CTS Chairman Announces Plan to Exercise Stock Options

    ELKHART, Ind.--June 18, 2001--CTS Corporation announced today that Joseph P. Walker, Chairman of the Board and Chief Executive Officer, has established a plan to exercise stock options and sell certain shares of CTS common stock acquired on exercise in 2001, in accordance with Rule 10b5-1(c)(1) of the Securities Exchange Act of 1934. The options, granted in 1997, are fully vested. This plan provides a process to exercise the options in an orderly manner over a reasonable period of time.
    Under the plan, Mr. Walker has directed an unaffiliated broker to exercise options for up to 990,883 shares of CTS common stock and to sell that number of such option shares required to pay the purchase price, taxes and transaction costs associated with the option exercises. These shares will be sold at market prices subject to certain minimum price conditions.
    "I remain strongly confident in the future prospects of CTS, as evidenced by the fact that I plan to retain the shares issued on my option exercises except as required to generate sufficient proceeds to pay the option exercise price and related taxes and transaction costs," said Walker.
    Statements in this press release about the Company's earnings outlook and its plans, estimates and beliefs concerning the future are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on the Company's current expectations. Actual results may differ materially from those stated in the forward-looking statements due to a variety of factors which could affect the Company's operating results, liquidity and financial condition. We undertake no obligations to publicly update or revise any forward-looking statements. Factors that could impact future results include among others: the impact of the ongoing slowdown in the overall economy; the Company's successful execution of its consolidation and cost reduction plans; pricing pressures and demand for the Company's products, especially if economic conditions worsen or do not recover in the key markets for the Company's products; and risks associated with our international operations, including trade and tariff barriers, exchange rates and political risks. Investors are encouraged to examine the Company's SEC filings, which more fully describe the risks and uncertainties associated with the Company's business.
    CTS Corporation is a leading designer and manufacturer of electronic components and assemblies for the communications, computer and automotive markets. The Company manufacturers products in facilities in North America, Europe and Asia. The Company's stock is traded on the NYSE under the ticker symbol "CTS." To find out more, visit the Company's website at www.ctscorp.com.

    Released by: R. L. Ramsby