Kayo Corp. Agrees to Create 'Pierre Elliott Signature Series' Chains For Diamond Powersports

Deal Expected to Result in an Additional $100,000 in Sales This Year

FORT LAUDERDALE, Fla., Feb. 24 -- Diamond Powersports Inc. (BULLETIN BOARD: DPWS) announced today that Kayo Corp. has agreed to create "Pierre Elliott Signature Series Chains." The deal is expected to bring Diamond Powersports an additional $100,000 in revenue this year.

The "Pierre Elliott Signature Series" of chains will include the DRZ-530 chain and the development of a new ZVX Pro X-ring chain. The deal with Kayo Corp. will also include an advertising budget to be used by Diamond Powersports.

Diamond Powersports was recently featured at The Dealernews International Powersports Dealer Expo in Indianapolis. Diamond Powersports and their distributors received numerous orders for their parts and accessories and made key contacts. The company is in the midst of setting up dealers in Japan as well as France.

"These new dealers are just a few of the possible 100 new dealers to be set up as a result of the show," stated Pierre Elliott, Diamond Powersports CEO.

Diamond Powersports recently reported record sales for January, 2004 of $61,172 up 66% from sales of $36,800 during January, 2003. In addition, Diamond Powersports' gross profit increased by 165% from just $15,128 in January, 2003 to $40,101 for this past January.

About Diamond Powersports

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, engine 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.

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