GreenMan Technologies, Inc. Reports Second Consecutive Profitable Quarter

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For Immediate Release

GreenMan Technologies, Inc. Reports Second Consecutive Profitable Quarter

Operating Profit Increases Five Fold

MASSACHUSETTS, LYNNFIELD, May. 15 -/E-Wire/-- GreenMan Technologies, Inc. (OTCBB: GMTI; BSE: GMY) today announced results for its second quarter ended March 31, 2001.

Three Months ended March 31, 2001 Compared to the Three Months ended March 31, 2000

Net sales for the second quarter ended March 31, 2001 were $4,579,000, or $.96 per passenger tire equivalent, an increase of 7 percent, as compared to net sales of $4,280,000, or $0.97 per passenger tire equivalent, for the second quarter ended March 31, 2000.

GreenMan's operating profit for the second quarter ended March 31, 2001 increased over 500 percent to $175,000 for the quarter ended March 31, 2001 as compared to an operating loss of $744,000 for the quarter ended March 31, 2000 which included a $326,000 impairment loss associated with the February 2000 consolidation of GreenMan's southeastern U.S. operations. The increase is attributable to the improved performance of GreenMan's southeastern U.S. operations as a result of the consolidation, an 18 percent increase in tire volume for the quarter and an ongoing cost reduction program.

During the quarter ended March 31, 2001, GreenMan recorded other income of $438,000 due to an insurance settlement and an additional casualty loss of $155,000 associated with a litigation settlement related to the August 1998 fire at GreenMan Technologies of Louisiana. Included in other income for the quarter ended March 2000 was $238,000 with forgiveness of indebtedness.

GreenMan reported net income of $192,000 (or $.01 per share) for the second quarter ended March 31, 2001 as compared to a net loss of $657,000 (or $.05 per share) for the second quarter ended March 31, 2000. EBITDA (earnings before interest, taxes, depreciation and amortization) was $0.07 per share for the second quarter ended March 31, 2001, as compared to ($.03) per share for the quarter ended March 31, 2000.

"We are pleased to report our second consecutive profitable quarter and especially pleased with the improved performance of our southeastern U.S. operations ' said Robert H. Davis, president and chief executive officer of GreenMan. Mr. Davis also noted, " The southeastern United States represents significant opportunity for GreenMan and with the anticipated initial startup of our wire separation equipment scheduled to begin during the quarter ended June 30, 2001 and the recently announced acquisition of Tennessee Tire Recyclers, Inc., we are poised to expand our presence in the coming months.

Six Months ended March 31, 2001 Compared to the Six Months ended March 31, 2000

Net sales for the six months ended March 31, 2001 were $9,269,000 or $.98 per passenger tire equivalent, an increase of 5 percent, as compared to net sales of $8,839,000, or $0.97 per passenger tire equivalent, for the six months ended March 31, 2000.

GreenMan's operating profit for the six months ended March 31, 2001 increased over 200 percent to $445,000 as compared to an operating loss of $596,000 for the six months ended March 31, 2000 which included a $326,000 impairment loss associated with the February 2000 consolidation of GreenMan's southeastern U.S. operations. The increase is attributable to an over 300% increase in the operating profit of GreenMan's southeastern U.S. operations as a result of the consolidation, a 5 percent increase in tire volume for the six month period and an ongoing cost reduction program.

During the six months ended March 31, 2001, GreenMan recorded other income of $438,000 due to an insurance settlement and an additional casualty loss of $155,000 associated with a litigation settlement related to the August 1998 fire at GreenMan Technologies of Louisiana. Included in other income for the quarter ended March 31, 2000 was $238,000 with forgiveness of indebtedness.

GreenMan reported net income of $204,000 (or $.02 per share) for the six months ended March 31, 2001 as compared to a net loss of $716,000 (or $.06 per share) for the six months ended March 31, 200. EBITDA (earnings before interest, taxes, depreciation and amortization) was $0.12 per share for the six months ended March 31, 2001, as compared to ($.02) per share for the six months ended March 31, 2000.

"Safe Harbor' Statement: Under the Private Securities Litigation Reform Act

With the exception of the historical information contained in this news release, the matters described herein contain "forward-looking' statements that involve risk and uncertainties that may individually or collectively impact the matters herein described, including but not limited to product acceptance, economic, competitive, governmental, results of litigation, technological and/or other factors outside the control of the Company, which are detailed from time to time in the Company's SEC reports, including the report on Form 10-KSB for the fiscal year ended September 30, 2000. The Company disclaims any intent or obligation to update these "forward-looking' statements.

Condensed Consolidated Statements of Income (Loss)

Three Months Ended Six Months Ended

March 31, March 31, March 31, March 31, 2000 2001 2000 2001

Net sales $4,279,816 $4,579,195 $8,839,069 $9,268,741 Cost of sales 3,690,181 3,625,750 7,206,707 7,217,941 Gross profit 589,635 953,445 1,632,362 2,050,800 Operating expenses: Research and development 10,000 -- 23,464 -- Selling, general and administrative 997,563 778,536 1,878,837 1,605,308 Impairment losses 326,235 -- 326,235 -- Total operating expenses 1,333,798 778,536 2,228,536 1,605,308 Operating profit (loss) (744,163) 174,909 (596,174) 445,492 Other (expenses) income, net 87,411 17,267 (119,630) (241,393) Net income (loss ) $(656,752) $192,176 $(715,804) $204,099 Net income (loss) per share - basic $(0.05) $0.01 $(0.06) $0.02 Shares used in calculation of net income (loss) per share 11,990,716 13,348,231 11,904,032 13,348,231

Condensed Consolidated Balance Sheet Data

September 30, March 31, 2000 2001 Assets Current assets $3,130,725 $3,482,189 Property, plant and equipment (net) 6,766,685 6,604,595 Goodwill (net) 1,426,602 1,344,380 Other assets 240,127 1,096,478

$11,564,139 $12,527,642 Liabilities and Stockholders' Equity

Current liabilities $6,848,282 $5,401,131 Notes payable, non-current 2,200,884 4,344,410 Capital lease obligations, non-current 519,815 582,844 Stockholders' equity 1,995,158 2,199,257

$11,564,139 $12,527,642

GreenMan Technologies, Inc.

http://www.greenman-tech.com

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