Peet's Coffee & Tea, Inc. Announces Update Regarding Stock Option Grants

24/11/06 Peet's Coffee & Tea, Inc. announced that it will request a hearing before the NASDAQ Listing Qualifications Panel in response to the receipt of a NASDAQ Staff Determination letter indicating that the Company is not in compliance with the filing requirements for continued listing as set forth in Marketplace Rule 4310(c)(14). As anticipated, the letter was issued in accordance with NASDAQ procedures due to the Company's failure to file its Form 10-Q for the quarter ended October 1, 2006. Pending a decision by the Panel, the Company's shares will remain listed on The NASDAQ Global Select Market.

As previously announced by the Company on November 7, 2006, an Option Review Committee consisting of two independent members of its Board of Directors is conducting a voluntary review of the Company's stock option practices from 1996 through the current fiscal year. As a result of the ongoing review, the Company has been unable to file its Quarterly Report on Form 10-Q for the quarter ended October 1, 2006.