Viper Powersports Announces $18.9 Million in Equity Financing

MINNEAPOLIS--Aug. 3, 20051, 2005--Viper Powersports Inc. (Pink Sheets:VPWS), announced $18.9 Million in Equity Financing. The funding includes $3.9 Million PIPE financing completed by Bathgate Capital Partners and $15 Million in the form of a Standby Equity Distribution Agreement (SEDA) with Cornell Capital Partners.

Viper completed a $3.9 million PIPE financing through Bathgate Capital Partners of Denver, Colorado acting as our Placement Agent, which consisted of 1,000,000 shares of restricted common stock at $3.90 per share. The company also intends to submit an application to list its common stock on the Archipelago Exchange (ArcaEx).

In addition, Viper signed a Standby Equity Distribution Agreement (SEDA) with Cornell Capital Partners of Jersey City, New Jersey, to provide up to $15 million of equity financing to be drawn down over a 24-month period at our discretion in common stock purchases in increments of up to $500,000. All common stock sold by us in this SEDA financing will be priced at a 4% discount to the then current market price. We can begin obtaining funding from this SEDA facility as soon as we have registered the related common shares with the Securities and Exchange Commission.

"During 2005, Viper has made great strides in product development, expanding intellectual property assets, and now we have gained strong partners in the area of finance," said John Lai, President of Viper Powersports, Inc. "This financing provides the opportunity to launch our motorcycle product line and proprietary engines to the marketplace."

About Viper Powersports Inc.

Through its subsidiaries, Viper Motorcycle Company and Viper Performance Inc., develops, produces and markets a line of premium custom V-Twin cruiser motorcycles, aftermarket engines and other related aftermarket products. Viper cruisers are distributed and sold under the Viper brand name through a nationwide independent dealer network. The Company's website is www.viperpowersports.com.

The foregoing material may contain forward-looking statements. We caution that such statements may be subject to uncertainties and that actual results could differ materially from the fore-going statements. Readers accordingly should not place undue reliance on these forward-looking statements which do not reflect anticipated or unanticipated events or circumstances occurring after the date of these forward-looking statements.