Saratoga Beverage Group Reports Year-End Results; Revenues Increase 42%

Business Wire, March 31, 1999

SARATOGA SPRINGS, N.Y.--(BUSINESS WIRE)--March 31, 1999--Saratoga Beverage Group, Inc., (NASDAQ:TOGA), a cutting-edge leader in the fresh juice and spring water industry, today announced results for the year ended December 31, 1998.

Revenue increased 42% to $8,881, for the year ended December 31, 1998 compared to $6,270, (in thousands) for the year ended December 31, 1997. Operating income rose 61% to $1,092, during the year versus $680, (in thousands) for the comparable period. Earnings per share (fully diluted) were $0.26 versus $0.25, taking into account a non-reoccurring reserve of approximately $400,000.

Robin Prever, President and Chief Executive Officer, commented, "1998 represented a year of planning and transition for Saratoga. We are greatly enthused as we enter 1999 refocused, with an aggressive merger and acquisition strategy, strong corporate infrastructure, continue brand building of our current product line through innovative new packaging, and maintain consistent focus on new product development. It is with the best interest of our shareholders always at the forefront that we forge ahead."

Saratoga Beverage Group, Inc. is the parent company of Saratoga Spring Water, America's first bottled water company, and the Fresh Juice Company, America's leader in the fresh citrus juice category and Hansen's Juices. Saratoga's premium beverage line includes sparkling and non-carbonated spring water products, fresh squeezed and frozen fresh squeezed citrus juice, fresh fruit smoothies, nutraceutical enhanced and other beverages marketed under the labels "Saratoga", "Saratoga Splash", "Fresh Pik't", "Fresh Juice", "Hansen's", "Ulimate" and "Just Pik't".

The information contained in this press release, including any "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's annual report on Form 10-K and other publicly available information regarding the Company, copies of which are available from the Company upon request. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the Company. -0-

                         TWELVE MONTHS ENDED
                             DECEMBER 31
                         1998           1997
                            (in thousands)

Revenue                 $8,881         $6,270
Gross Profit            $3,358         $2,508
Operating Income        $1,092         $  680
Net Income              $  867         $  804
Basic EPS               $ 0.27         $ 0.28
Diluted EPS             $ 0.26         $ 0.25