mCig, Inc. (Stock Symbol: MCIG) - March 2014 Investor Presentation

1. INVESTOR PRESENTATION – MARCH 2014

2. FORWARD LOOKING STATEMENTS DISCLAIMER
Any statements contained in this presentation that do not describe
historical facts may constitute forward-looking statements as that
term is defined in the Private Securities Litigation Reform Act of 1995.
Any forward-looking statements contained herein are based on
current expectations, but are subject to a number of risks and
uncertainties. The factors that could cause actual future results to
differ materially from current expectations include, but are not limited
to, risks and uncertainties relating to the Company's ability to develop,
market and sell products based on its technology; the expected
benefits and efficacy of the Company's products and technology; the
availability of substantial additional funding for the Company to
continue its operations and to conduct research and development,
and future product commercialization; and the Company's business,
research, product development, regulatory approval, marketing and
distribution plans and strategies.

3. FUNDAMENTALS

4. mCig, Inc. (OTCQB: mCig) is a technology company focused on two long-term secular trends
sweeping the globe:
(1) The decriminalization and legalization of marijuana for medicinal or recreational purposes
(2) The adoption of electronic vaporizing cigarettes (commonly known as “eCigs”) by the
world’s 1.2 Billion smokers.
In the marijuana industry mCig is a leading manufacture of portable vaporizers such as the
mCig 2.0 and traditional vaporizers such as the Vapolution 2.0.
In the eCig industry, mCig operates a subsidiary: VitaCig, Inc. which is leveraging eCig
technology to develop nicotine-free medicinal and nutritional products such as the VitaCig.
Stock Information
Stock Market Symbol:
Common Shares Outstanding
SEC Regulation
Management Team
mCig
270,130,000
Yes – Fully Reporting
Link to SEC Filings:
Click Here
Insider Ownership
•
•
•
•
Paul Rosenberg – Chief Executive Officer
Mark Linkhorst - Chief Operating Officer
Patrick Lucey – President , Vapolution, Inc.
Chad Shaffer - Chief Operating Officer, Vapolution, Inc.
50.1%
Corporate Transfer Agent
PCAOB Auditors
Island Stock Transfer
15500 Roosevelt Boulevard
Clearwater, Florida
Phone 727.289.0010
Fax 727.289.0069
http://www.islandstocktransfer.com
De Joya Griffith
1 Liberty Plaza, 23rd Floor
New York, NY 10006
Phone 212.531.1600
Fax 702.920.8049
http://www.dejoyagriffith.com
FUNDAMENTALS
About mCig, Inc.

5. “During the Gold Rush, most gold miners lost
money, but people who sold them picks,
shovels, tents and blue-jeans (Levi Strauss)
made a nice profit.”
Peter Lynch
THE OPPORTUNITY - VAPORIZERS

6. Marijuana is the third most popular recreational drug in America (behind only alcohol and tobacco), and has been used by
nearly 100 million Americans. According to government surveys, some 25 million Americans have smoked marijuana in the
past year, and more than 14 million do so regularly despite harsh laws against its use.
Legalization and Decriminalization Trend
Following the global economic crisis of 2008 a renewed effort was made by the marijuana lobby for both decriminalization of
the herb as well as legalization. This push was ultimately successful as the prospect of taxing marijuana like alcohol or tobacco
represented an inflection point in the conversation for the merits of legalization. This culminated in marijuana being fully
decriminalized and even legalized for adults 21 and up in the states of Colorado (Amendment 64) and Washington (Initiative
502). Colorado and Washington represent only the start of this trend. On January 16th, 2014, cannabis was legalized in five
more states under federal law. These states are the following: Hawaii, Kansas, Alaska, Michigan, and Rhode Island. On a
Federal level, there have been important developments as well. Most recently US Attorney General Eric Holder in a speech to
the House of Delegates indicated that he had mandated a review and modification of all Justice Department policies relating
to the sentencing of non-violent drug offenders.
USA States with Legal Marijuana Laws
Marijuana Business Opportunity
Market
USA Legalized (WA & CO)
Size in Billions of Dollars per Year
$1.5 Billion today
$6.0 Billion by 2018
USA Legalized All States
$60 Billion
Global Current Illegal
$150 Billion
Global Marijuana Users
150 million
THE OPPORTUNITY – MARIJUANA LEGALIZATION
Cannabis (AKA) Marijuana

7. mCig operates a simple business model: We develop cutting edge vaporizers for the recreational and medicinal marijuana
community at disruptive price points. In addition to being disruptive on price, we also believe in the “Open-Source” model
allowing our customers to heat up the plant material of their choice, as opposed pre-packaging our vaporizers with plant
material.
First Mover Advantage Where it Counts
A “first mover” advantage only matters when you are focused on delivering unique customer experiences and building brand
affinity. Most marijuana companies have chosen to grow marijuana a highly commoditized and competitive plant. We chose
to develop and incubate brands that will resonate within the community and allow us to generate high volume, recurring
sales.
We operate two such brands:
Founded in 2000, Vapolution is a leading producer of home-use herbal vaporizers
such as the Vapolution 2.0. The Vapolution is sold in over 11 Countries, and 20
distribution points. Cumulative revenues of over $2 million since founding without
spending any capital on marketing. www.vapolution.com
Founded in 2013, mCig is a leading producer of portable herbal vaporizers such as
the mCig 2.0 – a $10 purpose built herbal vaporizer that has generated sales in
over 20 countries and significant buzz. www.mCig.org
THE OPPORTUNITY – PICK & SHOVEL BUSINESS MODEL
Pick and Shovel Business Model
mCig, Inc. – A “Pick and Shovel” Marijuana Company

8. PRODUCT CATALOG

9. Since 2013, mCig has developed two iterations of its flagship product. The mCig 1.0 which was released in November 2013, and
the mCig 2.0 which was released in January 2014. In February 2014, we released our Made in USA Hand Blown Glass Inserts
which allow customers to enjoy an even cleaner vaporizing experience by inserting plant material into the glass and then
dropping the glass into the mCig 2.0 heating chamber.
Product Details
•
•
•
•
mCig 1.0
World’s Most Affordable Vaporizer
Released in November 2013 – Sold Out in
10 days
Collectors Item
•
•
•
•
•
•
mCig 2.0
Next Generation Technology
Multi-Voltage
Made in USA Glass Insert – True Vape
Wider Chamber, More Battery Power
Same Price ($10)
mCig 3.0 Update
• R&D Ongoing
• Scheduled for Q3 2014
Product Image
PRODUCT CATALOG - MCIG
Product Catalog –mCig, Shovel” Marijuana Company
mCig, Inc. – A “Pick and Inc.
- mCig

10. Since 2000, Vapolution has developed two iterations of its flagship product. The Vapolution 1.0 which was released in
November 2003, and the Vapolution 2.0 which was released in July 2013.
Product Details
•
•
•
•
•
•
•
•
•
Vapolution 1.0
First electronic vaporizer to offer a
complete glass air path.
First to offer a custom built glass lined
heater.
Vapor taste and flavor still sought after
today.
Vapolution 2.0
Total Redesign
Remains the only Vaporizer with an all
glass vapor path.
Made in USA Glass
MSRP is 20% lower than 1.0
Vapolution 3.0 Update
• R&D Ongoing
• Scheduled for Q4 2014
Product Image
PRODUCT CATALOG - VAPOLUTION
Product Catalog – mCig
mCig, Inc. – A “Pick and Shovel” Marijuana Company
Vapolution, Inc. (100% Owned Subsidiary)

11. CORPORATE STRATEGY – HERBAL VAPORIZERS

12. Within our Vaporizer segment, we will continue to focus on
being disruptive both on price and innovation delivering our
customers quality experienced at affordable prices. We will
continue to focus on entrenching our brands within the
community and aligning ourselves with thought leaders,
individuals, and companies that are well respected.
We will develop two new iterations of our flagship devices in
2014: Vapolution 3.0 and mCig 3.0.
Our Process Model
Innovate
Grow
Optimize
Branding
We will continue to market our products via social media and
industry specific functions. We will produce several videos that
will continue to be distributed to our viral audience of over
100,000 twitter followers and thousands of Facebook followers.
We will also continue to align our brands with potential celebrity
endorsements where we feel the celebrity speaks to the
sensibilities of our target demographic.
Disrupt
mCig 2.0 Video Commercial
Independent Reviews and Marketing Plans
Below is an example of a Video Ad we produced for the mCig 2.0.
This video has gone viral achieving over 10,000 organic views in
less than 30 days. This is especially impressive given that we did
not spend a cent on marketing this video. Click below to view:
Since January 2014 (launch of mCig 2.0) we have sent out review
packages to several well known media organizations within the
cannabis community as well as celebrities that are openly
supportive of Cannabis. We have received several positive
reviews that we believe will be shortly published. We believe
that these efforts help increase the momentum for viral adoption
of the mCig 2.0 as the leading loose-leaf vaporizer on the market.
Inventory Increases and Supply Constraints
Management is confident to have resolved all supply constraints
and will be in a position to meet all order demand from March
10th, onwards. We are now receiving minimum inventory
shipments of 5k units vs 1-3k prior.
CORPORATE STRATEGY - VAPORIZERS
Business Outlook Q2-Q4 2014

13. THE OPPORTUNITY – ELECTRONIC CIGARETTES ( ECIGS)

14. eCigs are electronic devices comprised of a small lithium-ion battery and an atomizer that vaporize a nicotine liquid. As nothing
is being burned, the result is a clean delivery of nicotine without the negative effects of tar, smoke, or second hand smoke. What Goldman Sachs Says: (From Report Entitled: Top Disruptive Technologies August 2013)
Mergers and Acquisitions in the eCig Space
Date
Suitor
Company Acquired
Transaction Value
Source
2/03/2014
Altria Group, Inc. (NYSE: MO)
Green Smoke, Inc.
$110,000,000
Altria
10/1/2013
Lorillard Inc. (NYSE: LO)
Skycig, UK
$50,000,000
Lorillard
4/25/2012
Lorillard Inc. (NYSE: LO)
Blu Ecigs, Inc.
$135,000,000
Wall Street Journal
THE OPPORTUNITY – ELECTRONIC CIGARETTES
Electronic Cigarettes – (eCigs)
(eCigs)

15. Taking the same innovative approach we applied to the marijuana industry, management decided to avoid direct competition
with the ultra-competitive and highly fragmented eCig industry. Instead, we developed a niche product by embracing the
potential of eCig technology (the ability to easily vaporize pre-packaged liquids from a pocket-sized device) as a medical
delivery device. In the fall of 2013 we began working on the new product codenamed: “Vita”. We incorporated a new
subsidiary: VitaCig, Inc. and developed the “VitaCig” - a nicotine-free eCig that delivers a vapor mixed with vitamins and natural
flavors. We believe that VitaCig can become another game-changing product and category killer.
VitaCig – 100% Owned Subsidiary
As far as we know, there does not exist a product comparable to Vitacig on the market. We believe the Vitacig will cannibalize
both the existing eCig market as well as the e-Hookah markets by providing a superior, enjoyable experience without the
nicotine or overly sweet flavors. This product will appeal to a wide market including: Smokers looking to quite, Smokers
looking to reduce nicotine consumption, non-smokers.
Vitacigs are sold in $6 Packs. Each
pack contains 3 Vitacigs
•
•
•
•
Disposable
500 Puffs
Shiny Metallic Colors
Every Vitacig contains a base of: Vitamins A,
B, C, E and CoQ10 (Ubidcarenone)
• Refresh – Mint + Pepperming Flavor and
Eucalyptol
• Relax - Blueberry and Black Currant flavor
+ B-myrcene
• Energize – Orange + Grapefruit flavor +
Limonene.
THE OPPORTUNITY – VITACIG
VitaCig – eCig as Medical Delivery Devices

16. VITACIG, INC.– SPIN-OFF AND DIVIDEND TO MCIG SHAREHOLDERS

17. On February 3, 2014, mCig officially unveiled VitaCig, Inc. our 100% owned subsidiary. While mCig management is extremely
excited about the prospects of VitaCig, we believe that at its core the VitaCig business model and potential is a separate story
from that of mCig which is exclusively focused on the Cannabis market. As a result, we decided to spin-off VitaCig, Inc. on a 1:1
basis to mCig, Inc. shareholders. The result will be that every owner of one (1) share of MCIG will receive one (1) share of
VitaCig, Inc as a free dividend.
On February 24, 2014 mCig, Inc. Board of Directors approved the VitaCig, Inc. stock dividend that would result in the spin-off.
As part of this decision Mr. Paul Rosenberg, Chairman and CEO of mCig, Inc. agreed to contribute his pro-rata rights to the
VitaCig, Inc. dividend (representing 244,931,627 shares) to mCig, Inc. This will result in mCig, Inc. owning 49% of VitaCig, Inc.
with mCig public shareholders and other members of management owning the remaining 51% (representing 255,203,373
shares). This also means that 244,931,627 shares of VitaCig, Inc. will be included on mCig’s balance sheet in future quarters,
and providing a dilution-free mechanism for raising capital if required.
VitaCig Post Spin-Off Capital Structure
VitaCig, Inc. Post-IPO
Public
Shareholders
51%
mCig, Inc.
49%
I Am An mCig, Inc. Shareholder What Does All This Mean?
Simply, if you are an mCig shareholder and hold your shares
through the record date (which will be announced shortly)
you will receive 1 free share of VitaCig, Inc. When VitaCig
lists on the stock market, you will be free to do as you
please:
• Sell VitaCig shares and keep mCig shares for pure
Cannabis/Marijuana Exposure
• Sell mCig and keep VitaCig for pure eCig Exposure
• Sell Both
• Keep Both as long-term investments.
VITACIG – SPIN-OFF AND DIVIDEND TO MCIG SHAREHOLDERS
VitaCig Spin-Off and Dividend to mCig, Inc. Shareholders

18. MCIG – THE PATH TO A POTENTIAL UPLISTING

19. Why Up list?
National Exchanges and Financial Listing Requirements
There are two primary National Exchanges in the US: The NADSAQ and the New York Stock Exchange (NYSE). Below are the
listing requirements for both exchanges:
Listing Requirement
Nasdaq Capital Market
(Rule 505a 505b2)
NYSE MKT
(Standard 2)
MCIG Current (Pro
Forma Q1)*
MCIG Following
VCIG Listing @ $.05
Shareholder Equity
$4,000,000
$4,000,000
$1,287,419*
$13,525,500
Value of Publicly Held Shares
$15,000,000
$15,000,000
$102,500,000
$102,500,000
Market Capitalization
$50,000,000
Not Required
$115,000,000
$115,000,000
Publicly Held Shares
1,000,000
1,000,000
250,000,000
250,000,000
Shareholders
300
400
4,000+
4,000+
Market Makers
3
Not Required
30
30
Stock Price
$4.00
$2.00
$.43
$.43**
*The company expects to report an increase in shareholder equity from negative ($48,769) to positive $1,287,419 (unaudited) in the upcoming quarter. While we are providing this guidance
in this presentation we remind investors that this figure is unaudited and has yet to be reviewed by our independent auditor. Accordingly we must reserve the right to restate this figure prior
to the publication of our 10Q .
**The minimum share price of either $4.00 or $2.00 can be achieved by conducting a reverse stock split simultaneously with an up listing approval. For example: An 1:5 (1 for 5) split would
result in a $2.12 share price while still keeping mCig above all the other required thresholds.
As can be seen in the table above, mCig already meets 5 out of 7 listing requirements for both NASDAQ Capital Market and
NYSE MKT. The only two barriers that remain are Shareholder Equity and Minimum Stock Price. The minimum stock price is
purely technical and can be resolved by initiating a reverse stock split . Alternatively, if our shares appreciate past the minimum
threshold we may not require a reverse stock split. Management believes that the shareholder equity requirement should be
met with the listing of VitaCig, Inc.
MCIG – THE PATH TO A POTENTIAL UPLISTING
mCig, Inc. (OTCQB: MCIG) currently trades on the OTC QB Exchange. The OTC QB is regulated by FINRA and the SEC however
there are no financial listing requirements. As a result, companies trading on the OTC QB are often perceived as inferior within
the investment community and for the most part do not receive institutional investment from the likes of Mutual Funds,
Pension Funds, Hedge Funds, and Insurance Companies. While mCig, has enjoyed its time on the OTC QB and believes that the
exchange is extremely important for capital formation of early stage companies, it is our objective to meet the financial
standards required for an up listing to a National Stock Exchange. While such an up listing does not guarantee us financial
success (only hard work and increased adoption of our products can achieve that) it could significantly change our prospects
for access to capital as well as increase the notoriety of our brand and products.

20. STOCK PERFORMANCE AND ANALYSIS

21. mCig, Inc. Stock Performance Chart & Analysis
STOCK PERFORMANCE & ANALYSIS
November 2013
Stock Price (Low – High)
Avg. Share Volume
December 2013
January 2014
February 2014
$.07 - $.12
$.09- $.15
$.10- $.24
$.24-.43
390,000
750,000
2,000,000
3,500,000

22. Tuesday, February 25, 2014
mCig, Inc. Provides Update on VitaCig Spin-Off and Pro-Rata Dividend to Shareholders GlobeNewswire( (Tue, Feb 25)
Tuesday, February 18, 2014
mCig, Inc. Elevates mCig 2.0 by Introducing Made In USA Glass Inserts GlobeNewswire( (Tue, Feb 18)
Thursday, February 6, 2014
mCig, Inc. - Grammy Award Winning DJ Swivel to Become First Brand Ambassador GlobeNewswire( (Thu, Feb 6)
Monday, February 3, 2014
mCig, Inc. Publishes First Investor Presentation and Officially Unveils VitaCig, Inc. GlobeNewswire( (Mon, Feb 3)
Friday, January 24, 2014
mCig, Inc. Acquires Vapolution, Inc., Entering Traditional Vaporizer Market GlobeNewswire( (Fri 8:40AM EST)
Friday, January 10, 2014
mCig, Inc. Officially Launches mCig 2.0 -- World's Most Affordable Personal Vaporizer GlobeNewswire( (Fri, Jan 10)
Thursday, December 19, 2013
mCig, Inc. Provides Update on mCig 2.0 Launch GlobeNewswire( (Thu, Dec 19)
Tuesday, December 3, 2013
mCig, Inc. Provides Corporate Update -- Reduced Authorized Shares, New COO Appointment GlobeNewswire( (Tue, Dec 3)
Tuesday, November 12, 2013
mCig, Inc. Sells Out of Initial Inventory -- Provides Corporate Update GlobeNewswire( (Tue, Nov 12)
Thursday, November 7, 2013
mCig, Inc. Now Accepting Bitcoin as Payment Method Via CoinBase GlobeNewswire( (Thu, Nov 7)
Thursday, October 31, 2013
mCig, Inc. Officially Launches the mCig - $10 Herbal Electronic Cigarette (eCig) GlobeNewswire( (Thu, Oct 31)
Monday, October 21, 2013
mCig Launches WDR Program - Laying Foundation For Retail Distribution Network GlobeNewswire( (Mon, Oct 21)
Tuesday, October 8, 2013
mCig Announces CEO Interview by Noted Investment Analyst Alan Brochstein Marketwired( (Tue, Oct 8)
Friday, September 27, 2013
mCig, Inc. New Stock Symbol: MCIG, Trademark Application, Launch Update Marketwired( (Fri, Sep 27)
Friday, September 13, 2013
mCig, Inc. Initiates Share Capital Restructuring -- Prepares for Launch of mCig Herbal eCig Marketwired( (Fri, Sep 13)
RECENT NEWS AND ANNOUNCEMENETS
mCig, Inc. Press Releases & Announcements (Last 6 Months)

23. National Coverage of Marijuana Stocks and MCIG
Pot penny stocks smoking on rise of legalization – CNBC (Thu, Jan 9, 2014)
Capitalizing On Cannabis: An Interview With CEO Of Mcig – Seeking Alpha (Oct 8, 2013)
CNBC One Hour Special “Marijuana In America”
Colorado made history as the first state in the U.S. to legalize marijuana for recreational use. NBC News correspondent
Harry Smith tells the story behind this stunning development, which has been called one of the great social experiments of
the next century. Click on image below to watch the one hour special:
NATIONAL COVERAGE OF MARIJUANA BUSINESS
Pot Shares Rally 21% to 1,700% as Speculators See Greenat Bloomberg(Thu, Jan 9 2014)

24. Symbol
SEC Regulated
Shares Outstanding
Toxic Debt
Market Cap.
Medbox, Inc.
MDBX
NO
14,475,375
YES
$445 million
Medical Marijuana, Inc.
MJNA
NO
947,607,961
YES
$303 million
Growlife, Inc.
PHOT
Yes
738,473,611
YES
$284 million
Hemp, Inc.
HEMP
NO
1,649,949,387
YES
$247 million
Cannabis Sciences, Inc.
CBIS
Yes
761,323,906
YES
$144 million
Terra Tech, Inc.
TRTC
Yes
252,802,141
YES
$131 million
mCig, Inc.
MCIG
Yes
270,135,000
NO
$115 million
“At Time Warner, I had ten percent of the
stock after the merger. But when we
merged with AOL, I was diluted down to
three percent.”
Ted Turner
mCig, Inc. – An Outlier Amongst The Marijuana Stocks
mCig is the only company in the “Cannabis Index” to be both
SEC regulated, meaning it adheres to higher corporate
governance and reporting standards, as well as having zero
debt. mCig, Inc. management is strongly opposed to “Toxic
Debt” which results in perpetual growth in shares
outstanding.
Since entering the space, mCig has issued less than 200,000
shares to employees as compensation. Most of the other
components of the index have seen increases of 20-70% in
their shares outstanding.
Warren Buffet has stated that investors should always focus
on whether companies are supplementing their growth with
share issuances.
MARIJUANA INDUSTRY PEER ANALYSIS
Company Name

25. THANK YOU FOR YOUR TIME