5/2/2006

Holliston, MA — Rypos and Purolator Facet have entered into an agreement in which Purolator will manufacture the sintered metal filter cartridges that are the heart of the Rypos Active Diesel Particulate Filter system.

Rypos developed an advanced self-regenerating filter to reliably cut pollution in applications where large diesel engines are employed, such as major public works projects, power plants, commercial buildings with primary and backup generators, railroads and marine vessels.

The partnership with Purolator also enhances brand awareness, marketing and distribution of Rypos advanced particulate filters. This comes on the heels of Rypos receiving California Air Resources Board (CARB) Verification for one of its two filter product lines.

"Our relationship with Purolator adds powerful brand identity and production capacity we need to meet growing customer demand for clean standby power, marine engines, locomotives and other applications. Demand is fueled by US EPA and California EPA regulations, together with voluntary
compliance incentives to clean up existing diesel engines and improve new ones," says Klaus Peter,
Rypos, Inc. president. Future growth is expected as energy concerns spark the sale of efficient diesel
and hybrid diesel-electric powered small trucks and passenger vehicles.

Purolator Facet, headquartered in Greensboro, NC, will manufacture the filter cartridges. Purolator is a
division of CLARCOR, Inc., a global provider of filtration products and services. "Our manufacturing
relationship with Rypos broadens the range of filtration products we produce and enhances our
position as the nation's filtration technology leader," says Kevin Nelson, vice president of marketing
with Purolator.

Rypos' active regeneration technology is a vast improvement over passive ceramic filters that require
high exhaust temperatures to work, which is not always possible in cold climates or when engines
run intermittently. When the banks of filter cartridges installed in the Rypos system need to be
cleaned or regenerated, a microprocessor sends an electric current through the conductive sintered
metal element inside the cartridges. The current heats the element and regenerates the filter by
burning off accumulated carbon particles.

The company manufactures two product lines for engines ranging from 100 kW to 2 MW. The
CARB-Verified Rypos ADPF is designed for older diesel engines operating on high-sulfur fuel. The
Rypos ADPF/C is designed for newer engines and original equipment manufacturers. The filters
replace the muffler. During tests on standby generators, the Rypos ADPF exceeded CARB's Level 2
Verification standard by reducing total particulate matter by well over 60%. CARB also granted Rypos
conditional verification for diesel-operated pumps typically used in farming and oilfields.

The Rypos ADPF/C is configured with a diesel oxidation catalyst (DOC) to further reduce the soluble
organic fraction, hydrocarbons and carbon monoxide. Soot, or particulate matter reduction ranges as
high as 90% with the Rypos ADPF/C.

CARB Verification covers diesel engines produced from 1996-2007 by manufacturers such as
Caterpillar, Detroit Diesel Corporation, Daimler/Chrysler, Komatsu, Iveco, Deere, Perkins, Volvo
Penta, Cummins, Daewoo, GMC, Nissan Diesel, Mitsubishi, Isuzu, Kubota, Lombardini Motori,
Scania, International Trucks and many others.

In addition to auxiliary and backup diesel generators, pumps, construction equipment, locomotives
and ships, the Rypos ADPF and ADPF/C filters are being evaluated by the mining industry for
underground applications where clean air requirements are stringent.

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