Green Mountain Coffee, Inc. (NASDAQ:GMCR) announced today that it is increasing distributor pricing on Green Mountain Coffee K-Cups(TM), the single-serve portion-pack coffee cartridges used in conjunction with the Keurig® coffee brewer, to brew a single cup of coffee. At the same time, Green Mountain Coffee announced that it is investing in programs to enable K-Cup distributors to more effectively grow the Keurig portion of their businesses.

The new distributor pricing, effective today, increases the price of K-Cups by $.03 for distributors of K-Cups and fractional packages of Green Mountain Coffee, and $.05 for distributors of only K-Cups.

Green Mountain Coffee, Inc. also announced that effective today, it is eliminating the shipping charges associated with K-Cup shipments to all distributors. Additionally, the Company announced that it is expanding its K-Cup coffee line. Selected best-selling and super premium Green Mountain coffees will be packaged in K-Cups and introduced this November.

Steve Sabol, Vice President of Sales for Green Mountain Coffee Roasters, said "Over the years we have made a significant financial commitment to develop the Keurig business. This price increase will enable us to make further investments in training, new products, and merchandising support so we can maintain the leadership position that Green Mountain Coffee Roasters and its K-Cup distributors currently enjoy in this business channel."

Green Mountain Coffee, Inc. is a leader in the specialty coffee industry. The Company roasts high-quality arabica coffees and offers over 60 varieties including single-origin, estate, certified organic, Fair Trade, proprietary blends, and flavored coffees that it sells under the Green Mountain Coffee Roasters® brand. The majority of Green Mountain Coffee's revenue is derived from its wholesale operation which services restaurant, supermarket, specialty food store, convenience store, food service, in-room hotel hospitality, university, airline, train, and office coffee service customers. Green Mountain Coffee also operates a direct mail operation and e-commerce website (http://www.GreenMountainCoffee.com) with secure on-line ordering for customers from its Waterbury, Vermont headquarters.

Certain statements contained herein are not based on historical fact and are "forward-looking statements" within the meaning of the applicable securities laws and regulations. Owing to the uncertainties inherent in forward-looking statements, actual results could differ materially from those set forth in forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, fluctuations in availability and cost of green coffee, competition and other business conditions in the coffee industry and more generally in the food and beverage industry, the impact of the loss of one or more major customers, economic conditions, variances from budgeted sales mix and growth rate, the impact of a tighter job market, weather and special or unusual events, as well as other risk factors as described more fully in the Company's filings with the Securities and Exchange Commission.