Clearly Canadian Announces That it Will Not be Proceeding With a Private Placement With Pamodzi Food.

VANCOUVER, British Columbia--(BUSINESS WIRE)--May 12, 1999--

Clearly Canadian Beverage Corp. ("Clearly Canadian") (TSE:CLV) (Nasdaq:CCBC) Wednesday announced that it will not be proceeding with the previously announced private placement with Pamodzi Food and Beverage Inc. ("Pamodzi Food").

Pamodzi Food has advised Clearly Canadian that it was unable to secure its financing for the proposed investment.

Even though the private placement is not completing, Clearly Canadian will still be proceeding with its negotiations to finalize a distribution agreement with Appletiser S.A. (Pty) Ltd. ("Appletiser") to distribute the Appletise line of beverages in North America. Clearly Canadian was introduced to Appletiser through Pamodzi Food.

Appletiser is a South African-based beverage company that produces 100 percent pure non-alcoholic sparkling fruit beverages. Appletiser's products include Appletise, a natural sparkling apple juice and Grapetise, a natural sparkling grape juice -- both red and white variants -- targeted at the premium niche market.

Appletiser's products are produced at a manufacturing facility in the Elgin Valley, Western Cape, South Africa where their fruit farm is based which provides high quality fruit for the production of its fruit juices. Appletiser's products are distributed throughout South Africa, the United Kingdom, Japan, Canary Islands, as well as numerous other countries worldwide.

The distribution arrangements between Appletiser and Clearly Canadian are subject to finalizing a mutually satisfactory distribution agreement.

Based in Vancouver, Clearly Canadian is a leading producer of premium alternative beverages, including Clearly Canadian(R) sparkling flavored water, Clearly Canadian O+2(TM), Refresher and Orbitz(R) which are distributed extensively in the United States, Canada and numerous countries worldwide.

Clearly Canadian also owns CC Beverage (U.S.) Corp. (formerly known as Cascade Clear Water Co.), which produces a line of alternative beverages for retail sale in North American and the Pacific Rim, and operates a home/office commercial delivery business in the U.S. Pacific Northwest. Additional information on the company may be obtained in the world wide web at www.clearly.ca.

CLEARLY CANADIAN BEVERAGE CORP. Douglas L. Mason, President and Chief Executive Officer

Note to Editors: CLEARLY CANADIAN BEVERAGE CORP. is the registered holder of the trademark CLEARLY CANADIAN(R). CLEARLY CANADIAN BEVERAGE CORP., and its wholly owned subsidiaries, manufacture, distribute and market CLEARLY CANADIAN(R), CLEARLY CANADIAN O+2(TM), BATTERY(R) and ORBITZ(R) flavored and unflavored beverages. Oy Sinebrychoff Ab of Finland is the registered holder of the trademark Battery(R).