Trading Statement

Blavod Extreme Spirits PLC
25 September 2006


                           Blavod Extreme Spirits plc

                          ('the Company' or 'Blavod')


                        Trading Update and Board Changes


Blavod Extreme Spirits plc (BES.L) is issuing this trading update to coincide
with the anticipated completion of the six month interim period ending on 30
September 2006. Whilst final interim results can be affected by remaining orders
at the end of the period, it is expected that turnover for the company during
the period April to September 2006 will have increased by approximately 53% over
the same period last year.


Turnover in the UK is expected to show an increase of approximately 39%
year-on-year. The Group's Blavod Black Vodka brand showed strong gains in the
duty free sector and the UK domestic market continued to increase steadily.


Turnover in the US is expected to show an increase of approximately 61%, with
growth coming from the Group's Players Extreme Vodka and Blavod Black Vodka
together with a contribution from the Group's Tequila Joint Venture.


Joint Venture


Our joint venture agreement with Suntory International Corporation, a US
subsidiary of Suntory Limited, Asia's leading producer of wine and spirits and
one of the largest beverage alcohol companies in the world has had positive
results. As a result of the consumer acceptance of our new tequila El Diamante
del Cielo, the brand would already be ranked in the top 10 most successful
premium tequila launches in the US over the last five years, while only launched
in 37 states in the US. It is anticipated this brand will continue to deliver
positive benefits for years to come.


Partnerships


The Group continues to form partnerships with other drinks companies to
distribute their brands in the UK and US. In the UK the Group distributes Mickey
Finn, Fernet Branca, Cockspur, Molinari Sambuca and the wines of the Domaines de
Baron Rothschild. The representation and distribution relationships have all
made positive contributions, with anticipated turnover from agency brands up
over 45% versus the same period last year. These partnerships have made useful
contributions and increased the Group's presence amongst key distributors. In
the period further distribution relationships were added including the premium
New Zealand wine Matariki.



Board of Directors


The Company's Board has made a decision to reduce its size to be more in line
with a Company of our size. To that effect, Fred Read, Richard Ambler and Willie
Phillips have stepped down from the Board, but will remain in their operating
positions within the Company. The Board will continue to have four Non-Executive
Directors Colin Campbell, Lawrence Banks, Robert Levin, David Falk and two
Executive Directors Jeffrey Hopmayer and Tony Murphy.


Commenting on the anticipated results, Chief Executive Officer, Jeff Hopmayer,
said:


'We have continued to benefit from the growth of our core brands Blavod Black
Vodka, El Diamante del Cielo Tequila and the Players Extreme range. Sales in the
UK and the US have increased substantially. We expect the joint venture with
Suntory to contribute strongly to the Group's profitability in the future.


Our UK operation is currently operating at its best performance level in the
last five years which is ahead of management expectations and bodes well for the
important second-half.


Our results and the growth being achieved by our brands is encouraging,
especially as we move into the important second-half selling season, which is
traditionally the best trading period for the industry and represented
approximately 60% of our turnover last year.


As I've said in the past, we are focused on making the right long term
investments to grow our brands and create long term value for our shareholders.'


The company is expected to issue full six month interim results at the end of
November.


Enquires:


Blavod Extreme Spirits plc

Jeff Hopmayer, Chief Executive                 001 615 771 9111
Tony Murphy, Finance Director                  001 615 771 9111

Brewin Dolphin Securities Ltd
Mark Brady                                        011 3241 0130
Keith Williams                                    011 3241 0130




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