Rocky Mountain Chocolate Factory Notifies Stockholders of Immaculate Confection’s Concerns Regarding AB Value’s Misleading Public Comments

Rocky Mountain Chocolate Factory, Inc. (NASDAQ: RMCF) (the "Company" or “RMCF”), one of North America's largest retailers, franchisers and manufacturers of premium, handcrafted chocolates and confections, today notified stockholders that the Company has received a letter from Immaculate Confection, operator of RMCF’s Canadian master franchise network, expressing significant concerns about the misleading information and false statements AB Value Management LLC (“AB Value”) continues to disseminate publicly.

In the letter, Brian Kerzner, President of Immaculate Confection, reiterated RMCF’s public statements that the organizations are working productively together to explore potential opportunities to strengthen their relationship. Mr. Kerzner stated his serious concerns with AB Value’s public conduct and expressed his belief that AB Value’s control of RMCF’s Board would likely challenge the ability of the two organizations to collaborate in the future toward growing their business together.

RMCF reminds all stockholders to vote on the WHITE proxy card today FOR ALL of RMCF’s director nominees ahead of the Company’s 2021 Annual Meeting of Stockholders (the "Annual Meeting"), to be held October 6, 2021.

A copy of the letter Mr. Kerzner sent to RMCF’s Board of Directors is copied below:

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September 29, 2021

Dear RMCF:

I am writing further to my extensive discussions with management of RMCF and in particular, I am writing to respond to certain statements made in a public filing made by the group of shareholders who are seeking to elect their own slate of directors (the “AB Group”) on September 17, a group that includes one of your current directors. On a page marked as though it was slide 65, there is reference to the AB Group’s intention to “Resolve Canadian Franchisee”. From my perspective, there is nothing to resolve. We settled our litigation on August 4. Is the AB Group not aware of the resolution we have reached?

Our settlement provides that we will spend some time in the coming weeks and months determining if there is a way we can work together going forward. If we cannot, then I am free to go my own way, if not with your blessing, at least without any further interference from you - and vice versa. On the slide marked 61, there is discussion of the AB Group’s intention to reach a mutually beneficial agreement with me as the Canadian franchisee. I do not understand this, since I have been in extensive constructive discussions with Bryan Merryman, Frank Crail and Jeff Geygan since we settled on August 4 and thought that I was doing so with the knowledge and support of the Board of Directors of RMCF. In my mind, we have already fleshed out many of the details of what that going forward arrangement would look like. I will go further and say that I thought we had a deal. Again, is the AB Group not aware of our discussions? Or are they simply unsupportive? The fact that they have put out a report stating their intentions with respect to me and my operations that is completely inconsistent with reality is unhelpful.