Amerityre Issues Update on Polyurethane Tire Technology

BOULDER CITY, Nev., July 28 -- Amerityre Corporation (BULLETIN BOARD: AMTY) announced today that it has submitted two patent applications relating to the method and process for manufacturing tires out of a polyurethane elastomer compound with the U.S. Patent & Trademark Office. According to Richard Steinke, Amerityre's President and Chief Executive Officer, the patent applications are important steps in protecting Amerityre's intellectual property rights associated with the innovative manufacturing technology.

Mr. Steinke said, "The patent applications cover the way we put the beads, belts, and plys into the tire mold so we can cast liquid around those materials. We intend to file two additional patent applications in a few weeks." The prospective patent applications also relate to Amerityre's polyurethane elastomer tire technology. In April 2004, Amerityre completed independent laboratory testing certifying that prototype tires manufactured using its polyurethane elastomer compounds and manufacturing processes complied with Federal Motor Vehicle Safety Standard No. 109 for new pneumatic tires.

The Company also announced that it is in the process of building a production model of the manufacturing equipment that will be necessary to produce passenger car tires from polyurethane on a commercial basis. The model equipment will be used to demonstrate the manufacturing technology to interested parties in the tire manufacturing industry. The Company estimates the model equipment will be ready for demonstration by the end of September 2004.

Mr. Steinke further said, "We have a genuine interest in making this technology available to the tire manufacturing industry. So we are looking forward to demonstrating the technology. It's our belief that our manufacturing process will prove to be very cost efficient when compared to rubber tire manufacturing. We estimate that a manufacturer's capital costs to go into production using our equipment to produce polyurethane tires will be approximately 10% of the capital equipment cost to produce an equivalent number of rubber tires. More importantly, our equipment will require approximately 20% of the square footage currently required. We are also projecting substantial savings potential in energy cost and a significant reduction in material waste. The whole process will revolutionize tire manufacturing technology."

For more information on Amerityre, visit its website at www.amerityre.com.

Certain information contained in this press release may constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. Such statements are made based upon current expectations that are subject to risk and uncertainty. Amerityre does not undertake to update forward-looking statements in this news release to reflect actual results of and changes in assumptions or changes in other factors affecting such forward-looking information. Management's estimates with respect to capital cost savings or reduction in square footage requirements when compared to rubber tire production are based on management's good-faith estimates.