SOURCE: Pulse Beverage Corporation

Pulse Beverage Corporation

November 28, 2011 09:00 ET

Pulse Beverage Provides 3rd Quarter Results and Corporate Update

DENVER, CO--(Marketwire - Nov 28, 2011) - The Pulse Beverage Corporation (OTCBB: PLSB) ("Pulse" or the "Company"), makers of Cabana™ 100% Natural Lemonades and the PULSE® brand of "good-for-you" NutriPurpose™ beverages today announced its 3rd Quarter results and issued the following corporate update.

Third Quarter 2011 Highlights:

  • Pulse's first two production runs of Cabana™ yielded 18,000 cases and we will produce the balance of 28,000 cases during December 2011 and early January 2012
  • Sales began in October and $40,000 of revenue was recorded in the first month of operations
  • Another 48,000 cases of bottles are arriving in December for production runs in early 2012
  • Ten distributors are under contract and each have purchased product, including a distributor for all of Canada
  • Product is on the shelves of retail outlets in the cities of Denver, Vail, Aspen, Albuquerque, El Paso, Reno, Boise and St. Louis with a new city coming online daily. Pulse's sales team has polled retail stores, the feedback is Cabana™ is selling very well with no advertising of any kind
  • Working capital as at September 30, 2011 is $510,000

Launch of Cabana™ 100% Natural Lemonade Brand

In early 2011, Pulse strategically determined to introduce its Cabana™ 100% Natural Lemonade brand in September ahead of the launch of its PULSE® NutriPurpose™ beverages for the following reasons:

  • The lemonade beverage category offered immediate opportunity due to few competitors. The leader in the category has grown at a rate of 51% over the previous year
  • Lemonades are no longer considered a seasonal beverage and no competitor offered 100% natural ingredients
  • Messaging for Cabana™ is straight-forward: Everyone knows what lemonade is
  • Senior management's years of establishing distributor contacts is allowing Pulse to quickly implement a strong distribution network for Cabana™ which will facilitate and expedite PULSE® NutriPurpose™ beverages introduction via an established network
  • Pulse successfully predicted efficient Cabana™ product penetration attracting a broad demographic without requiring consumer communication

Trade Introduction: Chicago National Association of Convenience Stores "NACS"

In early October Pulse attended the "NACS" Show, a very large beverage show with industry executives from around the globe. The Cabana™ lemonades were featured and product acceptance was exceptional. Pulse's presentation center was one of the busiest at the show and consumers clearly preferred the taste and packaging of Cabana™ 100% Natural Lemonades over the competitors.

Business Outlook

Launch of Pulse® NutriPurpose™ Brand

Pulse intends to launch its Pulse® NutriPurpose™ beverage brand during the first quarter of 2012. Pre-marketing with distributors is underway in conjunction with continued marketing of Cabana™. Pulse aims to position the new beverage lineup as an extension of the successful lemonade introduction through the enthusiastic participation of the newly established and growing distribution network. The NutriPurposed™ "functional" beverage lineup requires increased educational messaging directed at beverage consumers in order to demonstrate the enhanced benefits predicted to drive sales growth. To this end, Pulse's Chief of Product Development and his team are presently reducing calories and aligning the product with hot-fill bottling processes which allows for all-natural ingredients without the use of preservatives.

Future Expansion Plans

Pulse is negotiating co-packing contracts in New Orleans, Louisiana to serve the South and Southeastern states and in Pittsburgh, Pennsylvania to serve the Eastern seaboard. Pulse has completed the first distributor contract for the east coast and is negotiating with eleven additional major distributors. Pulse is also responding to international inquiries regarding the distribution of its beverages from the Philippines, Korea, Mexico, Grand Cayman, Brazil, Argentina and the Bahamas.

Details of the Company's business and agreements can be found as part of the Company's continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission's ("SEC") EDGAR database. For more information, please visit: www.pulsebeverage.com.

PULSE® and PULSE: NUTRITION MADE SIMPLE® are registered trademarks of The Pulse Beverage Corporation.

About The Pulse Beverage Corporation (OTCBB: PLSB)
The Pulse Beverage Corporation is a development stage company preparing to manufacture, distribute and market the PULSE® brand of NutriPurpose™ beverages originally developed by a major healthcare company and containing effective ingredients widely considered to be critical to adult health. For more information: www.pulsebeverage.com.

The above statements have not been evaluated by the Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease.

Notice Regarding Forward-Looking Statements
This news release contains "forward-looking statements" as that term is defined in Section 27A of the United States Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, regulatory incentives, the development of new business opportunities, and projected costs, revenue, profits and results operations. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with new projects and development stage companies. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that any beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that any such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K for the most recent fiscal year, our quarterly reports on Form 10-Q and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

ON BEHALF OF THE BOARD
The Pulse Beverage Corporation
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Robert E. Yates
Chairman and CEO

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