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General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
General Cannabis (CANA) NBT EQUITIES Research Report
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General Cannabis (CANA) NBT EQUITIES Research Report

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General Cannabis(CANA)NBT EQUITIES Research Report …

General Cannabis(CANA)NBT EQUITIES Research Report

Analyst: Tobin Smith, Chief Research Analyst

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  • 1. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCExpanding Coverage: General Cannabis, Inc. dispensary traffic marketing — EXCEPT the(CANA.PK) cultivation and retail dispensing of cannabis.Date: April 11, 2011 The Investment Thesis: General Cannabis is the dominant medicinal cannabis MSO in the United States. With the completion of a secondary $20 million equity funding later this spring, CANA will expand their industry domination via key acquisitions and will continue monetizing their Internet properties with 15%-20% monthly revenue growth overWebsite: www.generalcannabis.com the next 18 months. By 2012, CANA should become a $60 million+ revenue company andInitial Recommendation March 1: $3.00 grow to a $1 billion market valuation by 2014 asStrong Buy: 2011 target $6.50, 2012 $8.50 more than 25 states will have approved medicinal cannabis legislation.2010 Revenues: 7.2M We expect that General Cannabis Inc. will up-2011 Revenue (est.): 18.5M list its common stock listing to a full national2012 Revenue (est.): 62.5M Nasdaq listing and inclusion within multiple Russell indexes and popular retail indexes.2012 Earnings per Share (est.): 0.35 a shareShares Outstanding: 83.14M NBT assumes additional medicinal cannabis legislation is inevitable across the U.S. andShare Float: 20.2M Canada because it works, it is humane, and it isAverage Trading Volume: 37,522 cost-effective versus other treatment alternatives. States and cities will continue toAnalyst: Tobin Smith, Chief Research Analyst need the tax revenues available from retail dispensing of medicinal marijuana and its related products and services.The Company: General Cannabis Inc., foundedin 2009, is an Internet-technology-driven retail NBT also believes General Cannabis will expandhealth care marketing services organization its retail MSO to additional high-growth retail(MSO) addressing the fastest-growing retail medicine vertical markets where they can easilymedical market in the United States: medicinal and effectively exploit their patient acquisitionmarijuana. They dominate every part of the and retention platform. Examples includevalue chain in the medicinal cannabis industry “runner knee and ankle” bone and cartilage— patient information, patient acquisition, and regeneration, advanced obesity treatments, and 1 Copyright © 2011, NBT Equities Research, LLC
  • 2. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCnewly approved advanced body and facial We base our market estimates and growth ratescosmetic surgery procedures. on:The Medicinal Marijuana and Product/Service  15 states and D.C. currently approvedMarket: Based on our review of existing studies for medicinal cannabis expandand primary research into the market, NBT dispensary locations over 100% CAGRestimates that, because of the hodge-podge set from 2011-2015of reporting and maze of city-by-city  10 states with pending medicinalregulations, the annual retail market for cannabis legalization on the ballot withmedicinal cannabis and related products and a high likelihood of positive electionservices at $3 billion to $5 billion with minimum results. Per Procon.org, the states are50%+ CAGR growth rates over 2011-2015. Alabama, Connecticut, Delaware, Idaho, Illinois, Maryland, Massachusetts, NewFurthermore, if ALL sales of cannabis consumed Hampshire, New York, and Northfor primarily medicinal purposes were actually Carolina.reported, NBT and other research organizations  12 additional states with activeestimate the annual market would be $8 billion legalization organizations working onto $10 billion. With sales tax, licenses and other ballot initiatives (per Reform and othertax schemes, NBT estimates the potential cannabis advocacy organizations).annual tax revenue at the state and city level at  Medicinal cannabis related products$2 billion in 2014 and up to $10 billion a year by and services (vaporizers, delivery2020. services, etc.) of nearly $500 million in 2011 growing to $1 billion in 2014. Total Estimated U.S. Marijuana Market 2 Copyright © 2011, NBT Equities Research, LLC
  • 3. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCIf the federal government legalizes or downgrades medicinal cannabis from Schedule I to Schedule II,legal medicinal cannabis will undoubtedly become a $20 billion to $25 billion annual market in theUnited States and Canada.The Business of Medicinal Cannabis in the United StatesIf you don’t live in a state or city with legalized medicinal cannabis, it will be hard to imagine the WildWest nature of the legal medicinal cannabis business today in the United States. Almost every city orstate has a different set of rules for the legal dispensing of medicinal cannabis. We will only address thebasics of the industry here. A) Medicinal cannabis is not prescribed like pharmaceuticals. In most states, physicians provide a “recommendation letter” to the patient based on a routine office visit and review of existing health records. B) The recommendation letter usually lasts for a one-year period and must be renewed. Temporary 90-day recommendation letters are available in most states and cities for patients without possession of medical records. If medical records fail to appear to the recommending physician, temporary recommendation letters expire. C) Dispensaries rules run the gamut: Some are required to grow all their own cannabis, some are required to buy from regulated growers, and some states and cities allow for both. D) “Budmasters,” aka dispensary store owners, run the gamut from aging hippies to pot-advocate twentysomethings to wellness health providers and buttoned-down business people.Medicinal Cannabis Treatment ApplicationsCannabis/THC has been successfully used to treat more than 25 major chronic and episodic healthconditions. These include:  AIDS (HIV) & AIDS Wasting  Migraines  Alzheimers Disease  Multiple Sclerosis / Muscle Spasms  Arthritis  Nausea / Chemotherapy  Asthma / Breathing Disorders  Pain / Analgesia  Crohns / Gastrointestinal Disorders  Psychological Conditions  Epilepsy / Seizures  Tourettes Syndrome  Glaucoma  Terminal Illness  Hepatitis C 3 Copyright © 2011, NBT Equities Research, LLC
  • 4. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCThe Opportunity General Cannabis AddressesLiterally every dispensary open or opening requires a host of one-time and ongoing professional andmarketing services. Every medically approved patient has numerous recommendation, availability,quality, and ancillary product questions and issues.Hundreds of new dispensaries open quarterly nationwide, and tens of thousands of new patients areregistered every month. The rate of growth of those key metrics is expected to rise over the next 12-24months as major population states come online with new dispensaries and registered patients.General Cannabis and its separate divisions are in the business of providing an integrated set of onlineand offline services that address both patients and dispensaries and their unique needs and issues.Arizona, where voters last November approved use of medical marijuana for patients, is a good exampleof the complexity of the industry. Patients are limited to 2.5 ounces of medicinal cannabis every twoweeks. A total of 125 dispensary certificates are allocated statewide. Approved patients can grow up to12 marijuana plants until a dispensary opens within 25 miles of their residence.New dispensaries face a host of issues. For example, in Arizona, they must post a business plan and$150,000 of capital. In many communities, getting local permits and a willing landlord can beproblematic. Simple things like getting a merchant account for accepting credit cards is difficult toimpossible for new dispensaries.Similarly, physicians who wish to be involved in the recommendation side of the industry have multiplelegal and business issues to navigate.General Cannabis provides key enabling services to both the dispensary and physician. The entirebusiness strategy is to leverage their Internet and call center skills and assets to solve the mostimportant problems and provide the most effective solutions for physicians, dispensaries, and ultimatelypatients.Marketing ServicesAssuming all the formation tests are passed, NOW the dispensary and the recommending physicianneed patients. 4 Copyright © 2011, NBT Equities Research, LLC
  • 5. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCThis is the primary focus of General Cannabis’ integrated package of patient acquisition and retentionservices. The general strategy is to create and build trusted brands with regard to:  Physician recommendation/state registration card  Dispensary location  Cannabis quality and attributes—today’s cannabis is highly specialized with enormous variability and levels of THC and effectPatients face an enormous and formidable set of problems and issues to deal with. 1) Where do they get their physician recommendation or state license? Which physician service should they choose from? In some cities in California, there are 50 or more physician storefronts to choose from. 2) Local laws—does one’s recommendation letter work in other locations? 3) Quality and uniformity of medicinal cannabis—most dispensaries feature over 50-60 various strengths and strains of cannabis. Some individual stores grow their own supplies. In other venues, medicinal cannabis must be purchased from licensed growers.With its various brands, General Cannabis seeks to bring a trusted brand and a sense of uniformity tothe business of qualifying, finding, and using medicinal cannabis.General Cannabis Basic Value Proposition--AdvertisersThe average storefront dispensary averages $20,000 in monthly sales. Six months after a dispensarybegins, the General Cannabis marketing program, monthly sales average over $40,000 a month.Physician storefronts average 50 patients a day at $80 per patient. General Cannabis storefrontphysician locations average 200 patients a day at $150 average recommendation fee. 5 Copyright © 2011, NBT Equities Research, LLC
  • 6. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCGeneral Cannabis Corporate StructureWeedMaps Media, Inc.legalmarijuanadispensary.comCombining media, technology and marketing;#1 dispensary finder site in the United States;1,100 clients, 6 million page views per month2011 objectives: creation and scaling of contentExecution of 2 new finder sitesWeedMaps.com 6 Copyright © 2011, NBT Equities Research, LLC
  • 7. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCGeneral Health Solutions, Inc.Turnkey management system for medicinal cannabis clinics;Scheduling on average over 4,000 patients per month14 medicinal cannabis clinics under management2011 objectives: Management & operation of 20 clinics Cross-sell high-end medically approved devicesGeneral Merchant Solutions, Inc.cannapayservices.comCredit card processing for cannabis and non-cannabis industriesMost advanced technologyCross sell through multiple verticals2011 objectives: Approving 50 new applications per month Complete new direct-to-bank relationshipGeneral Marketing Solutions, Inc.cannabiscenters.comOnline interfacing, marketing and optimizing of health care facilities in the medicinal cannabis industry2011 objectives: Providing professional physician network for cannabis and non-cannabis related specialtiesCannaCare Management, Inc.cannacare.comCannaCare.com offers interaction between patients, physicians and legal experts as it relates to themedicinal cannabis industry2011 objectives: Execution of medical cannabis site providing professional resources for the baby boom generation Generate ad / sponsor revenue streams15%-18% Monthly Revenue Growth for 2011-2012General Cannabis has maintained a 15%-17% monthly growth rate from its various subsidiaries anddivisions. Management believes this growth rate will continue as new dispensaries continue to open at a25%-50% annualized rates (depending on states) and registered patients grow at 3-5% monthly growthnationwide. 7 Copyright © 2011, NBT Equities Research, LLC
  • 8. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCThe company reported consolidated gross revenues of $7,699,634 for 2010, up from $2,670,721 in2009.With the addition of numerous existing cannabis web sites and verticals, NBT forecasts and additional3%-5% top line growth from these newly acquired properties as General Cannabis applies its highlyeffective search engine optimization (SEO) and call center sales efforts.General Cannabis has 10 acquisition targets that we assume will conclude in 2011 with the closing of$20,000,000 in additional equity capital (via secondary equity offering).WeedMaps Media, Inc. Sponsored Month-Year Revenue Total Listings ListingsJan-2009 0 0 34Dec-2009 $49,600 5 961Total-2009 $94,800Jan-2010 $111,400 27 989Dec-2010 $481,300 1113 1879Total-2010 $3,300,000Jan-2011 $530,000 1241 2144WeedMaps Media Inc. revenues increased for the 16th consecutive month ending in March 2011, and Q12011 is the most successful three-month period in the company’s history.General Health Solutions, Inc. # Of Managed Month-Year Revenue # of Patient Visits ClinicsTotal-2009 $2,100,000 8 22,000Total-2010 $4,300,000 11 60,000 8 Copyright © 2011, NBT Equities Research, LLC
  • 9. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCGeneral Merchant Solutions, Inc. Month-Year Processing Volume Approved Applications Jan-2010 NA NA Dec-2010 $750,000 26 Total-2010 $1,250,000 64 Jan-2011 $1,200,000 34Corporate Highlights 2011  WeedMaps.com grew revenue 15% per month in Q1  WeedMaps.com expands active user base of 60,000 patients Q1  WeedMaps.com is the most optimized website in the industry and dominates rankings for the most popular search terms, including “dispensary.  WeedMaps.com launches new version of the website in April. Portal now includes doctors, lawyers, skate shops, and surf shops. Also included is a Daily Deal coupon system. General Cannabis expects revenue to double from these additional channels.  General Health Solutions Inc. now manages cannabis medical facilities that see greater than 4,000 patients per month of which approximately 60% are new patients and the 40% renewal.  General Heath Solutions anticipates opening 10 new medical clinics in 2011.  General Cannabis has recently signed an LOI with CannabisCenters.com, the leading portal for marijuana physicians and patients. Through their monetization strategy and synergy with their own clinics, they anticipate CannabisCenters.com to generate significant income in 2011.  General Merchant Services, a subsidiary of General Cannabis, is a merchant payment solution provider and has increased 25% in its first month of business. Targeting over 2,000 dispensaries and medical clinics, they estimate servicing over 500 clients by year-end 2011. 9 Copyright © 2011, NBT Equities Research, LLC
  • 10. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCQ & A with General Cannabis Management A: Currently about 60%. However, we’ve recently incorporated SalesForce.com software and hired a new COO. As a result of beingQ: CannaCare Management Inc is aimed at the better able to track and communicate with theBaby Boomer segment ... can you elaborate on patient base, and having a very detailedthis? oriented COO overseeing, among other things the call center, I believe within 60 days we’ll beA: We are developing a new suite of websites, closer to 75%.centered on CannaCare, creating the definitiveweb portal for the 35 to 65 (and up) age group. Q: The 15%-18% monthly growth rate --canThese sites are designed to objectively and you break down those rates by WeedMaps,clearly answer questions regarding medicinal GHS and General Merchant Systems.cannabis. We’ll answer questions as they relateto dosage, quality, quantity, application, and A: Weedmap Sales: January $550,000 /testimonials. Dr. Bonni Goldstein will be February $640,000 / March $750,000featured on the site. Since we’re building a We’re expanding the WeedMaps site to coverstudio in our offices, we’ll be able to have daily cannabis physicians and lawyers (similar tovideos of Dr. Goldstein with guest speakers dispensary listings). We believe within 90 daysand/or individuals who are providing we’ll be generating approximatelytestimonials. $200,000/monthly sales from this vertical. From there we anticipate launching a new verticalWe will monetize these sites through the every 60 days and anticipate similar success.following ways: 1) the sale of advertising space(i.e., physicians and attorneys), 2) through the General Health Solutions: Though the first 60-sale of business services, 3) the sale of plus days of the year were basically flat, we’reproprietary office management software, and 4) now starting to see success from our labors.where laws permit, providing marketing Our appointments are up about 15% fromservices for physicians. January and will continue to increase month- over-month.We currently generate between 600 to 800phone calls and set over 200 appointments per Q1 of 2011 was a revamping period for GMS.day from people interested in learning about, or April 1 was the launch of CannaCare, our newsetting an appointment to obtain, a letter of dba and branding for our medical clinics. Alongrecommendation. These are for the clinics we with this change, we are launching a newmanage. We can easily increase the number of website, new marketing program, implementingphone calls to provide leads for clinics that we many new online revenue channels -- i.e., addon’t manage. We now have the office space to network offerings, new offline channels, directscale very easily. work with local cancer groups by Dr. Goldstein. Q2 will bring Dr. Goldstein’s content across allQ: What is the renewal rate on letters of of our properties and we expect conversions tointroduction for registered users? 10 Copyright © 2011, NBT Equities Research, LLC
  • 11. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCincrease by 10% to 15% the minute we include well. We still have plenty of opportunitiesher videos in our marketing. available to continue strong growth with this program. In February we billed approximatelyWe have implemented Salesforce.com into our $40,000 in Daily Deals. We targeted finishingoperations and hired a new COO with vast March with over $75,000 for Daily Deals. Ourexperience in sales and call center April projection for Daily Deals is $130,000. Wemanagement. Early analysis hints at possible are in development on a new version of ourimprovements of 10% to top line through the daily deal for non-cannabis-related products butoptimized use of our data. Concurrently we cater to the demographic. We hope to launchexpect costs to decrease with Salesforce.com, this feature in Q2.systems with new COO and implementation ofproprietary software we built over Q1. Thissoftware works in conjunction with ManagementSalesForce.com and we have the option tomonetize this software over the Salesforce App General Cannabis has an ideal combination ofexchange. Additionally, our patients will be able Internet technology experts and practiceto schedule online which should only further management professionals. As a primarilydecreases costs. Bottom line, our technology Internet-technology-driven company (with awill allow us to improve employee output at secondary emphasis on call center salesless expense. management) General Cannabis has the right team, in our opinion, to build a significantGeneral Merchant Solutions: Gross credit card enterprise.processing revenue was $1.2 million in January,$1.6 million in February and we’re on track for Jim Pakulis is the seasoned veteran of theover $2 million in March. Two things are going executive management team and leads theto happen in the GMS division. First, we have overall day-to-day operations. Justin Hartfield isstrong interest from 3 separate groups that the technology genius who pushes the envelopewant to provide us financing and/or allow us to on the tech and Internet side. Keith Hoerling is arun our business through their backend, which top Internet development talent who giveswill provide a greater spread. Second, we’re General Cannabis the ability to expand theirgoing to be hiring upwards of 6 sales people technology leadership.over the next 90 days to materially increasevolume and sales. We needed to wait until we Doug Francis is the entrepreneurial visionaryhad our systems in place, which we now have. and dealmaker.Q: Update on the "Daily Deals"? Is this still We expect to see a key middle management toramping? What are the economics? evolve and ultimately we expect to see the company expand into non-cannabis retailA: 10,000 subscribers in the first 30 days. health care vertical segments.The Daily Deal program has been a tremendoussuccess in our larger regions and it is gainingtraction in some of the less active regions as 11 Copyright © 2011, NBT Equities Research, LLC
  • 12. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCDoug Francis, Chairman and President Justin Hartfield, Chief Web Officer33 years old, Doug has been a director and the 26 years old, Justin has served as the Chief WebCOO of General Cannabis, Inc. (OTCPK: CANA) Officer of General Cannabis since Novembersince August 2010. From 2008 to present, Mr. 2010. Mr. Hartfield is also the co-founder andFrancis has been the CEO of Synergistic CEO of WeedMaps Media, a subsidiary ofResources, LLC, an entity specializing in the General Cannabis. Mr. Hartfield serves onmanagement of physician owned healthcare multiple boards, including the Nationalfacilities throughout California. In November Cannabis Industry Association and The2009, Mr. Francis also became COO of Prometheus Institute, a nonprofit focusing onWeedMaps Media, a leading cannabis vertical increasing civic engagement throughand web 2.0 site. From January 2001 to October technology. Mr. Hartfield is one of the foremost2007, Mr. Francis served in a senior authorities on search engine optimizationmanagement position at two financing related strategies and has held numerous positions infirms in Southern California. Mr. Francis the internet technology field. Mr. Hartfieldreceived his BS in Finance from Chapman received his BS in from University California atUniversity in 2001. Irvine in Information and Computer Sciences and is currently enrolled in the Paul Merage MBA program also at the University ofJim Pakulis, Chief Executive Officer California at Irvine.47 years old, Jim has been a director and thePresident and CEO of General Cannabis, Inc.(OTCPK: CANA), since August 2010. Mr. Pakulis Keith Hoerling, Chief Technology Officeris also Chairman of the Board for LC Luxuries 29 years old, Keith has served as the CTO ofLimited. Mr. Pakulis had been an advisor to General Cannabis since November 2010, theSynergistic Resources, LLC since January 2010 to parent company of WeedMaps Media; and thepresent. Since June 1995 Mr. Pakulis has also Prometheus Institute, a nonprofit thatbeen an owner and/or consultant in start-up minimizes government by fusing technologycompanies in various industries including with social crowd-sourcing. Mr. Hoerling is oneinternet, finance, real estate and insurance. of the premier developers in this country, hasFrom 1990 to 1995, Mr. Pakulis oversaw all been recruited by Fortune 100 technologymergers and acquisitions in the western United companies internationally and consulted withStates for CliniCorp Inc., a publicly traded entity top Internet firms in California such as Internetthat had specialized in healthcare clinic Brands. Mr. Hoerling received his BS inmanagement and operations. From 1987 to Information Technology from Chapman1990, Mr. Pakulis was involved in the healthcare University in 2003 and he routinely confers withindustry overseeing day-to-day operations for the brightest minds on Web today.several privately held multi-disciplinary clinics inthe Los Angeles area. Mr. Pakulis received his (Source: General Cannabis Website)BA in English from The Ohio State University in1987. 12 Copyright © 2011, NBT Equities Research, LLC
  • 13. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCCorporate Firsts for General Cannabis combination of medicinal cannabis and technology, media, healthcare and 1. Only company to accumulate massive management data and content in the cannabis 10. Only company to offer dispensaries the industry. Data dominance. opportunity to “state their true (WeedMaps.com, MMEC, profession” on credit card processing CannabisCenters.com) applications 2. Only company with nations largest 11. Only company to offer objective, Dispensary Finder Site servicing over information data for healthcare 1,100 clients (WeedMaps.com) providers, patients and the legal 3. Only company to reach over 6 million in community as it relates to the cannabis monthly page views (WeedMaps.com) industry (Cannacare.com) 4. Only company to achieve over 90,000 registered users in the medicinal cannabis industry (WeedMaps.com) Capital Structure 5. Only company to offer monetized daily The company is the result of a reverse merger group coupons, prizes and games to in September 2011. General Cannabis dispensaries through “Daily Deals” and completed at private placement of $1.2 million “WeedFreedbies.com” in December 2010. (WeedMaps.com) 6. Only company to scale the Shares Outstanding is 83.14 million as of April 1, management of medicinal cannabis 2011 with a share float of 20.2 million. clinics – totaling 14 clinics with over 60,000 patient visits (Medicinal General Cannabis filed an S-1 registration of Marijuana Evaluation Centers) 20.5 million shares and a secondary offering of 7. Only company to create medical 5 million shares at $4.00. appointment setting call center which averages over 500 inbound calls per day NBT estimates retained earnings and the (Marijuana Medicine Evaluation proceeds of the $20 million secondary offering Centers) will provide all the capital required to address 8. Only company to offer the majority of existing and future opportunities. The company the 15 cannabis friendly states a is cash flow positive now and, with this physician / patient finder site additional capital, has an ambitious plan for (CannaCare.com) new acquisitions. 9. Only company to capitalize, monetize and report revenues from the 13 Copyright © 2011, NBT Equities Research, LLC
  • 14. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCUse of Proceeds # Estimate Profitability 1 $5,500,000 Currently profitable with huge untapped revenue potential (estimated $500,000 per month in less than 12 months of optimizations). 2 $2,000,000 Est. - $75k/mo by month 6 3 $1,500,000 Est. - $25k/mo. Potential for $100k/mo with a few months of optimization and tweaking. 4 $750,000 Est. - $40k/mo 5 $800,000 Est. - $50k/mo 6 $500,000+ Est. - $200k/mo in revenue 7 $300,000 Est. - $10k / mo from Day 1 of operation with market distributive potential. 8 $300,000 Defensive and offensive play 9 $1,500,000 7 Developers; 6 Coders; 2 Architect; 3 Project Managers 10 $2,000,000 Additional acquisitions $15,150,000 Total AcquisitionsValuation Model RisksIn process. We currently forecast $0.35 a share In general, the biggest risk for General Cannabisin 2012 based on 85 million shares and $62.5 is a giant shift in the regulatory climate.million in revenues (including new acquisitions Currently the federal government’s positionlisted). does not support medicinal cannabis but recognizes the states’ rights over the federalA complete financial model will be updated. position. 14 Copyright © 2011, NBT Equities Research, LLC
  • 15. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCIn such a fragmented industry there is no one General Health Solutions, Inc.marketing services company close to themarket share or revenue growth of General General Health Solutions, Inc. (GHS) is theCannabis. With their acquisition plan complete largest management company in Californiaby end of 2011 we expect their dominant specializing in the management of medicinalposition in medicinal cannabis MSO to increase cannabis health care clinics. Their proprietarysignificantly. SEO processes and implementation results in over 500 fielded telephone calls per day fromHowever, with such a rapidly growing industry, individuals seeking to learn about the process ofwe foresee no issues to constrain General meeting with a physician that may provide aCannabis’s growth. letter of recommendation to the patient, thereby allowing the patient to obtain medicinal cannabis at an independentCompetition dispensary. In addition, the company provides 24/7 verification-processing services to thirdWeedMaps Media, Inc. parties seeking to verify the validity of the patient’s Letter of Recommendation.WeedMap controls approximately 70% of thedispensary finder site market in the United The competition in this sector tends to be soleStates. WeedMaps is confident that it will practitioners that may also be generalist andremain the #1 dispensary finder site as a result offer other healthcare services. Though illegal inof the experienced WeedMaps sales force that the State of California, some nurse practitionerscontinuously sell services to dispensaries, or physicians assistants also write letters ofprovide industry updates, and monitor the recommendation for patients. Through theiroverall industry. management contract, GHS requires all medical doctors to be licensed in the State of CaliforniaWeedMaps Main Media’s competition: and be in good standing with the medical board. General Health Solutions, Inc. is in the dueWeedTracker (http://www.weedtracker.com) diligence process to determine whether toPot Locator (http://www.potlocator.com) expand beyond California.THC Finder (http://www.thcfinder.com)GPS 420 (http://www.gps420.com) Federal Perspective on CannabisNot only is CANA the leader in this space when Medical cannabis decriminalization is generallyit comes to serving physicians, dispensaries and referred to as the removal of all criminalpatients, but theres no direct competition penalties for the private possession and use ofaround for miles. The company continues to cannabis by adults, including cultivation forexpand through acquisitions, having already personal use and casual, nonprofit transfers ofbought the early leaders and now scooping up small amounts. Legalization is generallythe secondary players. referred to as the development of a legally controlled market for cannabis, where consumers purchase from a safe, legal, and regulated source. 15 Copyright © 2011, NBT Equities Research, LLC
  • 16. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCThe United States federal government regulates 13. Nauseadrugs through the Controlled Substances Act 14. Pain(21 U.S.C. § 811), which places controlled 15. Spasticitysubstances, including cannabis, in a schedule. 16. Wasting SyndromeCannabis is classified as a Schedule I drug,which is viewed as highly addictive and having Though officials of the United States federalno medical value. Doctors may not prescribe government have consistently denied thatcannabis for medical use under federal law; marijuana has any medical benefits, the Unitedhowever, they can recommend its use under States federal government actually holdsthe First Amendment. In 2010, the United patents for the medical use of the plant. USStates Veterans Affairs Department clarified Patent 6630507 titled "Cannabinoids asthat veterans using medicinal cannabis will not antioxidants and neuroprotectants" which isbe denied services or other medications that are assigned to The United States of America, asdenied to those using illegal drugs. represented by the Department of Health and Human Services.The US Government Accountability Office (GAO)noted the following symptoms or conditions The patent states "Cannabinoids have beenunder Appendix IV of their Nov. 2002 report found to have antioxidant properties, unrelatedtitled "Descriptions of Allowable Conditions to NMDA receptor antagonism. This newfoundunder State Medical Marijuana Laws": property makes cannabinoids useful in the treatment and prophylaxis of wide variety of 1. Alzheimers Disease oxidation associated diseases, such as ischemic, 2. Anorexia age-related, inflammatory and autoimmune 3. AIDS diseases. The cannabinoids are found to have 4. Arthritis particular application as neuroprotectants, for 5. Cachexia example in limiting neurological damage 6. Cancer following ischemic insults, such as stroke and 7. Crohns Disease trauma, or in the treatment of 8. Epilepsy neurodegenerative diseases, such as 9. Glaucoma Alzheimers disease, Parkinsons disease and 10. HIV HIV dementia." 11. Migraine 12. Multiple Sclerosis The patent was obtained in October 2003. 16 Copyright © 2011, NBT Equities Research, LLC
  • 17. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCKey Corporate EventsWeedMaps Media Exceeds $780,000 in Gross Volume In March; Client Bases Exceeds 1,800Dispensaries, 62,000 Searchable Menu Items AvailableAPRIL 14 2011Newport Beach, California – April 14, 2011 – General Cannabis, Inc. (OTCPK: CANA)(GeneralCannabis.com, Weedmaps.com, CannaCare.com) announces its wholly owned subsidiary,WeedMaps Media, Inc. achieved another record breaking month in March.WeedMaps Media gross income exceeded $780,000 in March, up from $620,000 in February and$530,000 in January. This compares with $182,000 in March, 2010. WeedMaps Media is the largestdispensary finder site and online medical marijuana community in the US.Read MoreGeneral Cannabis Moves Into Newport Beach Class A Offices; General Merchant Solutions Processes$2.2 million in Credit Card Volume; General Health Solutions Launches CannaCare; Increases ClinicsUnder Management to 14APRIL 11 2011Newport Beach, California – April 11, 2011 – General Cannabis, Inc. (OTCPK: CANA)(GeneralCannabis.com, Weedmaps.com) subsidiaries including WeedMaps Media, Inc., General HealthSolutions, Inc. and General Merchant Solutions, Inc. moved into over 21,000 of square feet of Class Aoffice space in Newport Beach, CA in March. The new space allows for the continuing growth of thecompany’s technology and sales departments.General Merchant Solutions reports greater than $2,200,000 in total credit card processing volume inMarch, up from $1,700,000 of volume in February. The company began in November, 2010 afterrecognizing the absence of credit card processing systems in medical cannabis dispensaries. GeneralMerchant Solutions currently has over 170 clients.Read More 17 Copyright © 2011, NBT Equities Research, LLC
  • 18. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCWeedMaps Media, Inc. Revenues Increase For 16th Consecutive Month; WeedMaps.com DailyDealsexceeds 10,000 Subscribers In Less Than 30 Days; ‘LegalMaps’ iPhone Application Exceeds 500,000Total DownloadsAPRIL 04 2011Newport Beach, California – April 4, 2011 – General Cannabis, Inc. (OTCPK: CANA)(GeneralCannabis.com, WeedMaps.com, CannaCare.com) subsidiaries including WeedMaps Media, Inc.,General Health Solutions, Inc. and General Merchant Solutions, Inc. continues its growth trajectory.WeedMaps Media, Inc. revenues increased for the 16th consecutive month ending in March, and Q1 isthe most successful three month period in the company’s history. WeedMaps.com is the nation’slargest medical cannabis website and part of WeedMaps Media, Inc., a wholly subsidiary of GeneralCannabis, Inc.Read MoreWeedMaps.com Launches Daily Deal Deep Discount Coupons for Dispensaries; WeedFreebies.com onpace for over 300,000 page views in FebruaryFEBRUARY 16 2011General Cannabis, Inc. (OTCPK: CANA) (GeneralCannabis.com, WeedMaps.com) subsidiaries includingWeedMaps Media, Inc., General Health Solutions, Inc. and General Merchant Solutions, Inc. arecontinuing their upward growth trajectory and creating new revenue streams in February.Daily Deals, a new program recently launched by WeedMaps Media, Inc., provides discount couponswhere patients can save up to 60% at participating dispensary locations. Unlike group coupon sites, noadvance purchase is required. Daily Deal Coupons will be visible to WeedMaps end users, the patients,as an unobtrusive pop-up on the bottom right corner of the www.WeedMaps.com homepage, as well asany regional listing page on the site.Read MoreWeedMaps Media, Inc. continues to increase Monthly revenues; General Heath Solutions AnnouncesPlans to Increase Clinics to 14 by the end of February; General Merchant Services Announces Plans toIncrease Clinics to 14 by the end of February; General Merchant Services Processes $1.2 Million in its3rd Month of Operation; CannabisCenters.com Plans to launch Nationwide Physician Portal in April2010; General Cannabis, Inc. Finalizes Revyv, LLC TransactionFEBRUARY 04 2011The General Cannabis, Inc. (OTCPK: CANA) (General Cannabis.com, WeedMaps.com) subsidiaries arealready showing expected success and growth in the year’s first quarter. 18 Copyright © 2011, NBT Equities Research, LLC
  • 19. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCWeedMaps.com, the nations’ largest medical cannabis web 2.0 site and part of WeedMaps Media, Inc.,a wholly owned subsidiary of General Cannabis, Inc., has improved revenue consistently for the 14thstraight month ending in January 2011. Continuing the streak looks promising as the WeedMapsdevelopment team will soon launch a daily coupon application allowing patients to receive significantsavings. Management is very excited about the monetizing opportunities in this structure andanticipates launching this program in April 2011 or sooner.Read MoreGeneral Cannabis, Inc. Headquarters Relocate and Expand; Staff Increases with 5 New Strategic HiresJANUARY 27 2011Today General Cannabis, Inc. (OTCPK: CANA) (GeneralCannabis.com, WeedMaps.com) announces that ithas signed a commercial lease in Newport Beach, California that offers significantly larger office spacethan the prior Costa Mesa headquarters. The leased space provides for expansion of the company’ssales, call center and marketing divisions. The space also provides an expansive area for the company’srapidly growing technology division. The company anticipates taking occupancy on or before February28th.Read MoreGeneral Cannabis, Inc. Positioning To Be Market Leader In Estimated $45 billion Cannabis IndustryJANUARY 25 2011As the business of medicinal cannabis continues to grow, so too does the overall cannabis industry. Witha market value ranging from between $45 billion to highs of over $120 billion, Southern California basedGeneral Cannabis Inc. (OTCPK: CANA) is poised to define and lead key sectors in the fragmentedmedicinal cannabis industry. A grass roots movement towards medical cannabis throughout the UnitedStates is rapidly growing, and General Cannabis is clearly leading the way. Through a multitude oftechnological platforms, SEO marketing advancements and proprietary software applications, GeneralCannabis is developing relationships and creating profit centers to select industry sector’s (medical,legal, dispensaries and credit card processing) that provides ancillary services to the medicinal cannabisindustry.Read More 19 Copyright © 2011, NBT Equities Research, LLC
  • 20. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCGeneral Cannabis, Inc. Finalizes The Purchase Of Revyv, LLCJANUARY 20 2011Today General Cannabis, Inc. (OTCPK: CANA) (GeneralCannabis.com, WeedMaps.com) announces thesigning of the final documents for the acquisition of substantially all the assets of Revyv, LLC. Revyv is atechnology firm specializing in the online interfacing, marketing and optimizing of health care facilities inthe medicinal cannabis industry. In addition to acquiring key domains such as CannabisCenters.com andSafeaccessMD.com, General Cannabis is also acquiring Revyv’s proprietary verification system designedspecifically for the medicinal cannabis industry. General Cannabis intends to use CannabisCenters.comas one of several company owned medical information and education portals. The company anticipatesexpanding on the scope of the site to include a social network for individuals wishing to addressmedicinal cannabis issues and topics. The acquisition will increase the company’s healthcare marketingcapabilities throughout states in which General Cannabis, Inc., does not yet have a healthcare presence.Read MoreGeneral Health Solutions, Inc.’s Managed Clinics Exceed $4,000,000 in Gross SalesJANUARY 12, 2011Today General Cannabis, Inc. (OTCPK: CANA) announces that the 11 medical clinics that its whollyowned subsidiary, General Health Solutions, Inc. DBA Marijuana Medicine Evaluation Centers (MMEC)manages exceeded $4,000,000 in gross sales in 2010. General Health Solutions specializes in theturnkey management of medicinal marijuana clinics throughout California. The company currentlymanages 11 medical clinics and anticipates opening or managing 10 additional clinics throughout statesthat permit the use of medicinal marijuana by year-end 2011.Read MoreGeneral Merchant Services, Inc. Processing Volume for December Exceeds $700,000JANUARY 7, 2011Today General Cannabis, Inc. (OTCPK: CANA) announces that its wholly owned subsidiary, GeneralMerchant Services, Inc. exceeded $700,000 in merchant processing volume in December, during its firstfull month of operation. The company processed over $500,000 in merchant volume in November, themonth in which General Merchant Services’ full time operations commenced. General MerchantServices offers credit card merchant services to subscribers of WeedMaps.com, which is owned byWeedMaps Media, Inc. and 11 medicinal marijuana health care facilities managed by General HealthSolutions, Inc., both of which are wholly owned subsidiaries of General Cannabis, Inc. In addition tooffering credit card processing services to all medicinal cannabis related entities, General Merchant 20 Copyright © 2011, NBT Equities Research, LLC
  • 21. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCServices also provides credit card processing services to non-cannabis related industries includingautomotive and healthcare.Read MoreWeedMaps.com Experiences Significant Growth in 2010 Creates Medical Marijuana Stock ExchangeJANUARY 5, 2011Today General Cannabis, Inc. (OTCPK: CANA) formerly LC Luxuries Limited (OTCPK: LLUX)announces that its wholly owned subsidiary, WeedMaps Media, Inc. had gross revenue of over$3,000,000 in 2010 compared to gross revenue of less than $150,000 in 2009, its first year of operation.WeedMaps.com, a division of WeedMaps Media, Inc., is the largest finder site for medicinal dispensariesin the United States. As of December 2010 over 900 dispensaries were paid subscribers toWeedMaps.com, up from 27 dispensaries in December 2009. Last week the company also hit acorporate record for the most simultaneous users on its site. The high traffic volume is a direct result ofthe newly launched ‘Medical Marijuana Stock Exchange’ that allows users to search and comparevarious cannabis strains. The new cannabis stock exchange shows real-time metrics for price, popularity,trends and potency.Read MoreGeneral Cannabis, Inc. Opens 11th Marijuana Medicine Evaluation FacilityDECEMBER 21, 2010Costa Mesa, California – December 20th, 2010 – Today General Cannabis, Inc. (OTCPK: CANA) formerlyLC Luxuries Limited (OTCPK: LLUX) www.generalcannabis.com, www.weedmaps.com,www.marijuanamedicine.com announces it has entered into a management agreement to manage its11th marijuana medicine evaluation clinic in Victorville, CA. The 10 other clinics that General Cannabismanages are located throughout California. The ongoing expansion of clinic management is in step withthe company’s long-term goal of managing or owning at least 20 clinics by year end 2011.Read MoreGeneral Cannabis, Inc. Closes Medical Clinics AcquisitionDECEMBER 14, 2010Costa Mesa, California – December 14th, 2010 – Today General Cannabis, Inc. (OTCPK: CANA) formerlyLC Luxuries Limited (OTCPK: LLUX) www.generalcannabis.com announces it has formally acquired theassets of Synergistic Resources, LLC. This acquisition includes the management contract to operate 10medical marijuana evaluation facilities in California. The business will operate under the name of 21 Copyright © 2011, NBT Equities Research, LLC
  • 22. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCGeneral Health Solutions, Inc., a wholly-owned subsidiary of General Cannabis. General HealthSolutions, Inc., DBA Marijuana Medicine Evaluation Centers (MMEC), specializes in the turn-keymanagement of medicinal marijuana clinics throughout California. The purchase is a combination ofcash and stock, and the founder of Synergistic Resources, Brent Inzer, has assumed the position ofManager, Business Development for General Health Solutions, Inc.Read MoreDECEMBER 6, 2010Today General Cannabis, Inc. (OTCPK: CANA) formerly LC Luxuries Limited (OTCPK: LLUX) announces ithas signed closing documents to purchase substantially all of the assets of Synergistic Resources, LLC.Synergistic Resources, LLC dba Marijuana Medical Evaluation Centers (MMEC) specializes in the turn-keymanagement of medicinal marijuana clinics throughout California. The purchase is a combination ofcash and stock, and the founder of Synergistic Resources, Brent Inzer, will immediately assume theposition of Business Development.Read MoreGeneral Cannabis, Inc. Acquires WeedMaps, LLCNOVEMBER 19, 2010Costa Mesa, California – November 19, 2010 – Today General Cannabis, Inc. (OTCPK: CANA) formerly LCLuxuries Limited (OTCPK: LLUX) proudly announces it has purchased WeedMaps, LLC. The purchase is acombination of cash and stock with additional earn out potential for the two co-founders of WeedMaps,LLC, Justin Hartfield and Keith Hoerling. Both Hartfield and Hoerling have entered into long termemployment contracts with General Cannabis, Inc. and will immediately assume the roles of Chief WebOfficer and Chief Technology Officer.Read MoreLC Luxuries Limited Receives Formal Approval for Name Change to General Cannabis, Inc.NOVEMBER 16, 2010COSTA MESA, Calif., Nov 16, 2010—LC Luxuries Limited (LLUX) (the “Company”) today proudlyannounces that it has received formal approval that effective on the open of trading on November 19th,2010, the new name of the company will be General Cannabis, Inc. The new stock symbol will be CANA.Read More 22 Copyright © 2011, NBT Equities Research, LLC
  • 23. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCLC Luxuries Limited Prepares for Corporate Name Change to General Cannabis, Inc.OCTOBER 27, 2010COSTA MESA, Calif., Oct 26, 2010—LC Luxuries Limited (LLUX) (the “Company”) today announced that ithas commenced the process to change the Company name from LC Luxuries Limited to GeneralCannabis, Inc. The Company anticipates the name change to be completed by year end 2010.Read MoreU.S. Cannabis, Inc. Signs Letter of Intent to Control Marketing and Advertising for 10 ClinicsOCTOBER 24, 2010COSTA MESA, Calif., Oct 22, 2010—LC Luxuries Limited (LLUX) (the “Company”) today announced thatthrough its subsidiary, U.S. Cannabis, Inc., it has entered into a Letter of Intent with SynergisticResources, LLC dba Marijuana Medicine Evaluation Centers, to assume all marketing and advertisingresponsibilities for 10 medical marijuana offices located in California. Synergistic Resources, LLCspecializes in providing management expertise to the medical marijuana industry including, but notlimited to, site location, staffing, administration and human resources.Read MorePotential Acquisition of Majority Interest in WeedMaps, LLC by U.S. Cannabis, Inc. Moves ForwardOCTOBER 8, 2010COSTA MESA, Calif., Oct 8, 2010—LC Luxuries Limited (LLUX) (the “Company”) today announced that ithas hired Tarvaran, Askelson & Company LLP, Certified Public Accountants, to begin the auditing processof WeedMaps, LLC. On September 30th, 2010 the Company announced that it has entered into a Letterof Intent to acquire a majority interest in WeedMaps, LLC.Read MoreLC Luxuries acquires CannaCare.comOCTOBER 5, 2010LC Luxuries Limited (formerly Makeup.com Limited), an online retail company engaged in marketingbeauty products, has acquired the domain name CannaCare.com, a provider of information, advice andservices relating to legal access to medical marijuana. Both the entities are based in the US.Read More 23 Copyright © 2011, NBT Equities Research, LLC
  • 24. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCLC Luxuries Limited Will Begin Offering Management Services to Dispensaries & CollectivesOCTOBER 4, 2010COSTA MESA, Calif., Oct 7, 2010—LC Luxuries Limited (LLUX) (the “Company”) today announced that,through its subsidiary, U.S. Cannabis, Inc., it will begin offering management and consulting services todispensaries, collectives and associations.Read MoreLLUX.PK Commences Operations in New Subsidiary, U.S. Cannabis, Inc.SEPTEMBER 30, 2010COSTA MESA, CALIFORNIA, Sep 30, 2010—LC LUXURIES LIMITED (LLUX) (the “Company”) todayannounced that it has entered into a Letter of Intent to acquire a majority interest in WeedMaps, LLC.Justin Hartfield, CEO of WeedMaps, LLC states: “We’re very excited to be joining forces with LLUX. Weshare the same entrepreneurial spirit and look forward to a long and successful relationship.”Read MoreLLUX.PK Negotiating to Acquire WeedMaps.comSEPTEMBER 03, 2010COSTA MESA, CALIFORNIA, Sep 03, 2010—LC LUXURIES LIMITED (PINK SHEETS: LLUX) (the “Company”)announces that its newly established subsidiary, US Cannabis, Inc., a Nevada corporation, has enteredinto formal negotiations with WeedMaps, LLC, to acquire the domain name “weedmaps.com” and thecurrent operating website. WeedMaps.com has specialized in search engine optimization since 2009 andhas a significant presence as it relates to the cannabis industry. At this time, the terms and conditions ofthe acquisition are still being negotiated and no terms or conditions of the acquisition have been agreedupon between the parties.Read MoreLLUX.PK Commences Operations in New Subsidiary U.S. Cannabis, Inc.AUGUST 27, 2010COSTA MESA, CALIFORNIA, Aug 27, 2010—LC LUXURIES LIMITED (PINK SHEETS: LLUX) (the “Company”)announces that its newly established subsidiary, U.S. Cannabis, Inc., a Nevada corporation, will beginsupporting the U.S. medical marijuana market through the management of medical clinics in California.The clinics will be staffed by California Licensed, board-certified physicians and will meet or exceed all 24 Copyright © 2011, NBT Equities Research, LLC
  • 25. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCregulatory standards. The Company’s intention is to set a standard by which the management ofmedical marijuana clinics will be measured. The Company intends to be managing 10 clinics before thecalendar year end, 2010.Read More(Source: General Cannabis Website) 25 Copyright © 2011, NBT Equities Research, LLC
  • 26. NBT EQUITY GROUP, INC. nbtequitiesresearch.com NBT Equities Research, LLC NBT Capital Markets, LLC NBT Communications, LLCDISCLAIMERThis report may be a paid advertisement and is neither an offer nor recommendation to buy or sell any security.We hold no investment licenses and are thus neither licensed nor qualified to provide investment advice. Thecontent in this report or email is not provided to any individual with a view toward their individual circumstances.NBT Equities Research is a wholly-owned subsidiary of NBT Equity Group Inc.The information and opinions in this report were prepared by NBT Equities Research, LLC. The information hereinis believed to be reliable and has been obtained from public sources believed to be reliable. We make norepresentation as to the accuracy or completeness of such information. Opinions, estimates and projections in thisreport constitute the current judgment of the author as of the date of the report and are subject to changewithout notice. We have no obligation to update, modify or amend this report or to otherwise notify a readerthereof in the event that any matter stated herein, or any opinion, projection, forecast or estimate set forthherein, changes or subsequently becomes inaccurate, or if research on the subject company is withdrawn.This report is provided for informational purposes only. Neither NBT Equities Research nor its officers, directors,partners, employees, consultants nor anyone involved in the publication of this special report is a registeredinvestment adviser or broker/dealer and none of the foregoing make any recommendation that the purchase ofsecurities of any company profiled in this special report is suitable or advisable for any person or that aninvestment in such securities will be profitable. Past performance of profiled securities is not indicative of futureresults. Companies profiled in this special report may lack an active trading market for their securities andinvesting in such securities is highly speculative and carries a high degree of risk. Anyone investing in thesecompanies should be able and prepared to bear a loss of his or her entire investment. The information on thisspecial report is not designed to be used as the basis for an investment decision. You should confirm to your ownsatisfaction the veracity of any information prior to entering into any investment. The decision to buy or sell anysecurity that may be featured by NBT Equities Research is done purely at the reader’s own risk. Under nocircumstances will its owners, officers, or employees be held liable for any losses incurred by the use ofinformation contained in this special report. It is not to be construed as an offer to buy or sell or a solicitation of anoffer to buy or sell any financial instruments or to participate in any particular trading strategy in any jurisdiction.The recipients of our reports must make their own independent decisions regarding any securities mentioned inour reports.NBT Equities Research, LLC has received compensation from the company or companies mentioned in this reportor agents acting on their behalf. This report may be reproduced, distributed or published by any person for anypurpose without the prior written consent of NBT Equities Research. Please cite source when quoting. 26 Copyright © 2011, NBT Equities Research, LLC

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