Ceradyne Inc. Awarded $4 Million Contract for Ceramic Diesel Engine Components

14 May 1999

Ceradyne Inc. Awarded $4 Million Contract for Ceramic Diesel Engine Components

    COSTA MESA, Calif.--May 13, 1999--Ceradyne Inc. (NASDAQ NMS:CRDN) today announced that it has received a $4 million contract to produce ceramic cam rollers for use in diesel engines. The components will be made from Ceradyne's Ceralloy 147(R)-31N sintered reaction bonded silicon nitride and will be used in the rocker-arm assembly in heavy-duty diesel engines.
    Although the contract award is firm, it is contingent on the customer's approval of the rollers for their intended use. While the purchase order includes a planning schedule for delivery of all components by December 1999, Ceradyne anticipates that the contract will likely extend into 2000.
    Commented Joel P. Moskowitz, Chairman, President and Chief Executive Officer of Ceradyne Inc.: "We are greatly encouraged by this large order, which clearly affirms the quality of Ceradyne's proprietary SRBSN ceramic components and paves the way for additional volume contracts in the future. We will do our best to fulfill as much of this order as we can in 1999, and expect to begin realizing revenue from this award starting in the third quarter."
    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.
    This press release contains forward-looking statements regarding future events and the future performance of Ceradyne that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are described in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 1998, as filed with the Securities and Exchange Commission.