1812 Brewing Company in Discussions to Restructure Remaining Convertible Debentures

Rhea-AI Summary

1812 Brewing Company (OTC Pink: KEGS) is in advanced discussions to restructure convertible notes exceeding $13 million. CEO Tom Scozzafava emphasized the necessity to reduce or eliminate these notes for future progress. In addition, Scozzafava announced the cancellation of 500 million shares from his holdings, totaling 1 billion shares eliminated. The company aims to build a nationwide network of craft breweries, fostering brand growth while maintaining their uniqueness.

Positive

• Engaging in discussions to restructure over $13 million in convertible notes.
• CEO's commitment to cancel 500 million shares, totaling 1 billion shares eliminated, which could help stabilize stock value.

Negative

• None.

Chairman & CEO Also Agrees to Cancel Additional 500 million common shares

Watertown, NY, July 26, 2022 (GLOBE NEWSWIRE) -- 1812 BREWING COMPANY, INC. (OTC Pink: KEGS) (the "Company" or “KEGS”) is pleased to announce that it is in advanced discussions with third parties regarding the potential restructuring of convertible notes with a face value of over $13 million.  Chairman and CEO, Tom Scozzafava, stated, “We realize these notes must be reduced or eliminated for the Company to move forward, and we hope that these discussions lead to a pathway to do just that.”

Additionally Mr. Scozzafava stated, “And to offset recent share issuances, I shall eliminate an additional 500 million shares of common stock that I hold, which will equate to 1 billion shares of my holdings eliminated.”

About 1812 Brewing Company (“KEGS or the “Company”):

KEGS is an operator of and investor in companies in the craft beer industry.   The Company seeks to build a nation-wide network of craft breweries to develop and foster respective brand growth at the local, regional, and national level.  KEGS looks to build a network wherein certain economies of scale can be shared across it such as production, distribution footprint expansion, inter-member contract brewing, new product development, sharing of best brewery practices and scale logistics and transportation.  The network is to be built through investment by 1812 Brewing Company while maintaining the members’ respective local and regional uniqueness, brand autonomy and direct involvement with its consumers.  The Company seeks to be an “incubator” of growth for its holdings in the industry.  

The Company’s current holding, 1812 Brewing Co., produces award-winning beers such as War of 1812 Amber Ale (“1812 Amber Ale”), 1812 Light, Hazy Oasis Pale Ale, Thousand Islands IPA, Malicious Intent XX IPA, Route 11 Lager, Railroad Red Ale, Helles Bells Pilsner, St. Stephens Stout, Third Rail Porter, Featherhammer Maibock.

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Safe Harbor: This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approval for anticipated actions.

Contact: contact@1812ale.com

Attachment

• $KEGS - 1812 Brewing Co., produces award-winning beers such as War of 1812 Amber Ale (“1812 Amber Ale”)

FAQ

What is the significance of 1812 Brewing Company's recent press release dated July 26, 2022?

The press release highlights ongoing discussions to restructure over $13 million in convertible notes and the cancellation of 500 million shares by the CEO, which impacts shareholder equity.

How many shares is the CEO of 1812 Brewing Company eliminating?

The CEO is eliminating 500 million shares, which amounts to a total of 1 billion shares from his holdings.

What financial actions is 1812 Brewing Company taking to move forward?

The company is working on restructuring its convertible notes and reducing the total number of outstanding shares to enhance shareholder value.

What is the stock symbol for 1812 Brewing Company?

The stock symbol for 1812 Brewing Company is KEGS.

What does 1812 Brewing Company aim to achieve in the craft beer industry?

The company seeks to establish a nationwide network of craft breweries, enhancing brand growth and operational efficiency.