Keltic Financial announces the completion of a $5,000,000 credit facility to Castle Brands, Inc.

August 26, 2011

Castle Brands, a developer and marketer of several beverage alcohol brands, established a $5,000,000 revolving credit facility with Keltic Financial.  The asset-based credit facility provides for borrowings up to $5 million for working capital requirements and other general corporate purposes.  The company intends to use the new Keltic facility to repay its remaining debt and provide $2.8 million of additional liquidity.

“Securing a credit agreement with Keltic Financial, an established corporate lender, underscores the progress Castle Brands has made in enhancing its operations and strengthening its balance sheet.  This facility gives us greater financial flexibility, with increased availability on more favorable terms than our previous arrangements.  We expect the new credit facility and the proceeds from our recent equity offering to provide the financial support required to implement our strategic plan, position us to attract larger agency brands and allow us to make opportunistic purchases of wine and spirits for our core brands to drive additional revenue and bottom line growth.”

Mark Andrews, President and CEO, Castle Brands, Inc.