Redline and Global Electric Motorcars, LLC Terminate Letter of Intent

SAN DIEGO & MINNEAPOLIS--Aug. 6, 2003--Redline Performance Products, Inc. ("Redline(TM)") (AMEX: RED) today announced that Redline and Global Electric Motorcars, LLC ("GEM") have terminated their non-binding Letter of Intent. The parties were unable to come to terms on key issues regarding a definitive contract assembly agreement.

As previously announced, Redline and GEM entered into a non-binding Letter of Intent on June 27, 2003 to negotiate the terms of a definitive contract assembly agreement under which GEM would assemble the 800 Revolt(R) snowmobile for Redline. The expiration date of this non-binding Letter of Intent was recently extended from July 31, 2003 to August 15, 2003.

Mark A. Payne, President and Chief Financial Officer of Redline, commented, "We are actively engaged in conversations with other companies that have the capabilities to assemble our 800 Revolt snowmobile. We have completed the product design phase, are in the final stages of product testing and have commenced purchasing parts. We continue to expect to introduce the 800 Revolt snowmobile in time for the 2003-2004 snowmobile season and anticipate reaching a decision regarding where assembly will take place within the next 60 days. It is important to note that Redline has the basic infrastructure to assemble the 800 Revolt snowmobile at our Vista (San Diego) facility, if necessary."

About Redline Performance Products, Inc.

Redline Performance Products, Inc. designs, engineers, markets, and intends to manufacture and sell, snowmobiles under the Redline(TM) brand name. The Company maintains its principal executive offices in San Diego, CA, and also has an office in Minneapolis, MN. Learn more at www.1redline.com.

Forward-Looking Statements

This news release includes "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included or incorporated herein may constitute forward-looking statements. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. The forward-looking statements involve risks and uncertainties that affect the Company's operations, financial performance and other factors discussed in its filings with the Securities and Exchange Commission ("SEC").