Market Overview

Portland Potato Vodka Reaches First 1,000 Case Month

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Eastside Distilling, Inc. (NASDAQ:ESDI), a producer of award-winning
craft spirits, today announced that its award-winning Portland Potato
Vodka surpassed 1,000 cases sold for the month of October. This
important milestone is an all-time record for the Northwest's premium
potato vodka. Portland Potato Vodka is currently available in 750 ml,
1.75 liter and 50ml sizes. A 375ml bottle is slated for November release.

Portland Potato Vodka has a clean, crisp taste that mixes especially
well in Oregon's favorite cocktails and can be enjoyed straight-up on
the rocks. The key to producing a vodka this smooth is to start with the
right ingredients. Most vodka is made from grain, because it is as much
as two thirds less expensive than potatoes. Potatoes, on the other hand,
are the original source of Vodka and worth the extra expense. Portland
Potato Vodka, the leading locally produced Vodka, also has the pristine
water of Mt. Hood. Potatoes make for a vodka that is low-octane and
exceptionally clean. If you're looking for a tasty gluten free
alternative to grain-based spirits, you've found your drink of choice.

"Portland Potato Vodka is silky through and through. It opens with
refreshing mineral water and gentle ethyl notes. You can finally say
goodbye to the 'burn' that you feel from corn and wheat vodkas.
Absolutely no burning sensation with a sweep of cotton candy sweetness,"
commented Mel Heim, Eastside's Master Distiller.

Portland Potato Vodka recently received a Gold Medal rating by Blue
Lifestyle Seal of Approval (92 points), and a Gold Medal and Best of
Category at the 2017 Los Angeles International Spirits Competition (91
points). The new Hot Potato version of Portland Potato is a habanero
infused variation and is produced in collaboration with the Secret
Aardvark hot sauce company.

Grover Wickersham, CEO of Eastside Distilling, commented, "Our Portland
Potato Vodka continues to gain momentum, as evidenced by our sales more
than tripling from last year to our first ever 1,000 case shipment month
in October. I thank our loyal customers and I encourage them to share
our great Vodka with their friends and family over the holidays and to
ask their local bartenders to start carrying us as a superior local
alternative to Texan and Russian Vodkas."

About Eastside Distilling
Eastside Distilling, Inc. (NASDAQ: ESDI) is located in Southeast Portland's Distillery Row and has been
producing high-quality, master-crafted spirits since 2008. Makers of
award winning spirits, the Company is unique in the marketplace and
distinguished by its highly decorated product line-up that includes
Barrel Hitch American Whiskies, Burnside Bourbon, Below Deck Rums,
Portland Potato Vodka and a distinctive line of infused whiskeys. All
Eastside spirits are master crafted from natural ingredients for
unparalleled quality and taste. The Company is publicly traded under the
symbol NASDAQ: ESDI. For more information, visit: www.eastsidedistilling.com

Important Cautions Regarding Forward-Looking Statements
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; the Company's ability
to continue as a going concern; acceptance of the Company's products in
the market; the Company's success in obtaining new customers; the
Company's ability to obtain additional capital, 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, including the financial statements and related
information contained in the Company's Annual Report on Form 10-K for
the year ended December 31, 2016 filed with the Securities and Exchange
Commission on March 31, 2017. Examples of forward-looking statements in
this release may include statements related to our strategic focus,
product verticals, anticipated revenue and profitability. Further, such
forward looking statements in this press release include but are not
limited to: that the Company's growth will continue on its current
trajectory; the stage is set for significant growth and improved bottom
line performance ahead and beyond; that the second half is traditionally
our busiest of the year, when the Company typically generates close to
70% of its annual business. The Company assumes no obligation to update
the cautionary information in this release.

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