POLARIS BREAKS GROUND ON NEW R&D FACILITY
New Wyoming, Minn. location to serve as hub for company's engineering, research

MINNEAPOLIS, June 17, 2004 - Polaris CEO and president Tom Tiller broke ground today at the site of the company's future research and development center near Wyoming, Minn. Construction on the 100,000-square-foot facility, which is slated to begin later this month, is expected to be complete in Fall 2005.

Upon completion of the Wyoming facility, Polaris will operate in six major locations in the Midwest, including:

• Medina, Minn. - Corporate headquarters
• Wyoming, Minn. - Research, development and engineering facility housing laboratories and indoor and outdoor areas for ATV, personal watercraft and Victory motorcycle testing
• Roseau, Minn. - Production and engineering facility developing snowmobiles, ATVs and RANGER utility vehicles
• Spirit Lake, Iowa - Production facility developing personal watercraft, ATVs and assembly of Victory motorcycles
• Osceola, Wis. - Production facility developing engines and components for ATVs, RANGER utility vehicles, snowmobiles, personal watercraft and Victory motorcycles
• Vermillion, S.D. - Distribution facility for parts, garments and accessories

"This is a very important day for Polaris," said Tiller. "This new facility represents Polaris' strong commitment to continuous improvement in the products we manufacture. Our research and engineering capabilities will be second-to-none as we continue to build our reputation as a manufacturer of innovative, high-quality recreational and utility vehicles. This facility also creates an opportunity for Polaris to bring good jobs and economic growth to the state of Minnesota."

Paul Holmes, Vice President of Pope Associates, and Jim Ryan, CEO of Ryan Companies, accompanied Tiller in the groundbreaking ceremony. Minnesota House of Representatives Speaker Steve Sviggum and Department of Employment and Economic Development Commissioner Matt Kramer also attended the event.

About Polaris
Information about the complete line of Polaris products is available from authorized Polaris dealers or from the Polaris homepage at polarisindustries.com.

2004 marks the 50th Anniversary of Polaris Industries. Celebrations will be held in Roseau, Minnesota, birthplace of Polaris, on June 18-19, 2004 and a worldwide celebration will take place in St. Paul at the Minnesota State Fairgrounds on July 24, 2004. Visit polarisindustries.com or call 1-800-POLARIS for more information.

Polaris designs, engineers, manufactures and markets snowmobiles, all-terrain vehicles, personal watercraft, Victory motorcycles and the Polaris RANGER for recreational and utility use. The Polaris Professional Series, a line of heavy duty Workmobiles targeted at lawn and landscape companies, equipment rental companies and construction operations, marks Polaris' expansion into the commercial equipment marketplace.

With annual 2003 sales of over $1.6 billion, Polaris is a recognized leader in the snowmobile industry; one of the largest manufacturers of all terrain vehicles (ATVs) in the world; and a leading manufacturer of personal watercraft. Victory motorcycles was established in 1998, and represents the first all-new American-made motorcycle in nearly 60 years, is rapidly making impressive in-roads into the motorcycle cruiser marketplace. Polaris also enhances the riding experience with a complete line of Pure Polaris apparel, accessories and parts, available at Polaris dealerships. Consumers can also purchase apparel and vehicle accessories anytime at polarisindustries.com.

Polaris Industries Inc. trades on the New York Stock Exchange and Pacific Stock Exchange under the symbol "PII," and the company is included in the S&P Small-Cap 600 stock price index.