Esarati Signs $17.2 Million Deal in Asia

    SEATTLE--Oct. 2, 2001--Bellevue-Washington based Esarati Electric Technologies Corporation (OTC:EETC), makers of the world's most technologically advanced and affordable line of electric motorbikes, announced today that it has come to terms with Automind Capital Group Inc. "ACGI," a Hong Kong based corporation, for the exclusive manufacturing, marketing and distribution rights of Esarati vehicles in the countries of Vietnam, Laos and Cambodia.
    ACGI represents an investor group of businessmen involved in the manufacturing of components for televisions, components for VCR's and components for commercial aircraft manufacturers as well as retail chain stores, and financial investor banking services.
    The deal, which includes an immediate order for 3,000 Esarati 300's, is the Company's first formal licensing agreement in the Far East. The initial licensing fee is US$2,000,000 and is paid to Esarati in increments. ACGI, a holding company in Hong Kong with interests in manufacturing and banking, has established manufacturing and distribution channels within the countries contained in the agreement. To start with, ACGI will manufacture the Esarati 300 motorbike and other Esarati models. The Firefly and the Blackhawk will be added as the market develops.
    "Apart from India and China, the countries of Vietnam, Laos and Cambodia, are among the largest markets in the world for our vehicles," says Esarati CEO George Ninkovich. "As governments in the Far East, who are facing serious pollution problems, begin enacting legislation restricting the use of noisy, combustion-engine vehicles, Esarati's patented, revolutionary, silent combustion-free alternative will become the obvious choice. With almost 80 million people and 20 million gas powered motorcycles to be replaced, Vietnam is ready for Esarati."
    Manufacturing should commence in the fourth quarter of this year. The estimated potential for these three countries could be 100,000 Esarati Electric Motorbikes per year.

    ABOUT ESARATI

    Esarati Electric Technologies Corporation is a developer and manufacturer of advanced technology electric vehicles. Esarati engineers and manufactures the world's most advanced, high-performance, two-wheel electric vehicles available. Esarati's corporate headquarters are in Bellevue, Washington, with a manufacturing facility located in Mentor, Ohio. Another manufacturing facility will open in Derby, England in 2002. For more information about Esarati motorbikes, visit www.esarati.com or contact Esarati at info@esarati.com.

    This release contains forward-looking statements that involve risks and uncertainties.

    These statements may differ materially from actual future events or results. Readers are cautioned to understand that important risk factors could cause actual results to differ from those assumed or anticipated in the forward-looking statements. These risk factors include potential fluctuations in quarterly results and demands for products and services, dependence on new product development, rapid technological and market change, financial risk management, and future growth risks. These cautionary statements should be considered in connection with any subsequent written or oral forward-looking statements issued by Esarati or persons acting on its behalf. Esarati undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.