American Science and Engineering, Inc. Reports Seventh Consecutive Quarter of Revenue and Profit Growth.

BILLERICA, Mass.--(BUSINESS WIRE)--Jan. 24, 1997--American Science and Engineering, Inc. (AMEX: ASE) today reported profits of $503,000 on revenues of $7.1 million in its third fiscal quarter ended December 27, 1996, the seventh consecutive quarter of revenue and net profit growth. Through the first nine months of this fiscal year, the Company reported profits of $1.4 million on revenues of $20.5 million, increases of 196% and 69%, respectively, from the comparable period of the last fiscal year.

Third quarter revenues increased 51% over the year-ago period and increased 7% over the previous quarter ended September 27, 1996. Profits in the just completed quarter increased 100% compared to the year-ago quarter and by 12% compared to the previous quarter.

Ralph S. Sheridan, President and CEO, stated, "This quarter's performance was generated by the record shipment of x-ray detection units for protection of federal buildings. This is a continuation of the program to protect government office mail rooms and access points from terrorist threats. In addition, we continue to be on budget with our contract to supply U.S. Customs with three previously announced CargoSearch systems for truck inspection along the border with Mexico.

"We are enthusiastically expanding our commitment to research and development, the long-term backbone of a technology-based company such as ours. Our consistent growth in profitability has allowed us to increase our PhD-level staff to eight. Their talents are being applied to a range of innovative concepts to counter the expanding threats from terrorism, drugs, and smuggling. A significant number of 'white paper' concepts are being developed to support various government agency initiatives to counter drugs and terrorism."

Mr. Sheridan continued, "The recent surge in office bombings in the US and abroad are grim reminders that terrorism is a persistent and pervasive threat to a wide variety of organizations. AS&E is committed to the protection of high-profile facilities and has equipment available today to combat terrorism in its many forms, including mailbombs and plastic explosives concealed as parcels."

AS&E develops and manufactures sophisticated X-ray inspection systems for critical detection and security applications. AS&E's patented Z Backscatter technology detects plastic explosives, illegal drugs, and other contraband, even when artfully concealed in complex backgrounds by terrorists and smugglers. -0-

             AMERICAN SCIENCE AND ENGINEERING, INC.
                CONSOLIDATED FINANCIAL SUMMARY
     (Dollars and shares in thousands, except per share amounts)
                        (Unaudited)


                        Three Months Ended         Nine Months Ended
                       Dec. 27,    Dec. 29,       Dec. 27,   Dec. 29,
                         1996       1995            1996      1995
Net sales and
     contract revenue   $7,127    $4,717           $20,511   $12,116
Operating income           598       277             1,579       542
Other expense              (74)      (25)             (159)      (83)
Income before provision
     for income taxes      524       252             1,420       459
Provision for income
     taxes                  21         -                60         -
Net income              $  503    $  252           $ 1,360   $   459
Income per common
     share              $  .10    $  .06           $   .28   $   .10
Shares used in
     income per share
     calculations        4,846     4,605             4,816     4,494


The results of operations reported herein may not be indicative of future
financial conditions or results of future operations.

-0-

Safe Harbor Statement

The foregoing press release contains statements concerning the Company's financial performance and business operations which may be considered "forward-looking" under applicable securities laws.

The Company wishes to caution readers of this press release that actual results might differ materially from those projected in any forward-looking statements.

Factors which might cause actual results to differ materially from those projected in the forward-looking statements contained herein include the following: Significant reductions or delays in procurements of the Company's systems by the United States Government; disruption in the supply of any sole-source component incorporated into the Company's products (of which there are several); litigation seeking to restrict the use of intellectual property used by the Company; potential product liability claims against the Company; global political trends and events which affect public perception of the threat presented by drugs, explosives and other contraband; the ability of governments and private organizations to fund purchases of the Company's products to address such threats; and the potential insufficiency of Company resources, including human resources, capital, plant and equipment and management systems, to accommodate any future growth. These and certain other factors which might cause actual results to differ materially from those projected are more fully set forth under the caption "Risk Factors" in the Company's Registration Statement on Form S-3 (SEC File No. 333-9151).

CONTACT: American Science & Engineering, Inc.

Jeffrey Bernfeld or Lee Steele, 508/262-8700