BOATU.S. SAFETY ALERT:

NEWLY REFORMULATED GASOLINE WITH ETHANOL COULD RUPTURE

OLD FIBERGLASS GAS TANKS

Explosion Hazard and Significant Engine Damage Evidenced on Large,
Older Vessels

Older fiberglass fuel tanks may fail as a result of recent gasoline
reformulations that are using increased concentrations of the fuel
additive ethanol.

BoatU.S. believes that as a result of industry-wide changes in
fiberglass resin formulations in the mid 1980's, the problem appears to
be limited to tanks manufactured prior to this date. Diesel fuel
systems are not affected. The fiberglass fuel tanks in question were
standard equipment on some Hatteras, Bertram and possibly other boats.
While the investigation is still in the preliminary stage, BoatU.S.
believes that reformulations made to gasoline in the Long Island Sound
area that replaced MTBE (Methyl Tertiary-Butyl Ether) in late 2004 with
a 10% concentration of ethanol is causing the additive to "attack" the
resin in the old fiberglass tanks. The results are weakened tank walls
and bottoms with the potential to leak. Anytime gasoline leaks into the
bilge, there is a significant risk of an explosion.

BoatU.S. has confirmed reports of tank wall failure in which gasoline
was found leaking into the bilge. It also has reports of a tar-like
substance - possibly created from the chemical reaction between the
older fiberglass resin and ethanol - causing hard black deposits that
damage intake valves and pushrods, ultimately destroying the engine.

"At a minimum the problem can devalue a boat significantly since
replacing damaged fuel tanks and engines can be a significant expense.
However, the potential for leaking and explosion is a far greater
factor," said Chuck Fort, associate editor of Seaworthy, the damage
avoidance newsletter from BoatU.S.

BoatU.S. is asking boaters for any firsthand reports or other
information they may have on the issue and is doing additional testing
to evaluate the extent of the problem. "We'd like to know if other
gasoline reformulations with lesser concentrations of ethanol react
with the resin, perhaps at a slower pace," said Fort.

The increasing use of ethanol has largely been the result of federal
and state efforts to replace MTBE, a potential carcinogen, with a safer
alternative. MTBE and ethanol oxygenate fuel to help reduce harmful
emissions when running cold engines just after startup. BoatU.S. has
no reports from other states using lesser concentrations of ethanol.
"Many well-regarded boat manufacturers have used fiberglass tanks
reliably for years," said Fort. "But unforeseen by these builders, the
new reformulation in New York and Connecticut includes a high
percentage of ethanol. And unfortunately, gasoline with ethanol is the
only fuel available to boaters in these areas," he added. Some stations
in New Jersey may also be using ethanol-enhanced fuel.