Ms. Sharon Schuler reports

CRESCO LABS PROVIDES UPDATE ON TEXAS LICENSE PREVIOUSLY AWARDED BY TEXAS DEPARTMENT OF PUBLIC SAFETY

Cresco Labs Inc. today provided an update on its application under the Texas Compassionate Use Program (TCUP). The Texas Department of Public Safety (DPS) has announced a retroactive correction to the tabulation methodology used in its conditional licence selection process, impacting multiple applicants. Under the corrected tabulation, the conditional licence previously awarded and publicly announced by DPS for Cresco Labs Texas LLC has been rescinded and Cresco Labs Texas has been placed on the TCUP eligibility list. Cresco Labs maintains that its application merits a conditional license, as originally determined by DPS, and is evaluating its options to work with the state to protect that determination.

Under House Bill 46, the 12 conditional licensees announced under the new tabulation are subject to continuing DPS due diligence and required to fully operationalize within 24 months of licensure. Cresco Labs Texas is eligible to receive a conditional TCUP license in the event any of the conditional licensees does not satisfy these requirements. The company is prepared to quickly deploy operational and capital resources into Texas once permitted.

"Cresco Labs has a multistate track record of building patient-first medical cannabis programs in highly regulated markets, and we remain confident in our application's merits, reflected in the department's original award," said Charlie Bachtell, chief executive officer of Cresco Labs. "We are committed to the Texas medical cannabis program. Cresco Labs has the operational capability, capital position and patient-centred approach to bring Texas patients the high-quality medicine they deserve, and we will continue engaging with the department on a path forward."

About Cresco Labs Inc.

Cresco Labs' mission is to normalize and professionalize the medical marijuana industry through a CPG (consumer packaged goods) approach to building national brands and a customer-focused retail experience, while acting as a steward for the industry on legislative and regulatory-focused initiatives. As a leader in cultivation, production and branded product distribution, the company is leveraging its scale and agility to grow its portfolio of brands that include Cresco, High Supply, FloraCal, Good News, Wonder Wellness Co., Mindy's and Remedi on a national level. The company also operates highly productive dispensaries nationally under the Sunnyside brand that focus on building patient and consumer trust and delivering continuing education and convenience in a wonderfully traditional retail experience. Through year-round policy, community outreach and SEED initiative efforts, Cresco Labs embraces the responsibility to support communities through authentic engagement, economic opportunity, investment, work force development and legislative initiatives designed to create the most responsible, respectable and robust medical marijuana industry possible.

We seek Safe Harbor.