Dow Jones 10714.88 +87.03 1:07 pm PST, February 17, 2004  NASDAQ 2080.35 +26.79 For info, visit access.smallcapnetwork.com S & P 500 1156.70 +10.89 To be removed, please click here Russell 2000 594.11 +8.97 VOLUME 04: ISSUE 12  Feature: Xtreme quarterbacks customer FEMA applications Fire/rescue and police departments are already busy enough. What they don't need is the further administrative hassle of figuring out how to apply for a Federal Emergency Management Agency (FEMA) grant to obtain equipment critical to the effective protection of their constituents, be they regional or national.  However, apply they must. Since June of 2003, no less than 8293 fire departments received $663 million through the Assistance to Firefighters Grant Program (AFGP), administered by FEMA. Grant applications begin in March for the $750 million in funds for 2004 earmarked for the AFGP. Help in the Xtreme. Xtreme Companies (OTCBB: XTME) announced last week that it plans to share its expertise and experience through both direct help and seminars to educate fire/rescue/patrol departments in the submission of competitive FEMA grant applications. Submitting appropriate and compelling applications--with Xtreme's help-- will serve to give customers the best chance of successfully acquiring funds.  Although Xtreme has a relatively small float (9.1 million) risk-oriented investors are urged to strategically accumulate a reasonable position in anticipation of potential deals and corporate developments to come. As further testament to the quality of Xtreme's products, the company announced, Tuesday, that Mercury Marine will be its exclusive power supplier. (Release attached below) Mercury Marine, as well as producing a selection of the finest and most fuel efficient marine jet power plants in the world, "has more 3-star-rated engines (as rated by the California Air Resource Board - C A R B) than any other engine manufacturer in the world." Early days, but no less compelling prospects. Early sales --as noted in our last Xtreme piece--will accomplish two things: first, they increase visibility within the sectors that need them, thereby developing the potential for follow on sales from other departments. As well, initial sales, once integrated into the protection infrastructure of a large buyer, could well yield significant repeat sales once the product is used for a relatively short period of time. We believe that the very competitive price point and strategic advantages of Xtreme's products will allow the company to meet its stated goal of concluding at least one boat sale per month. As well, as new and specialized support craft configurations are developed, more interest and sales could well arise once these craft are deployed in multiple urban areas. Given the lack of security at water accessed facilities such as ports and nuclear power plants--which are noted in the press daily--the need for water-based first responders to fight natural disasters or deter terrorist attacks will undoubtedly grow as time passes. Homeland Security knows it, first responders know it and, of course, Xtreme knows it. Those risk-oriented investors who acquire shares now will know it too.   PRESS RELEASE Xtreme Companies Selects Mercury Marine As Exclusive Provider Of Jet Engines Stanton, CA -- Feb 17 /PR Newswire / Xtreme Companies, Inc. (OTC Bulletin Board: XTME - News) announced today that it has selected Mercury Marine, a division of Brunswick Corporation to be its exclusive provider of marine jet engines. Xtreme Companies CEO Kevin Ryan stated "Mercury's OptiMax engines are the benchmark for new technology engines in terms of performance and smooth, smokeless, and misfire-free operation." He added "In addition to 45% increase in fuel economy relative to its competitors, Mercury has more 3-star-rated engines (as rated by the California Air Resource Board - C A R B) than any other engine manufacturer in the world." About Xtreme Companies, Inc. Xtreme Companies, Inc. is engaged in the manufacturing and marketing of mission specific high performance patrol and fire-rescue boats servicing fire, rescue, law enforcement, military, and government agencies. For additional information about Xtreme Companies, Inc. please visit www.xtremecos.com. The Company's public financial information and filings can be viewed at www.sec.gov.  About Mercury Marine Mercury Marine, a division of Brunswick Corporation is the world's leading manufacturer of marine propulsion systems. Headquartered in Fond du Lac, WI, Mercury Marine also maintains offices around the world which service South America, Europe, Australia and the Far East. For additional information about Mercury Marine please visit www.mercurymarine.com. Forward Looking Statements This release contains forward-looking statements, including, without limitation, statements concerning our business and possible or assumed future results of operations. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons including: our ability to continue as a going concern, adverse economic changes affecting markets we serve; competition in our markets and industry segments; our timing and the profitability of entering  new  markets; greater  than  expected costs, customer acceptance of our products or difficulties related to our  integration of  the  businesses we may acquire; and other risks and uncertainties as may be detailed from time to time in our  public  announcements  and  SEC filings. Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations.  We  do  not  intend  to  update any of the forward-looking statements after the date of this document to conform these statements to actual results  or  to  changes  in  our  expectations, except  as  required  by  law.   Contact: Michael Novielli Chairman ph  (203) 791-3838 mnovielli@xtremecos.com   We Value Your Feedback Got comments, questions or suggestions? 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