Reed’s, Inc. Reports International Sales up 96% in 2010

LOS ANGELES, CA–(Marketwire – February 1, 2011) – Reed’s, Inc. (NASDAQ: REED) (OTCBB: REEDP), maker of the top-selling sodas in natural food stores nationwide, announced today that sales of its products internationally rose 96% in 2010, helping to fuel record revenues of over $20 million for the year.

“While the U.S. is such a big playground for Reed’s and represents the lion’s share of our business, we also have distribution in many countries around the world,” commented Mr. Chris Reed, Founder, Chairman and CEO of Reed’s, Inc. “In 2010, strong international sales of our brands helped to drive record top line growth. Our natural beverages are also sold in Canada and Mexico, as well as in Europe, the Middle East, Africa, Japan and Singapore. We’re thrilled to see our sales climb outside of the U.S.”

Neal Cohane, Reed’s Senior VP of Sales and Marketing, stated, “Even though our focus is in the U.S., opportunities to build our brand internationally are still largely untapped. Overseas consumers are becoming much more sophisticated about looking for the best natural products and premium brands such as Reed’s and Virgil’s. Our beverages represent a unique alterative to the ordinary and we look forward to increasing our presence internationally.”

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. In 2009, Reed’s started producing Private Label natural beverages for select national chains. Its six award-winning, non-alcoholic Ginger Brews are unique in the beverage industry. Ginger Brews are made using fresh ginger, spices and fruits with a brewing process that predates commercial soft drinks. Reed’s, Inc. owns Virgil’s Root Beer as well as China Cola. Recently, Reed’s introduced its Reed’s All Natural Ginger Nausea Relief product for the drug store and grocery retail channels. Reed’s also acquired the Sonoma Sparkler brand at the end of 2009, an all natural sparkling juice celebration drink with an established customer base. Other product lines include Reed’s Ginger Candies and Reed’s Ginger Ice Creams.  

Reed’s products are sold through specialty gourmet and natural food stores, mainstream supermarket chains, and restaurants nationwide. Reed’s products are also sold in Canada and Mexico, along with a small presence in Europe, the Middle East, Africa, Japan and Singapore. For more information about Reed’s, please visit the company’s website at: http://www.reedsinc.com or call 800-99-REEDS.

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SAFE HARBOR STATEMENT

Some portions of this press release, particularly those describing Reed’s goals and strategies, contain “forward-looking statements.” These forward-looking statements can generally be identified as such because the context of the statement will include words, such as “expects,” “should,” “believes,” “anticipates” or words of similar import. Similarly, statements that describe future plans, objectives or goals are also forward-looking statements. While Reed’s is working to achieve those goals and strategies, actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. These risks and uncertainties include difficulty in marketing its products and services, maintaining and protecting brand recognition, the need for significant capital, dependence on third party distributors, dependence on third party brewers, increasing costs of fuel and freight, protection of intellectual property, competition and other factors, any of which could have an adverse effect on the business plans of Reed’s, its reputation in the industry or its expected financial return from operations and results of operations. In light of significant risks and uncertainties inherent in forward-looking statements included herein, the inclusion of such statements should not be regarded as a representation by Reed’s that they will achieve such forward-looking statements. For further details and a discussion of these and other risks and uncertainties, please see our most recent reports on Form 10-KSB and Form 10-Q, as filed with the Securities and Exchange Commission, as they may be amended from time to time. Reed’s undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.