Rocky Mountain Liquor Inc. (TSX-V: RUM) (the 'Company' or 'Rocky Mountain'), listed on the TSX Venture Exchange (the 'Exchange'), today reported its financial results for the year ending December 31, 2019.

2019 results illustrate the Company has continued to succeed at its objective to grow market share through its rebranding strategy while reducing its operating and finance costs. This was the strategy the Company embarked on in 2017 when it announced its intent to rebrand some of its stores to the Great Canadian Liquor 'GCL' brand. To date, the Company has 14 stores under its Great Canadian Liquor 'GCL' brand.

EBITDAR increased by $104,319 in the 12 month period ending December 31, 2019 over the same period in 2018. The 4% increase to EBITDAR 2019 is a result of management's continued focus on competitive pricing strategies, the balancing of costs and customer experience, and from providing a consistent brand message that appeals to both existing and new customers. Gross margin percentage has increased by 20 basis points from 21.8% for the 12 months ending December 31, 2018 to 22.0% for the same period in 2019 as a result of the Company's focus on its marketing, pricing and promotional strategies. Net income for the 12 month period includes a non-recurring gain, net of tax impact of $3,268,925 as a result of the redemption of the Company's $6,850,000 convertible debenture into common shares. This transaction took place on July 3, 2019 and was previously disclosed. Removing the effect of the non-recurring gain, net loss was reduced by 47% or $581,880 for the 12 months ending December 31, 2019 as compared to the same period in 2018. Improvements were the result of increased operating margin and a reduction to finance costs due to the redemption of the convertible debenture. Management plans to continue to sell stores in markets that are not compatible with our current business plans, ensuring the most effective use of our capital. Proceeds from any sales will be applied to reduce debt. At the end of December 31, 2019 the Company operated 29 stores. Subsequent to December 31, 2019 the Company sold one store in Southern Alberta and currently operates 28 stores.

About Rocky Mountain

Rocky Mountain owns 100% of Andersons Liquor Inc. ('Andersons'), headquartered in Edmonton Alberta, which now own and operate 28 private liquor stores in that province, up from 18 stores since the Common Shares began trading in December 2008. It is listed on the TSX Venture Exchange (TSX-V:RUM).

Forward-Looking Statements

This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. Forward-looking statements and information are often, but not always, identified by the use of words such as 'appear', 'seek', 'anticipate', 'plan', 'continue', 'estimate', 'approximate', 'expect', 'may', 'will', 'project', 'predict', 'potential', 'targeting', 'intend', 'could', 'might', 'should', 'believe', 'would' and similar expressions. Forward-looking statements and information are provided for the purpose of providing information about the current expectations and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and information may not be appropriate for other purposes, such as investment decisions. In particular results achieved in 2019 and previous periods might not be a certain indication of future performance, which is subject to other risks, including but not limited to changes in operational policies, changes in management, changes in strategic focus, market conditions and customer preferences, the impact from COVID-19 pandemic on our operations and third party suppliers. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks, the risks that these events may not materialize as well as those additional factors discussed in the section entitled 'Risk Factors' in RUM's Management Discussion and Analysis, which can be obtained at www.sedar.com. If they do materialize, there remains a risk of non-execution for any reason. Accordingly, readers should not place undue reliance on the forward-looking statements, timelines and information contained in this news release. The forward-looking statements and information contained in this news release are made as of the date hereof and no undertaking is given to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws or the TSX-V. The forwardlooking statements or information contained in this news release are expressly qualified by this cautionary statement.

Contact:

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