Aerosonic Announces Filing of Form 10-Q and Financial Results for its Third Quarter Ended October 29, 2004.

CLEARWATER, Fla. -- Aerosonic Corporation (AMEX:AIM), a leading supplier of precision flight products for commercial, business and military aircraft, announced today that it filed its quarterly report on Form 10-Q for its third fiscal quarter ended October 29, 2004, with the U.S. Securities and Exchange Commission on Friday, December 10, 2004.

The Company's revenues for its October 29, 2004 quarter increased by $167,000 to $8,139,000, compared to revenues of $7,972,000 for the quarter ended October 31, 2003. Increases in core product deliveries versus the previous year continue, while reduced development program activity, which had been anticipated, on the Lockheed Martin Corporation F-35 (Joint Strike Fighter) contract offset the core product gains. This increase in core product deliveries follows the trend that began in the first quarter of the current fiscal year.

Net income for the quarter was $212,000 or $0.05 per share, compared with a net loss of $301,000, or ($0.08) per share, for the quarter ended October 29, 2003. Significant reductions in audit and legal fees were partially offset by slightly lower core product gross margins due to a small change in product mix as well as increases in engineering costs for product development.

For the nine months ended October 29, 2004, the Company's revenues decreased $1,290,000 to $23,172,000, compared to revenues of $24,462,000 for the nine months ended October 31, 2003. The revenue decrease is primarily attributable to reduced development program activity, which had been anticipated, on the Lockheed Martin Corporation F-35 (Joint Strike Fighter) contract. The Company has sustained the sales level in its core products that had increased significantly in the prior year.

The Company's net income for the nine months ended October 29, 2004 was $1,324,000, or $0.34 per share, compared with a net loss of $140,000, or ($0.04) per share, for the nine months ended October 31, 2003. The earnings increase of $1,464,000, or $0.38 per share, from the prior year was primarily due to an insurance settlement of approximately $617,000 after taxes, or $0.16 per share, that was reported by the Company in its quarterly report on Form 10-Q for the period ended July 30, 2004. Lower legal and audit fees and the Company's sale of its engine vibration monitoring system inventory in February 2004 contributed to the increase in net income, while increases in engineering costs for product development were an offsetting factor.

Aerosonic Corporation, headquartered in Clearwater, Florida, is principally engaged in the manufacture of aviation products. Locations and divisions of the Company include: the Clearwater, Florida Instrument Division; the Aerosonic Wichita, Kansas Division; Avionics Specialties, Inc., a Virginia corporation wholly owned by the Company; and the Clearwater, Florida Precision Components Division. For additional information, visit http://www.aerosonic.com.

This document contains statements that constitute "forward-looking" statements within the meaning of the Securities Act of 1933 and the Securities Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. "Forward-looking" statements contained in this document include the intent, belief or current expectations of the Company and its senior management team with respect to future actions by officers and directors of the Company, prospects of the Company's operations, the amount of any anticipated restatements, profits from future operations, income tax deductions and reactions by the IRS, and the Company's overall future business prospects, as well as the assumptions upon which such statements are based.

Investors are cautioned that any such forward-looking statements are not guarantees of future performance or future tax treatment, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those contemplated by the forward-looking statements in this document include, but are not limited to, adverse developments with respect to the resolution of management issues, operations of the Company's business units, failure to meet operating objectives or to execute the business plan, and the failure to reach revenue or profit projections. The Company undertakes no obligation to update or revise the forward-looking statements contained in this document to reflect changed assumptions, the occurrence of unanticipated events, or changes to future operating results over time.