GreenShift Invests in Air Cycle Corporation; Company Markets Proprietary Products for Recycling Spent Lighting Products.

MOUNT ARLINGTON, N.J. -- GreenShift Corporation (OTC Bulletin Board: GSHF) today announced that it agreed to acquire a 30% stake in Air Cycle Corporation ("Air Cycle"), a privately-held lamp, ballast, battery and electronics waste recycling company.

Under the terms of its agreement with Air Cycle, GreenShift will purchase 30% of Air Cycle's outstanding stock and receive certain commercial rights in return for GreenShift's investment of about $350,000 and its provision of strategic business development and other services.

Lamp Recycling

Due to the new Federal EPA regulations on fluorescent and mercury vapor lamps, which went into effect on January 6th, 2000, most non-residential facilities are now required to properly dispose of their lamps. Landfills are increasingly intolerant of lamps from non-residential sources due to the amount of mercury found in each lamp. Lamps later found in landfills are subject to retroactive clean-up costs under EPA regulations. Recycling of the lamp components is the recommended method of disposal by the Environmental Protection Agency and helps to eliminate facility liability. Air Cycle offers lamp recycling products and services nationwide based on its Bulb Eater(R) product line and its EasyPak(TM) recycling program.

Air Cycle's EasyPak(TM) Recycling Program is offered as an alternative for customers who generate spent lamps, batteries, and/or ballasts and cannot meet Air Cycle's quantity minimums for bulk pick-ups. Small shipments are instead shipped through pre-paid FedEx Ground transportation services. The program is simple, requires little paperwork, and is a practical option for facilities nationwide.

Air Cycle's Bulb Eater(R) product line crushes spent fluorescent lamps into small fragments and compacts them into 55-gallon containers. This greatly improves storage of the lamps, handling, safety/liability issues, and recycling costs. The units are complete with filtration systems to help ensure both OSHA and EPA compliance, even for facilities disposing of large quantities of lamps. Air Cycle's Bulb Eater(R) products have been mentioned on the front page of the Wall Street Journal and numerous other publications and in use today at many small and large companies, schools, hospitals, military bases, and government agencies.

Scott Beierwaltes, Air Cycle's chief executive officer, said that "Air Cycle was founded to address the growing need to make lamp recycling easy and efficient. This is directly in line with what we believe GreenShift is about and we are very excited to become part of GreenShift's portfolio."

"Air Cycle has built an impressive blue-chip following for its existing Bulb Eater(R) consumer product line," added Kevin Kreisler, GreenShift's chairman and chief executive officer. "We take this as proof positive that the concept of distributed waste reduction and recycling is not just viable but is capable of thriving with the right backing. We intend to provide Air Cycle with this backing as we help them grow through acquisitions, increased sales, and technology development."

Manufacturing and Distribution Rights

GreenShift's agreements with Air Cycle also provide for right of first refusal manufacturing rights to Air Cycle's Bulb Eater(R) product line for INSEQ Corporation (OTC Bulletin Board: INSQ), a GreenShift portfolio company, that are expected to be worth in excess $1.5 million per year. The agreements with Air Cycle also grant INSEQ the right to distribute Air Cycle products and services through INSEQ's new online store in return for fixed transaction fees payable to INSEQ.

About Air Cycle Corporation

Air Cycle was founded in 1978 and is currently based in the Chicago metropolitan area. Air Cycle currently offers a wide range of recycling services throughout the United States and takes pride in its ability to engineer innovative products to help its customers. Air Cycle has sold thousands of Bulb Eater(R) systems to facilities across the world and its clients include many small and large companies, schools, hospitals, military bases, and government agencies. Additional information on Air Cycle, including videos and other media pertaining to Air Cycle's Bulb Eater(R) product line, is available online at www.aircycle.com.

About GreenShift Corporation

GreenShift Corporation is a publicly traded business development company (BDC) whose mission is to develop and support companies and technologies that facilitate the efficient use of natural resources and catalyze transformational environmental gains.

BDCs are regulated by the Investment Company Act of 1940 and are essentially publicly-traded equity funds where shareholders and financial institutions provide capital in a regulated environment for investment in a pool of long-term, small and middle-market companies through the use of senior debt, mezzanine financing, and equity funding.

GreenShift plans to use equity and debt capital to support and drive the value of its existing portfolio of companies and to make investments in a diversified mix of strategically compatible growth stage public and private businesses and technologies. GreenShift's current portfolio includes investments in the following environmentally proactive companies:

--Veridium Corporation (OTC Bulletin Board: VRDM);

--INSEQ Corporation (OTC Bulletin Board: INSQ);

--GreenWorks Corporation;

--GreenShift Industrial Design Corporation;

--Ovation Products Corporation;

--Tornado Trash Corporation;

--Mean Green BioFuels Corporation;

--Ethanol Oil Recovery Systems, LLC;

--Sterling Planet, Inc.;

--TerraPass, Inc.;

--Aerogel Composite, Inc.;

--Air Cycle Corporation;

--Coriolis Energy Corporation;

--Hugo International Telecom, Inc.; and,

--TDS (Telemedicine), Inc.

Additional information regarding GreenShift Corporation is available online at www.greenshift.com.

Safe Harbor Statement

This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of GreenShift Corporation, and members of their management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.