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Dynamic Sealing Technologies to Acquire Scott Rotary Seals Inc.

DSTI extends reach in rotary timing valves market; New York facility increases capacity for worldwide operations.

MINNEAPOLIS, Minn. - September 16, 2005 - DSTI extends reach in rotary timing valves market; New York facility increases capacity for worldwide operations.

Dynamic Sealing Technologies Incorporated of Minneapolis, MN today announced an agreement to acquire Scott Rotary Seals of Hinsdale, New York. Terms of the transaction were not disclosed. The leadership of both parties have approved the transaction, which is expected to be completed by the 4th quarter of 2005. Scott Rotary Seals will operate as a separate division of Dynamic Sealing Technologies Inc., and will continue to provide its expertise in the timing valve & rotary union sector.

SRS manufactures complex products used in demanding industrial, defense and marine applications. Products include timed rotary valves, custom rotary unions and high speed rotary joints. Scott Engineering Company was founded in 1960 in Olean, NY. By 1980, the rotary seal portion of the business had grown substantially and became the complete focus of the company. Solving rotary sealing applications lead to the development of numerous custom-designed rotating unions and timed rotary valves. In 1987 the company changed the name to Scott Rotary Seals, and in 1988 relocated to the larger current facility in Hinsdale, NY. For more information, visit the company's website at

Since its inception, Scott Rotary Seals has continued to grow to meet the needs of industry. The company's unique combination of standardized designs with customized features and perpetual product improvement are the result of Mr. Scott's legacy. Grant Scott III, Interim president of Scott Rotary Seals, will remain on DSTI's board of directors.

"Scott Rotary Seals is a great strategic fit for Dynamic Sealing Technologies" said Jeff Meister, DSTI President. "They have over 40 years of experience in the rotary union business, proven leadership and added manufacturing capacity. Their line of innovative rotary timing valves will provide DSTI with an expanded product offering and a second manufacturing location will ultimately help improve service and support to the growing DSTI worldwide customer base."

About DSTI

Dynamic Sealing Technologies, Inc. (DSTI) specializes in the design and manufacturing of application-specific fluid solutions worldwide. DSTI's engineered fluid sealing products transfer hydraulic oil, chemicals, water, air, and a variety of other liquids and gases for rotating applications. The company offers custom integrated solutions to meet the unique design, manufacturing, testing, and qualification requirements of each project. DSTI has a full line of in-stock, standard fluid and electrical products including fluid rotary unions and electrical slip rings designed to meet a wide range of industrial applications.

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