Xtreme Green Products, Maker of Electric Vehicles Announces Execution of First International Master Distribution Agreement

LAS VEGAS--September 1, 2011: Xtreme Green Products, Inc. (OTCBB: XGRP), a manufacturer of 100% electric vehicles, announced today the closing of a sixteen-month master distribution agreement with AB Safe SA De CV of Mexico City, Mexico ("AB Safe") for the exclusive rights to distribute all five of the Company's 100% electric off-road and highway-approved vehicles in twenty-nine States of Mexico and one Federal District of Mexico.

The master distribution agreement gives AB Safe the ability to distribute all Xtreme Green highway-approved and off-road vehicles to consumers, police, security, and commercial users in Mexico. AB Safe will maintain its exclusivity in the twenty-nine States of Mexico and one Federal District outlined in the Agreement based on achieving an agreed upon number of monthly vehicle sales through the end of 2012. Xtreme Green Products has specifically excluded the States of Yucatan and Jalisco from this Agreement for the future development of distribution agreements for its products in those States. The agreed upon target number of monthly vehicle sales outlined in the Agreement represents approximately 16% of Xtreme Green's projected 2012 production capacity.

Commenting on the Company's first international master distribution agreement, Mr. Neil Roth, Xtreme Green Product's President and Chief Operating Officer, stated, "This initial international agreement validates our business strategy of building a base of distributors in key markets outside the United States to augment our US growth strategy of direct sales to government and police markets and distributor sales to the consumer and commercial markets. Our primary focus is on shareholder return, and we have demonstrated through this master distribution agreement that we can effectively distribute our vehicles abroad without burdening the corporation with the overhead of building, staffing, and maintaining dealerships abroad.

"We are delighted to have AB Safe, with its 30-plus year history of distributing security products to government entities and the consumer and commercial markets in Mexico, as our initial international distribution partner. The true value of this agreement will ultimately be determined in the future as the market grows for our 100% electric, quiet, non polluting off-road and on-road vehicles globally. We are currently evaluating additional international distribution opportunities similar to this recently closed Agreement and will continue to grow our market share in the United States and abroad."