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Open Ownership

The Beer Store offers ownership to all Ontario-based brewers

The Beer Store announced in early 2015 that it would be opening its ownership to all Ontario-based brewers, large and small, and offering small Ontario brewers two free listings at five stores proximate to their brewery.

Since those changes were announced, several Ontario brewers expressed interest in becoming owners of the Beer Store. Many small brewers moved ahead with free listings at stores proximate to their brewery.

Updated Ownership Model

The Province of Ontario subsequently announced that it intended to make a number of changes to the beer retailing and distribution system in Ontario.

As part of those changes the Beer Store has entered into a new Master Framework Agreement with the Province.  This agreement provides for a number of changes to Ontario’s system of beer retailing and distribution including changes to the Beer Store ownership model. Under this new ownership model Ontario brewers who satisfy certain qualification criteria will have the opportunity to become Beer Store shareholders. Ontario brewers who are interested in learning more about this opportunity can access additional information here.

The Beer Store will also add four independent directors to its board of directors and an Ombudsman will be appointed to support our fairness and transparency policies.

The Beer Store will also increase the number of stores at which small Ontario brewers with annual beer volumes of 10,000 hectoliters or less can list two new products without paying any listing fee. Those brewers will now be able to list two products at two more stores, for a total of seven beer stores proximate to their brewery.

Enhancing the Consumer Experience

The Beer Store will spend $100 million between 2015 and 2018 to enhance the Beer Store experience for consumers. As a result, more space will be dedicated to small brewers in every single Beer Store.

This investment builds on previous investments to renovate and build new stores.

Next Steps

Details on how to become a shareholder of the Beer Store will be made available to eligible Ontario-based brewers in the near future.  In the meantime, small Ontario-based brewers with annual beer volume of 10,000 hectoliters or less can immediately take advantage of the two free listings in seven store policy by contacting Ted Moroz.

DISCLAIMER

The foregoing is for information purposes only and does not constitute a legal offer to sell or a solicitation to purchase shares of TBS.

The foregoing contains summary information only. TBS does not make any representations or warranties as to the accuracy or completeness of this information.

Certain information contained above includes “forward looking statements”, all of which are based on certain material factors, assumptions and conditions, some of which may be unknown to TBS. Forward-looking statements are inherently uncertain and actual events or results can and will differ from those projected. Therefore, undue reliance should not be placed on such forward looking statements.

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