---

Prab Reports First Quarter Results

23 February 2000

Prab Reports First Quarter Results

    KALAMAZOO, Mich.--Feb. 22, 2000--Prab Inc. reports first quarter sales of $3,423,000 and a net profit of $5,000 for the period ended Jan. 31, 2000. These results compare with sales of $3,299,000 and a net profit of $21,000 in the same period a year ago.
    The reduction in earnings per share from the first quarter of 2000 vs. 1999 was primarily due to the convertible preferred stock redemption completed on Dec. 28, 1999. In calculating earnings per share, first quarter 2000 net income was reduced by the premium paid on the convertible preferred stock redeemed which totaled $322,667. The impact of this transaction was to reduce earnings per share by $.18 for the first quarter.
    Prab Inc., operating under two divisions, Prab Conveyors and Hapman Conveyors, designs and manufactures conveyors, metal scrap reclamation systems, and bulk material handling equipment and systems for a wide variety of industrial markets throughout the world.

                              Prab Inc.
                     Summary of Financial Results
           (in thousands of dollars except per share data)

                    First Quarter Ended     First Quarter Ended
                       Jan. 31, 2000           Jan. 31, 1999
 
Sales                       $3,423                $3,299
Net Income                       5                    21
Per Share (Loss)            ($0.18)                $0.01