Empower Clinics KAI Medical Laboratory Sells Out First 5,000 Units Of FDA EUA Approved Saliva COVID-19 Test Kits. Issues Order For Next 25,000 KAI Saliva PCR Test Kits With Sales Value Of $5.5M. Discussions With Major Airlines Underway

Kai Medical Laboratory, a state-of-the-art diagnostics laboratory in Dallas,TX was acquired by Empower Clinics on October 6, 2020 to further advance the Company's COVID-19 national testing programs for enterprise clients, including movie and television studios, businesses and colleges

VANCOUVER, BC / ACCESSWIRE / January 7, 2021 / EMPOWER CLINICS INC. (CBDT:CSE)(8EC:Frankfurt)(EPWCF:OTCQB) ("Empower") an integrated healthcare company serving patients through clinics, a telemedicine platform, and a leading medical diagnostics laboratory processing thousands of COVID-19 specimens and developing novel COVID-19 testing protocols for CE, FDA EUA and Health Canada approval, is pleased to announce the successful launch of our KAI Saliva PCR Test ("KAI Saliva") with our initial soft launch of 5,000 units sold out and the order of 25,000 additional units with a sales value of approximately $5,500,000.

INITIAL DEMAND FOR FIRST RUN KAI SALIVA CAME FROM EXISTING COMMERCIAL CUSTOMERS, INCLUDING FILM & TELEVISION PRODUCTIONS. DIRECT TO CONSUMER CHANNEL LAUNCH IMMINENT

Initial and overwhelming demand for KAI Saliva stemmed from our existing customers in film & television productions, the commercial sector, and concierge testing supported by Sun Valley Health in Arizona. Given the early and significant success of KAI Saliva since its launch on December 15, 2020, Empower is extremely confident in the continued success of KAI Saliva with both existing and expanded commercial customers in this next run.

To this end, the next important milestone for KAI Saliva is the pending launch of our direct-to-consumer, offering the home based KAI Saliva Test, using our new platform www.kaitests.com. Our platform will enable consumers, businesses, private and public sector to order the test kit online, have it shipped to them for simple specimen collection, then returned to the KAI Medical Laboratory for processing and provision of the test results.

FDA EUA APPROVED AT HOME/WORK SALIVA TEST IS A GAME CHANGER. DISCUSSIONS UNDERWAY WITH MAJOR CANADIAN AIRLINES IN RESPONSE TO RECENT TESTING REQUIREMENTS FOR RETURNING CANADIAN TRAVELERS

KAI Saliva is the direct result of investing in scientific R&D through KAI, empowering them to deliver clinical trial data and validation. This gives Empower a strong upper hand nationally and now potentially on an international stage.

The power of the Saliva Test is in its simplicity, in which users merely spit into a funnel, then close the funnel with a lid containing a liquid to be mixed with the saliva by simply shaking it for 5 seconds. This saliva based PCR test does not require a medical technician to administer the specimen collection which can be done by the individual, a parent or an administrator. The specimen is returned to KAI Medical Labs from anywhere in the country for processing. KAI will analyze and provide a response within 24 hours through its HIPAA compliant IT system.

This simplicity of use, yet sophistication in processing analyzing and responding within 24 hours represents a viable solution for the new travel policy instituted by the Canadian government and serves as the basis for discussions that are now underway with major Canadian airlines and other major travel and hospitality industry players.

Specifically, every traveller to Canada over the age of five, including Canadians returning from vacation, must show a negative COVID test result from a PCR or RT-LAMP test administered in the 72 hours before their flight's departure. The test must be conducted in the flight's country of origin. KAI Saliva is able to provide travellers with the ability to purchase a PCR test prior to leaving for vacation, self-administer the non-invasive specimen collection from their travel destination 72 hours prior to returning to Canada and receive a result prior to departure. Foreign travelers to Canada using a major Canadian airline can order KAI Saliva directly to their home almost anywhere in the world and go through the same process. As a (CE) approved test kit, it can be sent to travellers coming from many South American, Caribbean and European countries.

Other types of tests - such as rapid antigen tests - will not be accepted. The Canadian government has directed airlines to turn away travellers who do not present a test result at the time of boarding. As such, the simplicity of KAI Saliva represents one of the most viable solutions available anywhere on the planet and a major opportunity for Empower.

Empower Clinics CEO Steven McAuley stated "These are unique and exciting times for our company where explosive growth is upon us in so many different ways. Having our strong cash position allows us to invest in important initiatives, hire staff and expand services in major markets to meet the demand that is coming to us every day. Our moves to become an integrated healthcare company are really starting to pay off and it's evident the market is supporting our developments and path forward."

GLOBAL TOURISM INDUSTRY LOSSES WILL COST OVER $1 TRILLION AND 100 MILLION JOBS

In a featured story on AWS Amazon titled "Restarting the Travel and Hospitality Industry: An AI-powered Solution", Loop Insight CEO Rob Anson stated:

"There's no doubt that the pandemic has devastated the travel and hospitality industry. A recent policy brief from the United Nations reports the COVID-19 pandemic will cost the global tourism industry over $1 trillion in losses and threaten 100 million jobs. Today, 50 countries are completely closed and another 92 are partially open with mandatory quarantine upon arrival, according to Kayak. Even as measures and lockdowns around the world ease up, many travelers are postponing their plans or canceling altogether. The complexities of reopening stretch far beyond navigating the restrictions. We need to get the world back to traveling soon, and to do that, we must prioritize both guest and operator safety."

This press release is available on the Empower Clinics Verified Forum on AGORACOM for shareholder discussion, questions and engagement with management https://agoracom.com/ir/EmpowerClinics

ABOUT EMPOWER:

Empower is an integrated healthcare company that provides body and mind wellness for patients through its clinics, with digital and telemedicine care, and world-class medical diagnostics laboratories. Supported by an experienced leadership team, Empower is aggressively growing its clinical and digital presence across North America. Our Health & Wellness and Diagnostics & Technology business units are positioned to positively impact the integrated health of our patients, while simultaneously providing long term value for our shareholders.

ON BEHALF OF THE BOARD OF DIRECTORS:

Steven McAuley
Chief Executive Officer

CONTACTS:

Investors:
Dustin Klein
Director
dustin@svmmjcc.com
720-352-1398

Investors:
Steven McAuley
CEO
s.mcauley@empowerclinics.com
604-789-2146

DISCLAIMER FOR FORWARD-LOOKING STATEMENTS

This news release contains certain "forward-looking statements" or "forward-looking information" (collectively "forward looking statements") within the meaning of applicable Canadian securities laws. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Forward-looking statements can frequently be identified by words such as "plans", "continues", "expects", "projects", "intends", "believes", "anticipates", "estimates", "may", "will", "potential", "proposed" and other similar words, or information that certain events or conditions "may" or "will" occur. Forward-looking statements in this news release include, but are not limited to, statements regarding: the expected benefits to the Company and its shareholders as a result of the acquisition of Kai Medical Laboratory; the transaction terms; the expected number of clinics and patients following the closing; the future potential success of Kai Medical Laboratory; the completion of the purchase order for 25,000 new test kits; the ability to sell all the kits or achieve $5.5MM in sales value; the prospect of continued discussion with major airlines; the anticipated date of closing of the acquisition and the occurrence thereof; and that the Company will be positioned to be a market-leading service provider for complex patient requirements in 2021 and beyond. Such statements are only projections, are based on assumptions known to management at this time, and are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the forward-looking statements, including: that the Kai Medical Laboratory acquisition may not be completed on the terms expected or at all; that the Company's products may not work as expected; that the Company may not be able to expand COVID-19 testing; that legislative changes may have an adverse affect on the Company's business and product development; that the Company may not be able to obtain adequate financing to pursue its business plan; general business, economic, competitive, political and social uncertainties; failure to obtain any necessary approvals in connection with the proposed transaction; and other factors beyond the Company's control. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are cautioned not to place undue reliance on the forward-looking statements in this release, which are qualified in their entirety by these cautionary statements. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements in this release, whether as a result of new information, future events or otherwise, except as expressly required by applicable laws.

SOURCE: Empower Clinics Inc.

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