---

Molex and Sheldahl Form Joint Venture for Modular Interconnects

14 January 1998

Molex and Sheldahl Form Joint Venture for Modular Interconnects

    Joint Venture to Target Rapidly Expanding Use of Modular Flex Circuit
                          Assemblies in Automobiles

    NORTHFIELD, Minn., Jan. 14 -- Sheldahl, Inc.
and Molex Incorporated today announced that they have signed a
letter of agreement to form a joint venture to design, market and assemble
modular interconnect systems products for the automotive industry.  The joint
venture, named Vector Modular Interconnection Systems, L.L.C., will be owned
60 percent by Molex and 40 percent by Sheldahl. Robert Fuerst, an 18-year
Molex veteran, has been named General Manager of Vector.
     Vector will create a new family of interconnect systems by combining the
flex circuit leadership of Sheldahl with the innovative connector products of
Molex.  Initial applications will include power and signal distribution
products for automotive modular interior applications.  Vector will provide
turnkey system solutions to specific automotive customers.
    The joint venture will establish a technical center in the Detroit area to
provide local design and development support to their automotive customers,
and draw on the assets of both parent companies.
    Molex Incorporated designs and manufactures a broad line of electrical,
electronic and fiber optic interconnection systems, flat cables, switches and
associated application tooling.  Based in Lisle, Ill., the company's worldwide
operations include 47 manufacturing facilities in 21 countries and the company
employs more than 12,000 people, worldwide.  Sales for the fiscal year ended
June 30, 1997 were $1.5 billion.
    Sheldahl is a leading producer of high-density substrates, high-quality
flexible printed circuitry, and flexible laminates, primarily for sale to the
automotive electronics and datacommunications markets.  The Company, which is
headquartered in Northfield, Minn., has operations in Northfield; Longmont,
Colo.; Britton, Aberdeen, and Eureka, S.D.; and Detroit, Mich.; as well as a
sales office in Hong Kong.  Sheldahl's common stock trades on the Nasdaq
National Market tier of the Nasdaq Stock Market under the symbol: SHEL.
Sheldahl news and information can be found on the World Wide Web at
http://www.sheldahl.com
    Statements contained here, other than historical data, may be forward-
looking and subject to risks and uncertainties including, but not limited to,
those set forth in the Company's annual report. 10K, 10Q, and other SEC
filings.

SOURCE  Sheldahl, Inc.