Reed's Inc. Announces Record Revenues Increase 23% to $25 Million for 2011

LOS ANGELES, CA -- (Marketwire) -- 01/24/12 -- Reed's, Inc. (NASDAQ: REED), maker of the top-selling sodas in natural food stores nationwide, announced today that annual revenues increased 23% to more than $25 million for 2011. The fourth quarter of 2011 marked the 9th consecutive quarter of 20%-plus growth.

Chris Reed, Founder, Chairman and CEO of Reed's Inc. stated, "The revenue growth validates the outstanding marketplace performance of our Reed's and Virgil's branded portfolio, which have achieved a robust +22% case volume growth for full year 2011. Due to the strength of our growing distribution system, we are confident that momentum on our brands will continue into 2012. I am truly excited by the continued growth our brands are experiencing in all distribution and retail channels."

Chris Reed further states, "Private label continues to provide incremental revenues that are reinvested to further fuel the growth of our branded products. The private label strategy we implemented has created advantageous circumstances with some of the largest retailers in the US. Our private label capabilities have opened doors, creating a 'win-win' foundation for building both our retail partners' store brand business and Reed's portfolio of brands."

About Reed's, Inc.
Reed's, Inc. makes the top-selling natural sodas in the natural foods industry sold in over 10,500 natural food markets and supermarkets nationwide. Its six award-winning non-alcoholic Ginger Brews are unique in the beverage industry, being brewed, not manufactured and using fresh ginger, spices and fruits in a brewing process that predates commercial soft drinks. The Company owns the top selling root beer line in natural foods, the Virgil's Root Beer product line, and the top selling cola line in natural foods, the China Cola product line. Other product lines include: Reed's Ginger Candies and Reed's Ginger Ice Creams. In 2009, Reed's started producing private label natural beverages for select national chains.

Reed's products are sold through specialty gourmet and natural food stores, mainstream supermarket chains, retail stores and restaurants nationwide, and in Canada, as well as through private label relationships with major supermarket chains. For more information about Reed's, please visit the company's website at: or call 800-99-REEDS.

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