Winning Brands Corporation (WNBD)

[lbdave]

Because of this post from this morning.

Question to Eric: Why wasn't the Hotel Initiative on the latest quarterlies .
Thank you very much indeed for reaching out with your question. You are welcome to share as you consider appropriate.

The highlight list feature of the Interim Reports serves as a quick recap of significant events, along the lines of threshold moments or activities. The work going on in the hotel industry in Q1 did not present new issues. While there were some new properties, we do not have permission to reveal their names at this time. The hotels find it unhelpful in their dealings/negotiations with other suppliers if we publicize their product purchasing preferences. Therefore, from an operational highlight point of view, the hotel sector was simply not a "highlight" operational event for the Quarter.

The reason that the early 2012 sales figure does not reflect hotel sector activity is that pre-ordering took place in late 2011 by our distributor for this sector. Replenishment was simply not required yet. There has been a distortion by a few people about what I said the impact of the hotel sector would be upon our 2012 sales figure. The figure that I provided of approximately $500 per property (over a certain size) multiplied by 100 properties requires those properties to be in existence for a year for full effect.

One last point, we are also making a key policy decision about whether to invest in pumps for the 20L bottles to facilitate the larger accounts or whether to concentrate on the smaller properties for the moment (of which there are plenty).

Your interest is much appreciated.

Sincerely,