Clearly Canadian announces completion of private placement.

VANCOUVER, BRITISH COLUMBIA--(BUSINESS WIRE)--July 3, 1996-- Clearly Canadian Beverage Corporation (the "Company") wishes to announce that it has completed its private placement of 2,025,000 special warrants at a price of $3.15 per special warrant. Each special warrant is exchangeable, for no additional consideration, into units, with each unit being comprised of one common share and one non-transferable share purchase warrant. Each share purchase warrant entitles the holder to acquire one additional share at a price of $4.00 per share until July 2, 1997. The Company has agreed to qualify the underlying securities to the special warrants by the filing of an exchange offering prospectus. If a receipt for a final exchange offering prospectus is not issued on or before October 30, 1996, each special warrant will then be exchangeable into 1.1 common shares and 1.1 non-transferable share purchase warrants. Finders' fees (totalling 20,000 shares and $229,162.50) have been issued/paid to registered dealers and other arm's length third parties in connection with the private placement.

The Company also wishes to announce that it has entered into an investor relations agreement with IRG Investors Relations Group Ltd. ("IRG") of Vancouver, British Columbia. The Company has engaged IRG for a one year term to provide corporate and investor relations services to the Company. Under the agreement, IRG will provide a variety of corporate and investor relations services, including arranging broker and analyst meetings, arranging attendance or representation of the Company at beverage and analyst meetings, and in assisting in the preparation of various corporate and product related materials.

ON BEHALF OF THE BOARD OF DIRECTORS

Douglas L. Mason Director, Chief Executive Officer and President

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

CLEARLY CANADIAN BEVERAGE CORPORATION is the registered holder of the trademark CLEARLY CANADIAN(R).

CLEARLY CANADIAN BEVERAGE CORPORATION, and its wholly owned subsidiaries, manufacture, distribute and market CLEARLY CANADIAN(R), CLEARLY TEA(TM), CLEARLY 2(TM), CLEARLY CANADIAN QUENCHER(TM) AND ORBITZ(TM) flavoured and unflavoured beverages. Through distribution and/or licensing agreements, CLEARLY CANADIAN products are sold throughout the United States, Canada, Japan, the United Kingdom, the Republic of Ireland, the Caribbean and numerous other countries worldwide.

CONTACT: Clearly Canadian Beverage Corporation

Douglas L. Mason, 604/683-0312

604/683-2256 (Fax)

1-800-663-5658 (Toll Free in U.S.A.)

1-800-663-0227 (Toll Free in Canada)