Hello Union Electric!

It’s been a busy two weeks at UE and across the industry and we're continuing to see exciting momentum on both fronts. I want to give a shoutout to our first 135 investors and 367 followers who have joined the union or are following our progress. I’ve had a chance to connect with some of you on the Republic platform and it’s been incredible learning about your backgrounds and why you are supporting us and our mission. We believe this community building opportunity is the real value of the Reg CF and we’re excited to onboard hundreds more people over the next 108 days. 

Industry Update:

Earlier this week, Senator Chuck Schumer (D-NY) introduced the Cannabis Administration and Opportunity Act which would decriminalize cannabis federally but still allow individual states to prohibit the possession, sale or distribution. Schumer said on the floor of Congress, “I am the first majority leader to say it’s time to end the federal prohibition on marijuana and as majority leader, I’m going to push this issue forward and make it a priority for the Senate.” While the entire industry is thrilled to see this bill introduced, the reality is that many of our federally elected officials are totally out of touch with the beliefs of the average American on this issue. According to a recent Pew survey, 91% of Americans believe cannabis should be legal. This is a shocking number considering how divided our country is on almost every other issue, and instead of Congress using cannabis policy to help unify our country, every Republican senator and a few Democrats - including those from states that have legalized adult-use cannabis - oppose the measure. At Union Electric, we believe there can’t be social justice in our communities without cannabis reform and decriminalizing cannabis is critical for our country. I’d encourage you to checkout Headcount’s Cannabis Voter Project to see where your elected officials stand on cannabis reform and how to get involved. 

There is buzz on Wall Street around a new report from Jefferies calling cannabis stock a ‘generational wealth’ building opportunity and projected the US cannabis industry to reach $64B by 2030. We’re excited to be one of the only early stage opportunities available for public investment and we expect the interest in cannabis companies to continue to bring momentum to our Reg CF offering.  If you are interested in following the latest financial news in cannabis, I recommend subscribing to Highly Objective by Dai Truong of Arlington Capital Advisors. He does a great job breaking down the latest breaking news from across the industry. 

Company Update: 

Unaudited Financials ($131,584 - POs between July 2-16)

New Strains

• Marshmallow OG (Natura Life+Sciences)

• Motorhead (Natura Life+Sciences)

• Doge Snax (Natura Life+Sciences)

• Papaya Punch (Alamos - New Farm)

New Accounts (4)

• Coastal (Stockton)

• Coastal West LA (Los Angeles)

• High Times (Coalinga)

• Captain Jacks (San Bernardino)

Union Electric’s revenue is realized when our distributor (HERBL) purchases from our farm partners and a few holiday delays in the lab testing and co-packing schedule led to some lighter pick-ups over the last two weeks. We’ve got hundreds of pounds in the production queue now and still expect July to be our strongest revenue month ever. 

On the retail side, we are very excited to see big orders of our 1oz SKUs from our friends at High Times across numerous delivery depots as well as opening up Coastal California and their rapidly expanding brick & mortar and delivery footprint. 

Next week you’ll hear from our Head of Supply Chain (Kaelana Organista) about our new farm partner Alamos and how an orchid farmer originally from North Korea is now growing beautiful, high-potency cannabis. 

Roll Together, Max