Pubdate: Fri, 26 Feb 2016
Source: Victoria Times-Colonist (CN BC)
Copyright: 2016 Times Colonist
Contact:  http://www.timescolonist.com/
Details: http://www.mapinc.org/media/481
Author: Linda Nguyen
Page: B5

GROWING YOUR OWN POT LIKE MAKING HOME BREW, LARGE PRODUCER CLAIMS

Canada's largest publicly traded producer of medical marijuana is
making the case for the quality of weed made by large-scale
manufacturers compared to homegrown bud. The difference is the same as
drinking home brew versus a good bottle of wine, Bruce Linton,
chairman and CEO of Canopy Growth Corp. said Thursday during a call
with analysts.

"People say: 'It's just soil, it grows easily,' " he said. "No, no, no
- - quality and consistency doesn't happen without chemicals unless
you're running a proper facility."

Linton added that the Smith Falls, Ont., company - which operates
Bedrocan Canada Inc. and Tweed Marijuana Inc. - is unfazed by
Wednesday's court ruling that permits about 28,000 patients to
continue to grow pot at home.

Federal Court Judge Michael Phelan struck down a law introduced by the
former Conservative government that required patients to buy cannabis
through the mail from licensed producers, ruling it was an arbitrary
and overly broad violation of charter rights.

Instead, Linton said, allowing patients to continue to grow their own
weed will be "good advertising" for his company once they realize that
Canopy's product is far superior.

"We've never been fussed," said Linton, adding he doesn't think the
decision will "materially impact" his company's business.

Canopy, which produces medical marijuana via Bedrocan, said it's also
ramping up preparations to supply marijuana to recreational users when
the laws change, something it expects to happen soon.

The company is anticipating impending revisions from the federal
Liberal government on what types of medical marijuana products can be
sold following a ruling last year by the Supreme Court permitting
medical marijuana users to legally use various forms of the drug,
including oils.

Thursday, the company was given the go-ahead to sell cannabis oils.
The 100-ml bottles, a mix of sunflower and cannabis oils, are priced
between $95 and $155.

If changes are also made to the current distribution model, which is
now only open to producers, Linton said he'd fully support a
"two-option system" where patients can still receive their medication
in the mail but oils can be purchased elsewhere, like at a drugstore.

The Neighbourhood Pharmacy Association of Canada, a group representing
some of the country's biggest drugstores, said it believes pharmacies
are best equipped to dispense cannabis because they already deal with
controlled substances. "I don't want them dominating [the market], but
I don't think it would be a good idea that we didn't have them keep
reaching in and giving us more credibility," Linton said.

In its latest quarterly results, Canopy reported exponential growth in
revenue and sales volume, but the company remains unprofitable.

Revenue for the three months ended Dec. 31 was $3.5 million, up from
just $641,000 a year earlier.

It sold 462,000 grams at an average price of $7.34 per gram during the
period, Canopy's fiscal third quarter. That compares with 87,000 grams
at $7.04 per gram in the comparable period a year earlier.

Net loss was $3.3 million or four cents per share, compared with $2.6
million or seven cents per share a year earlier when there were fewer
shares outstanding.
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MAP posted-by: Matt