SOURCE: Monarch America, Inc.

June 24, 2015 14:30 ET

Monarch America Signs Landmark Consulting Agreement for Marijuana Grow Facility With Flandreau Santee Sioux Tribe in South Dakota

DENVER, CO--(Marketwired - Jun 24, 2015) - Monarch America, Inc. (OTCQB: BTFL) ("Monarch America" or the "Company") is pleased to announce that it has completed a Consulting Agreement (the "Agreement") with the Flandreau Santee Sioux Tribe ("FSST"), a federally recognized tribe located in South Dakota, for the design, construction, and development of a proposed state-of-the-art marijuana cultivation facility on sovereign FSST tribal land with a tribally owned subsidiary.

Under terms of the multi-year Agreement, Monarch America shall assist FSST with the design, construction, and development of a 10,000 sq. ft. marijuana grow facility to supply a 15,000 sq. ft. on-site retail recreational marijuana consumption lounge with 10 lanes of bowling, arcade games, gaming machines, bar and food service, 5,000 sq. ft. outdoor patio and music venue in an existing structure adjacent to the Royal River Casino and Hotel in Flandreau, South Dakota. In addition to the onsite recreational consumption lounge, FSST has the ability to hold large scale outdoor music festivals and camping where onsite marijuana consumption would be legal on over 300 acres of Tribal Trust Land adjacent to the Royal River Casino and Hotel. The Royal River Casino and Hotel was the first Native American destination casino in South Dakota. The Royal River Complex features a 24/7 casino gambling area with 455 slot machines, blackjack, roulette, a dedicated poker room, a 300 seat entertainment/conference center, a 120 room hotel, a lounge, and restaurants.

FSST will be responsible for all construction costs and expenses (nutrients, employee salaries and benefits, utilities, etc.) related to the operation of the marijuana cultivation facility and will maintain 100% ownership and control of its operation. The Agreement also grants FSST the option to purchase Series B Preferred Stock of the Company.

Monarch America will receive a fixed percentage fee on net revenues for consulting services related to the design, construction, development, and ongoing advising of the grow facility. Monarch America will oversee and consult on all facets of cultivation and facility management, including technology and equipment leasing, inventory control, staffing and training, and day-to-day operations.

In addition, Monarch America shall provide FSST with all nutrients, lighting equipment, grow mediums, and other supplies at wholesale pricing through the Company's affiliate operation, The Big Tomato, during the term of the Agreement. The Company will also provide FSST access to any and all proprietary products associated with Monarch America brands such as flavor profiles for drinks, and electronic vaping equipment such as vape pens for the use of hash products and oils. The Company will also assist FSST with the implementation of a radio frequency identification (RFID) inventory and tracking system from seed to sale ensuring products do not leave designated areas. The Agreement is for a term of five (5) years with two (2) five (5) year options to renew.

"This is a very important milestone for both Monarch America and the Flandreau Santee Sioux Tribe as we partner to design, build, and consult on the first legal marijuana grow operation and recreational consumption lounge on sovereign tribal land in South Dakota," commented Eric Hagen, CEO of Monarch America. "We are excited to have the opportunity to apply our extensive knowledge and experience to establish this first of its kind marijuana facility that will certainly help to provide significant additional long-term economic development and social empowerment to the Flandreau Santee Sioux Tribe."

Anthony Reider, President of the Flandreau Santee Sioux Tribe, stated, "After careful consideration and meeting with several of the top marijuana consulting companies in the country, the Flandreau Santee Sioux Tribe Executive Committee is very pleased to have selected Monarch America to assist the tribe in developing a sustainable recreational marijuana business on our tribal land. When completed, this economic development project will help to create many important additional new jobs and increase economic stability for the tribe and its many members."

Robert Shepherd, Native American Tribal Relations Officer of Monarch America, commented, "I am happy to assist President Reider and the Flandreau Santee Sioux Tribe Executive Committee to create a thriving recreational marijuana business on tribal lands in my home state of South Dakota. Our Monarch America team looks forward to utilizing its expertise to design and build a world-class grow facility in Flandreau that can serve as a case study for other federally recognized tribes looking for economic diversification opportunities and considering entering the marijuana or hemp sector."

Hagen concluded, "The process of design and construction of the state-of-the-art Flandreau facility is expected to be completed within 60 days and grow operations are expected to commence immediately afterward."

About Monarch America, Inc. (BTFL)

Monarch America, Inc. (OTCQB: BTFL) is a fully integrated management and consulting company, delivering trusted high-value products, services, and turnkey solutions to the legal and regulated marijuana and hemp industry. While not directly engaged in the sale of marijuana or hemp, Monarch America is equipped to oversee and manage all facets of retail operations, from property management, and technology and equipment leasing, to inventory control, staffing, and day-to-day operational management. The Company's wholly-owned subsidiary, The Big Tomato, Inc., is a leading supplier of hydroponics & indoor gardening supplies for Denver, Colorado and the surrounding communities since May of 2001. Monarch America also develops and markets various high-quality branded hydroponics and commercial growing products for national distribution.

Additional information regarding Monarch America, Inc. (OTCQB: BTFL) can also be found at www.MonarchAmerica.com.

Cautionary Language Concerning Forward-Looking Statements

Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate", "believe", "estimate", "expect", "intend", and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results will probably differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in Monarch America (f/k/a Cannabis Kinetics Corp.) filings with the Securities & Exchange Commission. As a reporting issuer with the Securities & Exchange Commission, Monarch America files quarterly reports (10-Q), annual reports (10-K), and other documents on EDGAR. We strongly urge all persons to read our filings at www.sec.gov, which are publicly available, in conjunction with this press release as we are in a highly regulated industry that requires thorough research prior to making any decision regarding a company, particularly an investment decision. In addition, such statements could be affected by risks and uncertainties related to Monarch America, Inc.'s (i) product demand, market and customer acceptance of its equipment and other goods, (ii) ability to obtain financing to expand its operations, (iii) ability to attract qualified management representatives, (iv) competition, pricing and development difficulties, (v) ability to fully implement our business plan as a result of being a reporting issuer with the Securities and Exchange Commission, and (vi) general industry and market conditions and growth rates and general economic conditions. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place undue reliance on such statements. Monarch America does not undertake, and specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. Actual results may differ materially from Monarch America expectations and estimates. Information on Monarch America's website does not constitute a part of this release.

Contact Information