Reed's, Inc. (NASDAQ: REED) (OTCBB: REEDP), maker of the top-selling sodas in natural food stores nationwide, announced today that Fresh & Easy Neighborhood Market, which operates 159 Fresh & Easy stores throughout California, Arizona and Nevada, will begin carrying selected Reed’s and Virgil’s products in all of its locations.

“Fresh & Easy is a true innovator, providing the highest quality, freshest food to neighborhoods in the Western U.S. with stores that are about a third of the size of the average U.S. supermarket,” stated Chris Reed, Founder and CEO of Reed’s, Inc. “Their smaller size format and focus on quality and freshness makes this a perfect fit for Reed’s all natural products.” Added Mr. Reed, “We are very excited to be working with them as they increase their footprint in the U.S. and position themselves to become one of the top supermarket retailers in the country.”

Bob Lyon, Western Region VP of Sales at Reed's, Inc., commented, “Fresh & Easy is extremely selective about soft drink brand placements in their stores. We are extremely proud that our brands met Fresh & Easy’s approval. We are looking forward to developing a very strong and rewarding relationship for Fresh & Easy. Having our brands authorized with the 3 rd largest retailer in the world (Tesco PLC) is nothing but positive news for Reed’s Inc. and our brands. This is a perfect complement to our premium Reed’s and Virgil’s brands, and a very exciting opportunity to partner and grow with one of the most experienced, international retailers in the world.”

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, 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. Recently, Reed's introduced its ‘Reed’s Rx’ line of ginger-based nausea relief products for the drug store market and acquired the Sonoma Sparkler brand, a sparkling juice celebration drink with an established customer base. Other product lines include: Reed's Ginger Candies and Reed's Ginger Ice Creams.