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Turbopac(TM) Chosen as Standard Equipment

26 May 1998

Turbopac(TM) Chosen as Standard Equipment by Major Manufacturer

    WOODLAND HILLS, Ca., May 26 /CNW-PRN/ - Turbodyne Technologies Inc.
announced today that a major European vehicle and
engine manufacturer has selected Turbodyne's Turbopac(TM) models 1500 and 2200
for incorporation as standard equipment on three classes of engines being
manufactured for the 1999 model year.
    ``This is the first breakthrough for Turbodyne with respect to a major
original equipment manufacturer, and is the culmination of more than three
years of joint development and product evaluation under the program management
of Dr. William Woollenweber, Turbodyne's Executive Vice President,'' said
Turbodyne's Chairman Edward Halimi.
    The decision to select the Turbopac(TM) was finalized earlier this month
between executives of the manufacturer and the Turbodyne team, headed by Dr.
Woollenweber and including Mr. David Willett, Turbodyne's Vice President of
Electronic Power Systems.
    Final logistical arrangements, exchange of installation drawings, and
timetables were discussed last week at the manufacturer's headquarters in
Europe, during a visit by Edward Halimi, Turbodyne Europe's Dr. Peter
Hofbauer, technical director, and Mr. Peter Kitzinski, financial director, and
Mr. John Singleton, Turbodyne's Chief Operating Officer and CFO.
    According to the terms of the confidential agreement between the
companies, Turbodyne is prohibited from disclosing the name of the
manufacturer until vehicles and engines equipped with Turbopacs(TM) reach the
marketplace for the 1999 model year. Shipments of Turbopacs(TM) to the
manufacturer are expected during the fourth quarter of 1998.
    ``Turbodyne has been conducting joint development and product evaluation
programs with most of the major American and European vehicle and engine
manufacturers for several years,'' said Dr. William Woollenweber.
``Considering the dramatic performance and fuel economy improvements,
emissions reductions and engine cold start capabilities of using Turbodyne
technology, we expect selection of Turbodyne products by other manufacturers
in the future.''
    Turbodyne Systems, the high technology division of Turbodyne,
manufactures, designs, markets and develops patented pollution-reduction, fuel
economy and performance enhancing technology for internal combustion engines
in the automotive, transportation, construction, marine, agriculture, mining,
military and power generation industries. Turbodyne's light metals division is
a manufacturer of machined aluminum castings and a leading supplier to the
automotive industry.
    Offices and plants are located in Carpinteria, La Mirada, Encinitas and
Woodland Hills, CA; Ensenada and Mexico City, Mexico; Northants, England;
Frankfurt, Germany; Vancouver, Canada; and Paris, France.

    TURBODYNE TECHNOLOGIES INC.

      ``Edward M. Halimi''
    -------------------------
    Edward M. Halimi
    Chairman

    Turbodyne's world wide web address is: http://www.turbodyne.com

    This news release contains forward-looking statements that involve risks
and uncertainties concerning the future performance of Turbodyne Technologies
and its subsidiaries. Important factors that could cause actual results to
differ from those indicated in the forward-looking statements are: the
availability and acceptance of the Turbodyne products; the impact of
competitive products and pricing; general economic conditions, conditions
within the global automotive market, and political changes both domestically
and overseas.