SOURCE: Medical Marijuana, Inc.

August 11, 2009 04:20 ET

Medical Marijuana, Inc. Signs Agreements With Additional Collectives in Northern California; Invites City of Oakland to Learn About Company's Cost-Effective Tax Collection System

MARINA DEL REY, CA--(Marketwire - August 11, 2009) - Medical Marijuana, Inc. (PINKSHEETS: MJNA) announced today that MOU agreements are now in place with an additional four medical marijuana collectives from different counties in the Northern California region. All four collectives have signed on to implement MJNA's Stored Value Platform System in their respective businesses.

The Stored Value Platform System, a Point-of-Sale system, is a hallmark element of Medical Marijuana's business solutions package. This stored value-based system, once in place, helps businesses that are dispensing medical marijuana more efficiently and securely manage the tasks of revenue and taxation collection. The ease of access to certifiably secure transactions lessens the risk of loss at each level. Both provider and patient benefit greatly from this revolutionary program designed by MJNA.

The addition of collectives within the top half of the Golden State is also important to Medical Marijuana, Inc. as part of its effort to persuade at least one major Bay Area municipality to join in discussions with the Company regarding its automated tax collection solutions.

Per a special July 2009 election, the City of Oakland, CA, will become the first U.S. city to tax proceeds on the sale of medical marijuana. Approximately 80 percent of voters residing within city limits chose to support the initiative, which was adopted by many of the city's medical marijuana collectives and the Oakland City Council as part of the solution to Oakland's longstanding budget shortfall.

By employing Medical Marijuana's tax collection system, the City of Oakland could cost-effectively implement the necessary infrastructure to collect on every sale made within city limits by licensed collectives and collect those taxes on a daily basis. The POS system automatically recognizes the collective's tax ID number, state and local tax rates and then provides Automated Clearing House settlement of the taxes and routes the amount to the City's appointed financial institution. Taxes can be collected on a daily basis, providing an economic windfall for the city of Oakland and any other municipality recognizing the advantages of this model.

Tax Collection

The Stored Value Platform System will provide verifiable solutions to manage the difficult task of revenue and taxation collection. The "Point of Sale" (POS) system will recognize the dispensary's tax ID number, state and local tax rates and then provide "Automated Clearing House" (ACH) settlement of the taxes to the proper financial institutions. The customers of the dispensary are issued a plastic debit card or medical revenue card. The ease of access to certifiably secure transactions lessens the risk of loss at each level of the transaction.

Internal Management

All collectives/dispensaries in the U.S. are cash businesses. This presents a number of challenges. Dispensary owners risk employee theft and possible competition for sales with unsupervised employees. Our stored value card also eliminates the risks of carrying cash. For the investor looking to open more than one dispensary, this card allows him the ease of mind of knowing all transactions are accounted for in all of his locations.

Solutions

Medical Marijuana, Inc. is developing a suite of solutions to deliver an efficient and secure infrastructure for the Medical Marijuana Industry that will provide the tools to industry operators to effectively manage their businesses with the confidence that they are in full compliance.

ABOUT MEDICAL MARIJUANA, INC.

Medical Marijuana, Inc. is the first public company to recognize the vast and unequaled opportunities that exist in the rapidly expanding medical marijuana industry. The scientific recognition of marijuana as a powerful medicine, and as an effective, non-narcotic pain reliever, has brought legalized marijuana use to the forefront of mainstream discussion thus opening the door for safe and lucrative investment opportunities.

Medical Marijuana, Inc. has developed a suite of turnkey business and management solutions for the fledgling medical marijuana collective industry in California. The growing number of other states that have legalized the use of medical marijuana have yet to establish a system for the legalized commercial production and sale of the medicine. These regions are also strong potential targets for Medical Marijuana, Inc.'s products and services down the road. It is likely that other states will follow California's basic lead as the Golden State more specifically defines the regulations and protocol that are shaping the supply-side of the legal medical marijuana sector.

ABOUT 420 EXPRESS DELIVERY SERVICE

420 Express Delivery Service of Sonoma County is a patient-friendly delivery service offering different strains of medical cannabis for varying medical conditions and ailments. 420 Express is focused on quality customer service, fast and friendly delivery, continuity in its staff and good rapport with its patients. You can always count on 420 Express Delivery Service to be there on time, with the specific type of medication required per your physician's recommendation.

ABOUT MR. MEDICAL DELIVERY SERVICE

Mr. Medical Delivery Service (Mr. M.D.S.) of Marin County is a compassionate, knowledgeable and caring delivery service that provides high quality medical marijuana for its patients. Mr. M.D.S. strives to always deliver its medicinal products in a timely manner with only the best customer service in mind. To aid in this, the company does its best to maintain continuity and consistency with the caregivers it employs. Mr. M.D.S. also offers many different strains of cannabis in order to most effectively treat various patient conditions.

ABOUT KRYSTAL GREEN COLLECTIVE

Krystal Green Collective of Tuolomne County is a family-run business well known for its hospitality and its fast, safe and presentable delivery service. Krystal Green operates in the interest of helping out those who need a friend in their time of need. Krystal Green Collective is working hard for you the people. Krystal Green Collective -- a friendly and reliable service, above and beyond all others.

FORWARD-LOOKING DISCLAIMER

This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Medical Marijuana, Inc. to be materially different from the statements made herein.

Contact Information