Diamond Powersports Sales Up 66% for June '04 and 52% for the Second Quarter '04

FORT LAUDERDALE, Fla., July 21 -- Diamond Powersports Inc. (BULLETIN BOARD: DPWS) is pleased to announce that the company has just finished another record month and second quarter for sales and gross profits. The company finished the month of June very strong with sales of $167,078.15 compared to $100,368.01 for June 2003. This is up 66% from the previous year.

Diamond Powersports also reported a record gross profit for June 2004 of $101,101.42. This is up from last June's reported gross profit of $51,770.57. The increase over June 2003 is 95%.

Sales for June 2004 also helped the company break all previous quarterly records for sales. The company finished the second quarter with very strong sales of $444,689.39 compared to second quarter sales for 2003 of $291,027.27. This represents a 52% increase in second quarter sales for 2004 over the previous year.

Diamond Powersports also reported a record gross profit for the second quarter of 2004. The second quarter gross profit for 2004 was $275,362.42 compared to $151,061.31 for the same quarter last year. This second quarter gross profit was up by $124,301.11 or 82% more the second quarter of 2003.

"The increase in sales is directly attributable to two variables. First, the introduction of many new and innovative parts have caused all of Diamond Powersports' distributors and dealers to increase their orders for DPS parts. Secondly, the company's aggressive sales strategies are responsible for adding over 125 new dealers and one major distributor for 2004," stated Diamond Powersports CEO Pierre Elliott.

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 foot pegs, 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 Pierre Elliott at 1-800-466-8606 or visit the website http://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.