Exhibit 99.1

FOR IMMEDIATE RELEASE
Caribou Coffee Company, Inc.
3900 Lakebreeze Avenue North
Minneapolis, MN 55429
(763) 592-2200
Investor Relations Contact:
Idalia Rodriguez
203-682-8264
ir@cariboucoffee.com

CARIBOU COFFEE REPORTS THIRD QUARTER 2009 RESULTS

MINNEAPOLIS, MINNESOTA, November 4, 2009. Caribou Coffee Company, Inc. (NASDAQ:CBOU), the second largest company-owned gourmet coffeehouse operator in the United States based on the number of coffeehouses, today reported financial results for the third quarter of 2009 (thirteen weeks ended September 27, 2009).

HIGHLIGHTS FOR THE THIRD QUARTER OF 2009 INCLUDE:

	•		Consolidated sales increased 3.0% compared to the third quarter of 2008
	•		Earnings per share of $0.03 for the third quarter compared to a loss of ($0.45) per share in the third quarter of 2008
	•		Commercial sales for the quarter increased 47% compared to the third quarter of 2008
	•		Comparable coffeehouse store sales for the quarter were slightly down 0.5% an improvement of 280 basis points compared to the second quarter of 2009
	•		EBITDA increased 125% to $4.5 million compared to $2.0 million in the third quarter of 2008.

Speaking on behalf of the Company, Michael Tattersfield, the Company’s President and CEO commented, “This quarter marks the fourth consecutive quarter of positive earnings for Caribou Coffee. These results were driven by strong execution at every level of our business and a fundamental focus on growing our multi channel business, a key component of our future growth strategy. We are focused on becoming a branded coffee company and are making the necessary investments to expand the brand. Our strong balance sheet and cash flow positions the company for future growth.”

THIRD QUARTER 2009 RESULTS

Total net sales increased $1.8 million, or 3.0%, to $62.7 million for the quarter ended September 27, 2009, from $60.9 million for the quarter ended September 28, 2008.

	•		Coffeehouse sales were $54.5 million in the third quarter 2009, as compared with $54.7 million in the third quarter of 2008, a decrease of 0.5%. The decrease reflects a 0.5% decline in comparable coffeehouse sales in the third quarter of 2009 as compared to the same period in fiscal 2008.
	•		Commercial sales were $6.6 million in the third quarter of 2009 as compared with $4.5 million in the third quarter of 2008, an increase of 46.8%. The increase was due to higher sales to existing and new customers.
	•		Franchise sales were $1.7 million in both the third quarter of 2009 and the third quarter of 2008. Higher royalties from 112 franchise coffeehouses were offset by lower product sales to our franchisees.

Cost of sales and related occupancy costs in the third quarter of 2009 were $27.8 million, which is a 3.2% increase over the third quarter of 2008. This increase is due to higher year-over-year revenues and an overall mix change with a higher percentage of sales coming from our commercial and franchise segments.

Operating expenses in the third quarter of 2009 were $24.3 million compared to $24.6 million in the same period of the prior year, a decrease of $0.3 million or 1.2%. This decrease was the result of improved operating performance within the retail segment as well as having fewer coffeehouse operating weeks. As a percentage of revenue, operating costs were 38.7%, down from 40.3% in the same period of the prior year.

General and administrative expenses decreased $0.8 million, or 11.3%, to $6.3 million during the third quarter of 2009, from $7.1 million during the third quarter of 2008 due to a Company driven reduction in personnel related costs in the third quarter of 2009.

EBITDA was $4.5 million during the third quarter of 2009, compared to EBITDA of $2.0 million during the same period in 2008, and improvement of 125%. The year-over-year EBITDA increase was primarily due to improved performance within our retail coffeehouses and continued growth in the commercial and franchise segments. (EBITDA is a non-GAAP measure. See EBITDA reconciliation at the end of this release).

Depreciation and amortization decreased $6.7 million, or 66.1%, to $3.5 million during the third quarter of 2009, from $10.2 million during the same period in the prior year. Depreciation and amortization was lower in the quarter related to our lower depreciable asset base from impairments taken in 2008 and reduced capital spending in the current year. Depreciation and amortization includes $5.7 million in accelerated depreciation associated with coffeehouse impairments in the third quarter of 2008.

The Company’s net income for the third quarter of 2009 was $0.7 million or $0.03 per share compared to a net loss of $8.8 million or ($0.45) per share for the same period in 2008. The company ended the quarter with $19.0 million in cash and cash equivalents and no long term debt.

CONFERENCE CALL

Caribou Coffee will host a conference call on November 4, 2009, at 4:30 p.m. (Eastern Time) to discuss these results. Hosting the call will be Mike

Tattersfield, Chief Executive Officer, and Tim Hennessy, Chief Financial Officer. The call will be webcast and can be accessed from the Company’s website at www.cariboucoffee.com. The webcast link is in the Investor Relations section. The dial in number is 1-888-684-1281 or 1-913-312-1453 for international calls. Confirmation number is 6668445. If you are unable to join the call, a replay will be available beginning at 7:30 p.m. (Eastern Time) on November 4, 2009 through 11:59 p.m. on November 11, 2009 and can be accessed by dialing 1-888-203-1112 or international callers 1-719-457-0820 and enter pin number 6668445. In addition, the webcast will be archived on the Company’s website.

ABOUT THE COMPANY

Caribou Coffee Company, Inc., founded in 1992 and headquartered in Minneapolis, Minnesota, is the second largest company-owned gourmet coffeehouse operator in the United States based on the number of coffeehouses. As of September 27, 2009, Caribou Coffee had 525 coffeehouses, which includes 112 franchised and licensed locations. Caribou Coffee offers its customers high-quality gourmet coffee and espresso-based beverages, as well as specialty teas, baked goods, whole bean coffee, branded merchandise and related products. In addition, Caribou Coffee sells products to club stores, grocery stores, mass merchandisers, office coffee providers, airlines, hotels, sports and entertainment venues, college campuses and online customers. Caribou Coffee focuses on creating a unique experience for customers through a combination of high-quality products, a comfortable and welcoming coffeehouse environment and a unique style of customer service. For more information, visit the Caribou Coffee web site at www.cariboucoffee.com.

FORWARD-LOOKING STATEMENTS

Certain statements in this release, and other written or oral statements made by or on behalf of Caribou Coffee are “forward-looking statements” within the meaning of the federal securities laws. Statements regarding future events and developments and our future performance, as well as management’s current expectations, beliefs, plans, estimates or projections relating to the future, are forward-looking statements within the meaning of these laws. These forward-looking statements are subject to a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: fluctuations in quarterly and annual results, incurrence of net losses, adverse effects of management focusing on implementation of a growth strategy, failure to develop and maintain the Caribou Coffee brand and other factors disclosed in the Company’s filings with the Securities and Exchange Commission. The Company undertakes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

CARIBOU COFFEE COMPANY, INC. AND AFFILIATES
(A Majority Owned Subsidiary of Caribou Holding Company Limited)

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

		Thirteen Weeks Ended								Thirty-Nine Weeks Ended
		September 27,				September 28,				September 27,				September 28,
		2009				2008				2009				2008
		(In thousands, except for per share amounts)
		(Unaudited)
Coffeehouse sales		$	54,479			$	54,731			$	162,637			$	168,618
Commercial and franchise sales			8,260				6,179				23,436				17,232
Total net sales			62,739				60,910				186,073				185,850
Cost of sales and related occupancy costs			27,849				26,992				81,438				80,209
Operating expenses			24,297				24,571				71,485				75,785
Opening expenses			6				62				20				198
Depreciation and amortization			3,465				10,208				10,776				20,771
General and administrative expenses			6,313				7,115				19,708				21,183
Closing expense and disposal of assets			123				646				179				4,524
Operating income (loss)			686				(8,684	)			2,467				(16,820	)
Other income (expense):
Interest income			10				2				17				23
Interest expense			(68	)			(81	)			(189	)			(714	)
Income (loss) before provision for income taxes			628				(8,763	)			2,295				(17,511	)
Benefit from income taxes			(140	)			(36	)			(182	)			14
Net income (loss)			768				(8,727	)			2,477				(17,525	)
Less: Net income attributable to noncontrolling interest			114				39				309				79
Net Income (loss) attributable to Caribou Coffee Company, Inc.		$	654			$	(8,766	)		$	2,168			$	(17,604	)
Basic net income (loss) attributable to Caribou Coffee Company, Inc. common shareholders per share		$	0.03			$	(0.45	)		$	0.11			$	(0.91	)
Diluted net income (loss) attributable to Caribou Coffee Company, Inc. common shareholders per share		$	0.03			$	(0.45	)		$	0.11			$	(0.91	)
Basic weighted average number of shares outstanding			19,470				19,371				19,418				19,371
Diluted weighted average number of shares outstanding			20,169				19,371				19,830				19,371

CARIBOU COFFEE COMPANY, INC. AND AFFILIATES
(A Majority Owned Subsidiary of Caribou Holding Company Limited)

CONDENSED CONSOLIDATED BALANCE SHEETS

		September 27,				December 28,
		2009				2008
		In thousands, except per share amounts
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents		$	19,086			$	11,060
Accounts receivable (net of allowance for doubtful accounts of $27 and $72 at September 27, 2009 and December 28, 2008, respectively)			5,381				5,311
Other receivables (net of allowance for doubtful accounts of $81 and $76 at September 27, 2009 and December 28, 2008, respectively)			1,297				916
Income tax receivable			78				60
Inventories			12,458				10,218
Prepaid expenses and other current assets			714				881
Total current assets			39,014				28,446
Property and equipment, net of accumulated depreciation and amortization			48,944				60,312
Restricted cash			327				327
Other assets			345				487
Total assets		$	88,630			$	89,572
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	9,774			$	8,229
Accrued compensation			6,057				6,241
Accrued expenses			7,344				8,317
Deferred revenue			5,763				9,473
Total current liabilities			28,938				32,260
Asset retirement liability			1,099				1,035
Deferred rent liability			8,653				9,245
Deferred revenue			2,330				2,538
Income tax liability			213				486
Total long term liabilities			12,295				13,304
Equity:
Caribou Coffee Company, Inc. Shareholders’ equity:
Preferred stock, par value $.01, 20,000 shares authorized; no shares issued and outstanding			—				—
Common stock, par value $.01, 200,000 shares authorized; 19,813 and 19,371 shares issued and outstanding at September 27, 2009 and December 28, 2008, respectively			198				194
Additional paid-in capital			126,381				125,222
Accumulated comprehensive loss			(36	)			—
Accumulated deficit			(79,311	)			(81,479	)
Total Caribou Coffee Company, Inc. shareholders’ equity			47,232				43,937
Noncontrolling interest			165				71
Total equity			47,397				44,008
Total liabilities and equity		$	88,630			$	89,572

Coffeehouse Openings and Closings

		13 Weeks Ended								39 Weeks Ended
		September 27,				September 28,				September 27,				September 28,
		2009				2008				2009				2008
Comparable Coffeehouse Sales (Company-Owned)			(0.5	%)			(4.7	%)			(3.0	%)			(2.9	%)
COFFEEHOUSE COUNT
Company-Owned:
Coffeehouses open at beginning of period			414				415				414				432
Coffeehouses opened during the period			0				2				0				7
Coffeehouses closed during the period			(1	)			(2	)			(1	)			(24	)
Total Company-Owned at period end			413				415				413				415
Franchised:
Coffeehouses open at beginning of period			108				75				97				52
Coffeehouses opened during the period			4				5				18				28
Coffeehouses closed during the period			0				0				(3	)			0
Total Franchised at period end			112				80				112				80
TOTAL COFFEEHOUSES AT PERIOD END			525				495				525				495

EBITDA RECONCILIATION

The following is a reconciliation of the Company’s net loss to EBITDA.

		Thirteen Weeks Ended								Thirty-Nine Weeks Ended
		September 27,				September 28,				September 27,				September 28,
		2009				2008				2009				2008
		(In thousands)
Net income (loss)		$	654			$	(8,766	)		$	2,168			$	(17,604	)
Interest expense			68				81				189				714
Interest income			(10	)			(2	)			(17	)			(23	)
Depreciation and amortization(1)			3,964				10,760				12,360				22,387
(Benefit) provision for income taxes			(140	)			(36	)			(182	)			14
EBITDA		$	4,536			$	2,037			$	14,518			$	5,488

EBITDA is equal to net income (loss) excluding: (a) interest expense; (b) interest income; (c) depreciation and amortization; and (d) income taxes.

Management believes EBITDA is useful to investors in evaluating the Company’s operating performance for the following reason:

•

Coffeehouse leases are generally short-term (5-10 years) and Caribou must depreciate all of the cost associated with those leases on a straight-line basis over the initial lease term excluding renewal options (unless such renewal periods are reasonably assured at the inception of the lease). The Company opened a net 210 company-operated coffeehouses from the beginning of fiscal 2003 through the end of the third quarter of fiscal 2009. As a result, management believes depreciation expense is disproportionately large when compared to the sales from a significant percentage of the coffeehouses that are in their initial years of operations. Also, many of the assets being depreciated have actual useful lives that exceed the initial lease term excluding renewal options. Consequently, management believes that adjusting for depreciation and amortization is useful for evaluating the operating performance of the coffeehouses.

     Management uses EBITDA:

	•		As a measurement of operating performance because it assists management in comparing its operating performance on a consistent basis as it removes the impact of items not directly resulting from coffeehouse operations;
	•		For planning purposes, including the preparation of our internal annual operating budget;
	•		To establish targets for certain management compensation matters; and
	•		To evaluate the Company’s capacity to incur and service debt, fund capital expenditures and expand the business.

EBITDA as calculated by Caribou Coffee is not necessarily comparable to similarly titled measures used by other companies. In addition, EBITDA: (a) does not represent net income or cash flows from operating activities as defined by GAAP; (b) is not necessarily indicative of cash available to fund cash flow needs; and (c) should not be considered an alternative to net income, operating income, cash flows from operating activities or Caribou Coffee’s other financial information as determined under GAAP.

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