, which legalized CBD in 2014, so they are a perfect choice for us to test our marketing ideas and try for a first mover advantage. We are looking forward to using Oregon as a strong test market. As federal regulation evolves, we intend to expand outside Oregon, but in the meantime get a first mover advantage.”

The Outlandish beverages, formulated by Eastside’s award-winning master distiller, Mel Heim, will include CBD and can be used as a “mixer” in uniquely designed drinks (limited only by imagination) or consumed entirely on their own. The Outlandish lineup of ready-to-drink (RTD) cans will initially include three primary products: a seltzer-based, a ginger-based, and a quinine-based tonic. Further line extensions are planned. Outlandish beverages are believed to be the first CBD beverage produced in a 187 ml slim line can. The fanciful Outlandish product branding, created by Sandstrom Partners, reflects Eastside’s continuing collaboration with the industry-leading branding firm.

Outlandish LLC makes no claims to health benefits of CBD. We encourage all our customers to do research of their own. Although the 2018 Farm Bill legalized industrial hemp-based products containing CBD, the US FDA is considering proposed regulation of CBD and other hemp-based products sold in interstate commerce. Outlandish beverages are strictly limited to sale only within the state of Oregon, and are intended to comply with applicable regulations in Oregon, which legalized industrial hemp products in 2014.

About Eastside Distilling

Eastside Distilling, Inc. (NASDAQ: EAST) has been producing high-quality, award-winning craft spirits in Portland, Oregon since 2008. The company is distinguished by its highly decorated product lineup that includes Redneck Riviera Whiskey, Burnside Bourbon, West End American Whiskey, Goose Hollow Reserve, Below Deck Rums, Portland Potato Vodka, Hue-Hue Coffee Rum and a distinctive line of fruit infused spirits. Eastside Distilling is majority owner of Big Bottom Distilling (makers of The Ninety One Gin, Navy Strength Gin and Delta Rye whiskey) and the Redneck Riviera Whiskey Co. All Eastside, Big Bottom and Redneck Riviera spirits are crafted from natural ingredients for quality and taste. Eastside’s Craft Bottling + Canning subsidiary is one of the Northwest’s leading independent spirit bottlers and ready-to-drink canners. The Company also owns Outlandish Beverages LLC, an Oregon LLC for making and selling products that don't have alcohol, but include ingredients such as CBD. For more information visit: www.eastsidedistilling.com or follow the company on Twitter and Facebook.

Important Cautions Regarding Forward-Looking Statements

Certain matters discussed in this press release may be forward-looking statements. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; acceptance of the Company's products in the market; the Company's success in obtaining new customers; the Company's success in product development; the Company's ability to execute its business model and strategic plans; the Company's success in integrating acquired entities and assets, and all the risks and related information described from time to time in the Company's filings with the Securities and Exchange Commission (“SEC”), including the financial statements and related information contained in the Company's Annual Report on Form 10-K and interim Quarterly Reports on Form 10-Q. Examples of forward-looking statements in this release may include statements related to our strategic focus, product verticals, anticipated revenue, and profitability. The Company assumes no obligation to update the cautionary information in this release.

Certain matters discussed in this press release may be forward-looking statements, including those related to: plans for distributing, and the success of, the Outlandish products; adding additional product lines and product launches; actions or positions of the FDA; the regulatory environment for CBD; consumer acceptance of CBD; and the potential for the Company‘s products. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: Actions or positions the FDA or other regulators may take in conflict with our product launch and plans; unanticipated enforcement action; lack of acceptance of the Company's products by consumers; failure of the CBD market to grow; changes in regulations; lack of regulatory approval of CBD on a nationwide basis; the Company's success in product development; the Company's ability to execute its plans; and all the risks and related information described from time to time in the Company's filings with the Securities and Exchange Commission (“SEC”).



Contacts
Company Contact:
Eastside Distilling
Steve Shum
971-888-4264
[e-mail]

Investors:
Robert Blum
Lytham Partners, LLC
602-889-9700
[e-mail]