Ceradyne, Inc. Receives $9 Million Armor Contract; Shipments Expected Beginning February 2003

    COSTA MESA, Calif.--Dec. 19, 2002--Ceradyne, Inc. today announced the receipt of a $9 million order for its Small Arms Protective Insert (SAPI) lightweight ceramic armor system from the United States Defense Logistics Agency. It is anticipated that shipments will begin February 2003 and be completed during second-quarter 2003.
    Joel Moskowitz, Ceradyne chief executive officer, stated: "We are pleased that the Government has selected Ceradyne for this new order, which we will begin shipping shortly after completion of our current SAPI orders. The Company's expansion announced earlier this year into the 40,000 square-foot Irvine, California, facility allows us to meet this type of surge in armor requirements."
    Ceradyne develops, manufactures and markets advanced technical ceramics for industrial, electronic, defense and consumer applications. Additional information about the Company can be found at www.ceradyne.com.

    Except for the historical information contained herein, certain matters discussed in this news release, particularly related to the above discussion including ultimate approval of the company's proposed upgrade design, constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those projected. The Company may use words such as "anticipates," "believes," "plans," "expects," "intends," "future," and similar expressions to identify forward-looking statements. Further risks and uncertainties are described in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2001, and in its Quarterly Report on Form 10-Q for the quarter ended September 30, 2002, as filed with the Securities and Exchange Commission.