Edible Garden AG Incorporated

Greetings and welcome to the Edible Garden fourth quarter and year end 2022 business update call. At this time all participants are in a listen only mode and a question and answer session will follow the formal presentation. If you should require operator assistance during the conference please press star zero on your telephone keypad. Please note this conference is being recorded. I will now turn the conference over to your host Mr. Ted Avos, you may begin.

Thanks, Ali. Good morning, and thank you for joining Edible Garden's year-end 2022 conference call and business update. On the call with us today are Jim Kress, Chief Executive Officer of Edible Garden, and Mike James, Chief Financial Officer of Edible Garden. Earlier this morning, the company announced its operating results for the year-end of December 31, 2022. The press release is posted on the company's website, www.ediblegardenag.com. In addition, the company filed its annual report on Form 10-K with the United States Securities and Exchange Commission this morning, which can also be accessed on the company's website as well as the SEC's website at www.sec.gov. If you have any questions after the call or would like any additional information about the company, please contact Crescendo Communications at 212-671-1020. Before Mr. Kress reviews the company's operating results for the year end 2022 and provides a business update, we would like to remind everyone that this conference call may contain forward-looking statements. All statements other than statements of historical facts contained in this conference call, including statements regarding our future results of operations and financial position, strategy, and plans, and our expectations for future operations, are forward-looking statements. The words expect, project, plan, believe, may, will, would, should, could, mission, strategy, potential, seek, strive, and the negative of such terms and other words and terms of similar expressions are intended to identify forward-looking statements. These forward-looking statements are based largely on the company's current expectations and projections about future events and trends that it believes may affect its financial condition, results of operation, strategy, short-term and long-term business operations, and objectives and financial needs. These forward-looking statements are subject to several risks, uncertainties, and assumptions as described in the company's most recent annual filing on Form 10-K filed with the U.S. Securities and Exchange Commission. Because of these risks, uncertainties, and assumptions, the forward-looking events and circumstances discussed in this conference call may not occur, and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statement. You should not rely upon forward-looking statements as predictions of future events. Although the company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. In addition, neither the company nor any other person assumes responsibility for the accuracy and completeness of any of these forward-looking statements. The company disclaims any duty to update any of these forward-looking statements except as required by law. All forward-looking statements attributable to the company are expressly qualified in their entirety by these cautionary statements, as well as others made in this conference call. You should evaluate all forward-looking statements made by the company in the context of these risks and uncertainties. With that, I will now turn the call over to Jim Christ.

Jim? Thank you, Ted. Good morning, and thank you to everyone for joining us today. On behalf of the Edible Garden team, I want to extend our sincere gratitude to our investors for their unwavering support and belief in our vision. With your continued support, we are confident that we will achieve our goals and pave the way for building shareholder value. We are pleased to report that Edible Garden achieved year over year top line revenue growth for the third quarter in a row since our IPO last year. This notable success is a result of our strategic capital management and unwavering focus on building a strong Edible Garden brand. Despite a challenging economic climate, we have remained resilient and continue to deliver exceptional customer service while keeping our pricing relatively stable. Even during a period of unprecedented rapid inflation. As a result, we believe we have gained a competitive advantage over many of our competitors who have struggled in this environment. In addition, we expect to see an increase in our margins once our Heartland Midwest facility is fully operational. With the continued dedication of the Edible Garden team, we believe that we will achieve positive cash flow later this year, marking a significant milestone in our journey as a public company. Our company's distribution network is expanding rapidly with the addition of new retail partners in the Northeast, Midwest, Mid-Atlantic, and Southeastern regions of the country. In addition, we are introducing new product categories and what we expect to be higher margin products to the Edible Garden brand to meet our customers' ever evolving needs. Our commitment to sustainability through our zero waste inspired mission has resonated with environmentally conscious consumers and our distribution partners contributing to the strong demand for our products among our achievements in the fourth quarter we introduced complete salad kits to our product line these greenhouse grown kits feature our popular sustainable locally grown cut lettuce and come with all the ingredients necessary to make a complete salad the first three kits in our lineup include a Caesar salad kit with baby romaine lettuce a crisp ranch kit with crispy green leaf lettuce, and a balsamic vinaigrette kit with spring mix lettuce, with even more in development. The salad kits, which were created to align with current consumption trends and provide maximum convenience for consumers, were first made available at Meyer retail locations in the Midwest. We also acquired the pulp line of all-natural, non-GMO, preservative-free, and sustainable gourmet sauces and chili-based products. This marks the company's initial entree into the global sauces and condiments markets, which is projected to grow from $172.8 billion in 2021 to $240.7 billion by 2028, according to research and markets. These fermented sauces, which elevate fruit flavors from bland to bold, were introduced at Natural Products Expo West 2023 earlier this month. The pulp product line will initially launch at Whole Foods markets, Mid-Atlantic and Southeastern retail locations starting this summer, 2023. The refrigerated section of the supermarket where the sausage will be located is typically adjacent to the produce section, which will enable Edible Garden to leverage its growing brand recognition and to capitalize on the demand for healthier and sustainable options. Expanding into a new product category is a significant step forward for the Edible Garden brand as it positions us into what we believe will be higher margin products with extended shelf life. The launch of pulp products line at Whole Foods markets, Mid-Atlantic, and Southeastern retail locations also provides us with a further expansion of our already robust distribution network. Additionally, we added Morton Williams Supermarkets to our Northeast distribution network, which began carrying the Edible Garden product line at all of its locations in the New York metropolitan area. We also expanded our distribution with Gristini's and D'Agostino Markets to sell an optimized assortment of Edible Garden products in 29 of their combined locations in Manhattan, Brooklyn, and Westchester, New York. These retail locations are ideally located in densely populated urban areas that receive high volumes of foot traffic in the New York City metropolitan areas. Moreover, this expansion enabled us to deepen our penetration and improve our product placement within these retail locations. This past holiday season proved to be one of the most successful in the company's history as we surpassed industry averages with an order fulfillment rate or a fill rate across all of our retail and distribution partners. Notably, we exceeded a fill rate of 100% at one of the country's largest super center operations. operators, strengthening our existing relationship with this key partner. Despite significant supply chain challenges, Edible Garden was able to deliver outstanding service and execution to our customers, further demonstrating our commitment to excellence. By consistently exceeding our partners' expectations, we have established ourselves as a reliable and trusted supplier of sustainably grown produce. The company continues to be committed to leveraging the latest technology to advance our strategy of increasing yields and maximizing the nutritional value of locally grown produce. Edible Garden recently forged a research partnership with the New Jersey Institute of Technology, the USDA, and the EPA to investigate the effects of nanobubble technology in controlled environment agricultural settings. Primary goal of this EPA-funded research is to validate the potential benefits of nanobubbles for indoor agriculture and explore their impact on plant health, water usage, nutrient utilization, and energy efficiency. This research is particularly exciting to us as it has the potential to revolutionize plant nutrition and provide more nutritious plants with longer shelf lives. In addition, the partnership is well aligned with Edible Garden's zero-waste-inspired mission which seeks to promote sustainable agriculture practices that reduce waste and conserve resources. If successful, the research project could have significant implications for Edible Garden's product line, benefiting not just the company, but also consumers who prioritize health and sustainable food options. Our commitment to sustainability... and innovation makes this partnership a significant step forward in the quest for more efficient and sustainable agriculture practices. Earlier this month, Edible Garden was recognized as one of the top agri-food tech companies globally in this year's Food Tech 500 final rankings. Our zero waste inspired mission has been the driving force behind our success. Our team's hard work and dedication, along with the implementation of innovative technologies, such as our patented Green Thumb software and patent-pending self-watering displays, have enabled us to improve yields, reduce waste, and optimize costs. We take pride in being acknowledged as one of the most promising agri-food tech companies worldwide and strive to maintain this position by building on our achievements and continuing to lead the way in the industry. I would like to now turn the call over to Mike James, Chief Financial Officer of Edible Gardens, who will review the financial results the three-month and full-year periods ending December 31, 2022. Mike?