Boeing to Be Fueled by Tully's Handcrafted Coffee; Employee-Driven Agreement Allows Seattle-based Roaster to Operate Multiple Stores at Aerospace Company's Facilities

Business Wire, Feb 27, 2006

SEATTLE -- Tully's Coffee Corporation (Tully's), the Pacific Northwest's largest handcrafted coffee roaster, has struck a deal with Boeing, the world's leading aerospace company, to open and operate stores at the corporation's facilities. Five new stores are currently scheduled for western Washington and other locations may be added later. Three of the stores will be located inside the Everett manufacturing facility; the fourth at the Everett Delivery Center; and the fifth at the new Shared Services Group headquarters in Renton. The first three Tully's stores are scheduled to open this spring and the remaining two stores by year-end. Tully's will run full-service stores that will serve coffee, specialty drinks and food items to the Boeing employees and visitors.

"The addition of Tully's was borne out of employee demand for high-quality espresso service," said Carmin Rosenthal, Boeing food service administrator for Everett, Renton and Bellevue. "The stores are part of our overall plan to create an environment that will enhance collaboration, improve employee and customer satisfaction, and drive overall efficiency."

"This is a great moment for Tully's Coffee," said John Dresel, president and COO of Tully's. "Boeing is an internationally recognized and respected business leader; for Tully's to be chosen to serve Boeing is a marvelous business opportunity and a true honor."

These Tully's Coffee stores will feature the company's signature specialty drinks, fresh baked pastries, and grab-and-go soups, salads, and sandwiches.

About Tully's Coffee Corporation

Founded in 1992, Tully's Coffee Corporation is the Pacific Northwest's largest fully handcrafted coffee roaster and a leading specialty coffee retailer and wholesaler. Through company-operated and licensed specialty retail stores in Washington, Oregon, California, Idaho and Arizona and its global alliance partner in Japan, Tully's premium coffees are available at more than 350 branded locations. Tully's wholesale division also distributes handcrafted coffees and related products via office coffee services, food service distributors, and leading supermarkets located throughout the western half of the United States. Tully's corporate headquarters and roasting plant are located at 3100 Airport Way S. in Seattle, Wash. For more information, call (800) 96-Tully or visit the Web site at www.tullys.com.