Clearly Canadian Beverage Corporation

Clearly Canadian Beverage Corporation

January 06, 2005 10:05 ET

Clearly Canadian Announces Completion of Private Placement


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: CLEARLY CANADIAN BEVERAGE CORPORATION

TSX SYMBOL: CLV
OTC Bulletin Board SYMBOL: CCBC

JANUARY 6, 2005 - 10:05 ET

Clearly Canadian Announces Completion of Private
Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 6, 2005) - CLEARLY
CANADIAN BEVERAGE CORPORATION (TSX:CLV)(OTCBB:CCBC) today announced the
completion of a private placement of 1,035,000 shares at a price of
Cdn$0.25 per share, generating gross proceeds of Cdn$258,750. The
private placement was originally announced by news release dated
December 9, 2004 and at that time the Company indicated a placement of
up to 1,500,000 shares, of which 1,035,000 shares were issued.
Directors, officers and employees of the Company subscribed for all of
the 1,035,000 shares, which was the maximum number of shares that such
non-arms-length parties were permitted to acquire under applicable
Toronto Stock Exchange rules and policies. The proceeds from the private
placement will be used to fund the Company's current inventory
production requirements.

In connection with the private placement, directors and/or officers of
the Company acquired shares as follows: Douglas L. Mason, President and
C.E.O. acquired 700,000 shares; Bruce E. Morley, C.L.O. acquired 115,000
shares; Stuart R. Ross, C.F.O. acquired 25,000 shares; Philip J.
Langridge, director, acquired 100,000 shares; Neville W. Kirchmann,
director, acquired 50,000 shares; and Glen D. Foreman, director,
acquired 25,000 shares.

Due to the relationship between the directors and officers and the
Company, the private placement is considered to be a "related party
transaction" as defined under Ontario Securities Commission Rule 61-501
(the "Rule"), however, it is exempt from certain applications of the
Rule on the basis that the common shares of the Company issued to the
directors and officers represents less than 25% of the current market
capitalization of the Company. On a diluted basis, directors and
officers of the Company have collectively increased their ownership in
the Company by 8.36%. The private placement shares are subject to a
required four month hold period and no discounts or warrants were
offered or issued in connection with the private placement.

About Clearly Canadian

Based in Vancouver, B.C., Clearly Canadian markets premium alternative
beverages, including Clearly Canadian® sparkling flavoured water,
Clearly Canadian O+2® oxygen enhanced water beverage and Tre Limone®
which are distributed in the United States, Canada and various other
countries. Additional information on Clearly Canadian may be obtained on
the world wide web at www.clearly.ca.

Statements in this news release that are not historical facts are
forward-looking statements that are subject to risks and uncertainties.
Words such as "expects", "intends", "anticipates", "likely", "believes"
and words of similar import also identify forward-looking statements.
Forward-looking statements are based on current expectations and
analyses, including the Company's ability to raise additional debt
and/or equity financing to fund operations and working capital
requirements, the Company's analysis of its current and future sales and
sales trends, it product distribution systems, as well as anticipated
changes thereto, the Company's expectations regarding the effects of its
restructuring efforts and its product distribution, promotional and
marketing activities and the potential benefits of such efforts and
activities on the Company's results of operations in future periods.
Actual results may differ materially from those currently anticipated
due to a number of factors including, but not limited to, the Company's
ability to generate sufficient cash flows to support general operating
activities and capital expansion plans, general economic conditions,
changing beverage consumption trends of consumers, competition, pricing
and availability of raw materials, the Company's ability to maintain the
current and future retail listings for its beverage products and to
maintain favourable supply, production and distribution arrangements,
laws and regulations and changes thereto that may affect the way the
Company's products are manufactured, distributed and sold and other
factors beyond the reasonable control of the Company. Additional
information on factors that may affect the business and financial
results of the Company can be found in filings of the Company with the
U.S. Securities and Exchange Commission and with the British Columbia
and Ontario Securities Commissions.

CLEARLY CANADIAN BEVERAGE CORPORATION

Douglas L. Mason, President and C.E.O.

CLEARLY CANADIAN BEVERAGE CORPORATION is the registered holder of
various trademarks, including CLEARLY CANADIAN®. CLEARLY CANADIAN
BEVERAGE CORPORATION, and its wholly owned subsidiaries, produce,
distribute and market CLEARLY CANADIAN®, CANADIAN O+2® and TRE
LIMONE®.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Clearly Canadian Beverage Corporation
    Valerie Samson
    Manager, Communications
    1-800-663-5658 (USA) or 1-800-663-0227 (Canada)
    Email: vsamson@clearly.ca
    or
    Clearly Canadian Beverage Corporation
    Clive Shallow
    Manager, Shareholder Relations
    1-800-663-5658 (USA) or 1-800-663-0227 (Canada)
    Email: cshallow@clearly.ca
    Website: www.clearly.ca