Drinks Americas (OTCBB: DKAMD) Receives $2mil Marketing Support for KAH® Tequila

Northern, WI 1/25/12 (StreetBeat) -- Drinks Americas Holdings, Ltd., (OTCBB: DKAMD), a leading developer and marketer of beverage products, is pleased to announce that Worldwide Beverage Imports, LLC., together with Fabrica de Tequilas Finos, S.A. de C.V., the Importers and Distillers of KAH® Tequila, are committing up to $2,000,000.00 in marketing and advertising for DKAMD's national roll out of KAH® Tequila.

Federico G. Cabo, Chairman of the Board of DKAMD, stated that "with the amazing acceptance of KAH® and the National and International distributor line up that Drinks Americas has assembled, 2012 is shaping up to be a break out year."

Cabo added, "Sales targeted at 500,000 50ml's bottles of KAH® per month starting in March are slated for the On Premise Bar and Restaurant market. We have added production capacity to meet Drinks Americas back orders of minis which now exceed $600,000."

Patrick Kenny added, "The $2,000,000 marketing investment by Fabrica de Tequilas Finos, S.A. de C.V allows us to rapidly accelerate and grow the KAH® Tequila brand. Importantly, as we have committed to our shareholders, no further dilution or need to raise equity will occur for Drinks and we will continue to maintain our margins as we grow, as this is a direct investment in brand expansion by the distillery."

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Drinks Americas (OTCBB: DKAMD) Revenue Exceeds $2.4mil from KAH Tequila Sales

Palm Beach, FL 1/3/12 (StreetBeat) -- Drinks Americas Holdings, Ltd., (OTCBB: DKAMD), a leading developer and marketer of beverage products, announced that since September when its transaction with Worldwide Beverage Imports, LLC resulted in the Company acquiring license and distribution rights for the KAH Tequila brand, the Company has shipped over 20,000 cases of KAH, generating over $2.4 million dollars in revenue.

Drinks Americas reports the brand is currently growing at a rate of 900 % over the prior year. Drinks Americas is now selling Kah Tequila in 35 US markets through top national distributors. All distributors have placed second and follow up orders since September. The Company expects to expand KAH Tequila throughout the entire United States in 2012.

Drinks Americas sells the award winning, hand crafted KAH tequila in 50ml and 750ml sizes. Satisfying all tastes, Drinks Americas offers Kah Tequila in 80 proof Blanco, 110 proof Reposado, and exquisitely aged Anejo. The Company also offers an exclusive Extra-Aged KAH Tequila in a distinctive jewel accented bottle. Demand for the KAH 50ml "mini" bottles has been particularly strong in bars and restaurants.

Federico Cabo , Chairman of the Board of Drinks Americas stated, "Drinks Americas sales and marketing of our award winning KAH Tequila has passed our expectations. In order to meet the demands for the 50ml KAH mini bottles, which represent almost 50% of the volume to date, we have recently invested in capital improvements for machinery to increase KAH mini production capacity. In addition to cases shipped to date, Drinks Americas has provided us in excess of $600,000 in end of year orders for the mini size to be shipped in January and February of 2012".

Drinks Americas CEO Patrick Kenny stated, "In our last quarter we saw KAH sales accelerate, with gross margins averaging 23%. With increased production efficiency and turnover we expect margins to exceed 30% in the coming quarter and sales and consumer repeat business to continue to grow."

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Drinks Americas (OTCBB:DKAM) Sales Increase 758% for the Quarter, Margins Improve 131%

Palm Beach, FL 12/12/11 (StreetBeat) -- Drinks Americas Holdings, Ltd., (OTCBB: DKAM), a leading developer and marketer of beverage products, announced that the Company had a net sales increase of 758% and a 131% improvement in gross margin for the quarter ending October 31, 2011. Sales for the three months ending October 31, 2011 were $1,270,589 with a gross margin of 23.8% compared to the prior three months (ended July 31, 2011) of $148,080 with a gross margin of 10.3%. Drinks Americas had a net increase in sales of 758% and a 131% improvement in gross margin for the quarter.

Comparing the same period last year (three months ended October 31, 2010 ) Drinks Americas sales increased by $1,126,947 from $143,642 or 784% with margins of 23.8% compared to 20.8% same period last year (a 14.4% improvement).

On a year to date basis (six months ended October 31, 2011 ) Drinks Americas sales were up 477% reaching $1,418,669 compared to $245,898 for the same period last year. Margins improved 62.5%. Margins were 22.4% for the current period compared to 13.8% for the same period last year.

Drinks Americas net loss for the three months ended October 31, 2011 decreased by 54.2% to $384,203 as compared to $850,415 , an improvement of $466,212 . Year to date (six months ended October 31, 2011 ) was $730,471 compared to $1,748,853 for the same period last year a $1,018,382 or a 58.3% improvement. The result is primarily attributable to the Company's increased sales volume coupled with gross margin improvements.

The Company continued to extinguish debt with an additional $322,000 in gain recognized in settlement of debt. Also impacting results were onetime expenses in the quarter ending October 31, 2011 that were in excess of $380,000. Interest expenses for the quarter were reduced from $204,000 to $56,000.

SGA over six months increased 6.2% however sales commission increases based on increased rate of sales had an $80,000 impact on the continued reduction of costs. Without increased commissions from incremental sales, SGA actually decreased 13%.

The Company's growth was accelerated by access to inventory on favorable terms as a result of Drinks Americas' recent transaction with Worldwide Beverage Imports, LLC and the sales of KAH Tequila, Old Whiskey River Bourbon, and Rheingold Beer.

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