Aerovox reports third quarter results.

NORTH DARTMOUTH, Mass.--(BUSINESS WIRE)--Oct. 23, l995--Aerovox Incorporated (Nasdaq/NM:ARVX) today reported revenues for the third quarter ended September 30, l995, of $27,678,000 compared to $28,884,000 for the same period in 1994.

For the quarter, the Company posted a net loss of $406,000, or $.08 per share. For the comparable period in 1994, the Company's net income was $499,000, or $.09 per share. Net loss generated by the Company's Aero M operations in Mexico for the third quarter of 1995 was $1,033,000, or $.19 per share, compared to a net loss for the third quarter of 1994 at Aero M of $802,000, or $.15 per share.

For the nine months ended September 30, l995, revenues rose 2% to $98,556,000 compared to $96,589,000 in the year earlier. Net income for the nine-month period was $1,519,000, or $.28 per share, compared to $3,738,000, or $.69 per share for the same period in 1994. Net loss for the Aero M operations was $2,428,000, or $.45 per share, for the first nine months of 1995, compared to a net loss of $670,000, $.12 per share, for the first nine months of 1994.

"We are disappointed that the turn around of our Aero M Group is taking longer than anticipated," stated Aerovox Chairman and CEO Clifford H. Tuttle. "Management changes made in mid-September were too late to affect third quarter results but are already resulting in a substantial improvement in productivity and quality."

Aerovox Incorporated is a leading manufacturer of film, paper and aluminum electrolytic capacitors. The Company sells its products worldwide, principally to OEMs as components in electrical and electronic equipment.

AEROVOX INCORPORATED
Consolidated Statements Of Income (Unaudited)
(Amounts in thousands, except per share data)

                            Three Months           Nine Months
                                Ended                 Ended
                         Sept. 30,  Oct. 1,     Sept. 30   Oct. 1
                           1995       1994        1995      1994

Net sales              $  27,678  $  28,884   $  98,556  $  96,589
Cost of sales             24,604     24,126      83,505     77,786
Gross profit               3,074      4,758      15,051     18,803
Selling, general and
 administrative expen      3,355      3,399      11,507     11,570
Income (loss) from
 operations                 (281)     1,359       3,544      7,233
Other income (expense):
    Litigation settlement     --       (513)         --       (513)
    Interest expense        (615)      (366)     (1,697)    (1,087)
    Other income             134        314         524        552
Income (loss) before income
 taxes                      (762)       794       2,371      6,185
Provision for income taxes  (356)       295         852      2,447
Net income (loss)      $    (406)  $    499   $   1,519  $   3,738

Net income (loss) per
 share                 $   (0.08)  $   0.09   $    0.28  $    0.69

-0-

AEROVOX INCORPORATED
Consolidated Balance Sheet (Unaudited)
(Amounts in thousands)

                                      Sept. 30,        Dec. 31,
                                        1995             1994
ASSETS
Current assets:
     Cash and cash equivalents    $      424       $      102
Accounts receivable, net              19,729           16,278
Inventories                           22,131           19,895
     Prepaid expenses and other
      current assets                   1,690            1,225
Deferred income taxes                    997              997
          Total current assets        44,971           38,497

Property, plant and equipment,
     net of accumulated depreciation  40,259           37,101
Deferred income taxes                  1,752            1,752
Other assets                             450              409
Total assets                      $   87,432       $   77,759

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
     Accounts payable             $   10,164       $    9,986
Accrued expenses                       3,770            3,294
     Current maturities of
      long-term debt                   3,128            2,292
Income taxes                             848              484
          Total current liabilities   17,910           16,056

Deferred income taxes                  5,824            5,821
Industrial revenue bond                2,669            2,943
Long-term debt                        24,982           18,705
Other long-term liabilities            1,015              818

Stockholders' equity:
     Common stock                      5,297            5,231
Additional paid-in capital               756              592
     Retained earnings                29,406           27,887
Foreign currency translation
 adjustment                             (427)            (294)
          Total stockholders' equity  35,032           33,416
Total liabilities and stockholders'
 equity                           $   87,432       $   77,759

CONTACT: Aerovox Inc.

Mary Mandeville

Manager, Communications

[phone]