FOR IMMEDIATE RELEASE

KOOL-AID Joins With KaBOOM! to Build Playgrounds Nationwide to Encourage Healthy, Active Lifestyles

TARRYTOWN, NY (May 27, 2008) — 

KOOL-AID, the iconic soft drink that has stood for fun and refreshment for generations of children and their parents, today announced it will provide additional better-for-you options for consumers by introducing new and reformulated products this spring and in coming years.

The brand, launched in Nebraska in 1927 and now offering both powdered and ready-to-drink beverages, also announced a new partnership with KaBOOM!, the national non-profit organization that envisions a great place to play within walking distance of every child in America. Over the next year, KOOL-AID and KaBOOM! will build 24 playgrounds in cities around the country, provide grants toward building 20 more, and work with local communities, parents and children to encourage healthier and more active lifestyles.

"We understand that our consumers are looking for more choices that better meet the needs of their families," said Kirstie Krall, Senior Brand Manager, KOOL-AID. "We're firmly committed to providing moms and kids with products that combine the great fun and flavor of KOOL-AID while providing better-for-you beverage options to help support a healthier lifestyle. And, in addition to offering new and improved products, we're partnering with KaBOOM! to create great places to play for kids in cities around the country so that communities have somewhere to come together and get active."

KOOL-AID has also created a partnership with hip-hop pioneer Joseph Simmons (a.k.a. Reverend Run), who will serve as the new brand ambassador for the KOOL-AID KaBOOM! initiative. He and his family will don hard hats and wield shovels as they join the brand on local community build sites. Additionally, KOOL-AID will include Reverend Run in POS displays and other promotions, and he will speak directly to consumers about healthy lifestyle choices and the benefits of play.

"We can't imagine better partners than Reverend Run and KaBOOM! to help us start a national conversation about the benefits of safe play for kids and the importance of a healthy and active lifestyle," said Ms. Krall.
"I grew up drinking and loving KOOL-AID and associate it with fun childhood memories," Reverend Run said.

"I'm personally committed to bringing families together -- at the dinner table, in communities and on playgrounds. I'm hopeful that by working together, KOOL-AID, KaBOOM!, and I can make a real difference in kids' lives by allowing them to have fun and create the memories that will serve them well for many years to come."

"This is a great partnership, because not only is KOOL-AID committed to building playgrounds, but they're spreading the word that play helps kids live happier, healthier lives," said Darell Hammond, the CEO and Founder of KaBOOM!.

New better-for-you product choices

This year, KOOL-AID is introducing four reformulated products and one new product that meet the company's better-for-you Sensible Solution guidelines.

-- Sugar Free KOOL-AID, a low-calorie soft drink mix originally launched in 1983, has been reformulated to deliver a taste closer to regular unsweetened KOOL-AID. Sugar Free KOOL-AID has 5 calories per serving and is caffeine free and a good source of Vitamin C.

-- Sugar-Free KOOL-AID On The Go packets that are easy to carry and mix with a 16.9 fl. oz. bottle or glass of water. One packet makes 2 servings. Each serving contains 5 calories and is caffeine free and a good source of Vitamin C.

-- KOOL-AID Singles have been reformulated so one packet can be used to flavor a 16.9 fl. oz. bottle or glass of water. KOOL-AID Singles have only 30 calories per serving (60 per bottle) and are a good source of
antioxidant vitamins C and E.

-- KOOL-AID Burstin' Waters is a new ready-to-drink flavored water beverage that comes in a squeezable plastic bottle. Burstin' Waters is caffeine free, comes in three flavors, and is only 35 calories per serving.

-- Sugar Sweetened KOOL-AID has been fortified with antioxidant vitamins C and E. At only 60-70 calories per serving, sugar-sweetened KOOL-AID contains 35% less sugar than leading regular sodas. (Sugar Sweetened KOOL-AID contains 16-17 grams of sugar per serving as compared to 27 grams of sugar in leading regular sodas.)

-- In addition, KOOL-AID will continue to fund research and development initiatives that support the company's better-for-you Sensible Solution guidelines. Sensible Solution criteria require that ALL qualifying
products contain limited amounts of calories, fat, sodium and sugar. In addition, many Sensible Solution products have the added benefit of providing meaningful amounts of good-for-you nutrients like calcium,
fiber, whole grain, protein, or deliver a functional benefit such as heart health.

See our website http://www.kraftfoods.com/ for more information on Kraft's Sensible Solution program criteria for refreshment beverages.

In 2007, 13 percent of the entire KOOL-AID line met Sensible Solution criteria; 35 percent of products sold this year will meet the guidelines, and by 2010, the goal is to transform and rebalance the brand portfolio so that a majority of KOOL-AID products sold will meet the Sensible Solution criteria.

All the new and current KOOL-AID flavors and formats can be found in grocery stores and supermarkets nationwide.

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About Kraft Foods
Kraft Foods(NYSE:KFT)is one of the world's largest food and beverage companies, with 2007 revenues of more than $37 billion. For more than 100 years, Kraft has offered consumers delicious and wholesome foods that fit the way they live. Kraft markets a broad portfolio of iconic brands in more than 150 countries, including nine brands with revenues exceeding $1 billion: Kraft cheeses, dinners and dressings; Oscar Mayer meats; Philadelphia cream cheese; Maxwell House coffee; Nabisco cookies and crackers and its Oreo brand; Jacobs coffees; Milka chocolates; and LU biscuits. Kraft is listed in the Standard & Poor's 100 and 500 indexes. The company is a member of the Dow Jones Sustainability Index and the Ethibel Sustainability Index. For more information, visit the company's website at http://www.kraft.com/.

About KaBOOM!
KaBOOM! is the national non-profit dedicated to giving all kids – particularly those growing up in poverty in America – the childhood they deserve filled with balanced and active play, so they can thrive. Since 1996, KaBOOM! has collaborated with partners to build, open or improve nearly 16,700 playgrounds, engaged more than one million volunteers and served 8.5 million kids. KaBOOM! creates great places to play, inspires communities to promote and support play, and works to drive the national discussion about the importance of play in fostering healthy and productive lives. To learn why #playmatters, visit kaboom.org or join the conversation at twitter.com/kaboom or facebook.com/kaboom.