Reed : Investor Presentation

Reed's Investor

Presentation

NASDAQ:REED | September 2022

Cautionary Note Regarding Forward-Looking Statements

Statements in this presentation that are not historical are forward-looking statements made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are typically identified by terms such as "estimate," "expect," "forecast," "guidance," "intend," "calculated," "likely," "financial outlook," "plan, "potential," "predict," "probable," "project," "seek," "should," "will," and similar expressions. These forward-looking statements are based on current expectations and include our, management's expectations and guidance for fiscal year 2022 under the heading "FY 2022 Financial Guidance and Outlook". The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties, and assumptions, many of which involve factors or circumstances that are beyond our control. Reed's 2022 guidance reflects year-to-date and expected future business trends and includes impacts of COVID-19 on the supply chain and logistics as of the date hereof. New supply chain challenges that may develop and further potential inflation cannot be reasonably estimated and are not factored into current fiscal 2022 guidance. These risks could materially impact our ability to access raw materials, production, transportation and/or other logistics needs.

Financial guidance should not be viewed as a substitute for full financial statements prepared in accordance with GAAP.

If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, Reed's actual results could differ materially from the results expressed or implied by the forward-looking statements we make, including our ability to achieve our targets for the fiscal year ending December 31, 2022. The risks and uncertainties referred to above include, but are not limited to: risks associated with current economic uncertainties tied to the COVID-19 pandemic, including but not limited to its effect on customer demand for our products and services and the impact of potential delays in supply of product inputs and customer payments; risks associated with new product releases; the impacts of further inflation; risks that customer demand may fluctuate or decrease; risks that we are unable to collect unbilled contractual commitments, particularly in the current economic environment; our ability to compete successfully and manage growth; our significant debt obligations; our ability to develop and expand strategic and third party distribution channels; our dependence on third party suppliers, brewers and distributors risks related to our international operations; our ability to continue to innovate; our strategy of making investments in sales to drive growth; increasing costs of fuel and freight, protection of intellectual property; competition; general political or destabilizing events, including war, conflict or acts of terrorism; the effect of evolving domestic and foreign government regulations, including those addressing data privacy and cross-border data transfers;

and other risks detailed from time to time in Reed's public filings, including Reed's annual report on Form 10-K filed on April 15, 2022 and subsequent reports filed with the Securities and Exchange Commission, including Reed's Quarterly Report on Form 10-Q expected to be filed on or about May 16, 2022, which are available on the Securities and Exchange Commission's web site at www.sec.gov. These forward-looking statements are based on current expectations and speak only as of the date hereof. Reed's assumes no obligation and does not intend to update these forward-looking statements, except as required by law.

Reed's Inc® is a leading innovator that provides the world with high quality and naturally bold™ better-for-you beverages.

Strong History of Leading the Ginger Category

					•	Ginger Ale
		Headquarters moved to	• Ready to Drink Mule
		•	Reed's Ginger
			Norwalk, CT
						Wellness Shots
					•	Restaged Craft
						Ginger Candies	NEW! Virgil's Zero Sugar
							Brand Refresh
					Reed's Can
			Virgil's Can	Launch		Launched in
Reed's original Ginger			Launch			Sprouts (2021)
Brew was first	Acquired Virgil's	Nasdaq
introduced to the
market in SoCal	Root Beer	IPO

1987

1989

1990

1999

2006

2011

2018

2019

2020

2021/22

Developed	Gained national	Reed's launches ZERO
Reed's Original	distribution with	line of all natural no	Reed's Ginger	Reed's Zero Sugar
Ginger Brew	UNFI	sugar Virgil's sodas
Beer Cans	Extra Ginger Beer
		sweetened with Stevia
		Launched	Launched
				Launched in Publix
		Virgil's
		Zero Sugar cans launched		NEW! Reed's Ginger
				Ale Mocktails
				Appointed New
				Management Team

NEW! Hard Ginger Ale

Early Stages of Capitalizing on Significantly Larger TAM

• Plan to continue leading the category in
  "All Things Ginger"
• Drive growth & improve profitability through our challenger brands
• • Ginger Ale - launched 2020
  • Hard Ginger/Mule - soft launch 2021, rolling out 2022
  • Virgil's Zero Sugar Rebrand - rolling out 2022

2020+

RTD/FMB1

$7B+

XXXX

Ginger Ale2

$1.4B

Ginger Beer2

$160M1987 - 2020

1. Source: Nielsen, UBS Analysis
2. Source: SPINS TPL SS Soda Category, 52 Weeks Ending 9/5/2021