Every indexed document

moderate and heavy) to each age group of

we believe penetration rates may ultimately be as high as (or

we expect U.S. penetration rates to increase as states implement new

penetration rates are impacted by the widely varying

with the 21–29 age group having the highest and the 70+ age group having the

we view the potential pool of eligible consumers to be virtually the entire U.S. adult

(ii) development (5) follows two years thereafter and (iii) development (6) occurs by 2027 and

but we believe that there is a reasonable chance development (4) could begin within

or all at once) and will be fully legal for medical and recreational purposes. (We expand

our methodology for forecasting the U.S. legalized

similar to other highly regulated industries such as alcohol

the implementation of which is scheduled to begin in January 2018.

pent-up consumer demand for legal cannabis in the United States

all had previously implemented medical laws.

the addressable market has been constrained due to the lack of access to purely

and only eight states have enacted recreational laws. While the overall state-legal market

we are starting to see closer price parity

with the implementation of California’s new recreational

U.S. Legal Landscape.) We believe that federal legalization will

medical cannabis in smokable and other forms has been legal since