Arrowhead announces business expansion from bottled beverage water into organic farming and food products

 Arrowhead announces business expansion from bottled beverage water into  organic farming and food products  /Not for disseminations in the United States or to US Persons./NEX- TSXV  Trading Symbol: AWA.H 19,492,229 Common Shares Issued  CALGARY, March 12, 2014 /CNW/ - Arrowhead Water Products Ltd. ("Arrowhead" or  the "Company") is pleased to announce the signing of a Memorandum of  Understanding ("MOU") with a large US based organic farming organization.   This MOU is a natural business extension from water based retail beverages to  water based organic farm products.  Arrowhead is remaining in the food and  beverage business.  The MOU calls for the creation of a newly formed subsidiary called Captiva  Verde Farming Corp., which will be 100% owned by Arrowhead and its subsequent  pending name change to Captiva Verde Industries Ltd., which will take place at  Arrowhead's Annual General Meeting scheduled to be held on March 17, 2014.  Captiva Verde Farming Corp. will be a sister company creation from this US  based farming organization which has been growing organic spinach, kale,  lettuce, arugula and various salad mixtures since 1983 and in the farming  industry itself, for four generations.  The US based farming organization has  been experiencing an exponential growth rate for the past decade and feels it  beneficial to launch a high growth, sister organization through the present  structure of Arrowhead.  The MOU, which creates a fresh new organization, also calls for Arrowhead's  CEO to contribute his personal allocation of 4.8 million cubic feet per year  of agricultural water rights, to be contributed to the new subsidiary.   Further, the Arrowhead CEO will contribute his private farmland holdings in  California as well as an arrangement to utilize any underutilized excess land  of Greenbriar Capital Corp.  All contributions will be made under standard,  industry-based lease agreements.  The US-based organic farming organization  will add its proprietary organic farming expertise, its proprietary farmland  lease acquisition methodology and all of its knowledge and expertise, in  adding value to the farm to table food cycle.  Subject to shareholder and regulatory approval, Arrowhead will issue 40  million performance based earn-out shares to various members of the current  Arrowhead management team and the US based farm corporation.  The shares will  be issued at the rate of one (1) share per US $0.25 (twenty-five cents) of  gross farm operating income ("GFOI").  The shares are to be divided to  multiple non-related parties and therefore no control shareholders will be  created.  This transaction, in management's opinion, is neither a reverse  takeover nor a change of business.  GFOI is defined as net farm receipts minus direct farm operating expenses.   The new subsidiary is already cultivating approximately 175 acres of prime  farmland and the first seeding is expected to take place at the end of March.   It is anticipated that the 175-acres will yield four (4) crops before the end  of this year.  The new subsidiary will begin to acquire additional farm leases  and add to the value chain by providing the US with much needed, organically  grown leaf vegetables.  Organic green leaf vegetable production cannot meet  current consumer demand.  The US based farm organization is the single largest  farm provider of organic spinach in the US.  Arrowhead will complete all the  standard lease agreements and seek an extraordinary meeting to gain  shareholder approval.  Management feels that the only risk in this business is  the customary risks associated with farming operations such as weather,  governmental regulations and changes in consumer demand.  Arrowhead is currently well funded to initiate the farming cycle and revenues  are accrued 30-days after each planting.  Jeff Ciachurski, CEO of Arrowhead states "we are pleased to be expanding from  our recently sold beverage business, into the high growth market of organic  farming and food products.  As a for-profit business, our Management feels  that it has a responsibility to society to minimize its ecological footprint  while maximizing the quality of products it will deliver to its customers.   This involves the implementation of business and farming practices that will  conserve natural resources and energy protect the environment and enhance  relationships with employees and local communities.   The Company believes in  providing a safe, clean, efficient and socially responsible work environment  for all employees."  On behalf of the Board of Directors of the Company and for further  information, please contact:        Jeffrey Ciachurski                               Michael Boyd     Chairman and Chief Executive Officer             Director     9 Landport,  Newport  Beach,                     Tucson, Arizona     California,  USA  92660                          Office: (520) 275-0979     Cell: (949) 903-5906                             E-mail: azmboyds@aol.com     E-mail: westernwind@shaw.ca     ---  READER ADVISORY  Neither the TSX Venture Exchange nor its Regulation Services Provider (as that  term is defined in the policies of the TSX Venture Exchange) accepts  responsibility for the adequacy or accuracy of this release.  This news release contains forward-looking statements. The Company has  provided the forward-looking statements in reliance on assumptions that it  believes are reasonable at this time. The reader is cautioned that the  assumptions used in the preparation of the forward-looking statements may  prove to be incorrect. All such forward-looking statements involve substantial  known and unknown risks and uncertainties, certain of which are beyond the  Company's control. Such risks and uncertainties include, without limitation,  delays resulting from or inability to obtain required regulatory approval. The  actual results, performance or achievements could differ materially from those  expressed in, or implied by, these forward-looking statements and,  accordingly, no assurances can be given that any of the events anticipated by  the forward-looking statements will transpire or occur, or if any of them do,  what benefits, including the amount of proceeds, the Company will derive  therefrom. Readers are cautioned that the foregoing list of factors is not  exhaustive.    SOURCE  Arrowhead Water Products Ltd.  Jeffrey Ciachurski, Chairman and Chief Executive Officer, 9 Landport, Newport  Beach, California, USA 92660, Cell: (949) 903-5906, E-mail:  westernwind@shaw.ca, Michael Boyd, Director, Tucson, Arizona, Office: (520)  275-0979, E-mail: azmboyds@aol.com  To view this news release in HTML formatting, please use the following URL:  http://www.newswire.ca/en/releases/archive/March2014/12/c2354.html  CO: Arrowhead Water Products Ltd. ST: Alberta NI: AGR