Aero Marine Engine Plans to Initiate Final Testing and Developmental Phase.

Business Editors

TORRANCE, Calif.--(BUSINESS WIRE)--Aug. 25, 2003

Aero Marine Engine, Inc., (OTCBB:ARMR) a developmental stage company which recently acquired the rights to the revolutionary Dyna-Cam engine, a proprietary internal combustion engine, announced today that the Company is set to begin the final testing phase and developmental work on its Dyna-Cam engine.

Over the next four to six months, Aero Marine Engine will conduct a complete and comprehensive engineering review of its Dyna-Cam engine. In this review, the Company will orchestrate, using state-of-the-art technology, detailed composite testing and metallurgy which will be used to determine and propose altering various components of the engine to enhance efficiencies. The Company will conduct thorough failure tests on both the old engine and the new one. Also, prior to going into full production, the Company will perform an in-depth manufacturing overview of the Dyna-Cam engine emphasizing optimizing performance and minimizing costs.

Garth Bailey, chief executive officer of Aero Marine Engine, Inc., remarked, "The design of this engine has gone through more than seven major design generations, and a number of prototypes have been built and tested. I feel after some slight engineering upgrades we will be prepared to begin manufacturing this engine at the conclusion of this developmental and testing phase. This final phase will provide great insight to the engineering world as to the immense capabilities of our engine."

About Aero Marine Engine, Inc.

The Dyna-Cam engine is an internal combustion engine where the pistons drive a cam to generate power to the main shaft. The main shaft is in a parallel direction to piston movement, without connecting rods or crankshaft. The engine has approximately 50% fewer moving parts than a conventional internal combustion engine, has a greater power to weight ratio, produces high torque at low rpm, operates with less vibration, and is lighter than the competition.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. In particular, when used in the preceding discussion, the words "believes," "expects," "intends," "will," "anticipated," or "may," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Except for historical information, all of the statements, expectations and assumptions contained in the foregoing are forward-looking statements that involve a number of risks and uncertainties. It is possible that the assumptions made by management are not necessarily the most likely and may not materialize. In addition, other important factors that could cause actual results to differ materially include the following: business conditions and the amount of growth in the company's industry and general economy; competitive factors; ability to attract and retain personnel; the price of the Company's stock; and the risk factors set forth from time to time in the Company's SEC reports, including but not limited to its annual report on Form 10-KSB; its quarterly reports on Forms 10-QSB; and any reports on Form 8-K. Aero Marine Engine, Inc. takes no obligation to update or correct forward-looking statements.