P3 Racing to Carry Complete Product Line from Diamond Powersports: Sales Expected to Exceed $150,000

FORT LAUDERDALE, Fla., Jan. 29, 2004 -- Diamond Powersports, Inc. (BULLETIN BOARD: DPWS) announced today that P3 Racing has agreed to carry the complete product line of Diamond Powersports' parts and accessories.

P3 Racing has been selling powersports and powersport accessories (motorcycles, watercraft, ATV, scooter and/or mopeds) to qualified dealers since 1976. P3 Racing is committed to giving their customers the best service and products at a fair price. Last year, P3 Racing purchased $102,000 in parts and accessories from Diamond Powersports. Diamond Powersports anticipates sales from P3 Racing to exceed $150,000 in revenue in 2004.

P3 Racing, www.p3racing.com, proudly features Diamond Powesports' frame sliders, LED Flame Sliders, lowering links, Hyabusa bar mounts, kick stands, crank plugs, and other parts on their website. Diamond's Frame Sliders are made from high-quality Delrin and are designed to protect the fairings of the motorcycle in the event that the motorcycle slides on its side or falls over. The value of this product is in its ability to protect the fairings and frame of the motorcycle, which can be very costly to repair.

In addition to P3 Racing, Diamond Powersports is pleased to announce that it has received an additional commitment to carry its exciting product line from Performance Tire. Performance Tire purchased $11,514 worth of Diamond Powersports parts and accessories, in 2004; Diamond's management expects at least $25,000 in sales.

Diamond Powersports is the leading supplier of innovative motorcycle parts and accessories to the motorcycle aftermarket and general merchandise markets. Founded in 1992, it manufactures and distributes such custom parts as its Flame Sliders, lowering links, and footpegs, and distributes motorcycle tires, valves, and other parts, accessories, and apparel. It manufactures over 200 motorcycle parts for the aftermarket motorcycle industry.

For investor information for Diamond Powersports, Inc. contact Matt Maguire at (407) 884-0444 or visit the website www.diamondpowersports.com.

Safe Harbor Act Notice: This release may contain forward-looking statements that involve risks and uncertainties, including without limitation, acceptance of the company's products, increased levels of competition, product and technological changes, the company's dependence upon financing and third- party suppliers, and other risks detailed from time to time in the company's federal filings, annual report, offering memorandum, or prospectus. Specifications are subject to change without notice.