Winning Brands Corporation (WNBD)

[extra]

FROM ERIC + *[ Translation ]*

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From: Eric Lehner <[e-mail]>

Date: Wednesday, July 7, 2010 3:10 PM

To: Paul Knopick ([e-mail]) <[e-mail]>

Subject: FW: Shareholder Correspondence - Questions Answered

Size: 22 KB

For the Moderator Team:



Of general interest:



From: Eric Lehner
Sent: July-07-10 3:07 PM
To: X
Subject: RE: 'Current' Status Update



Hello X,



I will reply to your points below in the same order raised, but will send a copy to the Moderators with your name removed for confidentiality because the response would be of general interest:

*[ "copy to the moderators" = Inside/Illegal Info ]*



· We recently stated in a News Release that we anticipate providing Pink Sheets with material by the Shareholders Conference call date that will be sufficient for the Current Status tier upgrade. Their review does not normally take very long and might follow within a few days of that.

*[ "anticiate" = No Way ]*



· The status of our activation by the first National Banner that has been discussed in conference calls before and continues to advance. We are not in a position to quote any person in that organization by name because of a confidentiality agreement. I will be personally gratified if we were in a few of those stores already next month so that we can start creating centers of Winning Colours product knowledge excellence within that organization, accomplished through training of staff and customer demonstrations if permitted, supported with some initial local advertising. This approach will then facilitate other stores in the organization joining the program that is accessible through their central ordering system. There is strong enthusiasm within that organization to begin this way asap – with personnel on the ground eager to receive initial product. We have just been awaiting the start date. As I say, it would be most gratifying to have this commencing in August.

*[ "commencing in August" = 2011++ ]*



· Our performance at Walmart in Canada consisted of sales increases from the first year to the second across all benchmarks of performance. Winning Colours was gaining traction very well, across the range of stores that carried it. Walmart is known for applying exceptional measures backwards into their supplier group that some suppliers do not wish to accept so as to retain control over a brand’s key market characteristics, such as margins, where the product is manufactured, etc. Some brands however become too dependent to make objective decisions on such matters. The special requirements that Walmart in particular may wish to apply are not likely to arise in the other retail account(s) that we are working with. This phenomenon is well understood and widely known in the industry. That is why our response to the situation will say a great deal to others in retailing.

*[ "our response to the situation will say a great deal
to others" = wnbd can't handle or keep any US NA ]*



· To say that “nothing much has changed” depends upon whether a person considers it significant that we have been listed by our largest convenience chain yet (Hasty Market), our first ever pharmacy group (London Drugs), our second grocery partner (Spartan Stores) – all of which happened recently. These events demonstrate that we are making progress in expanding retailing relationships. Building a new brand is both enormously difficult but also enormously rewarding in the few cases that it can be accomplished. Our pattern shows that we proceed with great determination along the business plan path to our goal. That is more than can be said for many new ventures. We are exceptional in being qualified by many criteria to be a powerful success in due course.

*[ "in due course" = after a few Reverse Splits + a BK ]*



· The initial DRTV phase was brief so that we could quickly determine whether the initial premise of the commercial should be left as is, or modified, without wasting a lot of money. There were far too many great ideas to pack into a single 2 minute commercial. In the next 5 minutes I am participating in a further creative review to receive Hawthorne Direct’s most recent recommendations. We are committed, as they are, to achieving a terrific and successful outcome during the course of 2010 and beyond. All details regarding the next run will be provided in due course.

*[ "in due course" = after a few Reverse Splits + a BK ]*





Rgds,

Eric Lehner, CEO

WinningBrands.com



-----Original Message-----
From: X
Sent: July-07-10 2:26 PM
To: Eric Lehner
Subject: 'Current' Status Update



Eric,



What is the status of the pinksheets tier uplisting to "current information"? I'm sure you're aware of the bleeding the stock is going through right now from what I think is low investor confidence in the company. I'm afraid only one of two things will stop this:1)US national Retailer account 2)Current Status



As of now, I think the 'current status' is the most attainable. Its been six months since we moved up to 'limited', surely there is some head way made in this matter. Please advise.



In my opinion, not much has changed with the company other than the possible loss of Walmart Ca. This brings me to my next question, what is the likelyhood that US NA will have the same demand(lower price). Other than positioning the product in many independent retailers across the country, what is WNBD's plan to counter this measure of 'bullying'?

When are the next phase of DRTV commercials scheduled to start, and will the channel listing change due to trying a different 'approach' as mentioned in a separate memo previously? More channels less runs, same channels more runs, higher view count channel(s) less channels?

Sent via

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P.S. ;

Making fine progress toward $0.005 + Below ,
as predicted/scheduled in our last few posts/analyses.
Gota Go Now . More sooner + later .

P.P.S. ;

The national wnbd try-much-harder training center
will be [IOO] outside of a tiny/rural town ,
across a river from West Virginia .

And , the 'roll-out' rate will be ~1 more rural store monthly ,
starting in 2011++ , and peaking out at ~10 ; at which time ,
Lowes will dump wnbd , just like WalMart did .