N@N

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 16, 2009) - Premium Brands Holdings Corporation (TSX:PBH) announced today a cash dividend of $0.294 per share for the quarter ending December 31, 2009. Unless indicated otherwise in writing at or before the time the dividend is paid, each dividend paid by the Company in 2009 or a subsequent year is an eligible dividend for the purposes of the Enhanced Dividend Tax Credit System.

The dividend will be made to shareholders of record at the close of business on December 31, 2009 and will be payable on January 15, 2010.

The Company also announced that it is suspending indefinitely its Dividend Reinvestment Plan ("DRIP") as a result of its recent $40.3 million offering of convertible subordinate debentures and the corresponding improvement in its senior debt to EBITDA leverage ratio, which is now below its long term targeted range of 2.5:1 to 3.0:1. Accordingly, the DRIP will not be available commencing with the Company's December 31, 2009 declared dividend payable on January 15, 2010 and all shareholders that had elected to participate in the DRIP will now receive cash dividends.

Full details on the DRIP can be found on Premium Brands website at [ www.premiumbrandsholdings.com ].

Premium Brands owns a broad range of leading branded specialty food businesses with manufacturing and distribution facilities located in British Columbia, Alberta, Saskatchewan, Manitoba and Washington State. In addition, the Fund owns proprietary food distribution and wholesale networks through which it sells both its own products and those of third parties to approximately 25,000 customers.

The Company's family of brands include Grimm's, Harvest, McSweeney's, Bread Garden, Hygaard, Hempler's, Quality Fast Foods, Gloria's Best of Fresh, Harlan's, Centennial Foodservice and B&C Foods.