REED Reeds Inc

Reed's, Inc. (NASDAQ: REED), maker of the top-selling sodas in natural food stores nationwide, announced today that it has reached a new distribution agreement with R.S. Lipman Company, a leader in the Tennessee beverage distribution market, centrally headquartered in Nashville. Lipman's area of distribution covers over 65% of the population of the state of Tennessee, including the Knoxville and Chattanooga regions, as well as mid-Tennessee.

"The strength in Lipman's distribution system and their history of distinctive service in the industry since 1939 will provide a solid foundation from which to expand the Reed's and Virgil's brands in Tennessee," stated Neal Cohane, Senior Vice President of Sales & Marketing for Reed's Inc.

Chris Reed, Chief Executive Officer and Founder of Reed's, Inc., commented, "We are thrilled about our new partnership with R.S. Lipman Company, and extremely pleased to be able to fortify our southern foothold, increase our brand presence, and ultimately position our company to gain entry into new channels of business."

About Lipman

Lipman Bros. is the oldest liquor and wine wholesaler in Tennessee. They were started in 1939 by Harry Lipman, the grandfather of current President and CEO, Robert Lipman, and his brother, Meyer, almost 70 years ago. They have most major liquor and wine brands. In addition, they have a large craft beer, water and new age beverage selection.

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: http://www.reedsinc.com or call 800-99-REEDS.

Follow Reed's on Twitter at http://twitter.com/reedsgingerbrew Reed's Facebook Fan Page at https://www.facebook.com/ReedsGingerBrew

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-K 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.

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Contact: Investor Relations Reed's Inc. (310) 217-9400 ext. 18 Email: Email Contact www.reedsinc.com