<B>AERT Starts New Line</B>

Advanced Environmental Recycling Technologies Inc commenced operation of its sixth extrusion line. This is the third line located at the company's Springdale, Ark., manufacturing facility.

``This new line increases our run rate to the $50 million annualized range,'' said AERT Chairman, Joe G. Brooks. ``This increased capacity, in conjunction with our recently upgraded raw material feed and transfer system creates the environment for sustained profitability,'' stated Brooks. ``Construction of an additional extrusion line at the existing Arkansas facility will begin later in the year.''

AERT currently operates additional production lines at its manufacturing facility in Texas and a recycling and manufacturing facility with two production lines in Arkansas. Construction on a third facility in Arkansas will begin later in the year.

Advanced Environmental Recycling Technologies Inc. manufactures a growing line of composite building materials made from recycled polyethylene plastic and waste wood fiber. The Company's products are marketed under the trade names MoistureShield® and ChoiceDek® for the North American homebuilding market. Additional information will be forthcoming.