Chapeau, Inc. Signs Supply Agreement To Distribute Deutz Natural Gas Electrical Power Generator Systems.

Business Editors/Energy Writers

RENO, Nev.--(BUSINESS WIRE)--May 22, 2001

Deutz 260 Kilowatt (Kw) Electrical Power Generator

Will Keystone New Packaged Power Systems

Chapeau, Inc. today announced that it has signed a supply agreement to distribute Deutz designed and manufactured natural gas fueled electrical power generator systems. Chapeau will have access to the full Deutz product line of electrical generator systems including parts but will initially focus on developing the market specifically for Deutz's newly redesigned 260Kw electrical power generator system.

The 260Kw generator incorporates innovative technological advances by Deutz Energy GmbH, a Division of the Deutz Group with worldwide sales exceeding $1.1 billion in FY2000, and is being offered for power generation and combined heat and power (CHP) packaged systems in the United States for the first time by Chapeau. The generators produced in this class by Deutz Energy operate basically with lean-burn turbo-charging. This operational characteristic, together with new design factors help simplify assembly of power generation and CHP systems, thus improving ease of service and lowering running costs. In fact, the use of gas engines in power generation and CHP makes highly economical power generation possible, and as such a significant percentage of the input energy can be turned into electricity and heat.

The Company's Chief Executive Officer, Guy Archbold commented, "The design and craftsmanship of Deutz products carries a first-rate worldwide reputation of quality and reliability. Deutz has a presence in 150 countries and over 3,000 service centers. In view of such, we are delighted to represent Deutz in the U.S. and anticipate a robust reception of our packaged CHP and power generation systems for which the Deutz electrical power generator system will be the keystone."

About Chapeau, Inc.

Chapeau, Inc., formerly a development stage company, intends to design, assemble and sell packaged combined heat and power (CHP) and power generation systems to market niches in need of reliable controlled energy solutions. The Company is publicly traded on the Over-the-Counter Bulletin Board under the symbol CPEU.

NOTE: The foregoing is news relating to Chapeau, Inc. (the "Company") and contains forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. When used in this report, the words "anticipate," "believe," "estimate," "expect" and similar expressions as they relate to the Company or its management, including without limitation, Chapeau, Inc. (as defined herein) and/or the Company's other subsidiaries, are intended to identify such forward-looking statements. The Company's actual results, performance or achievements could differ materially from the results expressed in, or implied by these forward-looking statements. For a discussion of additional factors that may affect actual results, investors or interested parties should refer to the Company's filings with the Securities and Exchange Commission, in particular, its annual report on Form 10-K, most current 10Q and other filings as may be relevant. This does not constitute an offer to buy or sell securities by the Company, its subsidiaries or any associated party and is meant purely for informational purposes.