AMERICAN SCIENCE AND ENGINEERING, INC. (AS&E(R)) MOVES CORPORATE HEADQUARTERS-Another Element In Company's Restructuring-Move Will Reduce Overhead By $1.2 Million -$1.5 Million Annually-All Claims In Connection With Real Estate Lawsuit Now Terminated.

BILLERICA, MASSACHUSETTS--(BUSINESS WIRE)--MARCH 30, 1995--AMERICAN SCIENCE AND ENGINEERING, INC. (AMEX Symbol: ASE) today announced that it has moved its corporate headquarters to 829 Middlesex Turnpike in Billerica, Massachusetts. The Company noted that its annual occupancy expenses are expected to decrease by approximately $1.2 million to $1.5 million. Also as a result of the move and the sale of its old facility, all claims with respect to a lawsuit with its previous landlord have been terminated.

Commenting on the announcement, Ralph Sheridan, President of AS&E, stated, "The move to Billerica is a major step in the Company's on-going restructuring plan. The move substantially realigns AS&E's cost structure. This action frees up internal cash flow to support the international marketing of CARGOSEARCH(TM) and other X-ray systems, provides for additional technology support of new products and enables further development of operational and technical talent. The facility expense reduction lowers our break-even and contributes to the attainment of our profitability goals for fiscal year 1996."

As previously announced, the centerpiece of the Company's new product development program is CARGOSEARCH for the inspection of trucks. In the first six months of operation, the system has proven its value to U.S. Customs Agents as an operational tool for identification of drug contraband on the Mexican border. Based on this success, there is a growing interest by foreign customs agencies in this vehicle and cargo inspection system. Ralph Sheridan noted, "cargo inspection systems will become the major engine of revenue growth for AS&E."

AS&E is a leading designer, manufacturer and international marketer of sophisticated X-ray inspection systems for critical detection and security screening solutions. The Company's patented Z(R) Backscatter Technology provides for the detection of concealed illegal drugs, contraband, weapons and plastic explosives.

CONTACT: Jeffrey Volk/Lorin Cohen 

LIPPERT/HEILSHORN & ASSOCIATES

212-838-3777

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Company Contact:

Lee Steele, Chief Financial Officer

Jim Nemiah, Vice President