Contract

by Reeds
February 23rd, 2005

Exhibit 10.17 October 21, 2004 BAY BUSINESS CREDIT 1450 Maria Lane #300 Walnut Creek, CA 94596-5391 Tel. 925.256,9003 FAX 925.256.9021 www.baybizcr.com Mr. Christopher Reed, President. Reed's, Inc. 13000 S. Spring Street Los Angeles, Ca 90061 Re: Line Increase Dear Mr. Reed, The Loan And Security Agreement between Bay Business Credit and Reed's, Inc. dated June 2, 2003 shall be amended upon receipt by Bay Business Credit of one copy of this executed amendment and a 1% fee on the amount of the increase. Paragraph 1. Loans is amended to provide "Maximum Aggregate Line of $1,100,000-00. (***0NE MILLION ONE HUNDRED THOUSAND DOLLARS***)..." In all other respects the Loan And Security Agreement shall remain the unchanged. Very Truly Yours, /s/ Dimitri Koroslev ---------------------------------------- Dimitri Koroslev President Acknowledged and Agreed Reed's Inc. By: /s/ Christopher Reed ------------------------------------ Christopher Reed President