Licensed medical marijuana producer Organigram Inc., a wholly owned subsidiary of Organigram Holdings Inc. (TSX VENTURE:OGI)(OTCQB:OGRMF), recorded single-week sales of over $250,000 for the first time in its history for the period March 5-11, 2017, the company reported today.

The record-setting sales follow the release of Organigram's newly harvested and tested marijuana. The crops were grown under the company's new operating protocols which includes testing all harvested product to ensure the product's purity. Those new procedures were implemented when traces of unapproved pesticides were detected in some of its dried and oil-based products harvested last year. That product was voluntarily recalled by the company.

"We believe we are regaining the trust of our clients and the sales record is indicative of the faith they have in our new protocols and in the quality of the new products," said Ray Gracewood, Organigram's Chief Commercial Officer. "The positive response we've received from these clients, both in their feedback to us, as well as in their willingness to purchase new product, has been gratifying." Gracewood said Organigram has gone to great lengths to communicate openly and regularly with its clients about the issues surrounding the recalls. Additionally, the company recently improved its compensation offer to those who had purchased recalled product. All un-insured clients have received an account credit equal to 100 per cent of all purchases that were subject to the recalls.

"We see this as a step in the right direction," said Gracewood. "Our clients have remained supportive and based on the relationships our client team has developed with them, we're pleased to see clients have responded positively to the changes we've made."

The company will also be making test results of future batches publicly available in the near future as part of Organigram's commitment to patient health. "Full transparency is the goal. We want our clients to be completely comfortable and confident in ordering Organigram product going forward, and posting results online gets us one step closer." Gracewood added Organigram is focused on responding to client feedback and the company will continue to make operational adjustments when necessary to ensure transparency of its operations.

Following the recalls, Organigram implemented seven new company-wide initiatives to ensure product quality. These initiatives, along with testing all products before sale to customers and posting the results on the company website, will help rebuild confidence in Organigram and its products, said the company.

About Organigram Holdings Inc.

Organigram Holdings Inc. is a TSX Venture Exchange listed company whose wholly owned subsidiary, Organigram Inc., is a licensed producer of medical marijuana in Canada. Organigram is focused on producing the highest quality, condition specific medical marijuana for patients in Canada. Organigram's facility is located in Moncton, New Brunswick and the Company is regulated by the Access to Cannabis for Medical Purposes Regulations ("ACMPR").

In February 2017, Organigram was ranked in the top ten Clean Technology & Life Sciences Sector on the TSX Venture Exchange 50.