Yardley, Aug. 26, 2014 (GLOBE NEWSWIRE) -- OSL Holdings (OTCQB: OSLH) ("OSL" or "the Company"), a socially conscious business dedicated to consumer advocacy, social activism and the advancement of civil liberties through the power of commerce, released today a letter to shareholders from OSL Holdings' Chief Business Development Officer, Steve Gormley. The letter was written to serve as an update on OSL Holdings business development strategy and activities.
Fellow Shareholders,
OSL Holdings made tremendous progress last quarter in the development and execution of its mission, business strategies and operational practices.
The company continues to advance the mission of Equality Rewards, OSL Holdings' technology platform designed to advance civil liberties through the power of commerce, driven by our consumer rewards programs. Our commitment to bringing LGBT and LGBT allied consumers together with businesses that support the LGBT community or are owned and operated by members of the LGBT community remains steadfast. The company has recently begun to develop the next generation of Equality Rewards mobile application.This is an exciting time for civil liberties advocates. There are now 19 states, plus the District of Columbia, that allow legal same sex marriage. Equality Rewards remains committed to marriage equality and to working toward federally legal same sex marriage. Equality Rewards will donate 10% of its profits to marriage equality causes, causes that support LGBT youth at risk and causes supporting the fight against HIV/AIDS. Cost savings, as well as the advocacy and activist attributes of the program motivate the consumer. Likewise, compassionate care proponents and medical activist who support legal access to medically recommended and legally obtained cannabis based medicines scored big this year. There are now 23 states that allow some form of access to legal medical marijuana.
In March of this year we launched OSL Medical Services. OSL Medical Services is a development platform centered on the development and financing of indoor gardens and cultivation facilities, production technologies, and merchandise and operational services for businesses in the herbal and natural medicine industry. OSL Medical Services is designed to support its clients with branding, technology, marketing, logistics, and future planning services on a state-by-state basis throughout the United States. The company will deliver services in five areas: 1) production, growing and genetics; 2) warehousing and logistics; 3) retail and operations; 4) marketing and sales; 5) franchising and licensing. OSL Medical Services will provide these support services in compliance with all federal, state and local laws. At this time, OSL will not grow or sell marijuana, but intends to gain market share and create value for its shareholders by creating, marketing, and licensing brands as well as acquiring and licensing production technology. When federal law permits, OSL Medical Services will provide these services to legal and licensed growers and dispensers.
In May of this year OSL Holdings executed a definitive 5 year, multi million dollar agreement to provide a comprehensive suite of services to a Los Angeles client looking to enter the legal, licensed cannabis business in the future within the Los Angeles, California market. Under the terms of the agreement, OSL is contracted to provide plans to create new retail experiences, generate operational guidelines & strategy documents as well as create "launch" or grand opening scenarios with marketing outreach and segmentation strategies. We are also providing future infrastructure planning and future operational support documents. These documents and future planning services come in the form of documents that explain how to leverage facilities, efficiency technologies, operations guides, accounting software, genetics, customer service know-how. We are also leasing general retail and office equipment not directly used in the production or processing of cannabis, and other similar activities. Our operational support comes in the form of retail know-how, accounting and billing services, as well as operations and point-of-sale (POS) software. At no time will OSL grow, process, own, handle, or sell cannabis, or the equipment used for these purposes. The details of this transaction are available via the Company's SEC filings, located here: http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001329957&owner=exclude&count=40
Also in May of this year, OSL Holdings executed a definitive agreement for an option to acquire the exclusive rights to Genetic Catalog of 22 unique cannabis strains including several "clone only" varietals and three exclusive nutrient mixtures, one of which is organic (OMRI listed). Additionally in May the company executed a definitive agreement to acquire the assets of a Los Angeles medical cannabis dispensary. Under the terms of the agreement, the acquired assets are valued at approximately $675,000, which includes intellectual and physical property, equipment leases, and software, to be paid in a combination of cash and stock at OSL's discretion. In addition, OSL has the option to acquire additional assets at such time as the law and applicable regulations permit a public company to own these additional such assets and conduct such operations, OSL may exercise its contractual right to acquire all remaining assets and operations at any time.Details of this transaction are available via the Company's SEC filings, located here: http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001329957&owner=exclude&count=40
This quarter OSL Holdings is focused on opportunities in the indoor gardening and cultivation vertical. The company is exploring opportunities centered on production technologies, hydroponics, agricultural engineering and genetics. We see great enterprise value for our shareholders within these verticals and recognize the potential for the future of the legal cannabis based medicines. Operationally the company made great strides last quarter. Thomas D'Orazio joined the company in June of this year to help streamline and optimize finance, accounting and reporting procedures, requirements and processes. Tom will serve as OSL Holdings, Inc.' Vice President, Corporate Controller and Principal Accounting Officer. Prior to joining the company, Mr. D'Orazio served on the Technical Accounting Staff in the Division of Corporation Finance at the U.S. Securities and Exchange Commission from [May] 2013 to [May] 2014 where he reviewed registrants' annual/interim filings and registration statements encompassing diversified businesses. In this role Mr. D'Orazio identified key risk factors, MD&A matters and financial statement and related disclosure/internal control issues to ensure adherence to authoritative accounting/SEC guidance, all of which are potentially critical to investor decisions. Mr. D'Orazio issued comments contributed to registrant restatements of previously reported financial information, amended filings and enhanced MD&A of critical accounting estimates/policies, results of operations, liquidity/financial condition, etc. and financial statements and footnotes thereof covering multiple areas.
We remain excited about the changes taking place across America. OSL Holdings' CEO, Bob Rothenberg, in his letter to shareholders dated July 24, 2014, outlined many of the significant changes that have occurred politically, legislatively and commercially in the legal medical marijuana vertical. I would like to take this opportunity to share some more changes that have occurred since Bob published his letter. Recently Senators Rand Paul, R-Kentucky, and Cory Booker, D-New Jersey, condemned a war on drugs they call excessive, counterproductive and discriminatory. The senators are pushing a new bipartisan bill to reform criminal background checks and the juvenile justice system. The senators say their bill - the REDEEM Act - will cut the cost and stigma of non-violent drug offenses by limiting how long criminal records stick to ex-convicts. Under current law, ex-convicts must answer employer questions about past convictions. That rule has major effects on the labor marker - even for low-level offenses, a criminal record makes many job applicants far less employable. Studies show the impact increases unemployment and disproportionately hinders poor and minority communities. The senators' legislation aims to counter that trend by offering some non-violent offenders a second chance. It would seal criminal records for teenage offenders, while adults could apply to have their records expunged. Judges would review those applications, under the proposal, by balancing an offender's interest in "employment" against the public's interest in "knowledge and safety." And when ex-offenders win, they would get something pretty rare under federal law - a do-over. Likewise, on July 28, 2014 a bipartisan bill introduced in the House of Representatives on Monday would legalize a compound in marijuana used to treat severe epilepsy. The legislation, called the "Charlotte's Web Medical Hemp Act of 2014,"would exclude "therapeutic hemp" and "cannabidiol," or CBD, a non-psychoactive compound in marijuana used for medical purposes, from the definition of marijuana in the Controlled Substances Act. Marijuana, including therapeutic hemp and CBD, is illegal under current federal law. The bill, sponsored by Reps. Scott Perry (R-Pa.), Steve Cohen (D-Tenn.) and Paul Broun (R-Ga.), says therapeutic hemp and CBD "shall not be treated as controlled substances." Both treatments contain little of the psychoactive substance that generates a marijuana type high. Recent polling shows overwhelming support among Florida voters for legalizing medical marijuana in the state. If the new numbers are any indication of how voters will behave in November, Florida is positioned to become the 24th state to allow pot use for patients. The Quinnipiac University poll, the results of which were released Monday, July 28, 2014, found, overall, Florida voters support legalizing marijuana for medical use by a margin of 78 percent, with 88 percent in favor compared to 10 percent against such a law. Among the researchers' findings, the highest support, some 95 percent, came from people ages 18 to 29. The lowest support came from Republicans, among whom 80 percent said they favored medical marijuana legalization. Florida's November ballot includes a referendum titled the Florida Right to Medical Marijuana Initiative, Amendment 2, which, if approved, would legalize medical marijuana for qualified patients or personal caregivers. It would also grant licensed physicians impunity from criminal or civil liability for prescribing marijuana to a person with a "debilitating medical condition," which the measure defines broadly as "conditions for which a physician believes that the medical use of marijuana would likely outweigh the potential health risks for a patient." The proposal will need a 60 percent vote to pass. If voters approve the measure, the Florida Department of Health would be charged with regulating the medical marijuana industry. That would include the issuing of patient ID cards and setting limits for how much patients can carry. Other states with pending legislation or ballot measures in favor of medical marijuana are Ohio and Pennsylvania.
We are excited about OSL Holdings role in the advancement of civil liberties as well as the company's mission to embrace liberal and libertarian 21st century corporate values. OSL Holdings remains committed to the continued development of our technology and services platforms, to creating value for our shareholders and to responsible, ethical and law abiding corporate citizenship. Thank you.
About OSL
OSL Holdings (OTC: OSLH) is a development and technology company specializing in affluent, liberal markets with high disposal income. The Company intends to operate a real-time loyalty rewards platform that can facilitate the earning and redemption of rewards currency at the point of the transaction (online, mobile, at retail) as well as on future transactions. OSL Holdings' target consumers are highly educated, respond to cause marketing initiatives and socially conscious business models, and are technologically savvy. On March 10, 2014, the Company announced its intent to enter the legal marijuana market when federal law permits, providing foundational work for branding, marketing, technology, and logistics to existing or emerging legal marijuana licensees.
The Company's filings with the SEC are available at http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001329957&owner=exclude&count=40.
For more information, please visit the Company's website at www.oslholdings.com.
Media services by: Vitello Capital Ltd & Strategic Tactical Asset trading LLC
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