Tinley Passes Key Inspection and Continues Operations Under COVID-19 Exemptions

Published: March 31, 2020

Tinley Passes Key Inspection and Continues Operations Under COVID-19 Exemptions

The Tinley Beverage Company Inc. has successfully passed its electrical inspections at its 20,000 square foot cannabis beverage bottling and distribution facility in Long Beach, California.

Key Inspection Completed at Long Beach

As previously disclosed, the buildout of the Company’s specialized cannabis bottling facility was completed in late November, with the delivery and installation of a specialized transformer and electrical system being the key outstanding requirement.  The local utilities have now completed this installation, and the facility has successfully passed its municipal electrical inspection.  This has been the key outstanding approval needed on the project, and the Company is expecting the remaining building inspections to take place this week.  As previously disclosed, the relevant regulatory bodies at the state level have indicated that the Company’s cannabis entity has satisfied requirements for receipt of a cannabis manufacturing license, pending satisfactory municipal approvals from the City of Long Beach.

The Company has nearly completed the decommissioning of its Phase 2 bottling facility in anticipation of Phase 3 becoming operational, and it has manufactured inventory that it believes will be sufficient to last until this commissioning.

Continued Operations Under COVID-19 Exemptions

Cannabis dispensaries have been deemed essential services under the COVID-19 orders issued in California on Thursday, March 19, 2020.  As a result, licensed adult use and medical dispensaries and the companies that supply them may continue operating under these orders.  Dispensaries throughout the state have reported surges in demand as consumers stock up on cannabis, often with lineups comparable to grocery stores.  With residents throughout the state under a “stay at home” order, fewer opportunities exist for consuming cannabis out of the home, potentially increasing the desirability of smokeless forms of cannabis, such as edibles and drinks.  Much like home deliveries in groceries and other mainstream retail, cannabis home delivery services have reported an increase in demand.  The Company’s products have been restocked and are again available for home delivery throughout California.  Ordering information is available at www.drinktinley.com.

Similarly, the Company’s non-infused line of liquor-inspired tonics can continue to be manufactured and sold while the COVID-19 restrictions are in place, based on the grocery industry’s status as an essential service.  In addition to 150 BevMo! Stores, the Company’s products are slated for trials in a national grocery and a national warehouse-style chain.  The onboarding of additional grocery and warehouse-style chains, however, is impacted by these retailers’ focus on restocking shelves due to the surge in consumer demand since the start of the COVID-19 outbreak, as well as restrictions on product demonstrations.  While these additional stores represent fewer than 10 outlets, these two additional chains collectively represent over 3,000 stores across the USA.  Tinley therefore is endeavouring to complete these trials as soon as possible.  The Company is continuing to present these products to buyers at retail chains throughout the country and will update the market as new listings are secured.

The Tinley Beverage Company (Santa Monica, California) created the Beckett’s™ Tonics and Beckett’s™ ’27 line of liquor-inspired, terpene-infused, non-alcoholic, cannabis-free beverages.  It has also created Emerald Cup award-winning, cannabis-infused versions of these products under the Tinley™ Tonics and Tinley™ ’27 brands.  The Tinley™ branded cannabis-infused beverages are available in licensed dispensaries and delivery services throughout California; the Beckett’s™-branded non-THC versions are increasingly available in mainstream food, beverage and specialty retailers, as well as on premises locations, throughout California and elsewhere in the USA.  The Company has also built a 20,000 square foot cannabis beverage manufacturing, co-packing and distribution facility in Long Beach, California.