Bell Shareholders Elect New Directors; Board Names CEO Tracy Edwards Chairman.

Business Editors

EL SEGUNDO, Calif.--(BUSINESS WIRE)--June 29, 2000

Bell Industries, Inc. (AMEX:BI) today announced that L. James Lawson and Michael R. Parks have been elected to the company's board of directors, and Tracy A. Edwards, president and chief executive officer, has been named to the additional post as chairman.

Edwards, 43, succeeds Bell's co-chairmen Theodore Williams and Gordon Graham, who did not stand for re-election to the board. Also choosing not to stand for re-election were Anthony L. Craig, Herbert S. Davidson and Milton Rosenberg.

The company also announced that shareholders re-elected three incumbent directors, including Edwards, who has been a director since 1999; John J. Cost, 65, a member of Bell's board since 1971; and Mark E. Schwarz, 39, who joined Bell's board in February 2000.

Bell said the board has been resized to five members from eight in light of the contraction of the company's size and change in its direction and senior management team over the last two years. In January 1999, the company sold its then largest business unit, the electronics distribution group, to Arrow Electronics. Also during 1999, the company made two special cash distributions totaling $67 million, or $7 per share, to its shareholders, from the proceeds of the electronics distribution group sale and related sales of certain real estate.

"Our new directors bring a depth of independent thinking and relevant experience to Bell in the company's transition to a technology services orientation," said Edwards. "I am confident they will be instrumental in guiding the management team and helping Bell move forward. I also wish to extend deep gratitude to our prior co-chairmen and former directors for their sound guidance over their many years of service to Bell."

Lawson, 44, is managing director and managing member of Lincoln Partners, LLC, a privately held investment banking and consulting firm. Parks, 37, is chairman and chief executive officer of The Revere Group, a privately held e-solutions technology consulting firm.

Bell's primary business is Bell Tech.logix, a multi-regional provider of integrated technology solutions for large and medium-sized organizations. Bell's businesses also include the distribution of after-market parts and accessories for the recreational products market, and manufacturing of magnetic component products for the computer and electronics industry.