Alkaline88® Partners with Intrastate Distributors Inc. for Direct-Store-Delivery in Michigan

Rhea-AI Summary

The Alkaline Water Company Inc. (NASDAQ: WTER) announced a partnership with Intrastate Distributors Inc. to distribute Alkaline88® products across five Michigan counties, serving over 4.4 million residents. This strategic move targets convenience stores, a channel that saw over double the sales in 2022 compared to 2021. CEO Frank Lazaran emphasized the potential for significant growth in this region, leveraging IDI's extensive local experience to enhance market share. The partnership aligns with the company's goals of expanding its footprint in the beverage market and tapping into the increasing demand for alkaline water.

Positive

• Partnership with Intrastate Distributors Inc. enhances distribution in Michigan, a market with over 4.4 million residents.
• Sales in convenience stores more than doubled in 2022 compared to the previous year, indicating strong market demand.

Negative

• None.

The Distributor Will Cover Five Michigan Counties with a Population of More Than 4.4 Million

SCOTTSDALE, Ariz.--(BUSINESS WIRE)-- The Alkaline Water Company Inc. (NASDAQ and CSE: WTER) (the “Company”), the country’s largest independent alkaline water company and the Clean Beverage^® company, announced today that Alkaline88^® has partnered with Intrastate Distributors Inc. (“IDI”) as a direct-store-delivery partner (“DSD”) to market, sell, and distribute Alkaline88 products throughout five Michigan counties—Wayne, Monroe, Macomb, Oakland, and Washtenaw.

“Convenience stores continue to be a strong growth channel for Alkaline88^® sales, and we’re looking forward to our partnership with IDI in Michigan to help us continue to grow and gain market share there,” said Frank Lazaran, President and CEO of The Alkaline Water Company. “IDI has forty years of history in southeast Michigan, where they serve thousands of clients, making them an ideal DSD partner to distribute Alkaline88 in the region. Convenience store sales of our products more than doubled in 2022 over the previous year and, with good partners like IDI, we still expect to see significant upside going forward.”

About The Alkaline Water Company:

The Alkaline Water Company is the Clean Beverage^® company making a difference in the water you drink and the world we share.

Founded in 2012, The Alkaline Water Company (NASDAQ and CSE: WTER) is headquartered in Scottsdale, Arizona. Its flagship product, Alkaline88®, is a leading premier alkaline water brand available in bulk and single-serve sizes along with eco-friendly aluminum packaging options. With its innovative, state-of-the-art proprietary electrolysis process, Alkaline88® delivers perfect 8.8 pH alkaline drinking water with trace minerals and electrolytes and boasts our trademarked “Clean Beverage” label. In 2021, The Alkaline Water Company was pleased to welcome Shaquille O’Neal to its board of advisors and to serve as the celebrity brand ambassador for Alkaline88^®.

To purchase The Alkaline Water Company’s products online, visit us at www.alkaline88.com.

To learn more about The Alkaline Water Company, please visit www.thealkalinewaterco.com or connect with us on Facebook, Twitter, Instagram, or LinkedIn.

Notice Regarding Forward-Looking Statements:

This news release contains “forward-looking statements.” Statements in this news release that are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such forward-looking statements include, among other things, that the Company is looking forward to its partnership with IDI in Michigan to help the Company continue to grow and gain market share in the convenience store channel; and that with good partners like IDI, the Company still expects to see significant upside going forward in convenience store sales of the Company’s products.

The material assumptions supporting these forward-looking statements include, among others, that the demand for the Company’s products will continue to significantly grow; that the past production capacity of the Company’s co-packing facilities can be maintained or increased; that there will be increased production capacity through implementation of new production facilities, new co-packers and new technology; that there will be an increase in number of products available for sale to retailers and consumers; that there will be an expansion in geographical areas by retailers carrying the Company’s products; that there will be an expansion into new national and regional grocery retailers; that there will be an expansion into new e-commerce, home delivery, convenience, and healthy food channels; that there will not be interruptions on production of the Company’s products; that there will not be a recall of products due to unintended contamination or other adverse events relating to the Company’s products; and that the Company will be able to obtain additional capital to meet the Company’s growing demand and satisfy the capital expenditure requirements needed to increase production and support sales activity. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, governmental regulations being implemented regarding the production and sale of alkaline water or any other products; additional competitors selling alkaline water and enhanced water products in bulk containers reducing the Company’s sales; the fact that the Company does not own or operate any of its production facilities and that co-packers may not renew current agreements and/or not satisfy increased production quotas; the fact that the Company has a limited number of suppliers of its unique bulk bottles; the potential for supply-chain interruption due to factors beyond the Company’s control; the fact that there may be a recall of products due to unintended contamination; the inherent uncertainties associated with operating as an early stage company; changes in customer demand and the fact that consumers may not embrace enhanced water products as expected or at all; the extent to which the Company is successful in gaining new long-term relationships with new retailers and retaining existing relationships with retailers; the Company’s ability to raise the additional funding that it will need to continue to pursue its business, planned capital expansion and sales activity; and competition in the industry in which the Company operates and market conditions. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by applicable law, including the securities laws of the United States and Canada. Although the Company believes that any beliefs, plans, expectations, and intentions contained in this news release are reasonable, there can be no assurance that any such beliefs, plans, expectations, or intentions will prove to be accurate. Readers should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in the reports and other documents the Company files with the SEC, available at www.sec.gov, and on the SEDAR, available at www.sedar.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230209005258/en/

The Alkaline Water Company Inc.

Jeff Wright

Director of Investor Relations

866-242-0240

investors@thealkalinewaterco.com

Source: The Alkaline Water Company Inc.

FAQ

What is the significance of Alkaline Water Company's partnership with Intrastate Distributors?

The partnership aims to enhance the distribution of Alkaline88® across five Michigan counties, targeting a population exceeding 4.4 million.

How did Alkaline Water Company perform in convenience store sales?

Convenience store sales of Alkaline88® more than doubled in 2022 compared to 2021, showcasing significant growth.

What counties in Michigan are included in Alkaline88's distribution deal?

The distribution will cover Wayne, Monroe, Macomb, Oakland, and Washtenaw counties.

How many residents are served by the new distribution partnership in Michigan?

The partnership will serve a population of over 4.4 million residents in the five counties.

What does the Clean Beverage® label signify for Alkaline Water Company?

The Clean Beverage® label represents the company's commitment to offering high-quality alkaline water products.