Mr. Kellen O'Keefe reports

FLOWER ONE AMENDS TERMS OF ITS SHORT-TERM DEBT

Flower One Holdings Inc. has extended the maturity date of its $6-million (U.S.) short-term debt from July 24, 2022, to Dec. 31, 2022, which is referenced in the company's press release from Jan. 27, 2021. The remaining terms of the short-term debt remain in place.

The company has determined that the extension of the maturity date of the short-term debt is exempt from the formal valuation and minority approval requirements applicable to related-party transactions under Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions) pursuant to the financial hardship exemptions set forth in sections 5.5(g) and 5.7(1)(e) of MI 61-101.

About Flower One Holdings Inc.

Flower One is the largest cannabis cultivator, producer and full-service brand fulfilment partner in the state of Nevada. By combining more than 20 years of greenhouse operational excellence with best-in-class cannabis operators, Flower One offers consistent, reliable and scalable fulfilment to a growing number of industry-leading cannabis brands (Cookies, Kiva, Old Pal, Heavy Hitters, Lift Ticket's, The Clear, Huxton, Flower One's leading in-house brand, Nlvo, and more). Flower One currently produces a wide range of products from flower, full-spectrum oils and distillates to finished consumer packaged goods, including a variety of: prerolls, concentrates, edibles, topicals and more for top-performing brands in cannabis. Flower One's Nevada footprint includes the company's flagship facility, a 400,000-square-foot high-technology greenhouse and 55,000-square-foot production facility, as well as a second site with a 25,000-square-foot indoor cultivation facility and commercial kitchen. Flower One has built an industry-leading team focused on making high-quality cannabis available to all.

The company's common shares are traded on the Canadian Securities Exchange under the company's symbol FONE, in the United States on the OTCQX Best Market under the symbol FLOOF and on the Frankfurt Stock Exchange under the symbol F11.

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