Exhibit 99.1


FOR RELEASE: Immediately

Contact:
Richard K. Arter  Investor Relations        941-362-1200
Richard J. Dobbyn Chief Financial Officer   941-362-1200


           SUN HYDRAULICS CORPORATION DECLARES THIRD QUARTER DIVIDEND


SARASOTA, FLA, August 23, 2001 -- Sun Hydraulics Corporation (NASDAQ:SNHY) has
announced a $0.04 per share dividend on its common stock. The dividend is
payable on October 15, 2001, to shareholders of record as of September 30, 2001.

Sun Hydraulics Corporation, is a leading designer and manufacturer of high
performance screw-in hydraulic cartridge valves and manifolds for worldwide
industrial and mobile markets. For more information about Sun, please visit our
website at www.sunhydraulics.com.


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