KonaRed Corporation Raises First $500,000 from $12 Million Equity Line

KOLOA, Hawaii, June 2, 2014 /PRNewswire/ -- KonaRed Corporation (OTCBB/OTCQB: KRED), manufacturers of Antioxidant Juices from the exclusive Hawaiian CoffeeBerry®, coffee fruit from Kona, Hawaii, announced today it has completed a drawdown of $500,000 of the $12 million Equity Line in place with Lincoln Park Capital Fund LLC.

"Our Form S-1 was declared "Effective" by the U.S. Securities & Exchange Commission, which therefore allows us to utilize the Equity Line.  We've attempted to choose wisely on our sale of stock. With Lincoln Park, we are dealing with a firm with an excellent reputation and our Equity Line allows us to launch our strategic plans in a very orderly trajectory," said CEO and Founder Shaun Roberts.

"It is important for our investors to realize that this money will be used to manufacture product to supply expected increased demand and other capital needs. The Equity Line provides a low cost of capital and is an efficient method of managing growth," Mr. Roberts said.

Mr. Roberts continued, giving investors a snapshot of KonaRed today:

• We have an exciting, healthy line of unique products which are fully tested and currently in production using proven manufacturing methods.
• Our partnership with VDF FutureCeuticals, Inc. provides us access to high quality scientific research to ensure the quality of our wellness products.
• We've expanded our senior management and Board with talented, experienced and successful individuals.
• Our customer base continues to grow as evidenced by our products being sold on the Mainland by major customers such as Walmart and Vitamin Shoppe.
• Splash Beverages Group, with an historical track record of success, is now aggressively developing new distribution channels to increase our sales.
• We became publicly traded to provide methods to raise capital and the Equity Line now provides us rapid access to investment capital from a reliable source

"I'm pleased with our progress over the last eight months and our team continues to be dedicated to making KonaRed a major success; a revolution in the wellness beverage sector.  We've only just begun and are pushing hard to fulfill our plans going forward," Mr. Roberts concluded.

EQUITY LINE: 
The Equity Line has become increasingly accepted as an attractive and viable solution that meets the financing needs of public companies. Unlike debt, an Equity Line does not charge interest and the funds received through the Equity Line do not have to be repaid. An Equity Line allows a public company to "draw" against its equity on a periodic basis by selling registered shares of common stock to an investor for cash. An Equity Line can provide a reasonably reliable, steady stream of cash that can be used to fund ongoing working capital needs. Equity Lines usually offer less dilution and a lower cost of capital to issuers than other forms of investment. And, unlike secured debt instruments such as convertible debentures, Equity Lines do not have any security interests in the assets of the issuing company so there are no lien filings. Additionally, Equity Lines often are structured in a manner that give issuers the control over the timing and amount of shares that are sold, allowing issuers to determine when capital is raised and at what price. Such is the case with KonaRed's Equity Line which provides the Company with full control over when to sell shares to Linclon Park Capital.

About KonaRed Corporation
KonaRed Corporation produces health and wellness nutritional products including beverages and supplements, which bring the attributes of Hawaiian Coffee fruit to an international consumer market. Our underlying business was established on August 22, 2008 and our first sales were achieved in February 2009. KonaRed became publicly traded through a merger with an existing listed company on October 4, 2013 and trades on the OTCBB and OTCQB under the symbol KRED. KonaRed, through a licensing agreement with VDF FutureCeuticals, Inc., utilizes an innovative, state of the art, proprietary processes that produce antioxidant extracts and powders from Hawaiian Coffee Fruit which are used to produce KonaRed's Antioxidant Juices, Organic Green Teas, and On-the-Go Packs. KonaRed Corporation is headquartered in Koloa, Hawaii, and its distribution is centered in San Clemente California. KonaRed products are sold in select Kroger, Vitamin Shoppe, Whole Foods, Safeway, Walmart, 7-Eleven, and many other retail outlets throughout the US and Canada. More information about KonaRed and its products can be found at www.konared.com.

Forward Looking Statements
Certain information contained in this press release, including any information as to our strategy, plans or future financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Action of 1934. All statements, other than statements of historical fact, are forward-looking statements. The words "believe," "expect," "will," "anticipate," "contemplate," "target," "plan," "continue," "budget," "may," "intend," "estimate," "project" and similar expressions identify forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to its plans or operations. Our actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, without limitation those set forth as "Risk Factors" in our filings with the SEC which can be found at www.sec.gov. There may be other factors not mentioned above or included in the Company's SEC filings that may cause actual results to differ materially from those projected in any forward-looking statement. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.

For Investor and Media Inquiries, please contact:
KonaRed Corporation Investor Relations
E and E Communications
Paul Knopick
Email: [email protected]
Tel 940.262.3584

SOURCE KonaRed Corporation