Reed’s Inc. (REED) announced today that its Virgil’s Root Beer will be distributed as a draught choice in New England and Southern California by the end of this month. With the non-alcoholic beverage industry worth nearly $7 billion in 2004, along with the surge of demand for energy and specialty drinks on the rise, Reed’s choice to enter into the draught soda business is timely.

“We are very excited that Virgil’s leading line of beverages will now include a draught Root Beer,” said company founder and CEO, Christopher Reed. “Most micro-breweries generate 30-50% of their business from draughts and we are the first national brand to introduce a micro-brewed soda draught. Based on our market research, we believe there is a tremendous market opportunity to introduce a draught micro-brewed soda.”

Currently, Virgil’s Root Beer is the leading root beer in the natural foods market. The addition of a new sales force several months ago accompanied by promotions in publications like Vegetarian Times and New Age magazine will continue to enhance the brand’s recognition in the health conscious niche. Offering Virgil’s Root Beer in select bars and restaurants in the two initial markets will enhance its brand recognition onto a broader scope of U.S. consumers.

Reed’s also announced that it is expanding its Candy line with the addition of Peanut Butter Ginger Chews. Additionally, Reed’s made its introduction to the global market by attending the world’s largest food and beverage fair, the Anuga Food Fair, where more than 150,000 international visitors pass through. An international sales effort is poised to begin throughout Mexico, Latin America, Europe, India and the Asia Pacific region.

Reed’s Inc. manufactures the top selling sodas in natural foods markets nationwide. It has six award-winning non-alcoholic Ginger Brews, has the top selling cola line in natural foods(the China Cola line), and has the top selling root beer line in natural foods (the Virgil’s Root Beer line). It also produces Reed’s Ginger Juice Brews, Reed’s Ginger Candies and Reed’s Ginger Ice Creams that are sold through gourmet and natural food stores nationwide and in Canada.

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