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Monday, 05/11/2009 4:03:28 PM

Monday, May 11, 2009 4:03:28 PM

Post# of 8097
Vertical Branding Enters Into An Exclusive Licensing Agreement With P2F Holdings to Distribute the Company's Products to Retailers

P2F Arrangement Cornerstone of Repositioning of Company in Concert With
Restructuring of Certain Debt Obligations

LOS ANGELES, May 11, 2009 (GlobeNewswire via COMTEX) -- Vertical Branding, Inc.
(VBDGE) replaces its release erroneously issued earlier today by the Company with
the following corrected version.

Vertical Branding, Inc. (VBDGE) announced today that it has entered into an
exclusive agreement with P2F Holdings, a privately-held distributor based in Seal
Beach, CA. The agreement provides P2F, through its newly formed subsidiary Milen,
with exclusive rights to manufacture, market and sell Vertical Branding products
to domestic brick and mortar retail accounts in exchange for the payment of
royalties to Vertical Branding. The Company will continue to market and sell its
products directly to consumers through transactional marketing media such as
television, Internet and print media, as well as wholesale to home shopping
channels and networks and international distributors. Vertical Branding expects
to focus its future efforts on continuing to develop new and innovative products
and direct response campaigns, for which Milen will have a first right of refusal
for domestic retail distribution.

"Combining Vertical Branding's proven track record for successfully developing,
marketing and building brands for high-quality yet affordable household consumer
products, with P2F's established expertise in and capacity for retail
distribution, presented a compelling strategic path forward for Vertical Branding
at this time," commented Nancy Duitch, CEO of Vertical Branding, Inc. "This new
relationship is expected to provide a better mechanism for servicing retail
customers while allowing us to re-focus our energies on product development and
marketing. By converting the retail distribution aspects of our operations into a
licensing and royalty-based business, we have been able to dramatically cut
overhead, scale down our infrastructure and reduce the level of capital intensity
of our business on this restructured basis. I continue to be excited about the
Company's pipeline of new products and am equally enthused by P2F's commitment to
establish a new division focused singularly on Vertical Branding's product
portfolio."

In addition to its agreement with P2F Holdings, the Company also announced that
it has reached agreement with the holder of its senior subordinated convertible
debentures on a restructuring of the Company's obligations under the notes,
including extension of the maturity date of the notes as well removal of the
conversion feature. Additional information concerning the restructure of the
notes as well as the P2F agreement can be found in the Company's current report
on Form 8-K filed with the Securities and Exchange Commission with respect to
these transactions.

About Vertical Branding, Inc.

Vertical Branding is a consumer products company selling high-quality household
products at affordable prices. The Company builds consumer awareness for its
products and brands through direct response television, Internet and print
advertising, with the goal of broader wholesale distribution to many of the
country's largest retailers and drug chains as well as catalogs, home shopping
channels and international distributors. Vertical Branding develops its own
proprietary products and brands and licenses the rights to other select products
that pass its rigorous screening process. The Company's hottest-selling products
and brands currently include MyPlace, SteamBuddy, Hercules Hook, Tool Band-It and
ZorbEEZ.

Information Regarding Forward-Looking Statements

The information in this news release and other materials released by Vertical
Branding from time to time include certain forward-looking statements that are
based upon management's current expectations and assumptions and that are subject
to various risks and uncertainties that can cause future results or events to
differ materially from those projected or anticipated. Such statements, often
identifiable by use of terms like "anticipate," "believe," "estimate," "expect,"
"intend," "plan," and similar expressions, reflect only the current view of
Vertical Branding with respect to their subject matter. Some of the risks and
uncertainties affecting Vertical Branding are contained in the sections of the
Company's periodic reports filed with the Securities and Exchange Commission
entitled "Risk Factors" and include things like our ability to adequately finance
our operations, our dependence upon third parties to supply our products and
provide other services, our dependence upon major retail chains for sale of our
products, compliance with the Section 404 of the Sarbanes-Oxley Act of 2002,
volatility and uncertainty related to trading in our stock, penny stock rules,
and changes in government regulations. Other risks and uncertainties include
possible lack of consumer demand for our products, our ability to identify,
develop and/or license new products with the attributes required to be successful
in the ways in which we market and the channels through which we sell, and our
ability to fund from operations or attract adequate financing to fully exploit
product opportunities once developed and shown to be viable. Although Vertical
Branding believes that the expectations reflected in the forward-looking
statements are reasonable, Vertical Branding cannot guarantee future results,
levels of activity, performance or achievements. Except as required by applicable
law, including the securities laws of the United States, Vertical Branding does
not intend to update forward-looking statements to conform these statements to
actual results.

This news release was distributed by GlobeNewswire, http://www.globenewswire.com

SOURCE: Vertical Branding, Inc.
Vertical Branding, Inc.
Shelley Pina
818-926-4900


(C) Copyright 2009 GlobeNewswire, Inc. All rights reserved.

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