False Report of Polaris Snowmobile Plant in Europe

MEDINA, Minn.--Polaris Industries Inc. today announced that a report which appeared on Reuters.com about company plans to build a new snowmobile plant in Southeast Europe is untrue. Polaris has released the following statement in response to the false news report.

“The story released today about Polaris's plan to construct a new snowmobile plant in Romania or Bulgaria is erroneous and untrue,” said Polaris CEO Tom Tiller. “We are working diligently to discover the source, and will deal with the issue swiftly. More importantly, our company will continue to produce the finest snowmobiles in the world in our facility in Roseau, MN, where we have built them since the company's inception.”

About Polaris

With annual 2006 sales of $1.7 Billion, Polaris designs, engineers, manufactures and markets snowmobiles, all-terrain vehicles (ATVs), Victory Motorcycles and the Polaris RANGER for recreational and utility use. Polaris is a recognized leader in the snowmobile industry and one of the largest manufacturers of ATVs in the world. Victory Motorcycles, established in 1998 and representing the first all-new American-made motorcycle from a major company in nearly 60 years, are rapidly making impressive inroads into the motorcycle cruiser and touring marketplace. Polaris enhances the riding experience with a complete line of Pure Polaris apparel, accessories and parts, available at Polaris dealerships. Polaris Industries Inc. trades on the New York Stock Exchange under the symbol “PII,” and the Company is included in the S&P Small-Cap 600 stock price index. Information about the complete line of Polaris products, apparel and vehicle accessories is available from authorized Polaris dealers or anytime from the Polaris homepage at www.polarisindustries.com.