Reed’s, Inc. Announces Record Fourth Quarter Revenues

Revenue Increased Approximately 21% in Comparison to Q4 2008

LOS ANGELES, CA–(Marketwire – January 14, 2010) – Reed’s, Inc. (NASDAQ: REED), maker of the top-selling sodas in natural food stores nationwide, announced today that the Company experienced record revenue growth in the fourth quarter ending December 31, 2009, seeing sales rise approximately 21% over the same quarter in 2008. Detailed financial results will be available with the reporting of the audited financials in the company’s 10K expected to be filed with the SEC in March.

“We are thrilled with our fourth quarter revenue growth,” stated Mr. Chris Reed, Founder, Chairman and CEO of Reed’s, Inc., “2009 proved to be a difficult year for beverage companies due to the global recession. Some of the largest beverage companies reported sales decreases in the range of 8% to 10% and many premium brands were down closer to 30%. In light of this, Reed’s held up very well, reporting first through third quarter sales down between 4%-8% per quarter, well above the industry average.”

Mr. Reed added, “The hard work is paying off. The strong performance of our brands; along with contribution from our Sonoma Sparkler acquisition and our newly launched private label business are helping to propel the business back into a growth mode. Our business will continue to benefit by a recovering economy and our new product lines. The private label business is opening new sales channels with some of the largest retailers in the country. These new relationships are benefiting our branded business as well. We have great momentum going into 2010 and expect that both our branded and private label business, along with new product offerings to be announced, will result in amazing growth of profitable business during the next few years.”