Diedrich Coffee Hires New Vice President of Sales

IRVINE, Calif., June 26 // PRNewswire-FirstCall // -- Diedrich Coffee, Inc. (Nasdaq: DDRX) today announced that James L. Harris has joined the company as Vice President of Sales. Mr. Harris has extensive experience in sales management and building consumer brands. Mr. Harris will be based in Irvine, California and will manage the company's sales team throughout the United States and Canada.

"We are extremely excited to add someone of James' caliber to our team," said Russ Phillips, President and Chief Executive Officer of Diedrich Coffee. "In addition to bringing world class sales and marketing experience, James understands the untapped growth potential of the Diedrich, Coffee People and Gloria Jean's brands. James will play a key role in the future growth of Diedrich Coffee."

Mr. Harris was most recently with Hansen's Beverage Company as the Vice President of International Sales for the Monster Energy Drink brand. Previously, he served as the Sr. Vice President of Sales for the Western Region with Fiji Water and held various positions with Haagen-Dazs Ice Cream and the Pepsi-Cola Bottling Group.

About Diedrich Coffee

With headquarters in Irvine, California, Diedrich Coffee specializes in sourcing, roasting and selling the world's highest quality coffees. The Company's three brands include Diedrich Coffee, Gloria Jean's Coffees and Coffee People. Diedrich Coffee sells its coffees through company-operated and franchised retail locations, office coffee service distributors, restaurants and specialty retailers, and via the Company's web stores. For more information about Diedrich Coffee, call (800) 354-5282, or visit the Company's web sites at http://www.diedrich.com, http://www.coffeepeople.com and http://www.gloriajeans.com.

Forward Looking Statements

Statements in this news release that relate to future plans, financial results or projections, events or performance are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and fall under the safe harbor. Actual results and financial position could differ materially from those anticipated in the forward-looking statements as a result of a number of factors, including, but not limited to, the financial and operating performance of the Company's wholesale operations, the Company's ability to maintain profitability over time, the successful execution of the Company's growth strategies, franchisee's adherence to the Company's practices, policies and procedures, the impact of competition, the availability of working capital, and other risks and uncertainties described in detail under "Risk Factors and Trends Affecting Diedrich Coffee and its Business" in the Company's annual report on Form 10-K for the fiscal year ended June 27, 2007 and quarterly report on From 10-Q for the quarter ended March 5, 2008.

SOURCE Diedrich Coffee, Inc.

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