Esarati Signs Sales and Manufacturing Deal in Far East

    SEATTLE--Aug. 13, 2002--Bellevue, Washington based Esarati Electric Technologies, Corp. (NASD.OTC:EETC) www.esaratiworldwide.com -- The makers of an affordable line of electric motorbikes powered by their leading-edge proprietary technology announces that it has come to terms with the Guangdong Kingtown Group Guangzhou Tianma Motorcycle Co. (KTM).
    One of the largest privately owned motorcycle manufacturers in China; KTM will manufacture and sell Esarati electric motorbikes in China as well as produce for export to Esarati for marketing worldwide.
    Jim Lawson, president of Asian Development for Esarati: "We are very excited, China is by far the biggest market in the world for motorbikes and with the help of KTM, Esarati is poised to become the largest electric motorbike producer in the world. With new laws restricting the issuance of gas powered motorcycle permits in urban areas, Esarati's products are expected to be a huge success."
    Pre-production of the Esarati EK100, EK200 and EK300 has commenced and KTM expects production to start within 90-120 days. KTM estimates that they will have a three to six month ramp-up phase at which time their production and sales targets for the Esarati line of products will be in the 3,000 to 5,000 units per month range. Both companies expect immediate sales and KTM expects sales to grow sharply. KTM estimates overall demand at three million motorbikes a year in China alone.
    The chairman of KTM, Liu Weijia, is extremely happy with the agreement: "We have secured the most advanced electric technology in the world for the largest motorbike market in the world. We are very pleased to partner with Esarati."

    About KTM

    KTM manufactures and sells motorcycles for both the Chinese market and for export. In 2001 they sold almost 500,000 units in China, they have over 4,000 employees and more than 1000 retail locations throughout Asia.

    About Esarati

    Esarati Electric Technologies, Corporation is a developer of electric vehicles. Esarati engineers, designs and builds a line of advanced, high-performance, two-wheeled electric vehicles. Esarati's corporate headquarters are in Bellevue, Wash., with an engineering facility located in Mentor, Ohio. For more information visit Esarati Electric Technologies, Corp.'s official website at www.esaratiworldwide.com. Or contact Esarati at info@esaratiworldwide.com.

    For Public Relations call:

    Esarati Electric Technologies, Corp.
    10900 NE 8th Street, Suite 900
    Bellevue, WA 98004
    Toll Free: 877/843-1989
    Tel. 425/990-5949
    Fax: 425/990-5979
    For information inquires please email info@esaratiworldwide.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.