SOURCE: Drinks Americas Holdings, Ltd.

June 24, 2005 07:34 ET

Drinks Americas Announces Intent to Purchase Rheingold

WILTON, CT -- (MARKET WIRE) -- June 24, 2005 -- Drinks Americas Holdings, Ltd. ("Drinks") (OTC BB: DKAM) today announced that it had entered into a letter of intent with Rheingold Brewing Company, Inc. for the purchase of Rheingold Beer. Upon completion of the transaction, Drinks Americas will become the exclusive producer and marketer of Rheingold Beer, famous in New York since 1883. The transaction is subject to definitive documentation and certain consents. Assuming all closing conditions are met, Drinks expects to close the transaction within the next thirty (30) days.

Patrick Kenny, CEO of Drinks, stated, "Drinks' business plan is to bring to market brands that have the benefit of association with icons. The Rheingold trademark and brand is considered a New York icon, known and enjoyed throughout the market. Rheingold fits well into our distribution network since many of our non-alcoholic distribution partners are beer wholesalers. Rheingold will benefit in a number of ways from the synergy which comes from being a brand within Drinks as opposed to an independent company. Drinks will benefit from the prestige of the Rheingold brand and from a quality product being added to its sales and distribution system. We are also excited about the prospect that Norm Snyder, the current Chief Operating Officer of Rheingold and SOBE veteran, will be joining Drinks' management team."

Norm Snyder, the President of Rheingold, stated, "The board members and shareholders of Rheingold feel that the opportunity to be a part of the overall Drinks Americas business model increases our chance to add value and build a strong Rheingold brand in both the Metro New York market and, over time, grow to an expanded market base."

Drinks develops, owns, markets, and distributes alcoholic and non-alcoholic premium beverages, often associated with icon celebrities or targeted demographics.

Drinks Americas' portfolio of premium alcoholic beverages includes Willie Nelson's Old Whiskey River Bourbon and Bourbon Cream, Roy Yamaguchi's Y Sake, Aguila Tequila, Normans Wines from Australia's oldest winery, and Drinks' award winning Cohete Rum Guarana from Panama. Drinks Americas' subsidiary, Drinks Global Imports LLC, also imports a variety of super premium fine wines.

Old Whiskey River, Y Sake, Aguila Tequila and Cohete Rum are award winning gold or silver medal award winners from the International Beverage Tasting Institute and the San Francisco Wine and Spirits competition. The company is also the U.S. distributor for Damiana the Mexican Liqueur.

Drinks Americas' portfolio of premium non-alcoholic brands include Swiss T (imported naturally brewed tea made with pure cane sugar), and the recently launched Newman's Own All Natural Sparkling Fruit Juice Drinks.

Except for the historical information contained herein, the matters set forth in this press release, including the description of the company and its product offerings, are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the historical volatility and low trading volume of our stock, the risk and uncertainties inherent in the early stages of growth companies, the company's need to raise substantial additional capital to proceed with its business, risks associated with competitors, and other risks detailed from time to time in the company's most recent filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date hereof. The company disclaims any intent or obligation to update these forward-looking statements.

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Contact Information

  • Contact:

    Drinks Americas Holdings, Ltd.
    372 Danbury Road
    Wilton, CT 06903
    Att: Charles Davidson

    Investor Relations:

    Strategic Growth International
    Stanley Alschuler
    212 838 1444