Coates International, Ltd. Announces General Stockholders' Update

industrial products co Coates International, Ltd. (the "Company" or "Coates") (OTCBB:COTE) is pleased to announce that according to our Escrow LicenseAgreement with Well to Wire Energy, Inc. of Canada, the balance ofthe Canadian exclusive license and development costs must be paidon or before the 30th of June 2008. The total amount due includingthe deposit on the USA exclusive license was $11,000,000 USD. Wellto Wire has paid our company non-refundable payments to date,totaling $2,200,000 USD, leaving a balance of $8,800,000 to be paidto Coates. Well to Wire Energy has secured a $1.1 billion USDequipment lease finance commitment from Canada West CorporateFinance, Inc., which is to be utilized only for the purchase of theCoates Industrial CSRV Electric Power Generators over the next fiveyears, pursuant to its License Agreement with Coates. The five yearWell to Wire Business Plan, on which this commitment was based,provides for the purchase of approximately 7,400 Coates CSRVElectric Power Industrial Generators at a price per unit of$150,000. This project of designing and building the Coates CSRV IndustrialGenerators for Well to Wire Energy, Inc. is completed, and as soonas our company receives the outstanding balance in full, productionof this product will start. Coates utilizes approximately 40outside companies for manufacturing its components to produce itsproducts, assembly of the CSRV Engine Systems is relatively easy;production should go smoothly. (UPDATE ON HOME GENERATOR PROJECT) Coates International, Ltd. has completed the design and developmentof its stand-alone CSRV Electric Power Generator for residentialuse. This (CSRV) Home Generator is configured to run on Propane andcan also be powered by any combustible fuel including Hydrogen.This CSRV Generator is a synchronous system that only produces theamount of electric power that is being used or required at anygiven time from 1 KW up to 35 KWs. It incorporates a CSRV in line 4cylinder power unit. (This Project is complete.) Marketing hasstarted. (UPDATE ON LAND SPEED PROJECT) The initial design of the land speed racing car is complete. Thewind tunnel is ready for airflow tests. Company officials aretalking and negotiating with potential sponsor for this project andas soon as the car and engine are complete, the land speed racetrials will start. (UPDATE ON RETROFITTING OF HEAVY TRUCK PROJECT) The CSRV Retrofit System and Heads are complete and now beingfitted to the heavy truck engine. Management and staff are excitedabout this project and believe that it will be one of the mostlucrative for Coates International, Ltd. (UPDATE ON COATES CSRV V TWIN 1600 cc AIR COOLED ENGINE PROJECT) A number of these engines were built and were tested in a Coates'Motorcycle by an independent EPA approved testing laboratory. Testresults showed 47 miles to the gallon, tested over a 2,000 mile runand achieved less than 50% of the EPA's Emission Standards. It was later tested by Coates for speed achieved 137 MPH withplenty of throttle left for higher speeds. This project is completeand is now under review by management. There are a number of other projects underway at Coates and we willbe announcing them in the near future. Coates International, Ltd. tries its best to keep its stockholdersfully informed of what's happening in the company. Many of ourthousands of stockholders are contacting the company for moreinformation and most of these questions cannot be answered becauseof the SEC Rules and Regulations regarding insider information. It must be understood that Coates is a fully reporting publiccompany trading on the NASDAQ OTCBB - COTE and must abide by theSEC Rules and Regulations. When our company divulges information regarding the names of otherentities that we are talking to or negotiating with, some of ourunsophisticated stockholders are contacting these potentialcustomers and Licensees and interfering with our company's businessand procedures. (This we cannot tolerate), so in the futuremanagement has decided not to divulge the names of the entities andcompanies it is in negotiations with until deals are signed,sealed, and delivered. However, the company is in negotiationscontinuously with numerous companies and entities at this time, andwill release information, as it deems appropriate. About Coates International, Ltd.: Coates has recently completedfinal refinements to a patented spherical rotary valve CSRVIndustrial Internal Combustion Engine developed over a period ofmore than 6 years and other CSRV applications over 10 years. Theunderlying CSRV technology was invented by George J. Coates and hisson Gregory. The CSRV system is adaptable to combustion engines ofmany types. This technology is currently adapted to a number ofpractical applications including industrial generators powered byengines incorporating the CSRV technology and designed to run onflare-off gas from oil wells, landfill gas and raw natural gas. Thecompany is actively engaged in planning for production and rolloutof these engines. This press release contains forward-looking statements that aremade pursuant to the safe harbor provisions of the PrivateSecurities Litigation Reform Act of 1995. By their nature,forward-looking statements and forecasts involve risks anduncertainties because they relate to events and depend oncircumstances that will occur in the near future. There are anumber of factors that could cause actual results and developmentsto differ materially from forecasted results. These risks anduncertainties include market conditions, regulatory approvals, andother risks inherent in our operations. For a discussion of theserisks and uncertainties, please see our filings with the Securitiesand Exchange Commission. Our public filings with the SEC may beviewed and printed on the website maintained by the SEC at http://www.sec.gov .