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Productivity Technologies Corp. Reports New Equipment Order

30 June 1998

Productivity Technologies Corp. Reports New Equipment Order From China For $1.8 Million

    NEW YORK, June 30 -- Productivity Technologies Corp.
, announced today that its operating subsidiary Atlas
Technologies, Inc. received an additional order from Baosteel Group in the
Peoples Republic of China for metal stamping press automation equipment
totaling nearly $1.8 million.
    Earlier this quarter, FAW-Volkswagen, the first automotive joint venture
in China and the nation's largest automobile manufacturer, ordered a single
station overhead magnetic-belt stacker.  Both Baosteel and FAW-Volkswagen have
now ordered some of the most advanced pressroom automation equipment in the
worldwide stamping industry.
    Baosteel Group is the largest steel company in China and has ordered
automation equipment to improve the quality and capability of its cold rolled
production for the automotive industry.  Similar to their first order this
system continues planned upgrades by combining several automation products --
bundle turnover, destacker, blank washer, and magnetic-roll stacker.
    "This order," said Michael Austin, President of Atlas, "is an important
step in implementing our global marketing strategy to expand operations into
the Chinese marketplace through our Beijing sales office."  Austin also stated
that, "Orders in the fourth fiscal quarter surpassed our expectations, helping
to increase our backlog.  In addition, our quote activity going into fiscal
1999 is strong."
    Atlas is a leading producer of pressroom automation equipment including:
complete die change, automatic die storage and retrieval systems, destacking
and stacking systems, and transfer press automation equipment and tooling, as
well as an integrator of turnkey stamping press systems.

    Cautionary Statement Under the Private 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, anticipate and similar
statements shall be deemed forward-looking statements.