For questions contact:

Michael Cohen

Marketing Communications

Phone: 281-292-1690

Fax: 281-292-3998

Email: mcohen@royaleq.com

FOR IMMEDIATE RELEASE

ROYAL EQUIPMENT ANNOUNCES COMPLETION OF SHIPMENTS TO SOUTH AFRICA

Company begins developing new mining sector.

THE WOODLANDS, Texas – July 21, 2003 – Royal Equipment, Inc., a leading provider of warranted, remanufactured components and spare parts for the surface mining industry, today announced the completion of its initial deliveries for GE wheel motors to a major publicly traded (NYSE) mining company in South Africa.

“South Africa is an ideal market to showcase our global logistics capabilities,” stated David A. Kintigh, Chief Operating Officer of Royal Equipment. “Royal Equipment uses GE repair facilities to remanufacture its drive system components, providing the customer with high-quality components, remanufactured to OEM specifications, and backed by a limited warranty. When combined with Royal Equipment’s world-wide inventory and expediting capabilities, the result is rapid delivery to even the most challenging locations.”

After delivery of the initial shipment, the customer placed a second order in acknowledgement of Royal Equipment’s high-quality and rapid delivery service. The remanufactured GE wheel motors are key components of 170-ton haul trucks used in the customers’ surface mining operation.

About Royal Equipment

Royal Equipment is a Global supplier of warranted, remanufactured heavy equipment components and parts for the surface mining industry and specializes in GE drive systems found in haul trucks, shovels, and loaders. With its extensive inventory, Royal Equipment supports OEM product lines from manufacturers such as Bucyrus/Erie, Hitachi, Komatsu/Haulpak, LeTourneau, Liebherr/Wiseda, Marion, P&H, Unit Rig, and O&K. Royal Equipment provides customers with alternatives to the high capital costs of new equipment and spare parts by offering remanufactured, new-surplus, and pre-owned products; delivering quality products with a focus on customer service. To learn more about the products offered by Royal Equipment, please visit www.royaleq.com.

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