Amerityre and an Irwin Jacobs Company Sign Product Development Agreement

Objective is to Develop Polyurethane Run-Flat Tire for Certain Trailer Applications

BOULDER CITY, Nev., Oct. 25 -- Amerityre Corporation (BULLETIN BOARD: AMTY) announced today that it has entered into a Product Development Agreement with Genmar Holdings, Inc., to design and develop prototype polyurethane "run-flat" boat trailer tires based on Amerityre's proprietary technology and patented methods and processes to manufacture tires from liquid elastomers. Amerityre estimates the time frame for completing the development project to be approximately six months. Subsequent to the successful completion of the development project and successful evaluation and testing by Genmar, the parties will move to an agreement that will allow Genmar to commercially manufacture "run-flat" boat trailer tires.

Elliott Taylor, Amerityre's Executive Vice President commented, "We're very pleased to be partnered with one of the world's largest manufacturers of recreational boats." "We believe Genmar's interest in our polyurethane urethane tire technology is consistent with their overall reputation as the technology leader in the marine industry," he added.

Commenting on the Agreement, Irwin Jacobs, Chairman and CEO of Genmar stated, "We are very excited and optimistic that our new exclusive Development Agreement with Amerityre will once again put Genmar into the fore-front of cutting edge technology, with the first ever "run-flat" boat trailer tires." Jacobs further said, "Once we can get past the successful development and completion stages it is Genmar's intention to move expeditiously into commercial production for the manufacturing of Amerityre's 'run-flat' tires as the new standard for boat trailer tires. It is Genmar's further intention to expand its applications and uses of Amerityre's 'run-flat' tires for trailers into other than boat trailers, once Genmar has completed its commercial manufacturing facilities for its own boat trailer uses."

Genmar Holdings, Inc. headquartered in Minneapolis, Minnesota, builds 16 different recreational boat lines. Genmar is known for its manufacturing innovation and environmental quality and utilizes innovative manufacturing techniques and award winning manufacturing processes like VEC(R) process (Virtual Engineered Composites(R)) and Roplene(R) roto-molded polyethylene. Genmar has also earned a leadership role in the boat building industry through innovation, strong management and exceptional service.

The "Run-Flat" trailer tire program is only one of many polyurethane tire projects currently under development by Amerityre for highway and industrial applications. Amerityre uses proprietary technology and patented methods and processes to manufacture tires from liquid elastomers.

For more information on Amerityre, visit its website at www.amerityre.com.