Productivity Technologies Corp. Announces Brazilian Order And Backlog Increase to $20.5 Million

    ANN ARBOR, Mich., March 12 Productivity Technologies Corp.
announced today that Atlas Technologies, Inc., one of its
operating subsidiaries, has received a letter of intent for an order worth
between $3.2 and $3.8 million in revenues, depending on accessories to be
included in the order, from a Brazilian automotive supplier.  The order calls
for Atlas to provide part and die handling automation upgrades to one of the
Brazilian customer's stamping press lines, including a line of Atlas Die
Changing carts, a Destacker, a FLEX 5000(R) Transfer, and FLEX Transfer
Tooling.  The order remains subject to the customer successfully obtaining
financing from the United States Export-Import Bank (EXIM).  This financing is
being processed.
    "We are pleased to receive this follow-on order to one received three
years ago from the same customer, as it demonstrates their acceptance of our
FLEX 5000(R) Transfer.  The order also demonstrates Atlas' ability to provide
customers with complete solutions for their applications, since four Atlas
different products will be used to automate this single application,"
according to James A. Kolinski, Atlas CEO.  "Orders from our international
customers for our FLEX series Transfer Press Automation are picking up
momentum as we continue with our targeted product introduction of FLEX
Transfers and Tooling to select customers in both the automotive and appliance
sectors," according to Samuel N. Seidman, PTC Chairman and CEO.
    Atlas' backlog, including orders from Ford Motor Co., BaoSteel in China,
and this Brazilian order, currently approximates $20.5 million.  This is up
from approximately $7 million in backlog at the end of the second quarter
ending December 31, 2000.
    In other news, the Company announces today that it received a Nasdaq Staff
Determination indicating that Productivity Technologies Corp. is no longer in
compliance with the net tangible asset / market capitalization / net income
requirement for continued listing on the Nasdaq SmallCap Market as set forth
in marketplace rule 4310(c)(2)(B).  The Company has requested a hearing,
scheduled for April 5, 2001, before a Nasdaq Listing Qualifications Panel to
review the Staff Determination.  At the hearing, the Company plans to provide
information supporting its position that its Common Shares should continue to
be listed on the Nasdaq SmallCap Market.  Pending a determination by the
Nasdaq Listing Qualifications Panel after the hearing is completed, the
Company's Common Shares will continue to trade on the Nasdaq SmallCap Market.
There can be no assurance that the Panel will grant the Company's request for
continued Common Share listing on the Nasdaq SmallCap Market.  If the
Company's request is denied and its Common Shares are delisted from the Nasdaq
SmallCap Market, the Company's Common Shares may be eligible to trade on the
OTC Bulletin Board.  The hearing will also address compliance with the minimum
bid price requirement for the common stock (Marketplace Rule 4310(c)(4)) and
the active market maker requirement for the common stock purchase warrants
(Marketplace Rule 4310(c)(1)).
    Headquartered in Fenton, Michigan, Atlas is an ISO 9001 registered
producer of automated stamping press systems, equipment, and tooling used by
the world's automotive, appliance, and other manufacturers, including steel
and other metal producers.  Productivity Technologies Corp. is an Ann Arbor,
Michigan based investment holding company involved in the factory automation
and equipment industry.  Its operating subsidiaries are Atlas Technologies and
Westland Control Systems, a controls panel supplier to machinery
manufacturers.
    Cautionary Statement Under the Private Securities Litigation Reform Act of
1995: Statements of this Press Release may constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995 that are based on the beliefs of the company and its management.  Any
statements contained herein which are not historical facts or which contain
the words expect, believe, project, estimate, seek, anticipate, could, may,
and similar statements shall be deemed forward-looking statements.  The
Company may be unable to realize its plans and objectives due to various
important factors.  These factors include but are not limited to the potential
softening of the domestic and foreign markets for automobiles, automotive
parts, and appliances, resulting in reduced demand for the Company's
automation equipment; potential technological developments in the metal
forming and handling automation equipment markets which could render the
Company's automation equipment noncompetitive or obsolete; and the potential
tightening of credit availability generally or under the Company's credit
facility, which may render the Company unable to access needed working
capital.