) CEM REPORTS SALES AND EARNINGS FOR FIRST NINE MONTHS; ANNOUNCES ENTRANCE INTO HEALTH CARE MARKET.

CHARLOTTE, N.C.--(BUSINESS WIRE)--April 23, 1996--CEM Corporation (Nasdaq/NM:CEMX) today announced higher sales and earnings for the nine months ended March 31, 1996. The Company also announced that it has finalized a licensing agreement relating to the development and marketing of a microwave-based sterilization system on a worldwide basis for the dental, medical and laboratory markets. Under the agreement between CEM and a private research firm, joint development of a commercial product has begun.

For the nine months ended March 31, 1996, net sales increased to $23.7 million, compared with $23.4 million last year. Net income for the first nine months of fiscal 1996 rose to $2.4 million versus $2.2 million in the first nine months of fiscal 1995; and earnings per share increased to $0.63 compared with $0.59 per share for the year-earlier period.

For the third quarter, net sales totaled $7.5 million compared with $7.9 million in the year-earlier period. Net income for the third quarter of fiscal 1996 amounted to $676,000, or $0.18 per share, compared with $704,000, or $0.19 per share, for the year-earlier period.

"Results for the third quarter were disappointing, reflecting sluggish activity in the United States and flat shipments of our instruments internationally," remarked Michael J. Collins, President and Chief Executive Officer. "Demand related to government and environmental applications in the United States have remained soft, but there has been some improvement in sales for process control markets. Although we do not see much change developing over the near term for our business in the United States, we expect continued strength in international sales which are up 12% for the first nine months. We will continue to contain operating costs to help our bottom-line performance as CEM's new products gain acceptance and expand our market opportunities.

"We have begun the final quarter of fiscal 1996 on a positive note based on the favorable initial response to the new STAR(tm) instruments which were introduced worldwide during March and April. We are confident this product will not only expand our existing markets but also open new non-regulated markets for CEM including the food, chemical, pharmaceutical and semi-conductor industries. These opportunities offer significant potential for improving the pace of our sales in the United States."

Collins added, "The STAR(tm) system employs an innovative technology which allows samples to be prepared on an interactive basis in a microwave instrument which is in marked contrast to conventional systems which process samples in batches. For the first time, users can control individual samples. This includes continuously monitoring temperature during the heating cycle, maintaining separate processing times and introducing chemical reagents while the samples are being prepared."

Regarding the Company's entrance into the health care market, Collins said, "I am pleased to announce that CEM has secured exclusive rights for the development and marketing of a microwave- based sterilization system on a worldwide basis for dental, medical and laboratory markets. This agreement signals a major new initiative within our strategic vision for CEM. Our basic strategy is to continue enhancing the Company's worldwide leadership in marketing innovative microwave-based systems for laboratories. We have recognized the potential for extending our proven expertise in microwave technology into other markets. Today's announcement marks an opportunity to enter the health care industry with a system for rapid, economical sterilization of medical instruments."

Describing the new sterilization system, Collins stated, "The technology and resultant product, for which patents are pending, enables metal instruments to be sterilized safely in a microwave system. Our process should provide considerable advantages over conventional sterilization methods which typically require the use of steam-based equipment. The technology should enable instruments to be sterilized more quickly and in a "dry heat" environment which reduces wear and does not damage precision instruments. Once sterilized, the instruments will remain aseptic in a pouch until they are needed. The ability to store the instruments in these sealed containers will mitigate the risk of contamination and provide patients with the visible, physical assurance that proper precautions have been followed.

Our immediate focus will be on product development for the worldwide dental market where on-site sterilization is performed several times daily. The market in the United States alone represents about 120,000 dental offices. Our system will include both the microwave instrument as well as proprietary disposable pouches. We believe that there is considerable potential for this technology in the dental offices as well as in other health care facilities. As we develop further sterilization applications, we will capitalize on our international operating base and strong balance sheet to market this technology to the health care industry worldwide.

CEM manufactures microwave-based instrumentation for testing and analysis. The Company's products are used worldwide in the general analytical laboratory market and in many manufacturing industries, including chemical and food processing. -0-

                         CEM CORPORATION
                      Financial Highlights
                           (Unaudited)

                             Three Months Ended
                                March    31,
                           1996              1995         % Chg.
Net sales               $7,518,000        $7,882,000       (5%)
Net income              $  676,000        $  704,000       (4%)
Earnings per share      $     0.18        $     0.19       (5%)
Average
  shares outstanding     3,782,000         3,719,000        2%

                              Nine Months Ended
                                 March  31,
                            1996            1995          % Chg.
Net sales               $23,710,000      $23,360,000        1%
Net income              $ 2,354,000      $ 2,209,000        7%
Earnings per share      $      0.63      $      0.59        7%
Average
  shares outstanding      3,759,000        3,740,000        1%

CONTACT: CEM Corp., Charlotte

Michael J. Collins, 704/821-7015