Reed’s, Inc. Announces Distribution Agreement With SPIKE Beverage of Arizona

LOS ANGELES, CA–(Marketwire – February 16, 2011) – Reed’s, Inc. (NASDAQ: REED) (OTCBB: REEDP), maker of top-selling sodas in natural food stores nationwide, announced today that it has reached a distribution agreement with SPIKE Beverage LLC, a full-service direct store delivery distributor of premium non-alcohol beverages with six offices throughout the state of Arizona. Under the agreement, SPIKE has agreed to begin distributing Reed’s and Virgil’s brands in all retail channels, large and small.

Bill Osteen, Senior VP of Business Operations for SPIKE, stated, “SPIKE Beverage is extremely excited with its new partnership with Reed’s, Inc. We have been following the progress of Reed’s and Virgil’s brands for some time now and believe their brands are a perfect complement to our present distribution system. We have been seeing a growing demand in the premium ‘all natural’ carbonated soft drink category and know we are partnering with a leader in this segment.”

Neal Cohane, Senior Vice President of Sales and Marketing for Reed’s, Inc., commented, “This is another great step forward for our brands. SPIKE Beverage will prove to be great partners, helping our portfolio of brands land in channels of distribution that are presently untapped. Mainstream retailers throughout Arizona have been recommending that we partner with no one else in the state except SPIKE to expand our footprint. Thanks to Eddie Pearson, Reed’s VP Sales in the South Region, for landing this great opportunity.”

About Reed’s, Inc.

Reed’s, Inc. makes several brands of top selling natural sodas and beverages. Their products are sold in over 10,500 stores throughout the natural foods industry and supermarkets nationwide. Reed’s six award-winning, non-alcoholic Ginger Brews are unique in the beverage industry as they are made using fresh ginger, spices and fruits with a brewing process that predates commercial soft drinks. The Company also produces a Natural Energy Elixir and ‘Reed’s Rx,’ a Natural Ginger Nausea Relief product for the drug store and grocery retail channels. Reed’s, Inc. owns China Cola and the Virgil’s line of sodas that includes the award-winning Virgil’s Root Beer as well as Virgil’s Cream Soda, Black Cherry Cream Soda, Orange Cream Soda and Real Cola. The Company has also introduced its new ‘Virgil’s Zero’ line of Stevia-sweetened diet sodas in all these popular flavors. In 2009, Reed’s acquired the Sonoma Sparkler brand and started producing Private Label natural beverages for select national chains. Other product lines include Reed’s Ginger Candies and Reed’s Ginger Ice Creams.

Reed’s products are sold internationally 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: or call 800-99-REEDS.