TPK - <span class="simulate_din_font">Ten Peaks Coffee Company Inc. Declares Quarterly Dividend and Reports Fourth Quarter and 12-Month Results for 2011</span> (CAD 0.0625)

Company: Ten Peaks Coffee Company Inc
Stock Name: TPK
Amount: CAD 0.0625
Announcement Date: 21/03/2012
Record Date: 29/12/2011

Dividend Detail:

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TRADING SYMBOL: The Toronto Stock Exchange - TPK

Annual Processing Volumes, Revenue, Gross Profit and Net Income All Up
Over 2010

Ten Peaks Coffee Company Inc. will hold a conference call to discuss its financial results for the
three months and year ended December 31, 2011 on Thursday, March 22,
2012 at 8:00 am Pacific Time (11:00 am Eastern Time). To participate,
please dial 1-888-231-8191 (toll free) or 647-427-7450 (GTA and
international) approximately five minutes before the call and provide
the company name or Conference ID: 56511448.�� A replay will be
available through April 5, 2012 at 1-855-859-2056 (toll free) or
416-849-0833 (GTA and international) passcode: 56511448. In addition, a
live and archived webcast can be accessed at http://www.investorcalendar.com/IC/CEPage.asp?ID=167572 or on Ten Peaks' website at www.tenpeakscoffee.ca

VANCOUVER, March 21, 2012 /CNW/ - Ten Peaks Coffee Company Inc. ("Ten
Peaks" or "the company") today reported its financial results for the
three months and year ended December 31, 2011. The company posted a
solid performance for the year, with annual sales, processing volumes,
gross profit and net income all up over 2010. Ten Peaks also paid $1.5
million to shareholders in 2011, primarily through quarterly dividends
of $0.0625 per share.

Ten Peaks holds all of the outstanding securities of Swiss Water
Decaffeinated Coffee Company, Inc. ("SWDCC"), a premium green coffee
decaffeinator located in Burnaby, BC. Accordingly, the results reported
here are based on SWDCC's operating performance.

Operating Results

In $000s except per share amounts

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3 Months Ended

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��12 Months Ended�� ��

(2010 restated under IFRS(1))

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December 31

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December 31

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2011

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2010

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2011

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2010

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Sales

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$

�� 17,904

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$

�� 12,466

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$

�� 60,671

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$

�� 36,733

Gross profit

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1,456

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2,053

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6,615

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5,989

EBITDA(2)

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666

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125

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3,242

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3,253

Net income (loss)

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480

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(11,810)

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823

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(15,492)

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Per share amounts:

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EBITDA per share (2010: per unit)

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0.100

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0.019

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0.486

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0.487

Net income per share(3)

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0.072

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��N/A

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0.123

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(1)	��	��	��	The company transitioned to International Financial Reporting Standards ("IFRS") in 2011. Accordingly, its financial results for 2010 have been restated under IFRS.
(2)	��	��	��	EBITDA is a non-IFRS measure defined in the company's Management's Discussion and Analysis, which will be posted on SEDAR on or before March 22, 2012.
(3)	��	��	��	Under IFRS, there were no shares outstanding in 2010 (see 'Additional Information' below), and net income per share is not applicable.

"We are satisfied with last year's performance," said Frank Dennis,
President and CEO of Ten Peaks. "Our emphasis on consistently providing
our customers with decaffeinated coffees of exceptional quality enabled
us to gain good traction during 2011 - especially with our specialty
regional accounts. As a result, we were able to grow our processing
volumes over 2010, despite challenging market conditions."

During the fourth quarter of 2011, Ten Peaks' processing volumes grew by
6% over the same period in 2010, due mainly to the addition of several
new customers. Annual processing volumes were up by 3%, with business
to specialty regional accounts increasing by 29% on a year-over-year
basis. This growth more than offset a decline in volumes delivered to
the company's large national customers, who reduced inventory levels in
response to high coffee commodity prices and slowing consumer demand.
Over the past year, coffee retailers have passed along increased coffee
commodity prices to consumers, which has reduced coffee sales volumes
within the grocery channel.

For the past three years, the specialty coffee industry has been
hampered by a shortfall in the availability of premium green coffee due
to climatic and agricultural issues in key coffee-producing regions.
This coincided with rising global demand, driving rapid increases and
extreme volatility in the New York 'C' ("NY'C") coffee commodity
prices. During 2011, the NY'C averaged US$2.53, or 52% higher than
during the previous year. A high coffee price affects Ten Peaks'
business in a number of ways, increasing both its revenues and its cost
of sales. During the second half of 2011, the NY'C' began to track
downward, though commodity prices remained both high and volatile.

Sales revenue for the three months and year ended December 31, 2011 was
up significantly year-over-year, increasing by 43% and 65%,
respectively. In both periods, the growth was mainly due to the
significant increase in the commodity cost of green coffee, together
with a rise in SWDCC's "non-toll" business.

SWDCC generates revenue in two ways. First, it decaffeinates
customer-owned coffees, including organically certified coffees, for a
fee - its "toll" business. Secondly, it purchases high-quality green
coffees, decaffeinates them and markets them to the green coffee trade
- its "regular" or "non-toll" business.�� Revenue from SWDCC's toll
arrangements consists entirely of processing revenue, while revenue
from its regular business includes both processing revenue and green
coffee cost recovery revenue. Accordingly, growth in SWDCC's non-toll
business will drive up the company's revenues, as well as its cost of
sales.

During 2011, SWDCC's regular business grew 51% by volume, while its toll
volumes declined by 48%. This was mainly because, at the end of 2010,
two large customers transitioned from using SWDCC's toll services to
purchasing the company's premium decaffeinated green coffee.
Additionally, SWDCC's regular business has been growing as a percentage
of its total sales for the past few years, as more customers seek to
reduce their working capital commitments.

During the 12 months ended December 31, 2011, Ten Peaks generated 60% of
its sales in US dollars, down from 69% in 2010.�� The change was due to
an increase in revenue from a large Canadian customer, who transitioned
from using the company's toll decaffeination services to purchasing
decaffeinated green coffee from Ten Peaks' inventory. As a result,
revenue generated from this customer was up significantly.

During 2011, the US dollar was relatively weak, averaging CDN $0.99,
compared to CDN $1.03 in 2010.�� As a result, Ten Peaks' sales revenue
was negatively affected by a decline in foreign exchange. On the cost
side, the stronger Canadian dollar helped to partially offset an
increase in green coffee costs, as coffee commodity prices are quoted
in US dollars.

Despite the positive foreign exchange impact on input costs, the
company's cost of sales grew significantly on a year-over-year basis,
rising by 58% during the fourth quarter of 2011 and by 76% for the full
year. In both periods, the increase primarily reflects higher green
coffee costs, which rose with increased regular volumes and the higher
NY'C'. Additionally, Ten Peaks recorded a non-cash provision against
its green coffee inventory during the fourth quarter to reflect a
decline in the coffee commodity price. These costs were partially
offset by reduced depreciation on production-related equipment and
leasehold improvements, due to changes in their estimated useful lives.

Gross profit for the three months ended December 31, 2011 totaled $1.5
million, down from $2.1 million for the same period last year. The
change was related to higher green coffee costs and an increase in the
company's variable manufacturing costs, as well as the inventory
provision noted above. Annual gross profit rose by 10% to $6.6 million
with lower depreciation costs more than offsetting higher
production-related costs.

Operating expenses for the three months and year ended December 31, 2011
fell on a year-over-year basis, as Ten Peaks undertook market research
during the fourth quarter of 2010 which it did not repeat in 2011. The
company also incurred one-time expenses during 2010, which related to
converting from an income trust to a corporation and adopting
International Financial Reporting Standards ("IFRS") (see 'Additional
Information' below).�� The reduction in these costs was partially offset
by increased staffing and staff-related costs in 2011.

The lower operating expenses had a positive impact on the company's
fourth quarter EBITDA, which rose from $0.1 million to $0.7 million.
EBITDA for the full year was $3.2 million, which is unchanged from
2010.

During 2011, Ten Peaks paid out $1.5 million to shareholders, compared
to $2.4 million during 2010. Of the 2011 payments, $1.3 million
represents the quarterly dividends paid in April, July and October
2011, and $0.2 million represents the last monthly distribution to
unitholders of the former Fund, paid in January 2011. The payout ratio
of dividends to EBITDA was 45% in 2011, compared to 74% in 2010. The
decreased payout ratio reflects a reduction in the total amount the
company pays to shareholders each quarter, which took effect when the
Fund converted to a corporation.

In order to offset the impact of changing commodity prices and exchange
rates on its cash flows, Ten Peaks enters into coffee futures and
foreign exchange forward contracts. However, as it does not use hedge
accounting, the current market value of its hedge position must be
recognized at each balance sheet date, even though the underlying value
of these derivative instruments may change before the contracts mature.

During 2011, Ten Peaks realized $2.5 million in losses on derivative
financial instruments, compared to realized gains on derivatives of
$1.2 million in 2010.�� The company also recorded $2.4 million in
unrealized gains on derivatives, compared to unrealized losses of $3.4
million in 2010.�� Foreign exchange losses totaled $0.3 million in 2011,
compared to losses of $0.1 million in 2010.

Net income for 2011 was $0.8 million, compared to a net loss of $15.5
million in 2010. The improvement reflects the elimination of certain
expenses upon conversion to a corporation (see 'Additional Information'
below), as well as lower depreciation charges, reduced losses on
derivative instruments, and decreased operating expenses. Additionally,
Ten Peaks incurred a goodwill impairment charge in 2010, which was not
repeated in 2011. These gains were partially offset by deferred income
taxes expenses of $0.3 million, compared to a tax recovery of $3.8
million in 2010 as a result of the impairment loss.

Outlook

Management anticipates 2012 will be a positive year for Ten Peaks.
Market conditions appear to be improving, with more robust green coffee
crops expected to increase the global coffee supply and gradually
reduce coffee commodity prices. This should translate into higher
demand for SWDCC's decaffeination services, as its customers replenish
their inventories and as consumer coffee prices begin to fall.

The company also plans to advance its diversification initiatives. In
December, the company launched a new Ten Peaks brand roasted coffee
offering through a premium grocery chain in Minneapolis, Minnesota. The
new specialty coffee blend will be test marketed to consumers over the
next several months.

Additionally, Ten Peaks established a new subsidiary, known as Seaforth
Supply Chain Solutions Inc. ("Seaforth") late in 2011. Located in Metro
Vancouver, Seaforth currently provides a complete range of green coffee
handling and storage solutions to SWDCC, and is expected to add other
coffee importers and coffee companies to its customer base in future.

"When we converted to a corporation and changed our name to Ten Peaks
last year, our intent was to expand into other coffee-related products
and services," said Dennis. "These new initiatives enable us to
leverage our deep knowledge of the specialty coffee industry to extend
our reach along the coffee supply chain and grow our business. During
2012, we plan to continue advancing this strategy, while maintaining
our commitment to delivering superior quality decaffeinated coffees. We
believe this will leave us well-positioned for a solid year."

Payment of Quarterly Dividend

In December 2011, Ten Peaks' board of directors declared a cash dividend
of $0.0625 per share for the quarter ended December 31, 2011. It was
paid on January 14, 2012 to shareholders of record at the close of
business on December 31, 2011.

On March 20, 2012, the Directors declared an eligible dividend of
$0.0625 per share to be paid on April 16, 2012, to shareholders of
record on March 30, 2012.

Additional Information

On January 1, 2011, the Swiss Water Decaffeinated Coffee Income Fund
(the "Fund") converted to a corporation by way of a Plan of
Arrangement. Pursuant to the Plan of Arrangement, all of the Fund's
outstanding units were exchanged, on a one-for-one basis, for common
shares of Ten Peaks. Additionally, the Fund was wound up into Ten
Peaks, and SWDCC became a wholly owned subsidiary of Ten Peaks.

Under IFRS, the units of the former Fund are considered to be a
long-term liability. As such, there was no share capital prior to the
conversion on January 1, 2011, and per share calculations are not
applicable. In addition, changes in the fair value of units and
distributions paid to unitholders are considered expenses which reduce
net income in the year. As a result, the company's net loss in 2010 was
higher under IFRS than under the former Canadian generally accepted
accounting principles ("GAAP").

A more detailed discussion of Ten Peaks' 2011 fourth quarter and
full-year financial results and management's outlook can be found in
the company's Management's Discussion and Analysis ("MD&A") for the 12
months ended December 31, 2011. This document, along with Ten Peaks'
audited consolidated financial statements (which include a
reconciliation of 2010 results under IFRS to GAAP), will be posted on
SEDAR (www.sedar.com) on or before March 22, 2012.

Readers are cautioned that the summary information contained in this
press release is not a suitable source of information for readers who
are unfamiliar with Ten Peaks or the former Fund. This press release
should be considered a precursor to, and not a substitute for, reading
the financial statements and MD&A, which provide more detailed
information related to the company's performance and future prospects.

Company Profile

Ten Peaks is a publicly traded company that owns all of the interests of
the Swiss Water Decaffeinated Coffee Company Inc. (SWDCC), a premium
green coffee decaffeinator located in Burnaby, BC. It also owns and
operates Seaforth Supply Chain Solutions Inc. (Seaforth), a green
coffee handling and warehousing business located in Metro Vancouver.

About SWDCC

Established in 2000, SWDCC is one of the few chemical free coffee
decaffeinators in the world. It employs the SWISS WATER�� Process, a
proprietary, chemical free decaffeination method.�� Accordingly, SWISS
WATER�� Process decaffeinated green coffees are distinct from the
majority of the world's decaffeinated coffees, which are exposed to
chemical solvents such as methylene chloride and ethyl acetate during
decaffeination.

Certified organic by the Organic Crop Improvement Association, the SWISS
WATER�� Process is the world's only branded decaffeination process and
enjoys substantial recognition in the specialty coffee trade and with
consumers.

SWISS WATER�� Process decaffeinated green coffees are sold to many of
North America's leading specialty roaster retailers, specialty coffee
importers and commercial coffee roasters. SWDCC also sells coffees
internationally through regional distributors.

About Seaforth

Located in Coquitlam, BC, Seaforth commenced operations in February
2012. It provides a complete range of green coffee handling and storage
services, including devanning coffee received from origin; inspecting,
weighing and sampling coffees; and storing, handling and preparing
green coffee for outbound shipments locally and across North America.

Forward-Looking Statements

Certain statements in this press release may constitute
"forward-looking" statements which involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
levels of activity, performance or achievements to be materially
different from any future results, levels of activity, performance or
achievements expressed or implied by such forward-looking statements.
When used in this press release, such statements may include such words
as "may", "will", "expect", "believe", "plan" and other similar
terminology. These statements reflect management's current expectations
regarding future events and operating performance, as well as
management's current estimates, but which are based on numerous
assumptions and may prove to be incorrect. These statements are neither
promises nor guarantees, but involve known and unknown risks and
uncertainties, including, but not limited to, risks related to
processing volumes and sales growth, operating results, supply of
coffee, general industry conditions, commodity price risks, technology,
competition, foreign exchange rates and general economic conditions.

The forward-looking statements and financial outlook information
contained herein are made as of the date of this press release and are
expressly qualified in their entirety by this cautionary statement.
Except to the extent required by applicable securities law, Ten Peaks
Coffee Company Inc. undertakes no obligation to publicly update or
revise any such statements to reflect any change in management's
expectations or in events, conditions, or circumstances on which any
such statements may be based, or that may affect the likelihood that
actual results will differ from those described herein.

For further information:

Sherry Tryssenaar, Chief Financial Officer

Ten Peaks Coffee Company Inc.

Phone: 604.444.8780������ Fax: 604.420.8711

Email:��sherry.tryssenaar@tenpeakscoffee.ca

Website:��www.tenpeakscoffee.ca