Cruzan International, Inc. Announces Financial Results for Fourth Quarter and Year Ended September 30, 2005

Cruzan International, Inc. (AMEX:RUM), producer and
distributor of the Cruzan line of rums from the Virgin Islands and a
leading distiller of rum and brandy, and importer and marketer of
premium branded spirits, today reported financial results for its
fourth quarter and year ended September 30, 2005.
   Net sales for fiscal 2005's fourth quarter were $28,994,609,
compared with $26,448,845 reported for fiscal 2004's fourth quarter.
Gross profit was $8,845,935, compared to $5,776,106 in the same period
last year, and fourth quarter net loss was $10,474,669, or $1.55 per
diluted share, compared with a net loss of $2,653,705 or $0.42 per
diluted share, one year ago.
   Net sales for fiscal 2005 were $106,490,680, compared with
$96,415,699 reported for fiscal 2004. Gross profit for fiscal 2005 was
$34,734,946, compared to $29,647,977 in fiscal 2004, and net loss for
fiscal 2005 was $10,652,731, or $1.65 per diluted share, compared with
a net loss of $908,397 or $0.16 per diluted share in fiscal 2004.
   The increase in the net loss for fiscal 2005 was primarily due to
the recording as an expense the obligation of the former majority
owner of the Company to make a payment of $9,000,000 to certain
members of management of the Company. This payment is not an
obligation of the Company and was negotiated between certain members
of management and the former majority owner without the participation
of or ratification by the Company's board of directors or any
committee thereof and does not affect its balance sheet or cash flow
statement. However, under Staff Accounting Bulletin 107 issued by the
Securities and Exchange Commission relating to accounting for expenses
or liabilities paid by principal stockholder(s), this expected payment
is treated as an expense of the Company in the statement of
operations, and as a contribution to additional paid-in capital on the
balance sheet. Not including this non-cash expense, the net loss for
2005 was $1,474,669, or $0.22 per diluted share for the fourth
quarter, and $1,652,731, or $0.26 per diluted share for the full
fiscal year.
   Commenting on the results, Jay S. Maltby, Chief Executive Officer
and President said, "In 2005 we had a change in majority ownership and
are in the process of a merger transaction with affiliates of V&S Vin
& Sprit AB (publ), the owners of Absolut Vodka."
   Mr. Maltby continued, "Sales of Cruzan Rums increased 21% over the
previous year. However, our premium brands segment continued to
sustain losses as we continue to spend heavily on brand promotion.
Operating income in our bulk alcohol segment improved slightly from
last year despite increases in raw material and energy costs,
primarily due to increased sales. The vinegar and cooking wine segment
had a slight sales decline and lower operating income than last year.
The performance in our bottling segment improved as we reduced our
losses by 21% from last year. We saw improved efficiencies resulting
from the previously announced consolidation of our bottling plants and
increased sales due to the acquisition of a large new bottling
contract."
   The Company also reported that the Board of Directors of the
Company has elected Ola Salmen to be the Chairman of the Board.
   Cruzan International, Inc. is a major supplier of rum, brandy and
wine to the beverage alcohol industry. The Company also produces
ultra-premium single-barrel aged rums and tropical rums, vinegar and
other alcohol-related products.
   Statements contained in this press release, other than historical
facts, are "forward-looking statements" within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities
and Exchange Act of 1934. Cruzan intends that such forward-looking
statements shall be subject to the safe harbors created thereby. These
statements involve various risks and uncertainties, including without
limitation those contained in the section entitled "Risks that May
Affect Future Results" in Item 7, "Management's Discussion and
Analysis of Financial Condition and Results of Operations" in Cruzan's
Annual Report on Form 10-K for the fiscal year ended September 30,
2005. As a result, future results may differ materially from the
expected results represented by the forward looking-statements
contained in this press release.
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CRUZAN INTERNATIONAL, INC.
Statements of Operations                               Statement of
                                                         Operations
                                                       as a % of Net
                                   Three Months             Sales
                            -------------------------- --------------
Periods ended
September 30,                   2005         2004       2005    2004
                            ------------- ------------ ------- ------

Net sales                    $28,994,609  $26,448,845   100.0% 100.0%
Cost of sales                 20,148,674   20,672,739    69.5%  78.2%
                            ------------- ------------ ------- ------

Gross profit                   8,845,935    5,776,106    30.5%  21.8%
                            ------------- ------------ ------- ------

Selling, general and
 administrative               11,270,790   10,117,649    38.9%  38.3%
Payment to be made by
 principal stockholder         9,000,000            -    31.0%     -
                            ------------- ------------ ------- ------
                              20,270,790   10,117,649    69.9%  38.3%
                            ------------- ------------ ------- ------

Operating loss               (11,424,855)  (4,341,543)  -39.4% -16.4%
Interest expense                (718,258)    (267,660)   -2.5%  -1.0%
Other income, net                 73,566      (59,161)    0.3%  -0.2%
                            ------------- ------------ ------- ------

Loss before income taxes     (12,069,547)  (4,668,364)  -41.6% -17.7%
Income tax benefit             1,594,878    2,014,659     5.5%   7.6%
                            ------------- ------------ ------- ------

Net loss                    ($10,474,669) ($2,653,705)  -36.1% -10.0%
                            ============= ============ ======= ======

Loss per common share:
  Basic                           ($1.55)      ($0.42)
                            ============= ============
  Diluted                         ($1.55)      ($0.42)
                            ============= ============

Common shares and
 equivalents outstanding
  Basic                        6,747,453    6,338,519
                            ============= ============
  Diluted                      6,747,453    6,338,519
                            ============= ============

Shares outstanding at
  end of period                6,748,056    6,338,519
                            ============= ============
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CRUZAN INTERNATIONAL, INC.
Statements of Operations                               Statement of
                                                         Operations
                                                       as a % of Net
                                       Year                 Sales
                            -------------------------- --------------
Periods ended
September 30,                   2005         2004       2005    2004
                            ------------- ------------ ------- ------

Net sales                   $106,490,680  $96,415,699   100.0% 100.0%
Cost of sales                 71,755,734   66,767,722    67.4%  69.2%
                            ------------- ------------ ------- ------

Gross profit                  34,734,946   29,647,977    32.6%  30.8%
                            ------------- ------------ ------- ------

Selling, general and
 administrative               38,309,226   33,227,358    36.0%  34.5%
Payment to be made by
 principal stockholder         9,000,000            -     8.5%     -
                            ------------- ------------ ------- ------
                              47,309,226   33,227,358    44.4%  34.5%
                            ------------- ------------ ------- ------

Operating loss               (12,574,280)  (3,579,381)  -11.8%  -3.7%
Interest expense              (2,728,475)  (2,226,011)   -2.6%  -2.3%
Other income, net                762,276    1,204,908     0.7%   1.2%
                            ------------- ------------ ------- ------

Loss before income taxes     (14,540,479)  (4,600,484)  -13.7%  -4.8%
Income tax benefit             3,887,748    3,692,087     3.7%   3.8%
                            ------------- ------------ ------- ------

Net loss                    ($10,652,731)   ($908,397)  -10.0%  -0.9%
                            ============= ============ ======= ======

Loss per common share:
  Basic                           ($1.65)      ($0.16)
                            ============= ============
  Diluted                         ($1.65)      ($0.16)
                            ============= ============

Common shares and
 equivalents outstanding
  Basic                        6,451,672    5,800,931
                            ============= ============
  Diluted                      6,451,672    5,800,931
                            ============= ============

Shares outstanding at
  end of period                6,748,056    6,338,519
                            ============= ============
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CRUZAN INTERNATIONAL, INC.
Condensed Consolidated Balance Sheets                Balance Sheet
                                                       as a % of
                                                     Total Assets
                                                  -------------------
                       September     September    September September
                        30, 2005      30, 2004     30, 2005  30, 2004
                      ------------- ------------- --------- ---------
       ASSETS
CURRENT ASSETS
  Cash and short-term
   investments          $3,785,276    $3,833,828       2.8%      3.0%
  Receivables           25,616,285    20,418,736      19.2%     16.0%
  Inventories           31,282,808    29,162,496      23.4%     22.8%
  Other current
   assets                4,885,161     7,736,190       3.7%      6.1%
                      ------------- ------------- --------- ---------
    Total current
     assets             65,569,530    61,151,250      49.0%     47.8%
                      ------------- ------------- --------- ---------

PROPERTY AND
 EQUIPMENT, net         38,283,133    39,949,850      28.6%     31.3%
OTHER ASSETS            29,896,465    26,731,526      22.4%     20.9%
                      ------------- ------------- --------- ---------
    Total assets      $133,749,128  $127,832,626    100.00%    100.0%
                      ============= ============= ========= =========

  LIABILITIES AND 
   STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
  Current maturities
   of long-term debt             -    $4,000,000         -       3.1%
  Accounts payable      12,946,544    11,868,947       9.7%      9.3%
  Other accrued
   expenses              7,217,927     4,726,253       5.4%      3.7%
                      ------------- ------------- --------- ---------
    Total current
     liabilities        20,164,471    20,595,200      15.1%     16.1%
                      ------------- ------------- --------- ---------

LONG-TERM DEBT, less
 current maturities     28,600,000    25,674,240      21.4%     20.1%

DEFERRED INCOME TAXES            -       648,000         -       0.5%

OTHER LIABILITIES        1,332,379     1,091,248       1.0%      0.9%

STOCKHOLDERS' EQUITY    83,652,278    79,823,938      62.5%     62.4%
                      ------------- ------------- --------- ---------
    Total liabilities
     and stockholders'
     equity           $133,749,128  $127,832,626     100.0%    100.0%
                      ============= ============= ========= =========
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