Thomas Gillespie, president and chief executive officer of Aqua Vie Beverage Corporation (OTC Bulletin Board: AVBC), announced today that recent funding is enabling the company to escalate its distribution in both California and New York, while making initial shipments to the Caribbean, a market Gillespie describes as "exuberant."

With retail distribution beginning in northern California this week and commencing the week of June 26 in southern California, consumers may expect to find product in various convenience and grocery chains, including Circle K, 7-Eleven, Ralph's and Albertson's.

In the New York Metropolitan Area, including parts of Long Island and Suffolk County, Aqua Vie begins retail distribution this week through National Supermarket Association (NSA) stores. NSA is comprised of several hundred independently owned supermarket chains, including Key Food, MetFood, FineFare and Bravo stores. Aqua Vie Hydrators(TM) will be prominently featured, with in-store demonstrations by various stores in the NSA system throughout July and August.

Gillespie indicated that expansion of Aqua Vie's retail distribution on both coasts is being accompanied by attractive point-of-purchase displays, including colorful brochures, shelf-talkers and barrel coolers, with regional radio promotion to resume in July. "Additional funding is resulting in the immediate escalation of distribution to a new level on both coasts and will add significant market presence for Aqua Vie Hydrators(TM) among some of the most popular and highest volume outlets in their respective regions," said Gillespie. "We see excellent momentum going into summer," he added.

Aqua Vie Beverage Corporation develops and markets all natural, lightly flavored, still (non-carbonated) bottled spring water. The company's low-calorie alternative beverages are bacteria-free and contain no preservatives. Aqua Vie produces and markets the Hydrator(TM) line of beverages in the United States and Europe. This beverage line, comprised of seven low-calorie, all-natural beverages that are lightly flavored and packaged in half-liter bottles, is designed to increase one's personal consumption of water, naturally. The underlying technology also serves as the new delivery system for Aqua Vie's nutritionally fortified E Line(TM) -- Elixir(TM), Empower(TM), and Ecstasy(TM); its nutritionally specific line of Aquaceuticals(TM); and Aqua Vie's nonalcoholic wine and champagne beverages made from spring water. For further information about Aqua Vie Beverage Corporation, visit the company's web site at www.aquavie.com.

NOTE: Statements contained in this release that are not strictly historical are forward-looking within the meaning of the safe harbor clause of the Private Securities Litigation Reform Act of 1995. These statements are made based upon information available to the company at the time, and the company assumes no responsibility to update such forward-looking statements. Editors and investors are cautioned that such forward-looking statements invoke risk and uncertainties that may cause the company's actual results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to, demand for the company's product both domestically and abroad, the company's ability to continue to develop its market, general economic conditions, and other factors that may be more fully described in the company's literature and any periodic filings with the Securities and Exchange Commission.