News

For Immediate Release March 20, 2008

ELLICOTT DREDGES' 2007 ANNUAL PERFORMANCE REPORT:
New Products, New Manufacturing Plant, New Records
Ellicott Now World's Largest Cutter Dredge Builder

For Ellicott Dredges and its customers, 2007 was a stand-out year.

The Company delivered more than 50 dredges to customers in over a dozen countries. Ellicott and its affiliate Liquid Waste Technology LLC (LWT) completed, ahead of schedule, the first phase of an 85,000 ft2 (7,897 m2) new dredge manufacturing plant in Wisconsin. The Company's success was based on strong customer demand for the full range of its products, including new products.

$100MM Company - World's Largest Producer of Cutter Dredges, 4000 HP (3000KW) and under

Ellicott has received dredge orders over the last year worth over $100MM. Based on this order book the Company expects to deliver over 80 dredges in 2008, and is now the largest designer and builder worldwide of dredges with up to 4000 HP (3000KW) installed.

New Dredge Products in all Sizes

The Company has sold new machines in all sizes, from small to large:

2008 Product Development

This year Ellicott will be updating its popular Series 370 "Dragon™" (the single most successful dredge ever sold, measured by number of units, well over a hundred) and the Series 670 "Dragon™" models, introducing electronics and more fuel-efficient engines. In addition, we will be expanding within the sand and gravel field. Ellicott and LWT are now using Autocad Inventor and Solidworks 3-D software to modernize and facilitate all engineering design work.

New Web Site

Ellicott has updated its web site www.dredge.com, including new product literature and project application information, together with unique helpful dredge animations.

New Plants

The Company commissioned Phase 1 of its new plant in December, 2007, just 7 months after ground-breaking. After Phase 2 is completed in July, 2008, the plant will have 6 bays each measuring 250 ft x 50 ft (76 m x 15 m), for a total of 75,000 ft2 (6,968 m2) of manufacturing space with suitable crane capacity for building dredges up to Series 4170 "Super-Dragon", weighing approximately 450 tons total.

The new plant includes a demonstration pond and a training facility. Ellicott and LWT now operate the two largest dredge building plants under roof in the USA, the Wisconsin plant near Minneapolis and the Baltimore, MD plant near Washington DC. Ellicott also added to its Baltimore plant with the lease of a contiguous facility. With this additional capacity, the Company is advancing on its commitment to customers to deliver the full range of its products faster than any alternative source. As a tangible example of this commitment, Ellicott now has over 50+ engines in stock or on order from Caterpillar, MTU, and other engine suppliers-engines frequently being the long lead item in construction of a dredge.

Financing Support for Customers

In 2007, Ellicott and LWT were the largest users in the industry of U.S. Eximbank, a government agency which finances overseas buyers of U.S. exports.
See http://www.exim.gov/products/special/africa/updatearchives/may2007.cfm, for example.

Ellicott also won an international tender by the Government of Sri Lanka, for a Series 370 dredge, all financed by the Asian Development Bank.

The Company has arranged over $10MM of credit facilities to support its customers' dredge purchases.

Ellicott attributes the strong demand for its various dredge products to a global boom for mineral commodities, the impact of growing trade volumes on port and transportation infrastructure, reconstruction in Iraq, and increasing investment in water infrastructure, both for potable water and waste water. The Company has benefited as well from the construction of artificial islands in the Middle East which requires large cutter dredges.

Major Magazine Features Ellicott

Fortune magazine wrote a feature story (December/2007) on how Ellicott is a leading example among American manufacturers succeeding worldwide with competitive products.

New Personnel
Ellicott has added new staff in multiple positions, including:

Jim Licharowicz, Engineering Manager, Ellicott Dredges.
Peter Eberle, Managing Director, Major Projects, Ellicott Dredges
Rae Ann Ailts, Accounting Manager, LWT
Holly Zimmerman, Director of Human Resources, LWT
Joe Wendel has been promoted to group CFO.

New Company Name
Finally, in recognition of its leading brand name, Ellicott Dredges' parent has now changed its name from Baltimore Dredge Enterprises, LLC to Ellicott Dredge Enterprises, LLC. Ellicott's sister company Liquid Waste Technology, LLC will continue to operate under its own name, together with LWT's other brands, IMS Versi-Dredge, United Marine International, and Mud Cat auger dredges, which unit has been transferred from Ellicott Dredges to LWT. LWT will focus on one-truck transportable, auger dredge products, both electric and diesel-powered, and manned and remote-controlled.

Ellicott invites further questions about its product offerings at these phone numbers and emails: