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Cannabis Therapy Corp. Commences Research to Support Development of New, Hemp-Based, Anti-Inflammatory Products

Studies Aim to Identify Keys to Product Lineup and Improve Time to Production

BOULDER, CO -- (Marketwired) -- 07/08/14 -- Cannabis Therapy Corp. (OTCQB: CTCO) (the "Company"), a development stage company aiming to become a leader in the research, development and commercialization of safe, all-natural, THC-free cannabinoid-based medicinal therapies and supplements (Nutraceuticals), is pleased to advise it is commencing exploratory laboratory research aimed at the development of cannabinoid-based products with potential application specific to inflammatory and auto-immune diseases.

The Company's strategic research plan is designed to establish a series of inflammation assays and models with the goal of developing a hemp-extract profiling platform. This platform will enable identification and characterization of those hemp strains that are ideal for development of specific anti-inflammatory products. The extract profiling platform will play a key role in advancing new hemp-based products and in turning the company's current hemp crop into product prototypes for testing and manufacture.

The proposed laboratory procedures include different cell based assays, which are designed to mimic key inflammatory processes. Using these assays, it is possible to test and compare the anti-inflammatory effects of different cannabinoid-containing hemp extracts, and to benchmark these against reference compounds. The company is also planning experiments in laboratory models of rheumatoid arthritis with the goal of testing promising extracts for their potential application in this disease. The overall goal of these research activities will be to isolate and identify hemp extracts and cannabinoids with measurable anti-inflammatory and immune-modulatory effects, and to develop products containing these extracts for launch into the nutraceutical market.

Cannabis Therapy Corp. President & CEO Dr. Soren Mogelsvang states, "We are very excited to start this line of research and product development. Inflammation plays a significant role in a multitude of diseases and hemp based, anti-inflammatory products could potentially have widespread application in indications such as inflammatory bowel disease, arthritis and psoriasis. We have long held the belief that cannabinoids have enormous medicinal potential and are eager to apply our extensive R&D backgrounds in this critical phase of product development."

For more information about the Company please visit www.cannabistherapy.com and watch our corporate video at www.cannabistherapy.com/news/presentations.

Additional details of the Company's business, finances, appointments and agreements can be found as part of the Company's continuous public disclosure as a reporting issuer with the Securities and Exchange Commission ("SEC") available at www.sec.gov. For more information please visit www.cannabistherapy.com.

About Cannabis Therapy Corp. (OTCQB: CTCO)
Cannabis Therapy Corp. aims to develop and market safe, phytocannabinoid-based medicinal products and to apply rigorous manufacturing and quality control standards to become a global leader in the research, development, manufacturing, testing and marketing of cannabinoid ingredients and therapies. For more information visit www.cannabistherapy.com.

Safe Harbor Statement
Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties. The factors that could cause actual future results to differ materially from current expectations include, but are not limited to, risks and uncertainties relating to the availability of additional funding; and the Company's business, product development, marketing and distribution plans and strategies. These and other factors are identified and described in more detail in the Company's filings with the SEC, including, the Company's current reports on Form 8-K. The Company does not undertake to update these forward-looking statements.

ON BEHALF OF THE BOARD,

Soren Mogelsvang, President & CEO
Cannabis Therapy Corp.

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