Cosi, Inc. Signs Exclusive Multi-Year Agreement with Coca-Cola Fountain and Coca-Cola Enterprises.

Business Editors

NEW YORK--(BUSINESS WIRE)--Jan. 7, 2003

New York-based restaurant company, Cosi, Inc. (NASDAQ: COSI), Coca-Cola Fountain, part of The Coca-Cola Company (NYSE: KO), and Coca-Cola Enterprises (NYSE: CCE) announced today an exclusive multi-year beverage supply and marketing agreement to offer Coca-Cola beverages at Cosi restaurants nationwide.

"We are thrilled to be entering into this relationship with the Coca-Cola system. We believe that their proven industry leadership and innovative products and services will enhance our customers' experience," says Cosi Vice President of Marketing, Jamie Mattikow.

Among the Coca-Cola brands that Cosi will be dispensing are Coca-Cola, Diet Coke, Sprite, Barq's Root Beer, Minute Maid, Dasani Water and Nestea Iced Tea. The two companies will launch a variety of joint marketing initiatives that will feature both Cosi signature products and Coca-Cola beverages.

"Cosi is a rapidly growing concept within the fast-casual restaurant category," said Tom A. Moore, president of Coca-Cola Fountain. "Coca-Cola Fountain is excited about the opportunity to partner with a new customer and showcase how our customers can count on Coca-Cola to grow their business."

Cosi restaurants feature signature bread and coffee products in a unique environment that changes throughout the day. Cosi offers breakfast, lunch, afternoon coffee, dinner and dessert menus full of creative, cravable foods and beverages. From morning Squagels(R) (square bagels made from Cosi bread) to award-winning sandwiches and pizzas, Cosi has developed featured foods that are built around a secret, generations-old recipe for crackly crust flatbread. These products are freshly baked in front of customers throughout the day in open flame stone hearth ovens prominently located in each of the restaurants. The Cosi vision is to become America's favorite cafe by giving every customer something to look forward to in their day.

The Cosi menu features Squagels, Cosi sandwiches, freshly tossed salads, Warm n' Cosi Melts, Cosidillas (a version of the Mexican classic), soups, pizzas, s'mores and other desserts. Coffee beverages range from simple Cosi brews and traditional lattes to innovative Double Oh Arctic (tm) Mochas and specialty coffee cocktails, featuring the Mocha Kiss(R). Cosi offers friendly and attentive service in a warm and inclusive atmosphere.

Cosi restaurants are designed to be welcoming and comfortable, featuring oversized sofas and eclectic tables and chairs and faux painted walls. As the day progresses, customers notice a subtle change in the environment, as the lights dim, the music changes and Cosi shifts from offering counter service to table service. With the transformation in atmosphere comes a shift in the menu offerings. At 5 p.m., alcohol and coffee cocktails become available, as do after-work appetizers, entrees and an assortment of Cosi decadent desserts.

There are more than 90 Cosi and Cosi Downtown locations in eleven states across the country including Massachusetts, Connecticut, New York, New Jersey, Pennsylvania, Virginia, Maryland, Illinois, Ohio, Michigan, Wisconsin and the District of Columbia.

Coca-Cola Fountain is part of The Coca-Cola Company, the world's largest beverage company and leading producer and marketer of soft drinks. Along with Coca-Cola, recognized as the world's best-known brand, the Company markets four of the world's top five soft drink brands. Through the world's largest distribution system, consumers in nearly 200 countries enjoy Coca-Cola products at a rate of more than one billion servings each day.

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. This press release contains statements that constitute forward-looking statements under the federal securities laws. Forward-looking statements are statements about future events and expectations and not statements of historical fact. Forward-looking statements are based on management's beliefs, assumptions and expectations of our future economic performance, taking into account the information currently available to management. Forward-looking statements involve risks and uncertainties that may cause our actual results, performance or financial condition to differ materially from the expectations of future results, performance or financial condition we express or imply in any forward-looking statements. Factors that could contribute to these differences include, but are not limited to: the cost of our principal food products; fluctuations in our quarterly results; labor shortages or increased labor costs; increased government regulation; changes in consumer preferences and demographic trends; supply and delivery shortages or interruptions; increasing competition in the fast casual dining segment of the restaurant industry; market saturation due to new restaurant openings; expansion into new markets; inadequate protection of our intellectual property; the rate of growth of general and administrative expenses associated with building a strengthened corporate infrastructure to support our growth initiatives; adverse weather conditions which impact customer traffic at our restaurants; and adverse economic conditions. Further information regarding factors that could affect our results and the statements made herein are included in our filings with the Securities and Exchange Commission.