Eastside Distilling Introduces Hue-Hue Coffee Rum

Eastside Distilling, Inc. EAST, makers of craft spirits, announced today the introduction of Hue-Hue Coffee Rum. Hue-Hue (pronounced "way-way") is a fine, coffee-infused rum that starts with Arabica coffee beans grown at the Finca El Paternal Estate in Huehuetenango, Guatemala. This fine free trade coffee is custom light roasted by Portland Roasting Company, then small-batch cold brewed by Eastside by hand, following a proprietary process that has been optimized for spirits by Eastside's Master Distiller, Mel Heim. After brewing, the coffee is hand blended with silver rum and a trace amount of raw Demerara sugar, following our recipe. The result is Hue-Hue, a 70 proof spirit that is "all about the coffee." Hue-Hue is unique in having the full flavor and richness of cold brew coffee, without the syrupy sweetness of sugar-drenched coffee liqueurs. The new Hue-Hue bottle design was created by Sandstrom Partners, a leading spirits branding firm that branded Aviation Gin and Bulleit Bourbon, among others, and with which Eastside works closely.

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Mel Heim, Master Distiller of Eastside, commented, "Our contemporary imagining of coffee rum as a hip incarnation of Pacific Northwest ‘cold brew' is a premium spirit that quickly rose to be the number one seller by volume in our tasting rooms. We were very proud of cold brew coffee rum and we knew we had a hit, but the old ‘Below Deck' bottle it was packed in was keeping its great DNA a secret. The new Sandstrom Hue-Hue bottle fixes that and then some because it explains what our cold brew coffee rum is in a way that is worthy of its premium ingredients and it also tells the fascinating backstory of its Guatemalan and Portland roots. I think that people will see Hue-Hue on the shelf and be attracted to its uniqueness. When they experience it, I think they will convert to Hue-Hue as their coffee spirit, the same way they've converted to cold brew as their coffee of choice."

The Hue-Hue name is derived from Huehuetenango, a city in the highlands of western Guatemala where our coffee is sourced. The Hue-Hue bottle design created by Portland's Sandstrom Partner's takes inspiration from Guatemala's burlap coffee sacks that are uniformly labeled throughout the country to convey details of origin. Similarly, the Hue-Hue bottle conveys the Hue-Hue coffee's origin on the El Paternal Estate, its Portland roasting history, and the cold brewing and infusion with select rum. It authentically represents a unique Guatemalan coffee that has been roasted and brewed by hand in Portland, then blended with select silver rum in small batches. Eastside's popular Below Deck Coffee Rum, upon which Hue-Hue is based, has been replaced by Hue-Hue. At present, Hue-Hue is only distributed in Oregon, but the Company is planning distribution outside Oregon later in 2018.

About Eastside Distilling

Eastside Distilling, Inc. EAST has been producing high-quality, award-winning craft spirits in Portland, Oregon, since 2008. The company is distinguished by its highly decorated product lineup that includes Burnside Bourbon, West End American Whiskey, Goose Hollow Reserve, Below Deck Rums, Portland Potato Vodka, Hue-Hue Coffee Rum and a distinctive line of fruit infused spirits. Eastside Distilling is majority owner of Big Bottom Distilling (makers of The Ninety One Gin, Navy Strength Gin and Delta Rye whiskey) and the Redneck Riviera Whiskey Co. All Eastside, Big Bottom and Redneck Riviera spirits are crafted from natural ingredients for quality and taste. Eastside's MotherLode Bottling subsidiary is one of the Northwest's leading independent spirit bottlers and ready-to-drink canners. For more information visit: www.eastsidedistilling.com or follow the company on Twitter and Facebook.

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Certain matters discussed in this press release may be forward-looking statements. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; acceptance of the Company's products in the market; the Company's success in obtaining new customers; the Company's success in product development; the Company's ability to execute its business model and strategic plans; the Company's success in integrating acquired entities and assets, and all the risks and related information described from time to time in the Company's filings with the Securities and Exchange Commission ("SEC"), including the financial statements and related information contained in the Company's Annual Report on Form 10-K and interim Quarterly Reports on Form 10-Q. Examples of forward-looking statements in this release may include statements related to our strategic focus, product verticals, anticipated revenue, and profitability. The Company assumes no obligation to update the cautionary information in this release.

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