On March 31, 2023, Turning Point Brands, Inc announced that it has received a shareholder proposal from Scott Klarquist requesting that our board begin an orderly process of retaining advisors to study extraordinary strategic alternatives with respect our company's struggling NewGen business (“NewGen”) and empower a committee of its independent directors to evaluate those alternatives (including potentially selling or spinning off NewGen) with advisors in the exercise of their fiduciary responsibilities to maximize shareholder value. In addition, the Company urged the shareholders to vote against the shareholder proposal at its annual general meeting of shareholders scheduled to be held on May 3, 2023.