Peerless Mfg. Co. Opens Office in Canada

DALLAS, April 15 /PRNewswire-FirstCall/ -- Peerless Mfg. Co. NASDAQ: PMFG today announced the latest addition to its group of companies with the recent formation of Peerless Manufacturing Canada Ltd., located in the city of Calgary. The new office will be the focal point of Peerless' efforts in continuing to serve the expanding western Canada oil and gas market with the Company's line of separation, filtration, and environmental equipment.

Peter J. Burlage, Chief Executive Officer of the Company, stated, "Peerless has a strong history of supplying high quality equipment to facilities located in Canada, particularly to the tar sands region which is experiencing ever increasing investment in facility development and expansion. Developing an enhanced presence in Canada will better enable us to support our customers and at the same time expand our business opportunities in a region that is expected to continue to grow."

About Peerless Mfg. Co.

Peerless Mfg. Co. is engaged in the business of designing, engineering, manufacturing and selling highly specialized products used for the abatement of air pollution and products for the separation and filtration of contaminants from gases and liquids. The Company headquartered in Dallas, Texas, markets its products worldwide.

Safe Harbor Under The Private Securities Litigation Reform Act of 1995

Certain statements contained in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, involve a number of known and unknown risks, uncertainties and other factors that could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievement expressed or implied by such forward-looking statements. You should not place undue reliance on these statements which only speak as of the date of this release. The words "anticipate," "preliminary," "expect," "believe," "intend" and similar expressions identify forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for such forward-looking statements. In order to comply with the terms of the safe harbor, the Company notes that a variety of factors could cause actual results and experience to differ materially from the anticipated results or other expectations expressed in such forward-looking statements. The risks and uncertainties that may affect the operations, performance, development and results of the Company include: the growth rate of the Company's revenue and market share, the consummation of new, and the non-termination of, existing contracts; the Company's ability to effectively manage its business functions while growing its business in a rapidly changing environment, the Company's ability to adapt and expand its services successfully; the quality of the Company's plans and strategies; and the Company's ability to execute its plans and strategies. Other important information regarding factors that may affect the Company's future performance is included in the public reports that the Company files with the Securities and Exchange Commission, including the information in Item1.A, "Risk Factors" of Part I to our Annual Report on Form 10-K for the fiscal year ended June 30, 2007. The Company undertakes no obligation to revise any forward-looking statements or to update them to reflect events or circumstances occurring after the date of this release, or to reflect the occurrence of unanticipated events. The inclusion of any statement in this release does not constitute an admission by the Company or any other person that the events or circumstances described in such statement are material.

     For Further Information Contact:

     Mr. Peter J. Burlage, Chief Executive Officer
     Mr. Henry G. Schopfer, Chief Financial Officer
     Peerless Mfg. Co.
     14651 North Dallas Parkway
     Suite 500
     Dallas, Texas 75254
     Phone:  (214) 353-5545
     Fax:    (214) 351-4172
     http://www.peerlessmfg.com

     or

     Kevin McGrath
     Cameron Associates
     (212) 245-4577
     Kevin@cameronassoc.com