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PRAB Reports Third Quarter Results

7 September 2000

PRAB Reports Third Quarter Results

    KALAMAZOO, Mich.--Sept. 6, 2000--PRAB, Inc. (OTCBB:PRAB) reports third quarter sales of $4,318,000 and earnings of $83,000 for the period ended July 31, 2000. This compares with sales of $3,733,000 and earnings of $136,000 in the same period a year ago. Nine month sales of $11,766,000 and earnings of $170,000 for the current year compares with sales of $10,628,000 and earnings of $195,000 for the same period a year ago.
    The reduction in earnings per share for the first nine months of 2000 versus 1999 is due to the convertible preferred stock redemption completed on December 28, 1999. In calculating earnings per share, net income for the first nine months of 2000 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 approximately $.18 for the first nine months of 2000.
    The order backlog of $2,940,000 at the end of the third quarter ended July 31, 2000 compares with $3,055,000 at the end of the previous quarter ended April 30, 2000 and $3,867,000 at the end of the third quarter a year ago.
    

                              PRAB, INC.
                     Summary of Financial Results
           (in thousands of dollars except per share data)

                           Third Quarter Ended    Nine Months Ended
                                 July 31,              July 31,
                             2000      1999        2000       1999 
                             ----      ----        ----       ----
Sales                       $4,318    $3,733     $11,766    $10,628
                                                           
Net Income                      83       136         170        195
                                                           
Per Share                   $ 0.04    $ 0.06     $( 0.09)    $ 0.09