Charlotte's Web Welcomes Senate Passage of Hemp Extension Marking Important Progress Toward a Long-Term Federal Hemp Framework

Charlotte's Web Holdings, Inc. (TSX: CWEB) (OTCQX: CWBHF) , a botanical wellness innovation company and the market leader in hemp-derived cannabidiol (CBD) extract wellness products, today welcomed the U.S. Senate's passage of its Continuing Resolution (CR), which would extend current government funding through December 11, 2026, and provide Congress additional time to finish developing a bipartisan federal framework for hemp. The Senate passed a CR that would postpone the November 12, 2026 enactment of legislation limiting finished hemp products to 0.4 mg THC-per-container, creating additional runway for lawmakers to advance a sound long-term regulatory approach. The measure moves to the House of Representatives for consideration. The ban on products containing cannabinoids that cannot be produced naturally by the hemp plant, including synthetic cannabinoids, would still take effect on November 12, 2026 unchanged by this measure. Charlotte's Web's products are made from naturally occurring, full-spectrum hemp extracts and do not contain synthetic cannabinoids. The Company views the Senate's vote as a constructive step, supported by other developments in Washington, including the President's transmittal of an anomalies package to Congress expressly requesting correction of Section 781 to preserve continued access to therapeutic, full-spectrum hemp products while a commonsense federal policy is finalized. " Behind this vote are real people; families, veterans, and older Americans who have built full-spectrum hemp products into their daily wellness routines, in many cases for years. At its core, this is about ensuring that millions of Americans continue to have access to products they trust while policymakers take the time to build a regulatory framework that can stand the test of time ," said Bill Morachnick, Chief Executive Officer of Charlotte's Web Holdings, Inc . The measure now moves to the House of Representatives, which passed a separate continuing resolution that does not contain hemp provisions. The two chambers must agree on and approve common legislative language before it is sent to the President for signature. The House is expected to consider the extension following its scheduled return from recess on August 31, 2026. Charlotte's Web remains committed to working with policymakers, regulators, and industry stakeholders to advance clear and durable federal standards that support quality, transparency, responsible oversight, and consumer confidence. The Company also thanked Charlotte's Web consumers for their thousands of letters sent to their senators in support of the extension. " We are grateful to the many Charlotte's Web customers and advocates who took the time to engage in this process ," added Mr. Morachnick. " Their voices helped keep this conversation moving forward, and that engagement continues to demonstrate the important role consumers play in shaping the future of hemp policy ." As a proud partner of ONE HEMP , Charlotte's Web also recognizes that organization's leadership in aligning responsible hemp businesses around a united policy agenda. That collaboration has helped advance science-backed, practical solutions and will remain essential as Congress works toward a durable federal framework for the industry.