“The Launch Roadmap Starts Here”

Taat Receives Approximately 3.2 Tons of Beyond Tobacco Base Material to Prepare for Manufacturing

Taat has received approximately 3.2 tons of base material for Beyond Tobacco in its Las Vegas, NV processing facility, which is to be refined and transported to its contract manufacturer to produce the first “distribution-ready” batch of Beyond Tobacco, which is to be packaged in an updated pack design currently pending finalization. The quantity of material received is expected to be sufficient to produce at least 15,000 ten-pack cartons of Beyond Tobacco. The Company currently anticipates a lead time of no longer than six weeks for this batch to be packaged and ready to ship.

LAS VEGAS and VANCOUVER, British Columbia, Sept. 22, 2020 (GLOBE NEWSWIRE) -- TAAT LIFESTYLE & WELLNESS LTD. (CSE: TAAT) (OTC: TOBAF) (FRANKFURT: 2TP2) (the “Company” or “Taat”) is pleased to announce that its processing facility in Las Vegas, NV has received a large shipment of base material for Beyond Tobacco, which is to undergo the Company’s proprietary fourteen-step process after being trimmed and prepared for refinement, which is set to yield a net quantity of 3.2 tons of usable material. Subsequently, the finished Beyond Tobacco base material is to be transported to the Company’s manufacturing partner (the “Manufacturer”) for production of the first “distribution-ready” batch of Beyond Tobacco. Under the terms of its agreement with the Company providing favourable pricing terms for producing Beyond Tobacco, the Manufacturer’s name cannot be publicized. The Company estimates a lead time of approximately six weeks for this batch of base material to be refined in-house and transported to the Manufacturer, with the Beyond Tobacco product packaged in the industry-standard “pack and carton” format and stored shipment-ready on pallets in the Manufacturer’s warehouse.

The Company has developed Beyond Tobacco to offer a unique tobacco-free and nicotine-free combustible product with a tobacco flavour to help current tobacco smokers leave nicotine behind. Approximately 1.3 billion people worldwide are users of tobacco¹, many of whom aspire to discontinue using nicotine. This is evidenced in part by 2018 data from the CDC, which stated that 55.1% of adult smokers had attempted to quit in the past year, though only 7.5% successfully quit smoking in that timeframe². While several alternatives to smoking tobacco cigarettes currently exist on the market (e.g., gums, lozenges, vaping), such alternatives are frequently abandoned in favour of tobacco cigarettes, despite containing nicotine. To deliver the familiar sensory elements of smoking a cigarette, such as the taste and scent of tobacco and the “motor habits” of flicking ashes, Taat has sought to closely mimic the experience of smoking a tobacco cigarette as the central value proposition of Beyond Tobacco. Using a patent-pending refinement technique, the base material of Beyond Tobacco gives off a flavour and aroma resembling tobacco when ignited, despite containing no actual tobacco. Under the administration of Taat’s recently appointed executive leaders who have held roles in strategy, sales, supply chain, and commercialization at a “Big Tobacco” firm before joining Taat, the Company is presently laying the groundwork to launch Beyond Tobacco in Q4 2020 in the United States.